Recent data on decarbonization processes and plans in various countries offers an opportunity to update our expectations. Let’s examine some interesting cases:
Portugal, like many countries, isn’t an oil producer but has favorable conditions for renewable electricity generation, and would benefit from investment in this area. In 2023, solar and wind energy accounted for 40% of its total generation, resulting in significant emission reductions and improved trade balance. Even more impressive, neighboring Spain saw renewables exceed 50% of total generation for the first time in the same year. Other countries around the world are making equally interesting progress.
Canada’s Alberta province, the country’s fourth-largest, demonstrates rapid progress is possible: it has now disconnected its last coal-fired power station from the national grid. In 2000, coal provided 80% of its electricity; by 2010, this had dropped to 60%. Now, for the first time in 150 years, Alberta’s electricity is coal-free. This shift not only reduces harmful emissions but also brings economic benefits, as rising coal prices act as a deterrent to its use.
The decline of coal is a global trend. Even during Donald Trump’s presidency, despite his pro-coal stance — he sought the support of the industry, and miners with his Trump digs coal slogan — coal-fired electricity generation fell by 38%. The simple truth is that being environmentally unfriendly is no longer economically viable.
The UK has reached another milestone in 2024: for the first five months, combined solar and wind generation surpassed gas power. This trend is likely to continue as gas remains vulnerable due to supply risks following Russia’s invasion of Ukraine. The new Labour government’s ambitious plans aim to significantly expand renewable energy capacity by 2030: double onshore wind, triple solar power, and quadruple offshore wind by 2030.
These developments shouldn’t be surprising. Renewable energy, especially solar, is now the cheapest form of electricity generation in history. Once the increasingly affordable infrastructure is built, it can last for decades with minimal maintenance. Generation potential worldwide is huge. Many regions, including Africa, the Middle East, the Americas, and Asia, still have vast untapped potential for renewable energy.
And in Europe, although Germany is currently the main producer of solar energy, Spain has the highest generation potential in the entire region, thanks to the abundance of sunshine throughout the year and the adequate space available for solar park installations, many of which can also coexist with other uses such as agriculture and livestock.
While power generation is the primary source of emissions, transportation comes second. Of these emissions, 45.1% come from automobiles, which will be decarbonized through battery technology and will be cheaper than internal combustion ones (they are cheaper already in the more developed Chinese market). The concept of hydrogen-powered cars has been largely abandoned, though some companies still see some potential in road transport, which accounts for 29.4% of emissions. Battery technology continues to improve, with innovations like sodium and solid-state batteries playing crucial roles.
Aviation and shipping, responsible for 11.6% and 10.6% of emissions respectively, face greater challenges. Solutions may include ammonia, synthetic fuels, and eventually, advanced battery technologies.
It’s crucial to understand that renewable energy isn’t a partisan issue. Any political opposition to renewables is misguided and counterproductive. Voters should be wary of politicians who spread myths and exploit fears about change for political gain. Decarbonization is the only viable path forward, and the sooner we embrace it, the better for everyone.
—
This post was previously published on Enrique Dans’ blog.
***
Join The Good Men Project as a Premium Member today.
All Premium Members get to view The Good Men Project with NO ADS.
A $50 annual membership gives you an all access pass. You can be a part of every call, group, class and community.
A $25 annual membership gives you access to one class, one Social Interest group and our online communities.
A $12 annual membership gives you access to our Friday calls with the publisher, our online community.
Register New Account
Need more info? A complete list of benefits is here.
—
Photo credit: iStock
