Challenge
Fossil Free Electricity Relies on Technology to Maximize Its Potential
We expect that renewable electric resources will be the primary focus of any new electric generating capacity needed to achieve decarbonization.
Energy efficiency is the foundation of power system decarbonization – reducing the need for new generating capacity overall and significantly improving the economic performance of the energy system. It is already the region’s second largest electric power “resource,” after hydropower. Progress in capturing these efficiencies over the last three decades is a strong affirmation of the economic and environmental value of the resource. Enormous efficiency opportunities remain.
Grid modernization, smart grids, load management systems, storage solutions, and energy and transmission market reforms are vital and rapidly evolving parts of this “system upgrade.”
Utilities and their regulators will need to evolve as well, developing financial and regulatory models that reward innovation, protect consumers, and facilitate decarbonization as cleaner energy technologies open the path to more distributed energy systems.