The energy sector is facing many difficult challenges to address how globally the power sector must be transformed in the near future to sustain technological advances. These challenges entail meeting requirements of securing energy for when the need arises in the future, ensuring that they are addressing climate change as well as helping those people who lack access to energy resources.
The Future in Energy Transformation
The world is in the midst of an Energy Revolution. Energy technology innovation has become an integral part in meeting the increasing demand for energy. In order to meet this objective the United States has promoted energy efficiency in all sectors; due to higher future energy demand it has implemented changes specifically in the production and consumption of energy. Such changes include measures to utilize technology innovation for the reduction of gas emissions, increase utilization of renewable sources to produce electric energy, and an increase of awareness of how energy efficiency affects climate change. In the past ten years energy companies have been required to review and restructure their current business model. Power companies have been forced to think outside the box by implementing new strategies in order to be able to sustain a market share in the energy sector. Extensive initiatives have been taken by these power companies to address the increasing electricity demand as a result of the evolution of technology. The utilities companies have concluded that if they don’t act fast they will be left behind, especially with the drastic decrease in prices for renewables and energy storage. The protruding of distributed energy resources caused many changes to take effect at a faster pace than originally planned by the energy companies. As such, the electric power industry realizing that in order to remain competitive they must continuously invest monies in research and development. Energy companies are also required to make extreme modifications to their current business model in order to comply with the new requirements pursuant to the Paris Agreement on climate change; the framework has been finalized for the nation’s first carbon regulations. The energy revolution sets the ground work and the foundation on a global basis for the efforts to address climate change as well as coming up with ways to sustain a low-carbon energy future. Recent changes in the energy sector have resulted in the recognition of the importance of economic growth in the energy division, and at the same time the need to address climate change. It has become apparent that the emerging of advanced energy technologies provides many options to implement and address the challenges of the increased energy consumption. Advances in technology are the leading factors in driving this energy revolution to a whole new spectrum. The energy transformation creates additional possibilities for technologies which have proven that their exceptional accomplishments have been regarded as having the potential to change and reshape the surroundings in which we live and work.
Energy transformation has contributed to the economic growth as well as the great contribution to cleaner energy in the future. Currently in the United States the utilization of fossil fuels has drastically decreased, this was due to the vast technological innovations. It has resulted in the remarkable task of continued technological progress in wind, solar, and biofuels of which it has caused an increase in the use of renewable energy. The makeup of these energy sources has resulted in a vast shift: petroleum and coal are being replaced by the growing use of natural gas and renewables, resulting in a cleaner energy future. In addition to the benefits of meeting the increased demands of energy in the future, there have been also economic benefits. Increased production of oil, natural gas, and renewable energy has contributed to the increase in employment in these industries. Technological innovation and increased production of energy translates to price reduction for the supply of energy. The reduction in prices will benefit businesses as well as the residential arena; businesses realize an increase in their net income which translates to having to pay higher taxes to the taxing authorities, and households have an increase of disposable income.
As stated earlier, the breakthroughs and advances have been made predominantly in the technology sector of renewable energy. Energy companies have concluded that solar wind and hydro power are more efficient for meeting today’s growing energy demands; how will renewable energy be utilized in 30 years? The development of energy storage technology has been determined to be of the defining feature in the future of energy. There are various benefits to energy storage which is due to the renewable energy technologies, such as wind and solar, these will have the capacity to meet the supply and demand for energy. There are some drawbacks as well to the utilization of wind and solar. Since the production of renewable electricity is associated with wind and solar power they are also considered unreliable when it’s dark or there is minimal wind blowing. As we have realized how vital these power sources have become to our growing demand for energy, there is an increase demand for the investment in technologies that allow energy producers, such as the power sector, to come up with the capacity to store energy that is generated when the sun shines and the wind blows. The stored energy will be released on a need to basis, which results in providing a clean air environment as well as satisfying the high demand or when the wind or the sun is not available. As the world discovers new ways to meet its growing energy needs, there is also consideration taking place on how power companies are increasing their efforts to address climate change.
Renewable energy in various forms offers great opportunities for technological innovation and progress. Over the next thirty to fifty years continued efforts without interruption must be facilitated in order to keep up with the increase in demand for energy. Renewable energy development can be beneficial in underdeveloped and developing countries. Biofuels are highly regarded as a means of addressing climate change as well as satisfying the increased demand for the use of energy. The increase in the development of energy storage technology, finding new energy carriers will result in meeting greater energy demands.
- Continue to invest in research and development for new ways for improved energy storage technologies.
- Continued efforts to educate the public on energy efficiency – the purchase of energy efficient appliances
- Implementing stricter building guidelines – the construction of buildings and homes to be built with higher energy efficiency codes.