By reducing energy and CO2 emissions, investing billions of dollars in new technologies, and increasing the use of renewable energy, every utility business will be able to drive ESG development.
Fremont, CA: Due to environmental, social, and governance (ESG) concerns, energy leaders are pressing to reduce their reliance on fossil fuel production and replace it with low-carbon alternative fuels. At the consumer level, people now want to use renewable energy to power their homes and businesses. How? By reducing energy and CO2 emissions, investing billions of dollars in new technologies, and increasing the use of renewable energy, every utility business will be able to drive ESG development.
Here are the key technology trends impacting the ESG theme in the energy industry:
1. Energy Storage
Energy Storage System (ESS) technology supports energy management during peak loads by enabling energy management, bridging power, and improving the quality and reliability of power. It also makes it easy to connect distributed renewable energy sources to the grid and use them to meet demand. Lithium-ion batteries have become more prevalent in recent years due to their higher efficiency than other battery technologies.
Grid-connected energy storage facilities and ancillary services are expected to grow over the next few years due to key drivers such as increased renewable energy integration, increased energy demand, asset retirement, and smart digital technology innovations. With the development of intelligent networks, the installation of energy storage devices is expected to grow faster among end-users. Despite the COVID-19 pandemic, the global energy storage market is expected to grow rapidly from 2022, with global energy storage capacity expected to reach 42GW by 2025.
2. Carbon Capture and Storage (CCS)
CCS technology is a potential response to global CO2 emission concerns as it prevents large amounts of CO2 emissions from fossil fuel power plants from being released into the atmosphere. CCS technology involves a three-step process that captures, transports, and stores anthropogenic CO2 emissions in deep formations to prevent the release of dangerous gases into the atmosphere. The CO2 capture process is relatively new in the energy industry but has been used in the oil, gas, and chemical industries for over 60 years. This technology has the potential to recover 90 percent of CO2 emissions from fossil fuel power plants.