Redefining Energy

What a pleasure, what an honor to have the original Energy Gang on our show to celebrate our 100th Episode.The wit of Katherine Hamilton and the laugh of Jigar Shah were our inspiration 5 years ago when we got drunk at the Red Lion pub near Piccadilly to launch our show. The “ambitious” business plan was to create a tiny European copycat of the Gang. 900k downloads later, this is where we are.Katherine Hamilton is Chair at 38 North Solutions, a public policy firm focused on clean energy and innovation, and one the main artisan of the Inflation Reduction Act; Jigar Shah is Director at the Loan Program Office at the US Department of Energy, managing hundreds of billions USD to finance the Energy Transition.The topic of this special show is the following: Let’s assume we are in 2030, Elon Musk is on Mars, did the energy transition work? Our conversation encompasses the decarbonisation of the grid, the future of Nuclear and Geothermal, the electrification of transport, Hydrogen, and many other topics.In the end, we deliver a positive message: “We are succeeding the Energy Transition thanks to the thrust and imagination of the new generation.”

The electricity network is the bloodline of the economy. It is a very complex system, built over decades, with layers of technologies and it has to be reliable 24/7. We hardly talked about this network of wires and cables a few years back but now, in the context of the energy transition, it plays a critical role in solving the three main challenges: the three D’s – decarbonisation, decentralisation and digitisation. Operating the grid 365/24/7 is not a simple task, as the primary objective of any electricity network is reliability; any structural change is like trying to change the engines of the plane while it is flying. How can the network evolve to answer the challenges of the energy transition? How fast does it evolves? How can new transmissions be developed? How are the issues identified and what does the future looks like? How do network managers around the world collaborate and share best practises? To answer those questions, we’ve had a fascinating conversation with Fintan Slye, Executive Director of National Grid ESO, the Electricity System Operator for Great Britain’s national electricity network. Fintan has been Executive Director of UK National Grid ESO since 2018. Prior to this he was CEO of the EirGrid Group, the electricity system and market operator in Ireland and Northern Ireland. He has previously worked for McKinsey & Company and ESB Group. This is Episode 99 and we promise you a big surprise for our Episode 100. Don’t forget our sister shows: the weekly fast Redefining Energy Minutes and the deep-dive Redefining Energy Tech with Michael Barnard. Once again, we thank Aquila Capital for their continuous support.

How to optimise a fleet of hundreds of solar parks? And the work needs to start once the asset has been energised...and continue for decades. Plus, as with an iceberg, most of the work is below the surface.How to manage this complexity, what lessons can be learned from one territory to another? How are the teams trained? What is the impact of digital to optimise the economic performance?We have the pleasure of welcoming Adele Ara, Head of Global Business Operations at Lightsource bp, where she has worked for nine years.Lightsource bp is a global leader in utility-scale solar development and management. A 50:50 JV between the Energy Giant BP and the founding team, Lightsource bp is the largest solar developer in Europe and the third largest in the world outside of China. They operate more than 300 installations (from 5GW to 500GW) in 19 countries, a portfolio of 8.8GW of solar today with the aim of reaching 25GW in 2025.Adele shares with us her vision of excellence, and… there is definitely a secret sauce.Hint (in that famous quote from Peter Drucker): “Culture eats strategy for breakfast”Our partner for the episodeFEBESOL is one of the fastest growing solar companies in Germany. FEBESOL delivers residential PV systems with outstanding quality, and also installs batteries, EV chargers and heat pumps.

The Power Markets have been created thirty years ago to respond to the Energy Deregulation drive. They have recently faced crisis, such as the Ukraine Russia war or storm Yuri in Texas, with power prices going crazy and creating a lot of financial distresses for certain producers and consumers.Meanwhile, we see the development of renewables that increase the volatility and remove the traditional reference to marginal pricing linked to fossil fuels. How to characterise the problems?Do power markets need a reform or a revolution? How can flexibility be bolstered? Can a fossil-fuel free system still deliver a marginal price? Are governments too heavy handed?All those questions are put together and debated with our guest Stephen Woodhouse, Director, AFRY Management Consulting. Stephen has 25 years’ experience in the electricity business and has headed AFRY’s global work on energy market design for many years and is internationally recognised as an expert in energy market reform and the energy transition. AFRY Management Consulting is a leading advisor for the transitions of the energy, bioindustry, infrastructure, industrial and future mobility sectors.Conclusion: let’s only touch the power markets with “fear and trembling” We thank our partners from Aquila Capital for supporting out show

The Energy Storage Market, namely large-scale batteries, is the fastest growing segment of the Energy transition. Texas, UK, California, and Australia are witnessing phenomenal deployment rates. We are talking about annual growth of 30%-40%.As more and more infrastructure investors are either considering investing in Batteries, or have already started, we wanted to make a deep dive on how to monetise that new asset class. Because revenues from batteries quite differ from wind and solar. It’s all about flexibility and optionality with a strong layer of digital.To get a better understanding of this new landscape, we have brought our friend Quentin Draper-Scrimshire to the show. Quentin is a very talented young entrepreneur, fellow podcaster, and the CEO of Modo Energy, the leading data analytics firm focussed on the commercialisation of battery energy storage. Modo Energy's customers include funds, asset owners, utilities, traders, and optimisers in Great Britain. Who will win in the race for maximum returns? Data scientists turned traders or traders turned data scientists.A wonderful look into the future, which is happening now, pedal to the metal!https://modo.energy/And we thank Aquila Capital for their continuous support.

Can we really go to Net Zero and keep energy secure and affordable with current policies, or do we need to make hard choices that politicians might not be willing to sustain over the long term? Are the new technologies going to save us or will have to rely on dirigiste policies to dampen the energy prices spikes and secure affordable power.What will it take to go net Zero? Are we too dependent on weather and unreliable energy sources? Two visions are clashing: it is Elon Musk’s Master Plan 3 vs Bill Gates/Vaclav Smil “We don’t have the tech” or it is just a question of generation: 51 years old vs 67 and 79 years old?We present a very tough but necessary debate with Doug Houseman, Principal Consultant at 1898 Burns McDonnell (a US Engineering giant), and a keen observer of the Energy Transition. Doug has a plan, and he also comments on the alternative which would be Greta’s plan (That’s where we start to differ). But as Mike Tyson used to say, “Everybody has a plan until he gets punched in the face”.Are our choices that binary? Doug advocates a nuclear renaissance, massive seawater pumped hydro systems and new transmissions. No mention of decentralized power, exponential deployment of batteries and solar, nor digital.In a simple summary: are we complexifying a simple model or are we simplifying a complex model? Blue Pill or Red Pill?

Jan Rosenow, European Director at the Regulatory Assistance Project and Honorary Fellow at Oxford, dives into the explosive growth of heat pumps, with Europe installing 3 million units in 2022 alone. He explores the impact of rising energy prices and government policies on this market, highlighting both supportive measures and setbacks. Jan also critiques hydrogen's role in heating solutions, emphasizing the need for effective strategies for electrification and the ongoing challenges in training installers and supply chains for this silent revolution.

The supply chains in renewables are a total mess. Security of Supply, Price fluctuations, Technological changes, ESG… Acquiring equipment on time and on budget is becoming a harder challenge by the day. How to fix the supply chain for renewables?We needed to bring a real professional on the show, and that’s Özer Ergül. Özer is Group Head of Procurement with Aquila Capital. Prior to joining Aquila Capital, he was Group CPO for Lightsource BP, and started his career at Toyota and then HitachiABB. Özer is also Chair of Supply Chain Sustainably workstream with Solar Power Europe. Last year, Özer supervised a CAPEX of 4bnEUR for a 3.3GW deployment of new renewable capacity in Europe and AsiaPac. Özer delivers the four golden rules to fix the supply chains problems. More perspiration than inspiration. Very technical but eye opening.We thank our partner for the episode, Conquest Group, a Paris/Dublin-based alternative asset management firm investing in and operating long-life, high-quality assets in tomorrow’s critical infrastructure for the energy transition on behalf of his clients

We discovered Simon Moores, CEO of Benchmark Minerals Intelligence, on YouTube, during a legendary testimony during the US Senate in 2019. Simon just blew our mind, so it had been an ambition for this show to bring him on. And we did.With Simon, we analyse the whole supply chain of batteries, from mining (lithium, cobalt, nickel, graphite) to refining, down to the Gigafactories.The battery industry has managed to scale x10 in the past six years and is expected to x8-x10 (depending on who you listen to) in the current decade. That would allow the electrification of the whole transportation sector!Is there enough raw materials in the ground, are we going to go from one dependency to another? Can lithium be replaced? How is the state of the Nickel market after the 2022 meltdown? Can we create supply chains outside China? What is the impact of the IRA in the US? Will automakers get more involved in mining (we just witnessed the spectacular investment of GM in Thacker Pass)? Is there a new battery technology that would dent the domination of the Li-Ion batteries?All those questions are so much more in a very lively discussion with Simon.(We refer to Joe Lowry, that we respect and salute) ---------------Benchmark Mineral Intelligence is an independent price reporting agency (PRA), data and supply chain intelligence provider for the lithium-ion battery and electric vehicle industry. We offer subscriptions and strategic advisory services to those in or looking to enter the active lithium-ion battery ecosystem. --------------- References: https://www.youtube.com/watch?v=wv0PHIo1zzo https://www.youtube.com/watch?v=OW45rCuhIg8&t=17s https://www.benchmarkminerals.com/ https://events.benchmarkminerals.com/event/da3e1b1f-7c83-4a16-a34d-6b020d09070a/summary And also, very useful report on the State of Play in the Battery Industry https://www.volta.foundation/annual-battery-report And don’t forget our “Book of the Year 2022” “Volt Rush” on that topic.---------------We thank Aquila Capital for supporting the show

Power Purchase Agreements (PPAs) are private contracts between a producer of renewable energy and consumers. The PPA was developing consistently, mainly driven by Utilities. Then 2022 arrived and we witnessed an unprecedented volatility in PPA markets in Europe.What were the consequences of that turmoil on the PPA markets in terms of prices, tenures, counterparties? Did PPA provide good hedges to sellers and buyers?We have brought in Luca Pedretti, the COO & Co-Founder of Pexapark to dive into the intricacies of the PPA market. Pexapark is the leading analytic platform of PPAs.How has the market evolved in recent months and where is it heading? What new thinking and innovative approaches in terms of risk management are bringing solutions and give rise to new opportunities? We also talk about the detrimental haphazard proposals of market reforms by regulators, their lack of trust in the private sector, and their itching attempts to over-regulate with top down one-size-fits-all decisions, soviet style.But hope is around the corner, and the PPA market will evolve and thrive, but it will be a different market, more on a portfolio basis than on an asset basis, with different tenures and risk management systems. ---------------------------------Pexapark is a 5-year young, rapidly growing company of 100 enthusiasts providing renewable energy management software and PPA transaction services to investors so that they can independently price, analyse, manage, and transact their production on power markets. Pexapark enabled so far +20 GW of PPAs and its software is run for 1’000s of assets. Also, if you like more audio content on commodities and energy, check the HC Insider Podcast https://www.linkedin.com/company/hcgroup-global/ Finally, we thank our partner Aquila Capital, who make this show possible!