Solar Power to Save India's Energy Insecurity?
Last week, India got hit with one of the world's worst power outages in history last week, leaving more than 600 million people (nearly one tenth of the world's population) without electricity for days.
Everyday, at least another 400 million Indians lack access to electricity. Yet, some of the formerly energy poor, rural villagers throughout the country found themselves better off than the middle class during the blackouts thanks to solar power. Many village homes outfitted with photovoltaic panels were able to keep some electric pumps supplying water for fields parched by recent monsoon weather.
With a lack of rain, India's hydroelectric dams have suffered a significant shortfall. Additionally, the supply of coal has been insufficient, leaving parts of northern India without enough electricity to supply to meet demand. Unfortunately, and ironically, coal miners in the northern part of the country were trapped when their electric lifts failed during the outages.
Although the country has significant coal reserves, mines have been held back from opening due to disputes over environmental and land permits. A lack of investment in technology has prevented output from keeping up with demand, and the country now faces a frightening scenario.
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Although Indian consumers receive heavily subsidized electricity and farmers get free power, officials claim that much of the free power is illegally diverted to factories, leaving the grid overburdened and electric companies heavily in debt.
“India’s basic energy shortage is compounded by the policy of selling electricity to consumers at politically correct prices,” the Hindustan Times wrote in an editorial. “The government-owned distribution monopolies in the states have all but lost their ability to buy power because their political bosses force them to sell it cheap, sometimes free, to voters.”
As one of the world's most populated countries, India's energy demands from an expanding middle class is starting to pose a major challenge. Unable to keep up with the consumption-led boom in recent years, the failure to invest in India's infrastructure has slowed the country's economic growth to about 6 percent.
In the wake of crippling outages, Bridge to India has released an analysis describing the role of solar power in the India's future.
“The predicament has to be answered at a more fundamental level,” notes Ratnottama Sengupta of Bridge to India’s Market Intelligence Team. “India still has 400 million people who are not grid connected. As coal imports go up due to shortage of domestic supply and oil prices have already risen by more than 40% this year, India must explore its untapped wealth of renewable sources of energy to overcome its structural power challenges.
“Solar power can play a key role in this: it is plentiful, locally available, can be harnessed by small plants in decentral locations and it is increasingly economical.”
The company describes a future system based on interlinked supply and demand areas to bring more stable, flexible and inexpensive power to people across the country. Although the intermittency of solar power is still an issue, thermal or battery storage helps address those issues. Regardless, distributed solar solutions can provide complementing grid power backup systems to make energy supplies more secure.
Carbon dioxide removal revenues worth £2bn a year by 2030
Carbon dioxide removal revenues could reach £2bn a year by 2030 in the UK with costs per megatonne totalling up to £400 million, according to the National Infrastructure Commission.
Engineered greenhouse gas removals will become "a major new infrastructure sector" in the coming decades - although costs are uncertain given removal technologies are in their infancy - and revenues could match that of the UK’s water sector by 2050. The Commission’s analysis suggests engineered removals technologies need to have capacity to remove five to ten megatonnes of carbon dioxide no later than 2030, and between 40 and 100 megatonnes by 2050.
The Commission states technologies fit into two categories: extracting carbon dioxide directly out of the air; and bioenergy with carbon capture technology – processing biomass to recapture carbon dioxide absorbed as the fuel grew. In both cases, the captured CO2 is then stored permanently out of the atmosphere, typically under the seabed.
The report sets out how the engineered removal and storage of carbon dioxide offers the most realistic way to mitigate the final slice of emissions expected to remain by the 2040s from sources that don’t currently have a decarbonisation solution, like aviation and agriculture.
It stresses that the potential of these technologies is “not an excuse to delay necessary action elsewhere” and cannot replace efforts to reduce emissions from sectors like road transport or power, where removals would be a more expensive alternative.
The critical role these technologies will play in meeting climate targets means government must rapidly kick start the sector so that it becomes viable by the 2030s, according to the report, which was commissioned by government in November 2020.
Early movement by the UK to develop the expertise and capacity in greenhouse gas removal technologies could create a comparative advantage, with the prospect of other countries needing to procure the knowledge and skills the UK develops.
The Commission recommends that government should support the development of this new sector in the short term with policies that drive delivery of these technologies and create demand through obligations on polluting industries, which will over time enable a competitive market to develop. Robust independent regulation must also be put in place from the start to help build public and investor confidence.
While the burden of these costs could be shared by different parts of industries required to pay for removals or in part shared with government, the report acknowledges that, over the longer term, the aim should be to have polluting sectors pay for removals they need to reach carbon targets.
Polluting industries are likely to pass a proportion of the costs onto consumers. While those with bigger household expenditures will pay more than those on lower incomes, the report underlines that government will need to identify ways of protecting vulnerable consumers and to decide where in relevant industry supply chains the costs should fall.
Chair of the National Infrastructure Commission, Sir John Armitt, said taking steps to clean our air is something we’re going to have to get used to, just as we already manage our wastewater and household refuse.
"While engineered removals will not be everyone’s favourite device in the toolkit, they are there for the hardest jobs. And in the overall project of mitigating our impact on the planet for the sake of generations to come, we need every tool we can find," he said.
“But to get close to having the sector operating where and when we need it to, the government needs to get ahead of the game now. The adaptive approach to market building we recommend will create the best environment for emerging technologies to develop quickly and show their worth, avoiding the need for government to pick winners. We know from the dramatic fall in the cost of renewables that this approach works and we must apply the lessons learned to this novel, but necessary, technology.”
The Intergovernmental Panel on Climate Change and International Energy Agency estimate a global capacity for engineered removals of 2,000 to 16,000 megatonnes of carbon dioxide each year by 2050 will be needed in order to meet global reduction targets.
Yesterday Summit Carbon Solutions received "a strategic investment" from John Deere to advance a major CCUS project (click here). The project will accelerate decarbonisation efforts across the agriculture industry by enabling the production of low carbon ethanol, resulting in the production of more sustainable food, feed, and fuel. Summit Carbon Solutions has partnered with 31 biorefineries across the Midwest United States to capture and permanently sequester their CO2 emissions.
Cory Reed, President, Agriculture & Turf Division of John Deere, said: "Carbon neutral ethanol would have a positive impact on the environment and bolster the long-term sustainability of the agriculture industry. The work Summit Carbon Solutions is doing will be critical in delivering on these goals."
McKinsey highlights a number of CCUS methods which can drive CO2 to net zero:
- Today’s leader: Enhanced oil recovery Among CO2 uses by industry, enhanced oil recovery leads the field. It accounts for around 90 percent of all CO2 usage today
- Cementing in CO2 for the ages New processes could lock up CO2 permanently in concrete, “storing” CO2 in buildings, sidewalks, or anywhere else concrete is used
- Carbon neutral fuel for jets Technically, CO2 could be used to create virtually any type of fuel. Through a chemical reaction, CO2 captured from industry can be combined with hydrogen to create synthetic gasoline, jet fuel, and diesel
- Capturing CO2 from ambient air - anywhere Direct air capture (DAC) could push CO2 emissions into negative territory in a big way
- The biomass-energy cycle: CO2 neutral or even negative Bioenergy with carbon capture and storage relies on nature to remove CO2 from the atmosphere for use elsewhere