Redefining Energy

First, Gerard is sorry, he couldn’t make it as he was on a ship in the Irish Sea, and his Starlink wouldn’t connect. So, it is just Laurent interviewing a young superstar, Peter Paul van Voorst, CEO of the mobile battery management platform Skoon.Skoon, based in Rotterdam, is now seven years old and manages more than 1,000 mobile batteries in 14 countries. Mobile batteries range from 1kw to 1MW and are either on trailers or inside 10ft containers.With Peter Paul, Laurent analyses this new segment of the Storage market. How did the technology evolve, what are the established use-cases (Construction, Film sets, Events) but also the new ones (Support to distribution networks).In recent years, not only has the hardware evolved (widespread use of LFP), but there has been an absolute revolution in the software layers, from BMS (Battery Management System) to EMS (Energy Management System) to now the overall fleet management. Those progresses are not only from a technical perspective but also from an economic and environmental perspectives.How this whole system works, grows and provide immense services to the Electrification of the Economy by providing the ultimate flexibility (time and space).

Gerard and Laurent welcome Kristian Ruby, secretary general of Eurelectric, about their new report entitled “Power Barometer – Zeroing in on Electrification”.  To quote the IEA, we enter in the “Age of Electrification” where electrification rate is going to accelerate significantly.We have an extensive conversation about the good news (growth of renewables, energy security progress in response to Russian aggression) and the not so good news (flat demand, as the new power usages – transportation, heating – don’t grow as fast as anticipated; demand reduction or destruction). We discuss the impact of counterproductive taxation of various sources of energy, European competitiveness, the development of behind the meter energy as well as great initiatives such as the North Sea Wind Power Hub”.A very rich state of play.And Gerard apologises for the poor quality of his audio as he was in car driving in France while carrying his precious collection of rare whiskies from Berlin to Dublin.  Link to Eurelectric report: Power Barometer – Zeroing inhttps://powerbarometer.eurelectric.org/  Join us at the Energy Storage Awards 2024https://storageawards.solarenergyevents.com/

What are VPP? Virtual Power Plants. What are DER? Distributed Energy Resources?As the grid becomes more intermittent while the load is growing, those VPP/DER platforms provide a critical role by shedding demand, sometimes for a few minutes, to alleviate stress on the Grids.VPPs can avoid starting polluting peakers via pre-agreed and targeted demand reduction, shift consumption via batteries and even act in in Frequency response market. And System Operators are willing to pay a decent price to have access to those resources.That is the mission of Dana Guernsey. Dana is the CEO of Voltus, a Boulder-CO based leading DER technology platform and virtual power plant operator connecting distributed energy resources to electricity markets. As interconnection queues lengthen and capacity cost explode, are we on the dawn of a crazy development of VPPs.Dana explains that while working for Walmart or fleet of Electric School buses, she can reduce Voltus’ clients power bills by up to 20% while keeping their core services unchanged. We are going to talk about technology, heating and cooling management, AI… and lasagna.A deep dive into the future.--------------------------------------------------------------VERY IMPORTANT: We are doing a Q&A Episode in NovemberAsk us whatever you want!!!  Send your questions: info@redefining-energy.com

While Gerard is doing his rock star concert at TedTalk Berlin, Laurent has invited an old friend, Roger Atkins, Top Voice on EVs to discuss the people behind the EV revolution.  Roger has a 40 year career in the Auto industry (half of them in EVs) and his cowboy hat makes him a fixture of great EV shows around the world. Roger talk about his encounters with Robin Zeng -  CEO CATL, Wang Chuanfu – founder BYD, Elon Musk, Jack Cheng - co-founder NIO, Bob Galyen – ex GM and CTO CATL,  Li Shufu – founder Geely and a lot of other formidable people pushing the EV revolution.We also talk about the people we admire Michael Dunne, Robert Llewellyn and Simon Moores. Thanks to them, we see clearer.  And in EVs as in any sector, culture eats policy every morning for breakfast.--------------------------------------------------------------VERY IMPORTANT: We are doing a Q&A Episode in NovemberAsk us whatever you want!!!  Send your questions: info@redefining-energy.com

The battery infrastructure is currently growing 3x faster than the solar industry. Records are beaten daily: in August 2024, for the first time, Chinese battery factories passed the 100GWh production mark. We are seeing industry giants consolidate their leadership while hopes of alternative technologies or promising start ups are being squashed.The prices are collapsing monthly, partly due to cheaper inputs, technological improvements and larger volumes, not dissimilar to what happened in recent years to the solar industry. Is LFP the winning chemistry or is there still a future for NMC?Laurent and Gerard bring Dr Engelke, Chair of Battery Associates, to try to make sense of it all. This young German company has been developing a world class expertise and how uses it to train the future work force is how to build a Gigafactory and how to optimize it. With clients like Tesla, VW and CATL, Battery Associates is in the thick of it. GenZ is defying all politicians by creating a transnational spirit of collaboration between Continents to promote a faster and more efficient future.Because in the end, it is all about Human Capital. China has benefited from our technology for decades, let’s not be shy and emulate their playbook. It will be more efficient in the long term than lobbying regulators, whine and ask for tariffs and subsidies. Despite the roller coaster, never forget that in a fast-growing market, short term demand is generally overstated, while long term demand is generally understated.  -----We don’t often recommend other podcasts/YouTube (I know we should). If you are interested in Batteries, please listen/view this interview of Robin Zheng, CEO of CATL.Really fascinating https://youtu.be/5VIXjjw4u9A?si=enaf8fls2F82YxoXhttps://podcasts.apple.com/gb/podcast/catl-ceo-founder-robin-zeng-the-journey-to-market/id1614211565?i=1000669887553

Gerard is live on the Wisdom Tree Commodity Exchange podcast and delivers a masterclass on how to invest in the Energy Transition: Renewables, Equity, Innovation, Commodities.  -----Laurent will be keynote speaker at ReSource Amsterdam 24-25/10/24. Come say hello https://resource-platform.eu/events/re-source-2024-event/  -----  We also salute the latest edition of Mycle Schneider World Nuclear Industry Status Report. Essential to understand what is going on in the Nuclear Industry beyond the headlines and the lobbying – More than 500 pages of data and facts.https://www.worldnuclearreport.org/World-Nuclear-Industry-Status-Report-2024

ExxonMobil forecasts 2050 Oil demand be the same as today. We believe that they are just “talking their books.”To discuss the future of the Energy system as well as the fight against Climate Change, we bring in a very respected expert and friend of the show: Kingsmill Bond, Energy Strategist at RMI. Kingsmill has been digging deep into the data and has realized that the fossil fuel cohort simply cannot fathom the speed of the Energy Transition.Gerard and Laurent have a lengthy debate about the trends, the adoption of clean energy, not only in the OECD, but also what is now referred as the “Global South” and deliver an optimist message about the future.  In the present, the pessimists always sound smarter, but in the long-term optimists are always right.------- RMI is a global NGO transforming the global energy system to secure a clean, prosperous, zero-carbon future for all.RMI:  https://rmi.org/the-world-re-energized/RMI report: https://rmi.org/insight/the-cleantech-revolution/Nick Eyre work: https://link.springer.com/article/10.1007/s12053-021-09982-9?utm_source=substack&utm_medium=email

As Europe has reached 270GW wind power (vs 150GW USA), corresponding to a value of 500bnEUR, we dig into the value of those assets. Gerard being out, Laurent brought his friend Mortimer Menzel, Managing Partner of Augusta Co, one of the most seasoned investment bankers in the wind sector.After describing the past gloom (interest rates, inflation, supply chain, Ukraine), we analyse the fundamentals of the market and turn out to be very optimistic for the years ahead, both onshore and offshore.  Mortimer talentedly explains how the risks and markets have evolved over time and what impact they will have on future valuations. Overall, he is bullish as ever.  -------------------- I will be chairing a free Seminar on the future of Green Energy procurement with Ofgem, KPMG, S&P Global and Renewabl, the award-winning platform I seat on the Board of, at the law firm Wedlake Bell, on Thursday 3/10 at 4pm. In the City of London. Super technical.Link to Register.   Renewabl day: The future of renewable energy procurement · Luma

As wind and solar become ubiquitous, the value of hydropower goes up. Hydropower is becoming the ultimate clean energy, as it is flexible and easily dispatchable.Hydropower is concentrated in certain geographies (China, Brazil, Canada) and is almost entirely developed by State-Owned Utilities that can stomach and support the very long construction time. Bost costs and value should be measured in decades, not in years.Unfortunately, Climate Change is impacting the reliability of hydro; we have recently witnessed  a succession of dry years and wet years, which have created stresses in the American West, Brazil and China… So, how to make the best of it? How to optimize this valuable resource?That is the life’s mission of Janice Goodenough, CEO of HYDROGRID. With a master’s degree in Applied Mathematics and over 15 years of experience in the hydropower sector, Janice Goodenough is a dedicated advocate for leveraging the complete potential of hydropower amidst the evolving energy landscape. HYDROGRID Insight is an integrated water management & production planning platform for proactive hydro teams, providing comprehensive, predictive capabilities such as plant monitoring, predictive production planning, optimal trading, as well as constraint and maintenance management under a single hood.We love hydro, but they need to stop snoozing. Wake up!  We thank AMUNDI for supporting the show Transcripts   https://www.spreaker.com/podcast/redefining-energy--3170008

“Summer has come and passed / The innocent can never last / Wake me up when September ends”. Like John Wick, Laurent thinks he is back.So we have a very energetic Minutes to start September. With Gerard, the co-hosts focus on one of the key trends of 2024 which they call “Batteries, the Great Consolidation”. A lot of great experts are helping shape our view.To name a few Aaron Wade, Tom Tsogt, Cormac O’Laoire, Christopher Chico, Chris Berry, Benchmark Minerals Intelligence/Rho Motion (Iola Hughe  and all Simon Moores’ team). We are thankful for their relentless drive to show us the future.So, what is the “Great Consolidation” in Batteries. First consolidation in the supplier's landscape, with CATL and BYD trashing the competition and indirectly eliminating a lot of promising startups (We list the cancelled Gigafactories). Then, consolidation in Chemistry, it’s all about LFP now. Finally consolidation in form factor, with prismatic becoming the staple.At the end of the episode, we salute the King of Solar in Pakistan, Sulaiman ur Rehman.And also invite on our podcast Mr Faraz Ahmad, one of the Top Energy guy at Amazon, as we are very curious about his attempts to rewrite the rules for accounting for Carbon Emissions. We want to know more. Faraz, you are welcome!    Transcripthttps://www.spreaker.com/podcast/redefining-energy--3170008

How to decarbonise buildings? That’s an important topic because that sector accounts for 37% of all emissions, making it one of the three pillars of decarbonisation next to electricity generation and transportation.Progress has been mixed. If lighting is an incredible success, heating and cooling remain a complex proposition with certain countries adopting new technologies much faster than others. Energy efficiency is sometimes a hard sell, as pay back periods can be counted in decades. Energy efficiency can be active, passive, “behind the meter” or at system’s level. Laurent and Gerard wander though that landscape with Vincent Petit, who runs Schneider Electric Sustainability Research Institute. Vincent has overseen the company’s prospective on the Climate and Energy Transition since 2017. Digital and behind the meter (solar, batteries) open new horizons even if regulators get confused between sticks and carrots.Furthermore, the famous “Jevons Paradox” seems to indicate that energy efficiency gains trigger a rise in energy consumption. We discuss options to decarbonise buildings, a long and winding road, but nevertheless critical to solving climate change. We debate about the value of sticks and carrots and the efficiency of public policy support. Is there a winning formula?We thank Amundi for supporting the showTranscripts available here: https://www.spreaker.com/podcast/redefining-energy--3170008

A special interview with one of the great minds of the Energy Transition. Dr. Doug Arent is the Executive Director of Strategic Public– Private Partnerships at the National Renewable Energy Laboratory in Golden, Colorado, U.S and Distinguished Fellow, World Economic Forum.  He just published a book called “Our Renewable Energy Future: The Story of How Renewables will become the Basis for Our Lives.”   “Our Renewable Energy Future” focuses on clean energy technology evolution and where our energy system is going. While its foundation is technology innovation, the book brings a unique perspective that technology alone is not what has brought about the explosive growth of renewable energy.  Laurent and Gerard have a stratospheric conversation with Dr Arent about the options in front of us. Digitisation and intelligent networks are going to revolutionize the way we produce and consumer energy.  About NREL: Originally called the Solar Energy Research Institute, NREL began operating in July 1977 and was designated a national laboratory of the U.S. Department of Energy (DOE) in September 1991. It runs a budget of 1bnUSD/y making it one of the world’s (if not the) most impressive R&D institutions when it comes to Renewable Energy.  LINK TO BOOK https://www.worldscientific.com/worldscibooks/10.1142/q0441#t=aboutBookWe thank Amundi for supporting the showTranscripts available here: https://www.spreaker.com/podcast/redefining-energy--3170008

During Summer season, we bring you back the best of our sister show, Redefining Energy TECH, where host Michael Barnard invites Paul Martin for a very long and geekie conversation about innovative solutions for industrial heat. Two titans of our industry.Paul Martin, a seasoned chemical engineer, share his profound insights on the electrification of industrial heat processes. Here’s a brief summary of the conversation:The discussion kicked off with a critical analysis of the inefficiencies associated with using fire for heat generation compared to electricity. Paul emphasized that electricity not only offers cost advantages but also enhances safety. A significant portion of the conversation was dedicated to the concept of exergy, highlighting its crucial role in the energy transition towards decarbonization. Paul underscored the potential of direct electricity usage for heating processes, moving away from traditional methods of burning chemical energy.We also delved into the advancements in battery technology, discussing how these innovations are revolutionizing energy storage and management. Paul provided fascinating insights into the practical applications of batteries in industrial settings, particularly for short-term high-power requirements.The episode further explored the diverse heat requirements in industrial food preparation, comparing the efficiency of natural gas with other energy sources. Paul highlighted the practicalities and benefits of heat pumping in industrial processes, stressing the importance of understanding different heat metrics for efficiency calculations.In addition to these technical discussions, Paul addressed the challenges and misconceptions surrounding the technology readiness levels and market readiness of heat pumping applications. He also explained the significance of temperature lift in heat pumping and its applications below 200 degrees Celsius. Paul Martin shared insights on various types of industrial heat, including cement clinkering and specialty high-temperature processes, highlighting the importance of efficient heat management.The discussion also touched on the potential of changing wire types for better energy transfer and the role of smart demand and storage solutions during peak energy periods. The episode explored cutting-edge heating technologies such as induction heating, thermolysis, and electrolysis, emphasizing their advantages over traditional combustion methods. Environmental considerations were a key focus, with a shift towards electric heating for sustainability and exploring alternatives to fossil fuels for high-temperature processes.Closing remarks from Michael Barnard and Paul Martin highlighted the value propositions and technological innovations discussed, endorsing consulting services for chemistry process engineering with Paul Martin at Spitfire Research.This episode is a must-listen for anyone interested in the future of industrial heat and clean energy solutions. Overall, this episode is a treasure trove of knowledge for anyone interested in industrial heat electrification and the future of energy systems.    Transcripts available here: https://www.spreaker.com/podcast/redefining-energy--3170008

In episode 143, Gerard, Laurent and Michael have discussed the philosophy of Bill Gates when it comes to the Energy Transition, and the root causes of his flawed thesis. Let see now if this transpires in his main investment vehicle, Breakthrough Energy Ventures (BEV).Michael Barnard is quite blunt: “To be clear, Gates is still highly resistant to the reality that we have almost all of the solutions we require, and that Breakthrough Energy Ventures is mostly invested in distractions.” As we are about to celebrate the 10th anniversary of BEV, we dive into its successes and failures. And it is a complex picture. BEV has invested in more than 100 companies which is a feat in itself.  For a 3.5bnUSD portfolio, that’s an average of 40mUSD/ticket.When you dig into the portfolio, you will get the Good, with promising ventures (such as Antora, Rondo, Boston Metals, Brimstone, TS Conductor, Fervo, Natel, Pachama, Kobold), the bad with ginormous boondoggles (nuclear, carbon, Hydrogen planes, LDES…), and the Ugly, when BEV (but they are not alone) manage to offload failed ventures via SPACs (Heliogen, QuantumScape, ESS)  or Public Money (Carbon Engineering).  So, Breakthrough or Break down? Glass half full or half empty?  A lot of Silicon Valley billionaires have emulated BEV, with absurd amount of money chasing impossible or totally uneconomic ventures. To name a few, Sam Altman, Khosla Ventures, Patrick Collinson (CEO Stripe) Bezos, Benioff. So, Bill is definitely not alone. And BEV, with a string of smart choices, is probably the least bad, or best of them all.  Michael Barnard unleashed in Cleantechnica https://cleantechnica.com/2024/07/04/breakthrough-energy-ventures-has-bad-investment-theses-therefore-bad-investments/

Bill Gates is sucking a lot of oxygen in the Energy Transition. Is he a force for good, or a nuisance? What is his thesis and where does it come from? And is the thesis still valid in 2024 or obsolete?In this episode, we will not analyse Breakthrough Energy Ventures, his VC fund celebrating its 10th anniversary. That will be the topic of Episode 144, next week.Laurent, Gerard and Michael are going to analyse Bill Gates fascination for Vaclav Smil and David MacKay.  We will dissect how their theories have been consequential in the shaping of Bill Gates’ vision.We will delve into Smil’s errors, namely the Primary Energy Fallacy, the refusal to consider wind, solar and batteries as viable alternatives and the impact they have had on Bill Gates thinking, and - probably worse - investments.We will discuss how the Oil Industry has found an ally (probably unwilling, but certainly powerful) in their quest for immobility. Elon Musk might be controversial, but at least he has made the journey in practice, not in theory.A very heated discussion. And we are not going to make friends here. That’s OK. Country above Party. Bill Gates on Smilhttps://www.gatesnotes.com/Numbers-Dont-Lie  

This week, it is a solo by Gerard Reid.This is the audio of its remarkable presentation at EcoSummit Berlin in June 2024. The topic is “Batteries vs Hydrogen”Link to the YouTube   https://www.youtube.com/watch?v=aAbr4byi414

Texas and California have witnessed a crazy growth in Solar and Batteries in recent years. In 2024 California has 24GW of Solar and 9GW of batteries on its grid; Texas has grown even faster with 31GW of Solar and 10GW of batteries.When it comes to the Energy Transition, you can make the following analogy: public policies are the land and financial markets are the rain. But the seeds are battle-hardened entrepreneurs. Laurent and Gerard love to invite such heroes of the development of Renewables. They don’t build pipelines of projects. They built projects. One of those American Heroes is Sheldon Kimber, CEO of Intersect Power. In the past 8 years, Intersect has delivered 4GW of Solar and 2.5GWh of batteries. By focusing on a few huge projects, by developing a unique expertise in both Texas and California. Along the way, the Company has closed $5B in project financings and raised nearly $1B in corporate equity (TPG, CAI, Trilantic) to support the buildout of the Base Portfolio and additional growth projects. But Sheldon’s success is also linked to the development of a secure and efficient supply chain.The conversation is so rich that we didn’t have time to delve into his plan to develop e-fuels for Taylor Swift private jet.  And, as Daniel said: “Stumpf ist Trumpf”.  We thank DLA Piper for supporting the show

After a crazy Intersolar in Munich which welcomed more than 120,000 visitors, the pace of Solar deployment in Europe is going exponentially.Gerard and Laurent bring in Walburga Hemetsberger, CEO of Solar Power Europe, to discuss the development of Solar, and through the new report “Mission Solar 2040”, how we are on the cusp of a Flexibility Revolution.The Report is available here: https://www.solarpowereurope.org/insights/thematic-reports/mission-solar-2040-1  

Glencore’s CEO Gary Nagle has once described ESG as “some person in the basement in office number 27 engaged in a box-ticking exercise.” And a lot of fossil fuel companies – while being less explicit – share the same opinion on ESG… and have voiced their hostility indirectly through complicit media outlets.The ESG movement is facing a significant backlash. On the one hand there has been too much greenwashing, on the other hand, ESG has become a political punching ball in certain US States dependent on the fossil fuel industry. Some European Oil companies want to list in NY to get a better valuation and are complaining about too much sustainability scrutiny. And Larry Fink, Blackrock CEO, went in the last four years from hero to zero of the ESG wave.Going back a few years a lot of the ESG popularity was linked to an overweighting of Tech and Luxury stocks which performed wonderfully, a trend partially reversed by the war in Ukraine and the rise of interest rates. In 2024, we have seen outflows in ESG labelled funds from a peak three years ago. Still, they represent, according to the FT, a 7tnUSD pot of money, so it is a big industry.We’re not experts… but a system that rates ExxonMobil higher than Tesla on ESG raises eyebrows.To add insult to injury, there is a multiplication of standards and regulations (CSRD, SFDR) which make the whole ESG universe very confusing. There are byzantine debates about passive vs active management. There are endless conversations about the adequacy of “engagement” and if shareholders should behave as activists. And finally, there is a clear transatlantic drift when it comes to that issue.We are totally lost! To try to understand better if ESG is dead, or if it will have to reinvent itself, we bring in Jean Jacques Barberis Deputy CEO and Head of Institutional and Corporate Clients Division & ESG at Amundi. Amundi is EU’s largest EU Asset Manager and a leader in Green investing. Jean-Jacques Barbéris is currently responsible for the global development of the institutional business at Amundi. With Jean Jacques, Laurent and Gerard take no prisoners and call a spade a spade… and then realise that Paris-aligned targets are for real, that “engagement” with companies deliver results, and that a proper investment strategy starts to yield results.We thank DLA Piper for supporting the show.

We bring in Nick Wayth, CEO of Energy Institute (EI), for the release of the 73rd Edition of the Statistical Review of World Energy. The Energy Institute Statistical Review of World Energy™ analyses data on world energy markets from the prior year.Previously produced by bp, the Review has been providing timely, comprehensive and objective data to the energy community since 1952. The Strategic Review is now a collaboration between the EI, KPMG, Kearney and Heriot University. Five key stories emerge from the 2023 data:Record global energy consumption, with coal and oil pushing fossil fuels and their emissions to record levelsSolar and wind push global renewable electricity generation to another record levelOngoing Ukraine conflict cements gas rebalancing in Europe  Dependence on fossil fuels in major advanced economies is likely to have peakedGrowth economies struggle to curb fossil fuel growth, but renewables accelerate in China   Although we disagree on the message and question the concept of Primary Energy (super misleading), we salute the consistency and comprehensiveness of that Report. Keep them coming.https://www.energyinst.org/statistical-review