Summary of The Future of Electricity

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The electricity industry is transforming. Renewable energies and natural gas reserves offer opportunities for countries to decarbonize electricity, bolster energy security and cut imported fossil fuel supplies. But those changes are raising costs and threatening returns on investment, according to this incisive World Economic Forum report. getAbstract recommends this illuminating look at electricity’s future to industry leaders, policy makers and investors.

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The World Economic Forum is an independent global organization that engages leaders of business, politics, academia and society to improve the state of the world.



To reduce electricity’s carbon intensity, several OECD countries have made significant inroads in developing nonhydro renewable sources of electricity, such as geothermal, biomass, wind and solar. While these efforts so far have helped lower overall carbon intensity and decrease imported fossil fuels, renewable resource expansion demands high up-front investments. Electricity-sector investments in the OECD totaled $3 trillion between 2000 and 2012, and the industry will need another $7.6 trillion by 2040 to meet the objective of deriving 24% of electricity from nonhydro renewable sources.

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