BLOG | Long Zhou & Abdoul Karim Zanhouo | September 2024
A sustainable and secure transition – reflections from the International Association for Energy Economics conference
Summer is often the season of major conferences, which bring together academics from all over the world. One such event, the 45th conference of the International Association for Energy Economics (IAEE), was held at the end of June at Boğaziçi University in Istanbul, located on the European shore of the Bosphorus strait. The assembly drew researchers, professionals, stakeholders and policymakers from academic institutions, energy industries, and authorities focused on the future of energy economics and policy. As one of the UK's leading energy policy research centres, the Centre for Energy Policy (CEP) did not miss the opportunity to share its project findings.
Aims of the conference and IAEE’s mission
The IAEE is a leading global organisation dedicated to advancing the understanding of energy economics and ensuring sustainable energy policies, the conference underscored the critical role of green energy in shaping a sustainable future.
The conference delivered a clear central message that the transition to green energy is not just environmental but also an economic and social necessity around inclusion, equity and sustainability. The IAEE's role in this transition is crucial, providing a network and platform for rigorous debate, innovative research, and policy development aimed at fostering sustainable energy solutions around both theory and practical applications.
Insights from world leading researchers
The conference featured an impressive programme of speakers, each contributing unique insights into the complexities of the energy transition. Among the notable speakers was Niels Ehlers, who shared Germany's experience in electricity storage and highlighted the growing significance of storage in Germany's electricity networks in recent years. Germany's has seen year-on-year growth of energy storage installations and is reported to have the largest storage capacity in Europe.
Another highlight was Ying Fan of the Low-carbon Intelligent Governance (LLIG), who discussed the role of storage and emphasised that while there is sufficient renewable energy potential, the variability of wind and solar remains a global challenge. She argued that storage technologies are crucial for integrating more solar power, phasing down coal-fired power, and stabilising electricity market prices. Additionally, she highlighted the co-benefits of electric vehicles (EVs) and renewable power in the decarbonisation process, suggesting that alternative storage options like Vehicle-to-Grid (V2G) could play a significant role in the future power system.
Centre for Energy Policy colleagues present research findings
CEP Research Associate, Long Zhou
I presented the work "Assessing the long-term economic viability of TRSs" based on our work in Work Package 5 of the project ‘TidAl Range schemes as configurable Grid-scale Energy sTorage facilities (TARGET)’. My presentation focussed on the assessment of long-term socio-economic feasibility of tidal range schemes in the UK, with consideration of tariff support policy framework such as Contracts for Difference (CfD) and provision of social benefits such as flood defence.
I discussed the results based on three representative scheme cases categorised by the size of installed capacity, and the importance of electricity price, discount rate and potential financial support policy/model in determining the schemes’ viability in the long-term, taking into account the relatively large upfront capital costs.
The audience's engagement was encouraging, with many insightful questions. It was particularly rewarding to see the interest in how potentially relevant support policies and models could be adapted and implemented in practice.
CEP Research Associate, Abdoul Karim Zanhouo
I presented the findings of the CEP project funded by the Industrial Decarbonisation Research and Innovation Centre (IDRIC) on the wider economic and competitiveness impacts of introducing pre- and post-combustion carbon capture in the Scottish chemical industries.
I highlighted that while introducing carbon capture in the Scottish chemical industries could negatively impact their competitiveness and the wider Scottish economy, these negative impacts could be limited if there is a coordinated UK-wide approach to implementing carbon capture.
Insightful questions and contributions from the audience of around 25 followed at the end of my presentation. For instance, one participant was keen to understand the different types of government support for CCS implementation considered in the research.
Reflections from the conference
The IAEE conference offered several key takeaways that will significantly influence our work.
Firstly, the emphasis on interdisciplinary approaches was a recurring theme throughout the conference. It became evident that addressing the complex challenges of energy transitions requires collaboration across various fields, including economics, engineering, social sciences, and environmental studies.
Secondly, the importance of policy frameworks that support technological innovation while ensuring social equity was highlighted in numerous sessions. This aligns closely with our ongoing projects at CEP, where we are exploring the impacts of energy policies on different socio-economic groups to ensure that the transition to net zero is equitable, sustainable and inclusive. This is particularly relevant to our Energy Demand Research Centre (EDRC) project, which focusses on fuel poverty mitigation in the UK through different implementation forms of government fiscal support.
Moreover, the conference provided a valuable networking opportunity, allowing us to connect with fellow researchers and industry experts. These interactions have opened up potential collaborations that could enhance the impact of our research across both sectors and countries.
The 2024 IAEE conference in Istanbul was not just an academic gathering but an assembly of ideas and cultures, reinforcing the global commitment to sustainable energy futures. The insights gained and the connections made will undoubtedly enrich our research and contribute to the broader goals of CEP.