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SAFETY4SEA

DNV GL forecasts what energy future will look like

by The Editorial Team
July 4, 2016
in Sustainability
global energy consumption
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In an exclusive interview with Energy Post, DNV GL’s Group President & CEO Remi Eriksen explains among many issues what our energy future will look like, based on the recently published Technology Outlook report. 

Mr Eriksen says that one big driver for the energy transition will be the cost of batteries and their energy density.

”Those two in combination are very powerful. We already see the cost of batteries coming down and we see very positive signals on energy density, through chemical innovations such as zinc bromide batteries – to just give one example. Batteries bring many benefits.

We’ve had positive results from tests on offshore supply vessels, for example. Some of them already run on gas, and if you add a battery, you get extra reductions in air pollution and CO2, plus less noise and, crucially, a much more responsive system. Captains like it because ships react immediately. That’s good for safety. The combination of gas and battery technologies will be impactful.”, he stated.

According to DNV GL report, up to one fifth more energy will be consumed by the world in 2025 compared to today –from a noticeably different mix of sources, especially in the power sector.  The transition is mainly being driven by:

  • Cost pressures in the oil and gas industry;
  • The imperative to reduce anthropogenic CO2 emissions;
  • The rapid decline in the cost of electricity generated from solar and wind; and
  • The emergence of a more distributed and consumer-centric power system.

These factors will drive technology development, and so too will new policy and regulatory measures that will influence energy source preferences and spur deployment of new solutions.

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These forces are likely to result in the following changes in global energy flows between 2015 and 2025:

  • Strong growth in natural gas production;
  • Growth in nuclear power generation;
  • More than 50% growth in the use of biomass and waste for power generation and biofuels;
  • The peak and decline of coal production;
  • A sharp decline in oil-fired power generation; and
  • A booming renewable power generation sector, more than doubling global capacity.

The pace and strength of these energy flows are delicately balanced on the fulcrum of policy and regulation. This is especially the case for the transition to renewables, and the associated reductions in annual GHG emissions relative to a ‘business as usual’ trajectory, which is strongly dependent on policy intervention.

Mr Erisken concludes that althoug Europe has not been a leader in manufacturing energy renewables (wind turbines, solar panels, electric cars, batteries) can become a leader in the energy transition by providing system knowledge.

”I think that’s where European companies can take a lead. It’s the knowledge within the grid, in a ship or in an offshore installation.” Mr Eriksen concluded.

 

DNV GL forecasts what energy future will look likeDNV GL forecasts what energy future will look like
DNV GL forecasts what energy future will look likeDNV GL forecasts what energy future will look like
Tags: DNVenergy efficiencyenergy outlookrenewable energy
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