A recent report by Bloomberg New Energy Finance estimates the world will invest US $11.5 trillion into electricity generation over the next thirty years. The study estimates that 85% of the energy investments will be in renewable energy (wind, solar, hydroelectric, geothermal, etc.) and nuclear energy.
New developments in battery technology will allow utilities to store power for intermittent energy sources like wind and solar. Batteries will also be used to optimize energy transmission during periods of peak demand, improving operating efficiency and reducing consumers costs.
Construction of new nuclear power plants is forecast to be almost nonexistent in North America and Europe. However, the People’s Republic of China, Republic of India and the Islamic Republic of Iran have plans to build numerous new nuclear power plants over the next thirty years.
The demand for fossil fuels (petroleum, natural gas and coal) for electrical power will continue to decline. Very few countries currently use petroleum distillates (diesel, gasoline, etc.) to fuel power plants. The use of petroleum distillates to fuel power plants will be almost nonexistent in the next thirty years. Natural gas, which generates significantly less greenhouse gases than coal will still have a major power generation role. Natural gas is also forecast to remain one of the cheapest fuels over the next thirty years. Inexpensive fuels will always remain popular with consumers and the utilities. The demand for coal will plummet over the next thirty years, because wind and solar energy are now cheaper than coal. The cost for wind and solar energy are forecast to continue to decline due to developments in
In the United States, renewable energy and nuclear power are forecast to provide over 60% of the electrical power. Nuclear power is forecast to provide approximately 20% and renewable energy 40% of America’s electrical power. In my opinion, I see evidence that the Bloomberg New Energy Finance report’s forecast are on the mark.