Exxon knows renewables are cheaper, even if Trump doesn’t
2018-12-18 03:37:43

Opinion:

This type of headline and analysis-light story is misleading. Companies make investments generally for economic return. Here is Australia Santos has deployed Solar power facilities for operating beam pumps. When wells are far from nearest power source it can make good sense to use Solar, just as is also done for agricultural water pumps and remote area telecommunications. For delivering 24/7 power to run cities, at present the economics require firming renewable power sources using fossil fuel. Nuclear not useful to operate other than at constant load, and batteries and hydro are insufficient and more costly. Over time this will most likely change but battery costs do not reduce at anything like the costs of electronics. Our power costs so much now partly because we are pushing renewable energy so aggressively, and funding the capex, while needing the firming capability is costly. Many readers of this newsletter will have perspectives and insights to share on this. Geoff Rogers, 18/12/18

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