EP.234 Lucy Yu & Jon Norman on the Role of Flexibility to Enable a Clean Power Grid
Mar 11, 2025
auto_awesome
Lucy Yu, CEO of the Centre for Net Zero, provides data-driven insights into demand flexibility, while Jon Norman, President of Hydrostor, specializes in advanced energy storage technology. They discuss the pivotal role flexibility plays in transitioning to a clean power grid and the challenges of decarbonizing energy systems. The duo highlights the importance of long-duration energy storage and consumer participation in achieving sustainability goals by 2035, as well as the risks of inadequate flexibility for maintaining a reliable power supply.
The transition to a clean power grid requires significant technological advancements and market adjustments to overcome the historical reliance on fossil fuels.
Demand-side flexibility, particularly through residential electric vehicles, offers substantial cost-saving potential but needs enhanced consumer incentives for broader participation.
Deep dives
Challenges of Energy Transition
Transforming existing fossil fuel-based energy systems into clean power grids poses significant challenges, mainly due to the scale and speed required for such a transition. The current fossil fuel infrastructure took over a century to develop, and reforming these established systems to accommodate clean energy generation demands rapid technological advancements and market adjustments. Another challenge lies in managing energy costs to ensure that consumers benefit from this transformation rather than face increased bills. Furthermore, there is a pressing need for workforce training and establishing robust global supply chains for new technologies necessary for this shift.
Need for Long-Duration Energy Storage
Implementing long-duration energy storage (LDES) is crucial for achieving net-zero targets, especially for ensuring energy supply when renewable sources like wind and solar are not producing energy. Utilizing storage solutions for intervals of eight hours or more allows for the effective integration of intermittent renewables without resorting to fossil fuel backups during low-production periods. The push for LDES reflects a broader trend of many regions around the world establishing similar mandates or targets to enhance grid reliability. However, there are concerns about whether current advancements in technology and infrastructure can sufficiently meet these demands for long-term storage solutions.
Consumer-Led Demand Flexibility
Demand-side flexibility presents a valuable opportunity for managing energy consumption, which can contribute to significant cost savings within the energy system. Research indicates that utilizing residential electric vehicles and heat pumps flexibly could save billions annually and reduce the need for additional grid capacity. However, current incentives for consumers to engage in demand-side flexibility programs are lacking, leading to only a small percentage of households fully participating. Effective communication and user-friendly technology, coupled with financial incentives, are essential for increasing consumer engagement and maximizing the potential of demand-side flexibility.
Institutional Infrastructure and Planning
The development of a robust institutional framework is essential for attracting necessary capital investment in clean energy technologies and infrastructure. Current power markets are often not conducive to fostering new investment, making it challenging to meet clean power goals and update aging infrastructure. Policymakers should prioritize long-term planning that accounts for various energy sources and their required investments, ensuring a balanced approach to energy needs. Engaging in proactive planning and flexible procurement strategies will mitigate risks associated with energy shortages and help facilitate a successful transition to a clean energy future.
This week on Energy Unplugged, we’re excited to welcome Lucy Yu, CEO of the Centre for Net Zero, and Jon Norman, President of Hydrostor. They’ll join Marc Hedin, our Head of Research for Western Europe & India, to discuss how flexibility plays a crucial role in enabling a clean power grid.
The Centre for Net Zero is an independent research unit within Octopus Energy, focused on providing data-driven insights into the future of demand flexibility. Hydrostor, based in Toronto, specializes in the development and operation of Advanced Compressed Air Energy Storage technology, offering energy storage solutions ranging from 8 hours to multiple days.
Main topics include the following:
Challenges in achieving a net-zero energy system
The importance of flexibility in a clean power system
Potential risks of lacking sufficient flexibility in the system
Get the Snipd podcast app
Unlock the knowledge in podcasts with the podcast player of the future.
AI-powered podcast player
Listen to all your favourite podcasts with AI-powered features
Discover highlights
Listen to the best highlights from the podcasts you love and dive into the full episode
Save any moment
Hear something you like? Tap your headphones to save it with AI-generated key takeaways
Share & Export
Send highlights to Twitter, WhatsApp or export them to Notion, Readwise & more
AI-powered podcast player
Listen to all your favourite podcasts with AI-powered features
Discover highlights
Listen to the best highlights from the podcasts you love and dive into the full episode