That said, it is up to individual grid operators to manage the renewable-energy supply profile versus the fossil-fuel load profile. 1 For more, see “ Global Energy Perspective 2021,” January 2021,. Flexibility in the face of decarbonization and decentralizationĪs emissions-reduction targets become increasingly ambitious on the back of landmark initiatives such as the Paris Agreement and the EU Green Deal, fossil fuels will continue to play a major role in the energy system through 2050, with oil demand likely peaking in 2029 and gas in 2037. Operators and owners will need to consider the effects of three major scopes. Preparing electric grids to respond to today’s challenges requires nuanced approaches. The challenges of a changing electric grid In this context, grid operators, owners, and other players in the broader energy ecosystem must determine where and how much to invest to prepare for the years to come. On this last point, our research shows grid operators working with asset infrastructures that go well beyond the projected life span of 30 to 40 years, and as much as five lifetimes in some extreme cases. On closer look, the effects of the energy transition typically fit into one of three major scopes: decentralization and decarbonization, long-term resilience, and evolving consumer behaviors.įurther complicating matters, electric grids are largely under cost and margin pressure and suffer from both an aging workforce and aging infrastructure. Today, electric grids the world over are impacted by events and trends primarily linked with the move away from fossil fuels.
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