Page 11 - European Energy Innovation magazine - autumn 2022 edition

Autumn 2022 European Energy Innovation
COMMUNICATION 11

its renewable pipeline, diversify its
energy supply, and ensure energy
is used as efficiently as possible to
reduce waste.

The global coal phase-out is at risk
of stalling
Last year’s Conference of the Parties
(COP26) produced a landmark Illustration of a future energy system. Renewable energy – plus flexible
global consensus that coal must solutions such as balancing engines and energy storage – offers the most
be “consigned to history”. However, effective solution to bring energy bills down and reclaim energy independence.
with COP27 around the corner, this
previously assured consensus has This trend must be reversed rapidly needed to level-up renewable energy
wavered. The current energy crisis to ensure that renewable energy to become the primary source of
has left many countries planning to can be levelled up to provide almost energy, including the removal of
extend their reliance on coal. all of Germany’s power demand by restrictive planning regulations that
the 2030s. The urgent deployment limit the level of new development.
Nowhere is this truer than in of renewables should be combined
Germany. The new “traffic light” with power system flexibility from Secondly, energy efficiency is crucial.
coalition government – formed energy storage and balancing engines Energy waste must not only be
on a foundation of green policies which can be converted to run on reduced by the end user, but also by
– has been hit by a perfect storm. sustainable fuels in the future. improved grid flexibility. To provide
Germany was dependent on Russia an example, it cost the UK £500M
for around 60% of its gas before Germany should rise to this in 2021 to curtail wind energy due
the war, meaning it has now been challenge, as the rapid deployment to the presence of inflexible power
forced to introduce several reactive of the renewable energy offers huge plants which are unable to manage
measures to cut gas consumption by opportunities for European nations. the intermittency of renewables .
2
15% by March 2023, including refiring Modelling by Wärtsilä demonstrates Flexibility solutions, such as balancing
mothballed coal plants. that if renewables can be scaled up engines and energy storage, will
across Europe, gas consumption can help to supercharge the country’s
Despite this backslide, hopes of a be halved, reducing energy costs by decarbonisation by reducing waste.
2030 coal phase-out should not be €323 billion by 2030. To get there 80
lost. To get there, new renewable GW of renewable capacity is needed Thirdly, energy must come from
energy is urgently needed. Our across Europe every year. This would diverse sources in the future. This is
modelling indicates that by 2035, not only usher in an era of energy not only true in the short term, but
Germany will require 780 TWh of independence for Europe, but it also in terms of building future power
renewable energy to operate a net would also lay the foundations for systems where energy storage and
zero electricity system, up from net zero – and Germany can lead this green hydrogen will play an important
195 TWh today, supported by grid transition. role. Ensuring technological diversity
balancing technology to provide is crucial, especially for flexibility
backup supply when energy is not Applying policy lessons to the rest where both short and long-duration
being produced by renewables. That of Europe, and the world storage is needed to manage daily
will require at least 45 TWh of new We have completed an in-depth and seasonal peaks.
renewable capacity each year, which study into Germany’s energy system
amounts to a 10% year-on-year which provides several lessons that Without doubt, this will require
increase, or 7500 new wind turbines can be applied around the world. a herculean effort. However, if
each year . 1 policymakers around Europe
Firstly, renewable energy – plus flexible can rapidly scale up renewable
Worryingly, things are moving in the solutions such as balancing engines energy, and deliver diverse flexible
wrong direction. Recently, it was and energy storage – offers the most power systems, they will not only
reported that Germany had only built effective solution to bring energy bills significantly reduce carbon emissions
235 wind turbines this year and permits down and reclaim energy independence. but also unlock cheaper energy bills
for new projects were down by 15%. Clear and concerted political will is across the continent. l

1 An average wind turbine with a capacity of 2.5-3 MW can produce 6000 MWh per year, or 0.006 TWh.
2 https://www.drax.com/press_release/cost-of-turning-off-uk-wind-farms-reached-record-high-in-2021/

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