Recently the International Energy Agency launched its Renewables 2024 report, outlining that global renewable capacity is expected to grow by 2.7 times by 2030. A renewable energy revolution is underway as it's becoming the cheapest way to add new capacity in almost all countries around the world. But while this surge is positive, it still falls far short of the ambition set at COP28 to triple global renewables capacity by 2030.
It is time for governments to make good on that pledge and start unleashing renewables, breaking down the barriers that stand in the way of a renewables roll out, such as permitting and siting issues, lacklustre investment plans, and grid capacity constraints.
Over the last decade we have seen positive action from many governments and businesses trying to rapidly deploy renewables to replace fossil fuels. Hundreds of businesses have already committed to using 100% renewable electricity by 2050, with their electricity demand surpassing that of France. A record 473 gigawatts (GW) of renewables were installed globally last year, with the greatest growth coming from China. Many countries around the world, primarily in Europe and North America, are reaching tipping points, with the increased demand for renewables now outcompeting damaging fossil fuels. But more needs to be done.
The race to decarbonise our electricity grids is far from over, and in many parts of the world only just beginning, but important questions are being asked about what comes next to drive energy transition. What is next for those countries deploying significant amounts of renewables, next for businesses that have met most of their annual demand with renewables, next in the net zero journey?
To realise true decarbonisation and a net-zero energy system by 2050, wind and solar alone won't do the job. A broader mix of new technologies is needed - alongside boosting renewables and improving energy efficiency - such as energy storage technology, demand flexibility and firm, dispatchable carbon-free sources which can fill gaps when more intermittent renewables aren't available. By deploying a range of carbon-free technologies, electricity providers can reduce supply fluctuations and continue to provide clean electricity at all times. These solutions at scale can support the next step in the energy transition - 24/7 carbon-free electricity (CFE).
24/7 CFE means operating on 100 per cent carbon-free electricity, 24 hours a day, seven days a week, 365 days a year. It requires matching electricity demand with carbon-free electricity generation where and when it's needed. This means consumers will eliminate their reliance on fossil fuels, thanks to a predictable supply of carbon-free electricity being available. 24/7 CFE removes the need for fossil fuels to fill gaps in renewable electricity generation.
The concept of 24/7 CFE is still relatively new, but some ambitious business leaders are taking steps to move towards decarbonising their own electricity consumption and to drive new solutions to transform systems to run entirely on carbon-free electricity. Google, AstraZeneca, Iron Mountain Data Centres, Shree Cement, AirTrunk and Vodafone UK are making ambitious steps to move towards 24/7 CFE, as founding partners of Climate Group's 24/7 Carbon-Free Coalition campaign pilot. The scheme will see the corporates work with Climate Group to pave the way for other businesses to start their own 24/7 CFE journey. Meanwhile, a series of webinars this autumn will provide expert advice to busineses interested in learning more about the approach.
By moving towards 24/7 CFE, companies focus on bringing new carbon-free generated electricity onto the same local grids where they operate, increasingly matched to the time of their consumption. This means a significant scale up in the technologies in and around the company's local community. This can create new job opportunities in areas like battery facilities, solar farms and geothermal plants, as well as encouraging the development of new grid infrastructure to deliver greener electricity in the area where it's consumed.
By focusing on 24/7 carbon-free electricity, companies are encouraged to work with policymakers to create pathways for increasing carbon-free procurement, which will in turn help other consumers, whether they are local government or significant businesses in the area, achieve their own decarbonisation goals. Market demand will drive more investment in renewables and other carbon-free electricity sources and reduce the combustion of fossil fuels. This local decarbonisation brings with it investment in the region, job opportunities as well providing health benefits from reduced fossil fuels use.
Businesses around the world are taking bold action to reduce their fossil fuel usage. In many cases they are helping to drive and inform policy changes to make renewable electricity easier to access. Businesses have a powerful role to play in re-shaping our energy systems for a sustainable future through leadership. By calling for change, investing in innovations and working with local energy providers, they can help set the direction for governments to follow. Just as businesses have taken a leading role in driving the first wave of renewable accessibility, availability and affordability, now they can start the journey to achieve further decarbonisation through 24/7 carbon-free electricity.
Please visit Climate Group’s 24/7 Carbon-Free Coalition campaign to find out more about 24/7 carbon-free electricity.
Credit: BusinessGreen