The Color of Energy: The Competition to be the Energy of the Future

Abstract

Abstract Energies may be described as brown, blue or green. Brown energies are CO2-emitting fossil fuels. Blue energies employ carbon capture and storage (CCS) technologies to remove the emitted CO2 from brown energies. Green energies are zero or low CO2-emitting renewable energies. Likewise, energy carriers such as electricity and hydrogen may be described as brown, blue or green if they are produced from brown, blue or green energy, respectively. The transition from a high carbon intensity to a low carbon intensity economy will require the decarbonization of three major sectors: power, transport and industry. By analyzing the CO2 intensity and levelized cost of energy (LCOE) of energy and energy carriers of different colors, we show that renewable energies are best used in replacing fossil fuels in the power sector where it has the most impact in reducing CO2 emission. This will consume the majority of new additions to renewable energies in the near to medium future. Consequently, the decarbonation of the transport and industry sectors must begin with the use of blue electricity, blue fossil fuels and blue hydrogen. To achieve this, implementation of large-scale CCS projects will be necessary, especially outside of USA and northern Europe. However, this will not happen until significant financial incentives in the form of carbon tax or carbon credit becomes available from national governments. Furthermore, private-public partnership and intergovernmental cooperation will be needed to implement these CCS projects.