Energy Shift: Stunning drop in battery costs; wind & solar fall further too

Plus: China’s coal use a concern; Lyft’s IPO; Renewables cheaper than most US coal; a giant battery in Florida

Hi Everyone,

The main headline story this week would have to be the drop in the cost of batteries – 35% since the first half of 2018. It’s part of the reason why most coal in the US can be replaced with cheaper renewables, and why there is said to be no business case for fossil fuel power generation in Australia.

Yet China’s continued use of coal is discouraging. See the piece from Ellen MacArthur Foundation’s Weekly Climate Review. Plus, Reuters reported on the first ride-hailing IPO by Lyft, valued the company at $24.3B. Uber’s is said to be in April, with bankers saying it’s worth $120B.

Enjoy the rest and feel free to send me a note with any thoughts or comments.

Thanks,
Peter


Incredible further drop in battery costs; solar and wind get cheaper too

“Precipitous”, “stunning” and “plummeting” are used to describe the 35% decline in the Levelized Cost of Energy (LCOE) of lithium-ion batteries in the short time from the first half of 2018 to today – to US$187/MWh. Technology innovation, economies of scale, stiff price competition and manufacturing experience are the main reasons for making it possible. It’s no wonder that the combo of solar- or wind-battery installations now out compete on unsubsidized basis coal and gas fired power generation in an increasing number of markets. These two stories capture the development well.

  • More stunning falls in solar and battery storage costs put fossil fuels on notice | RenewEconomy
  • Report: Levelized Cost of Energy for Lithium-Ion Batteries Is Plummeting | Greentech Media 

On the same theme, it was shown that Australia can get all the way to 50% renewables with no energy storage:

  • Study: Fossil Fuel Generation Has No Business Case in Australia | Greentech Media

A selection of stories that caught my attention…


Replacing most coal plants with renewables cheaper than keeping them open, report finds | Think Progress

A couple quick points made in this article:

  • 74% of existing coal could be replaced with cheaper renewables – today. That percentage climbs to 86% by 2025.
  • About one third (96 GW) of the US coal fleet could be replaced with renewables at half the current cost of coal in 2018 and is therefore considered ‘substantially at risk’
  • The assumptions were conservative: they only considered solar and wind potential within 35 miles (50km) of coal power plants

Shell goes green as it rebrands UK household power supplier | Reuters

It’s interesting to watch how Shell is marketing to expand from its over 700,000 power customers, putting pressure on the other ‘big six’ utilities in the UK. Besides 100% renewables, it offers 3 percent off at its gas stations and discounted EV charging.


Sonnen aims to unify all aspects of the smart home | Utility Dive

What did I say last week? There’s better margins on software and services than hardware, especially the thin profit margins on solar and wind. Here’s another case in point. No wonder Shell bought sonnen.


Florida Power & Light stakes its claim for the world’s largest solar battery system – Electrek

This carries on with a familiar theme. Noteworthy: it serves to retire 2 gas-fired power plants and save customers $100 million in the process. Utilities are using ever larger batteries – this one can power 329,000 homes for 2 hours – the equivalent to 100 million iPhone batteries.


Self-driving Cars Learn to Navigate Unknown, Extreme Conditions

Excerpt: To develop a more flexible, responsive control system, the researchers built a neural network — a type of artificially intelligent computing system — that integrates data from past driving experiences, and a winter test facility with foundational knowledge provided by 200,000 physics-based trajectories.  …more from News18.com


An informative weekly curation of climate news…with this tidbit on China

The Ellen MacArthur Foundation puts out on Fridays a very good summary of important stories in the Weekly Climate Review. It reports stories in a way that really helps understand the context. There is no question about its agenda and its content is very US centric. That said, it includes stories on India and China. I provide an excerpt of the latter below. This might not be for everyone, but just thought I’d offer it up for those interested. Subscribe here. Don’t ask me how I found it, because I can’t find it on the foundation website.

Excerpt: “The largest power producers in China have asked the government to allow for the development of between 300 and 500 new coal power plants by 2030 in a move that could single-handedly jeopardize global climate change targets,” Lauri Myllyvirta, a senior energy analyst and seasoned China expert at Greenpeace, wrote this week. “In its review of the government’s five-year-plan, China Electricity Council—the influential industry body representing China’s power industry—recommended adopting a ‘cap’ for coal power capacity by 2030, but the 1,300-gigawatt (GW) limit proposed is 290 GW higher than [country’s] current [generation] capacity. … The cap would enable China to build two large coal power stations a month for the next 12 years, and grow the country’s capacity by an amount nearly twice the size of Europe’s [current] total coal capacity.”


Lightning Strike electric motorcycle unveiled: the most affordable high power electric sportbike | Electrek

For those who might be interested in this. Not sure if it’s available in Canada. Snappy looking bike.

Credit: Electrek