Released September 26, 2024 | SUGAR LAND
en
Written by Daniel Graeber for Industrial Info Resources (Sugar Land, Texas)--The utility company for an estimated 15 million consumers in California called for a major push in electrifying buildings and vehicles, but still included natural gas as part of a future energy mix.
Edison International (NYSE:EIX) (Rosemead, California), the parent company of Southern California Edison Company, delivered a message to the audience at the Climate Week NYC summit underway in New York City. The utility is working to meet state mandates that call for a 100% carbon-free power sector by 2045.
"To achieve an equitable net-zero transition, nearly all buildings and vehicles must be electrified," the company said. "California needs substantial new and updated clean energy infrastructure to meet forecasted demand, requiring capital investment and supportive policies to enable timely siting, permitting and development."
The state has already made strides amid challenges from a changing climate. Temperatures easily surpass 110 degrees Fahrenheit, though utilities are meeting the resultant surge in demand through battery energy storage systems (BESS) that can retain power from renewable resources.
According to the California Energy Commission, BESS capacity in the state soared from 1.4 gigawatts (GW) installed in 2020 to some 10.3 GW so far in 2024.
The surge in air-conditioning demand during the warm summer meant the power sector needed to generate 3% more electricity than it did last year. That expands by another 1% next year amid strong demand from the industrial sector, according to the U.S. Department of Energy.
A changing climate is also changing the expenses for consumers.
"Borrowers exposed to higher levels of wildfire-related air pollution, on average, increased spending by $730 each on an annual basis relative to those exposed to lower levels of air pollution," a report from the Federal Reserve Bank of Dallas read.
The White House, meanwhile, has backed 10 new major transmission projects since President Joe Biden entered office in January 2021. These projects could support another 20 GW of new power on the grid, officials say.
In its report on the grid, global engineering and consulting firm Black & Veatch Incorporated (Overland Park, Kansas) said there is an "urgent" need for modernization. But while modernization is opening the door to more efficient and cleaner forms of energy, those are not always reliable.
The report found that large-scale renewable projects are something of a concern for utilities, because the wind isn't always blowing and the sun isn't always shining enough for grid demands.
To that end, Edison added that natural gas will remain part of the energy mix.
"Until sufficient clean firm generation resources are available in California, natural gas capacity should be retained for grid reliability, particularly during periods of high-power demand," it said.
By next year, the federal government estimates that 40% of the energy on the grid will come from natural gas, 25% will come from renewables and the rest will come from nuclear- or coal-fired power.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
Edison International (NYSE:EIX) (Rosemead, California), the parent company of Southern California Edison Company, delivered a message to the audience at the Climate Week NYC summit underway in New York City. The utility is working to meet state mandates that call for a 100% carbon-free power sector by 2045.
"To achieve an equitable net-zero transition, nearly all buildings and vehicles must be electrified," the company said. "California needs substantial new and updated clean energy infrastructure to meet forecasted demand, requiring capital investment and supportive policies to enable timely siting, permitting and development."
The state has already made strides amid challenges from a changing climate. Temperatures easily surpass 110 degrees Fahrenheit, though utilities are meeting the resultant surge in demand through battery energy storage systems (BESS) that can retain power from renewable resources.
According to the California Energy Commission, BESS capacity in the state soared from 1.4 gigawatts (GW) installed in 2020 to some 10.3 GW so far in 2024.
The surge in air-conditioning demand during the warm summer meant the power sector needed to generate 3% more electricity than it did last year. That expands by another 1% next year amid strong demand from the industrial sector, according to the U.S. Department of Energy.
A changing climate is also changing the expenses for consumers.
"Borrowers exposed to higher levels of wildfire-related air pollution, on average, increased spending by $730 each on an annual basis relative to those exposed to lower levels of air pollution," a report from the Federal Reserve Bank of Dallas read.
The White House, meanwhile, has backed 10 new major transmission projects since President Joe Biden entered office in January 2021. These projects could support another 20 GW of new power on the grid, officials say.
In its report on the grid, global engineering and consulting firm Black & Veatch Incorporated (Overland Park, Kansas) said there is an "urgent" need for modernization. But while modernization is opening the door to more efficient and cleaner forms of energy, those are not always reliable.
The report found that large-scale renewable projects are something of a concern for utilities, because the wind isn't always blowing and the sun isn't always shining enough for grid demands.
To that end, Edison added that natural gas will remain part of the energy mix.
"Until sufficient clean firm generation resources are available in California, natural gas capacity should be retained for grid reliability, particularly during periods of high-power demand," it said.
By next year, the federal government estimates that 40% of the energy on the grid will come from natural gas, 25% will come from renewables and the rest will come from nuclear- or coal-fired power.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
