The bolded conclusions should [Edit: NOT] be news to those here who read the El Hierro topic.Thomas Edison upended the
world with his novel idea for an electric utility that would centrally power homes and industry. One hundred forty years later, the power industry has been quietly decarbonizing, even as it remains a marvel of efficiency and reliability. As economies gradually feel their way to the “next normal” that is emerging from the COVID-19 pandemic—which has curtailed commercial and industrial demand, created new volatility in markets for fossil fuels, and required operational changes to ensure employee safety—industry operators may need to recalibrate the speed and scope of ongoing efforts to curb climate change.
How far and fast they go will depend both on the rate at which the economics of renewables improve and on the advance of technologies ranging from hydrogen fuels to carbon capture, use, and storage. Also critical: an expansion of the battery industry to store power and keep the grid humming when renewables such as wind and solar power aren’t, as well as to accelerate the penetration of electric vehicles..
In this compilation, McKinsey experts provide snapshots of the opportunities and challenges associated with these transitions, and Lynn Jurich, CEO of the San Francisco–based solar player Sunrun, provides a ground-level view of what it looks like to transform residential solar into a new business model for microgeneration that helps utilities manage their loads. . . .
Renewable energy is becoming more abundant—and cheaper. But the pace and nature of its expansion will vary considerably across markets. To see how the power industry could provide cheap, reliable, sustainable power, we mapped the world into four key market types (described below), which collectively make up most of the global market, and created pathways that show the most economical way to fully decarbonize each market type by 2040. We conclude that getting to 50 to 60 percent decarbonization is not that difficult technically and is often the most economic option. Getting from there to 90 percent decarbonization is generally technically feasible but sometimes costs more. And getting to 100 percent is likely to be difficult, both technically and economically (exhibit). . . .
https://www.mckinsey.com/business-funct ... b9f70884db