Energy Centre’s Post

Batteries are foundational to the energy transition. As the world races to electrify, some are calling batteries — and the critical minerals that power them — the new oil. And as China dominates the critical mineral market, concerns have been raised that we are swapping dependence on a handful of oil-producing countries for dependence on a single country that dominates batteries. Is this a fair assessment? It's complicated. Jason Bordoff, founding director of Columbia’s Center on Global Energy Policy, noted that not only are the economic stakes starkly different (hundreds of billions versus trillions of dollars) but supply disruptions also have vastly different stakes. “We don't burn critical minerals for energy." The biggest risk remains concentration. (China produces 60% of the world’s critical minerals, controls 85% of processing, and hosts three-quarters of battery cell production.) Stephen Lacey on whether we are replicating the geopolitical risks of oil with the battery boom: https://lnkd.in/eXCjqUKV

The question “are batteries the new oil?” is one I’m increasingly hearing being posed. It’s not a new question - in fact Musk posed it as a direct statement several years ago - but it is one that bears increasing weight as people realise the core need to support energy grids and respond to energy demands. While batteries cannot replace many of the applications of oil - this requires other solutions in play - the question is really one of supply, and the potential impacts for those who have access to the raw materials in supply chains. Be it Chile, Indonesia, Australia, Peru, South Africa or many others. It’s interesting to understand which regions stand to benefit. But while there is key importance, similar to oil, as Columbia University has explored in their research and series The Big Switch, their are key differences in risk profiles and how oil vs battery supply chains operate. A main difference being that while there is need to diversify supply chains, processing and distribution are more fluid and can remain so over time. Even raw mineral supply itself can shift as recycling ramps up. Delivery and supply chain timing is less critical and potentially, not always ongoing. From here, the next stage, is understanding, planning and implementing what it takes to decarbonise, drive sustainability and implement social shifts and just, free, informed and prior consent across the supply chain. Focusing on which countries are going to be at the forefront of taking these steps. One thing we do know, which was at the forefront of discussions at FTClimateCapital today, was no country today can achieve this in isolation. Supply chains are complex and rely on inputs, improvements and expertise from many along the way.

Critical minerals have become a linchpin for modern industries and technologies, underscoring their importance in economic growth, innovation, and energy independence.They are vital for clean energy technologies like wind turbines, solar panels, and especially electric vehicle (EV) batteries. As demand surges, concerns about supply chain vulnerabilities are mounting. Most critical minerals are concentrated in just a few countries. This scarcity presents a significant obstacle in the push for clean energy transition and energy independence—goals that are increasingly tied to U.S. national security. Spending a few days with Dave Sulek Booz Allen Hamilton Jeff Lew Cate Twining-Ward at the Institute of Transportation Studies at the University of California, Davis fall summit looking at all angles of sustainable energy pathways Lots to learn. More to do. The research being done here will most certainly transcend the current uncertainty as we all come together for our world. #climateresilience Gil Tal

Critical minerals for energy transition: The emerging regime complex Nidhi Srivastava, Atul Kumar, The Extractive Industries and Society Volume 20, December 2024, 101536 Abstract In order to meet decarbonisation and net zero goals, the energy transition will play an instrumental role. However, energy transition technologies are raw material intensive and depend on a secure and reliable supply of critical minerals. Over the last few years, the international regime for energy transition and critical minerals have undergone changes. This paper studies the international institutional framework governing critical minerals for energy transition (CMET). There is no single regime that is equipped to address the various facets of CMET. Therefore, the paper describes the existence of regime complex and key features that characterise the regime complex as it unfolds in this new area of study. Since there is a growing interest from institutions from different regimes, there is a great potential for cooperation, mutual learning amongst policy makers and further academic research in the regime complex of CMET. https://lnkd.in/gVZPEwVb

As the world strives to cut back on carbon emissions, demand for minerals and metals needed for clean energy technologies is growing rapidly, sometimes straining existing supply chains and harming local environments. In a new study published today in Joule, Elsa Olivetti, a professor of materials science and engineering and director of the Decarbonizing Energy and Industry mission within MIT’s Climate Project, along with recent graduates Basuhi Ravi PhD ’23 and Karan Bhuwalka PhD ’24 and nine others, examine the case of nickel, which is an essential element for some electric vehicle batteries and parts of some solar panels and wind turbines.How robust is the supply of this vital metal, a ...

Report launch: A #JustTransition for #Coal Regions: new index and insights from Shanxi and Europe As the world accelerates toward a cleaner energy future, ensuring a just and equitable transition for coal regions is a critical challenge – and an opportunity. This event marks the release of a new report comparing six coal regions across #China, #Poland, #Germany and the #UK, with a special focus on #Shanxi Province in China and its European counterparts. To be able to conduct these comparative studies, the Just Energy Transition Index (#JETI) was developed. The JETI is a comprehensive tool designed to evaluate the progress of a coal region's transition towards a more sustainable and equitable energy future. It aims to support the development of tailored, region-specific transition strategies that ensure economic, environmental and social sustainability while prioritising equity and inclusion. Besides the JETI, the report dives deeply into innovative solutions for supporting workers and communities, offering insights into #employment challenges and effective #EconomicDiversification strategies. By drawing lessons from successful practices worldwide, it provides actionable pathways for coal-dependent regions to embrace a more sustainable and prosperous future. Co-hosted by Agora Energy Transition China, Agora Energiewende and Energy Foundation China, this event will bring together leading experts, policymakers and academics to discuss the report’s findings and their practical implications. Ms. Zhou Yang (Agora Energy Transition China) will present key findings of the report, followed with Professor Xianqiang Mao (Beijing Normal University), our author partner, on the Just Energy Transition Index of the six coal regions. Distinguished external experts, including Dr. YANG Fuqiang (Institute of Energy at Peking University), Ms. Nga Ngo Thuy (Agora Energiewende), professor Michael Davidson (UC San Diego), and Mr. ZHANG Jian (Institute of Climate Change and Sustainable Development at Tsinghua University), will provide their comments on the report with perspectives of China, Germany, and the US. The other leading authors of the report – Dr. ZHANG Ying (Chinese Academy of Social Sciences), Dr. GAO Yubing (Beijing Normal University), Ms. WANG Yating (Shanxi Coshare Innovation Institute of Energy & Environment), and Ms. Konstancja Ziółkowska (Forum Energii)  – will join a panel discussion to share their insights on Polish and Shanxi’s coal regions on employment issues and economic diversification. Join us online to explore how to transform challenges into opportunities and ensure no one is left behind on the road to a just energy transition. If you are in Beijing, you could register for in-person attendance via Agora Energy Transition China's wechat account (@博众智合能源转型). https://lnkd.in/gSugY6Af

In my first report for the Carnegie Endowment, I explore how the U.S. can adopt an innovation-centric green industrial strategy focused on leapfrog technologies that bypass supply chain risks or tap into less-saturated, net-zero sectors. The report analyzes new energy and industrial technologies being developed in the U.S., emphasizing their role in boosting domestic resilience and achieving low-carbon goals. Key examples include alternative battery chemistries, next-generation geothermal, cutting-edge grid and storage systems, and low-carbon heavy industry. It also outlines domestic and foreign policy considerations to advance various technologies both at home and abroad. https://lnkd.in/eAHk8Zfb

The transition from #FossilFuels to #RenewableEnergy sources can make the world's future riskier instead of de-risking it, Chief Economic Adviser V Anantha Nageswaran has said. Read at ⬇️ https://lnkd.in/gYsSR-bx #Economy #EnergyTransition #Energy

I’m excited to share my latest publication with Diana Furchtgott-Roth, that dives into the hidden costs of green energy policies that are increasingly making America reliant on China—a dependence that threatens our energy independence, economic stability, and national security. 🚨 Our findings show how these policies are not only economically unsound but also strategically dangerous. With China controlling: 85% of global battery production 90% of rare earth magnet manufacturing 80% of the solar component production market Our report gives actionable steps to regain control of our energy destiny, by replacing green subsidies with all-of-the-above expensing provisions, the expansion of domestic mining, and holding China accountable on their anti-market subsidies. 📖 Read the full report here: https://lnkd.in/efywhNDg #EnergyPolicy #NationalSecurity #China #GreenEnergy #Economics #ClimatePolicy #HeritageFoundation