New Energy Frontiers
Choosing the Clean Energy Mix
How planners combine cheap variable renewables with firm clean power and clean fuels at lowest cost, and a recap of the module.
No single technology will power a clean economy. The challenge is choosing the right mix.
Principles
- Cheapest first: build solar and wind at scale.
- Add flexibility: storage, hydro and demand response.
- Firm power: nuclear and other steady sources for reliability.
- Clean fuels for hard-to-abate sectors.
- Diversify to reduce risks.
Uncertainty
Costs of batteries, SMRs and hydrogen are uncertain. Planners keep options open and invest in research.
Module recap
- Solar and wind can’t decarbonise everything alone.
- India’s nuclear plan aims to use thorium; nuclear is about 3 percent of power.
- Nuclear costs come upfront, making financing crucial.
- Liability rules deterred foreign reactors; reform is planned.
- SMRs promise lower costs but are unproven.
- Hydrogen comes in grey, blue and green.
- India’s mission targets 5 million tonnes of green hydrogen by 2030.
- Hydrogen suits fertiliser, steel and shipping more than cars.
- Compressed biogas turns waste into fuel.
- Offshore wind is steady but costly.
- Geothermal and tidal remain niche.
The balanced grid
A 2040 Indian grid might combine vast solar farms, batteries, pumped hydro, nuclear plants and some gas backup, each doing what it does best.
Thinking one technology will win outright
A diverse mix is cheaper and more reliable.
Key takeaways
- Combine cheap renewables with flexibility and firm power.
- Use clean fuels where electricity can't reach.
- Keep options open amid uncertain costs.
- Diversity reduces risk.
No recording for this one yet - EconReader can read it aloud for you.