A special report by the IEA warns that unless policymakers and companies improve and expand the world's electricity grids, efforts to tackle climate change and ensure reliable electricity supplies could be put at risk.

 

Grids have been the backbone of electricity systems for over a century, providing power to homes, factories, offices, and hospitals.

 

However, the report, Electricity Grids and Secure Energy Transitions, finds that grids are not keeping pace with the rapid growth of clean energy technologies like solar, wind, electric cars, and heat pumps.

 

Without greater policy attention and investment, shortfalls in grid infrastructure could put the goal of limiting global warming to 1.5 deg C out of reach and undermine energy security.

 

A detailed country-by-country analysis reveals that achieving national climate and energy goals will require 80 million kilometres of power lines by 2040, equivalent to the entire global grid.

 

Major changes to grid operations and regulation are also necessary, and annual investment in grids needs to double to over $600 billion by 2030.

 

The report also highlights a growing queue of renewable projects waiting for green light, with 1,500 gigawatts worth in advanced development, five times the amount added worldwide last year.

 

“The recent clean energy progress we have seen in many countries is unprecedented and cause for optimism, but it could be put in jeopardy if governments and businesses do not come together to ensure the world’s electricity grids are ready for the new global energy economy that is rapidly emerging,” said IEA Executive Director Fatih Birol. 

 

Electricity's role is expected to grow, increasing grid demands due to new technologies like electric cars and heat pumps. Countries are adding renewable energy projects rapidly, requiring more power lines and high-functioning distribution grids. This includes digitalisation and increased flexibility through demand response and energy storage.

 

A new scenario developed for the report, the Grid Delay Case scenario predicts a 60 billion-tonne increase in cumulative carbon dioxide emissions between 2030 and 2050 due to slower renewable rollout and higher fossil fuel consumption. This would put global temperature rise above the Paris Agreement target of 1.5 deg C, with a 40 per cent chance of exceeding 2 deg C, indicating the need for urgent grid investment and regulatory reforms.

 

The report suggests strategic actions to enhance electricity systems' resilience and integration of solar and wind power. It recommends expanding and strengthening grid interconnections, backing large-scale transmission projects, and encouraging digitalisation among grid developers and operators to prepare for renewable power growth and future grid flexibility.

 

The urgency of modernising and extending grids is heightened due to long lead times, with new infrastructure taking 5-15 years to plan, permit, and complete, compared to 1-5 years for renewable projects and less than 2 years for electric vehicle charging infrastructure.

 

Stronger international collaboration is needed for improving and expanding grid infrastructure, as emerging and developing economies, excluding China, have seen a decline in grid investments.--OGN/ TradeArabia News Service