Electricity can be generated from different energy sources: fossil fuels (coal, oil, gas), nuclear and renewables sources (hydro, wind, solar, tidal, etc.) Depending on the fuel used, the output from the generation process can be more or less variable.
The decarbonisation policies adopted by some governments often consist of diversifying the fuel mix used to generate electricity and increasing the share of low-emitting sources, such as nuclear and variable renewable energy.
Today’s power systems in OECD countries face a series of challenges related to the need to replace ageing installed capacity, the objective to meet decarbonisation policy targets and the challenges to secure long-term investment in generation assets that would guarantee reliable electricity supply at baseload and peak times.
Increased electrification is a driving force across the global energy system. Energy Technology Perspectives has demonstrated that globally, the growth in electricity demand is outpacing all other final energy carriers. This creates the potential for radically transforming both energy supply and end use, but also highlights the large opportunity to substantially reduce emissions, reduce fuel imports and increase efficiency in end-use to moderate growth of electricity demand.