Do you know what energy transition is all about? Learn what this is and what the main guidelines are, and everything that’s about to change in the world.
Carbon dioxide (CO2) global emission levels have to be reduced by half by 2030 so that the increase in frequency and severity of extreme climate phenomena may be avoided. In 2015, world leaders gathered at the United Nations summit in Paris and committed to deploying their best resources to maintain the increase of the average global temperature below 2°C.
The main goal, although ambitious, is to prevent global warming from surpassing an increase of 1,5°C. This goal will only be possible with energy transition. What energy shall drive the future in the right direction?
“We lived in an electric world. We relied on it for everything. And then the power went out. Everything stopped working. We weren’t prepared. (…) We still don’t know why the power went out. But we’re hopeful someone will come and light the way.”
And so begins the series Revolution, produced by J. J. Abrams, which portrays a post-apocalyptic future. In the present time we’re currently living in, electric power hasn’t yet come to an end, however, it urgently needs a new approach. It’s upon us to pave and light the way.
Climate change is already a well-known reality and a pressing issue felt daily all over the world. There must be a common effort to protect the planet. There is already in place a global commitment to reducing environmental impact, supported by scientific studies and backed by different international entities, with adherence by several countries.
What is energy transition?
The expression energy transition refers to the path that has since been followed in the sense of transforming the energy sector, replacing the matrix of energy based on fossil fuels (such as coal, petrol, and gas) with another, based on renewable energy sources.
At its core is the need to reduce carbon dioxide (CO2) emissions, caused by the usage of non-renewable energy sources, as is the case of fossil fuels. The energy transition is essentially catapulted, through information technologies, and intelligence technology, while also through the political representatives, and market instruments.
Why is energy transition such an urgent matter?
Because we all suffer from climate change. The global temperature has been increasing and it’s harming all of the terrestrial life forms, animals, and plants. High temperatures are responsible for accentuated climate phenomena and there are several areas throughout the globe that endure extreme drought or floods and storms. Areas, that up until the XIX century, had never endured such situations.
When the reason for these changes started to become a matter of study, scientific opinions were unanimous: all of them pointed to the greenhouse gas effects as a cause, where the main responsible is carbon dioxide. And these, in turn, are issued through the burning of fossil fuels: petrol, coal, and gas.
Even though the responsible causes are found, the most urgent matter is to find a solution. So, what should be done to decrease and/or revert the effects of emissions, which means, how should we decarbonize the atmosphere? How to prevent all the current climate changes, so we can protect our future?
1 – Reduction of carbon dioxide (CO2) emissions
The global emissions of CO2 have to be reduced to half by 2030, to avoid an increase in the frequency and severity of extreme climate phenomena, such as heat waves, floods, droughts, risks to food and water safety, demographic displacement, loss of lives, and means of survival.
Intergovernmental Panel on Climate Change (IPCC) released in February of 2022, alerts that between 3,3, and 3,6 billion people already live in highly vulnerable environments to climate change. Furthermore, these have been causing severe damage (many times irreversible) also in ecosystems and infrastructures.
In 2015, in Paris, on the United Nations Convention on Climate Change, the signatories agreed to unite efforts in order to maintain the increase of the global temperature under 2°C. The primary objective is to avoid global warming surpassing an increase of 1,5°C in comparison to the XIX century.
In 2021, International Renewable Energy Agency (IRENA), on the first edition of the World Energy Transitions Outlook (WETO) in 2021, shed light on how electrification and energy efficiency are the best boosters for the necessary transition, built on renewable energy.
2 – A guarantee for a more inclusive global economy
The acceleration of energy transition is essential to guarantee in the long run energy safety, price stability, and resilience. Around 80% of the worldwide population lives in importing countries of liquid energy. Getting the best of the renewable potential of clean energies may reduce this percentage, making these countries less dependent on energy imports. This way will help to create jobs and reduce poverty, promoting an inclusive and eco-friendly global economy.
According to the World Energy Transitions Outlook 2022, from IRENA, 759 million people all over the world don’t have access to electricity. Introducing clean energy solutions may boost vital services, such as health, better education, and accessible bandwidth, by creating new jobs, new means of livelihood, and sustainable economic value to reduce poverty.
In regions such as Sub-Saharan Africa, where half of the high schools and a quarter of health units have no power, access to clean energy will help to save lives and will create opportunities for development at a truly transforming scale.
3 – Achievement of goals
2030 is the year defined by the UN to meet every Sustainable Development Goals (SDG), namely SDG 7, which aims to guarantee accessible, secure, sustainable, and modern energy for everyone.
What changes with energy transition?
The path towards 1,5°C positions electrification and efficiency as the main drivers of the energy transition, founded on renewable energies, hydrogen, and sustainable biomass. This path, which requires a drastic change in the way that societies produce and consume energy, would result in a reduction of almost 37 gigatonnes of annual emissions of CO2, by 2050, (data from OECD Environmental Outlook to 2050). To have this goal met, the following strategies are placed at the tables of the world leaders:
1 – Replacement of fossil fuels for clean renewable energies
It’s absolutely essential to replace definitely coal energy with clean alternatives, especially renewable ones. The progressive removal is a complex task for countries that depend on coal, in a significant way, especially due to the imperative of a fair transition for the affected workers and communities.
Almost 30% of all of the used coal feeds the iron, steel, and concrete industries, according to data from the European Commission. The next years will be decisive to innovation and international cooperation in these sectors.
The progressive removal of fossil fuels should be conducted in combination with measures to erase market distortions while also encouraging energy transition solutions. This implies the gradual elimination of subsidies to fossil fuels and the guarantee that all of the total expenses (environment, health, and social) from the burning of fossil fuels are reflected in their prices. Tax policies have to be adjusted to increase competition for the solutions related to the transition.
The necessary evaluation of the social impact and equity can’t be overlooked, especially in populations with low income, to ensure that the energetic poverty isn’t worsened.
The implementation of renewable energies is faster and cheaper than the alternatives, however, to reach the goals IPCC has set, the annual additions of renewable energy have to be three times the actual rate of implantation. This increase will be possible if adequate conditions are in place.
2 – Infrastructure update
The update, modernization, and expansion of the infrastructures will allow the increase in resilience and flexibility of a diversified and interconnected system, capable of accommodating high portions of variable and renewable energy.
Besides the many technological solutions, markets will have to adapt. In the era of variable renewable energies, electricity should be acquired considering the characteristics of the decentralized generation’s technology, without fuel or opportunity cost.
3 – Adopting green hydrogen
Using green hydrogen will become generalized until 2030. In 2021, only 0,5 GW of electrolyzers were installed; the installed cumulative capacity needs to grow to around 350 GW by 2030.
The European Commission, within its strategy to decarbonize and diversify energy, RePowerEU, has been propelling the manufacturing of electrolyzers in Europe, to increment the production of green hydrogen
4 – Betting on bioenergy
The benefaction of bioenergy to take up the energy demand, including the demand for feedstock, should triple by 2030. Simultaneously, the traditional use of biomass (such as firewood) will have to be replaced by cleaner solutions. The broadening of the offer for biomass needs to be managed carefully, to warrant sustainability and minimize any adverse results.
5 – Generalization of the use of electric vehicles
Electromobility is one of the main factors that may leverage energy transition. According to data released from the International Council on Clean Transportation (ICCT), electric vehicles represented 8,3% of the global sales of cars in 2021. This number will increase significantly over the next few years.
The annual capacity for the production of batteries should quadruple between 2021 and 2025, to nearly 2.500 GWh. However, this increase in the number of electric vehicles depends, ultimately, on a massive growth of recharge infrastructures in the next decade, as well as the financial and fiscal stimulus to promote adherence.
Alongside it, efforts should be doubled to reduce the number of trips conducted, while increasing the frequency of the use of public transportation and bicycles, whenever possible.
6 – Construction (and reconversion) of intelligent buildings
Every new building should already be energy efficient and the fees for the renewal of pre-existing structures should be significantly increased. Improving measures and regulations for buildings may cause an enormous difference in the short term.
Decarbonization resulting from the heating and cooling process of the spaces will require changes in the construction projects and the patterns of the energy performance of the appliances. The solution will mainly go through adopting solar water heating systems, heat pumps based on renewable energy, and geothermal heating.
7 – Reduction of energy consumption
Transforming energy systems doesn’t only mean replacing energy sources; it implies, also, efficient use of energy in every sector. Innovation, recycling, and circular economy will play important roles in the path leading to energy efficiency, in the medium and long run.
The next years should show an increase in the investment in research and development and implementation of pilot projects in various areas. All should be overseen with real and effective efforts to reduce unnecessary consumption.
By 2030, with the urgent energy transition, the prediction is that 85 million jobs are created (which will compensate for the loss of around 12 million jobs related to industries based on fossil fuels). This will require an enlargement of the professional training, qualification, and requalification programs and measures destined to promote an inclusive transition.
Every day, the cost of inaction becomes heavier. The skyrocketing prices of fossil fuels and the absence of alternatives derive from the upcoming energy poverty and loss of industrial competition. Political willingness and determination certainly perform a fundamental role to draw the path where the transition should follow. This will set the tone of how the world should be molded, yet the power is in everyone’s hands. The right time to do something is now.