How do we make the energy transition mainstream?
Chris Doherty
The energy transition and its complexities remain largely confined to the industry and the realms of ‘energy enthusiasts’. However, to achieve the seismic shift to a 100% green electricity system, we need to bring it to the mainstream, writes Chris Doherty, managing director at Joulen.
Engaging people from outside the industry – everyday households and businesses – is crucial. If we bring this wave of people along on the journey, the industry will have the tools to truly accelerate the energy transition and make the 2030 goal achievable.
Doing so will not be easy. We need to harness technologies such as virtual power plants and smart platforms, but in ways that are inclusive and easy for people to engage with. Getting that ‘café factor’, where someone can easily show how they are saving, earning, and contributing to a green power plant, will create a sense of pride and inspire others to follow suit. This will drive the domino effect of ubiquitous, localised adoption we need. The S-curve of technology adoption demonstrates how quickly such transformative shifts can occur.
To start this, we need to think about the financial levers of the journey. How do we remove the barriers to the capital cost of purchasing solar PV with battery storage? And once installed, how do we get the most out of them financially?
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Policy changes and incentives
The government has a role to play. For example, creating opportunities for homes and businesses to easily invest in renewables through tax incentives and low-cost loans — think of the structures used for student loans. Then, ensure they have easy access to the same monetary returns from renewables as large-scale energy investors have. Our analysis shows that homes and businesses could typically save 65% on their electricity bills. And, with seamless access to energy markets through optimisation platforms, households could earn over £300 of additional income — reaching tens of thousands for businesses.
The immediate benefits will give homes and businesses easy access to funds to install renewables, with the added confidence that they can then use those renewables to save money, earn money, and be a driving force in the green transition.
Overcoming grid bottlenecks
The benefits of these steps do not stop there. The rollout of grid-scale renewables is currently hindered by planning delays and grid connection bottlenecks, with some assets not receiving connection dates until well into the 2030s. However, by engaging the wider population through a truly distributed approach – deploying smaller, but more, renewable systems – we can achieve higher volumes of generation and flexibility much more quickly. With installations in homes and businesses taking just months rather than 5-10 years, we can leapfrog toward our 2030 goal.
By integrating these smaller systems with battery storage, we also introduce a high level of flexible control into the electricity system. This provides significant benefits to the grid operators, who are under immense pressure to enable the mass adoption of vehicle and heat electrification. Households and businesses with self-generation and storage won’t just ease demand on the grid, they can actively adjust their demand, when the grid is under pressure — and earn income for doing so. Moreover, the savings on infrastructure investment are passed on to customers, reducing the costs they would otherwise bear through their bills.
Achieving electricity independence
Lastly, there is energy resilience. We all felt the pain of the energy crises when we were exposed to factors outside of our control. These geopolitical challenges still exist, but, by promoting electricity independence on a mass scale through self-generation and optimised storage, we cushion our exposure to these shocks.
Furthermore, everyone benefits from spending less on imported gas, meaning more money stays in our pockets. Deploying solar PV and battery storage on just 20% of homes could cut our imported gas bill by £123 million each year.
Making it mainstream
With all these benefits on offer, there is no time to lose. Making the energy transition mainstream is a powerful strategy to accelerate the shift. We have the technologies; now, we need a market that levels the playing field for all to participate.
Thoughtful government policies and clear financial incentives can allow people to save, earn, and feel pride in contributing to a greener future. Creating an inclusive, accessible market means everyone can drive – and share the rewards of – this momentous shift.
