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https://reneweconomy.com.au/a-clear-decline-iea-says-faster-transition-to-renewables-equals-lower-household-prices/>
"The best way to bring down household power prices is by adopting renewable
energy, faster, says the International Energy Agency (IEA).
The finding was included in the global organisation’s
2025 World Energy
Outlook, which said that while a massive oversupply of LNG in the coming years
may mean cheaper power for countries in south-east Asia in particular, moving
to renewables was proven.
It says that even factoring in higher upfront costs, switching to more
efficient appliances such as heat pumps and electric vehicles, and shutting
down fossil fuel generation faster more than compensates for the higher
ultimate energy spend.
“It leads to a clear decline in total household energy bills in advanced
economies and to bills that are broadly in line with today’s in real terms in
China and other emerging market and developing economies,” the IEA says.
It also blew a hole through claims that wind- and solar- dependent energy
sources are less reliable than fossil fuel generators.
“The factors influencing electricity price stability are also shifting. Reduced
dependence on fossil fuels can provide insulation from market price shocks,”
the IEA says.
“Analysis of seasonal patterns over the past 30 years shows that, while
weather-related effects vary by region and can be significant, their impacts on
electricity costs and prices are generally much smaller than the volatility
related to fossil fuel price fluctuations.
“Systems are increasingly able to manage these shifts through demand response,
battery storage, interconnection and sector coupling.
“These findings suggest that while rising deployment of weather-dependent
renewables bring new challenges, well-designed systems with enough flexibility
can mitigate volatility and maintain price stability even where renewables
become dominant.”
South Australia and Western Australia are two states that have repeatedly
proved grids do not collapse when renewables reign."
Cheers,
*** Xanni ***
--
mailto:xanni@xanadu.net Andrew Pam
http://xanadu.com.au/ Chief Scientist, Xanadu
https://glasswings.com.au/ Partner, Glass Wings
https://sericyb.com.au/ Manager, Serious Cybernetics
