DECEMBER 20239History on Change to DateWe have already seen the energy system evolving as new technologies and innovations emerge, and the electricity system has decarbonised rapidly. The use of fossil fuels for power generation is declining and renewables are growing. Zero-carbon sources continue to outperform traditional fossil fuel generation and provided over 48% of the electricity used in 2022, compared to 40% from gas and coal power stations. On 15th May 2023, the UK produced its trillionth kilowatt hour (kWh) of electricity generated from renewable sources enough to power UK homes for 12 years based on average consumption. Security of supply features more heavily in everyday conversation as the cost of energy is felt more heavily by consumers due to recent global events. The energy trilemma is still as relevant today as it ever was.Changes to ComeWe often consider the trilemma in discussing how we should decarbonise. How we can get the optimum balance between the environment, affordability and security of supply. The way I consider this is how do we achieve decarbonisation to net zero whilst maintaining security of supply in a changing climate and protecting consumers and creating societal benefits. But that is much more of a mouthful than just saying balance the trilemma. If we were to take a similar principle and apply it to how we strategically plan to deliver this, there are much more interlinking aspects (vectors) than ever before which must be considered and optimised. This venn diagram could quickly become a spider's web. And this is a major part of the challenge we face. The complexity of problem solving in a whole energy world.The energy system of the future will be a multi-vector whole energy system encompassing what is now the electricity and gas distribution and transmission networks, as well as a much broader energy landscape including heat, transport, consumer level energy resources and potentially other fuels such as hydrogen. The energy system will be more decentralised and digitally enabled, reliant on open data removing barriers to market entry for consumers.Example of ComplexityThe transition to a deeply decarbonised, highly renewable energy system shifts us from time-based energy usage to time-based (weather dependent) power generation. Well located energy storage will be key to ensuring that power generated at times of low demand is not curtailed or wasted.Hydrogen can be used both as a fuel and as energy storage for flexibility at times of lower energy supply. Produced via electrolysis or steam methane reforming, hydrogen's versatility spans both electricity and natural gas systems, necessitating a unified approach to networks supporting its production, transport, and storage. Strategic siting of electrolysers, factoring in electricity constraints, enables absorption of excess electricity and averting network-related curtailments. There is already a demand for hydrogen in petrochemicals, but expanding its production requires creating new markets, like fuel substitution for natural gas combustion. As production sites may not align with network limitations or demand locations, optimising benefits and costs across all sectors and developing the enabling markets needs whole system thinking.So What is Needed?We need to work together, improve data and systems to facilitate better decision making. The time for action is now and the challenge is great on many different levels. How we all interact with energy will be a revolution for the better. Consumers require energy that is clean, secure, affordable, and fair. This is achievable but relies on strategic development of whole energy networks, markets, and technologies to make the most of the abundant renewable energy available in Great Britain
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