Renewable energy has become a crucial component of the global energy transition. LCOE has been instrumental in assessing the competitiveness of renewable energy technologies, but it fails to capture the full picture of costs associated with their integration into the grid.

Enoda’s HERA® technology can help to drive down Scope 1, 2 and 3 emissions across industries, including the difficult loads identified above; therefore, the technology is capable of truly driving Net Zero outcomes in our lifetime.

Coal is political and environmentally untenable. Nuclear is politically unpalatable in many places, unaffordable, and following Russia’s attack on the Zaporizhzhia, Europe's largest nuclear plant, an unacceptable security risk. The inflexibility of nuclear power station output also makes nuclear difficult to integrate with the variable demand of electric vehicles. I worry that many countries will sacrifice their climate goals to achieve security through a system that combines electrification of transport and coal-fired power. We do not have to do this.

This is the third in a series of reports on understanding the energy transition. Previous reports have looked at the roles of oil and hydrogen. This one looks at the role of the electricity grid and why our conception of value in the electricity system is holding back the energy transition.

Hydrogen has a cornerstone role to play in the next round of the transition. The question is where hydrogen will outcompete other modes, like electricity and refined petroleum.

The world will need many more companies that manufacture wind turbines, deploy renewables at scale and manufacture EVs. But Vestas, Ørsted and Tesla have shown the way by identifying the problem and proving the technology and the business model. The next Tesla, whether a disruptive new entrant like Tesla itself or an established company that successfully reinvents itself like Ørsted, will need to do the same for the next problem in the energy transition.