Although electricity is leading the shift to a low-carbon economy — 50 per cent of the new power generation capacity starting up this year will be supplied by wind and solar — the sector is likely to remain overwhelmingly reliant on coal for decades to come. This is particularly true in China, India and other emerging economies. But the transition to a new energy mix is only part of the story. A more immediate transformation is taking place in the electricity market, and that is in production and distribution. The IEA paper demolishes some popular myths. First, electricity is not about to become the dominant source of energy supply. Last year, it supplied just 19 per cent of final energy demand — coal, oil and natural gas all supplied more. On the IEA’s main projection, based on current policies and plans, by 2040 that contribution will only rise to 23 per cent.
FT 17th Nov 2019 read more »