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DNV GL Route Map for Energy Transition
Gas and variable renewables must work together alongside greater
uptake of carbon capture and storage (CCS) to secure a rapid
energy transition, according to a new forecast of the energy
transition by DNV GL.
According to the report '2019 Energy Transition Outlook'
published by the international accredited registrar and
classification society, gas and variable renewables will be the
only energy sources for which demand is higher in 2050 than
today.
There is no single pathway to a decarbonized energy mix. Oil and
gas must be decarbonized for countries to meet climate change
mitigation targets, it said. CCS will not be employed at-scale
until the 2040s without governments enacting policy and industry
reducing the technology cost
With support from CCS, integrated hydrocarbon and renewable
energy technologies offer significant potential to help achieve
climate goals, said the report.
The 2019 Energy Transition Outlook provides an independent
forecast of developments in the world energy mix to 2050. By this
time, gas will account for nearly 30% of the global energy
supply, providing the world with a base of secure and affordable
energy, and with manufacturing feedstock.
DNV GL's Outlook reveals there is no single pathway to a
decarbonized energy mix. A combination of energy sources -
primarily gas and renewables - will be the quickest route to
delivering a supply of affordable, decarbonized energy in the
lead-up to mid-century.
Gas will increasingly complement variable renewables, meeting
demand in peak periods such as winter in colder climates.
As gas secures its place as the world's largest energy source
from the middle of the next decade, its production and
consumption must be decarbonized to help achieve national and
international targets for climate change mitigation.
CCS - the only currently-available technology to deeply
decarbonize hydrocarbon use - will not be employed at-scale until
the 2040s unless governments develop and enact more definitive
policies on its use, according to the Energy Transition Outlook.
"All major routes to successfully decarbonizing gas rely on the
large-scale uptake of carbon capture and storage. The future of
CCS largely lies in the hands of policy-makers setting a higher
carbon price than the cost of the technology. Industry can also
play a role in stimulating quicker adoption by focusing on
finding ways to reduce the cost of CCS technology," said Liv A.
Hovem, CEO, DNV GL - Oil & Gas.
Sep 10, 2019
