Clean energy had a big year. So did coal.

Presented by Chevron: Your guide to the political forces shaping the energy transformation

Oct 20, 2022 View in browser   By Arianna Skibell Presented by Chevron Wind turbines spin near the Mettiki Coal processing plant on Aug. 23 in Oakland, Md. | Chip Somodevilla/Getty Images Significantly boosting clean power is key to reducing planet-warming emissions and blunting the worst of climate change. So, how's that going? On the plus side for climate action, solar and wind power grew enough this year to offset emissions from an increase in global coal consumption. But that rise in coal — driven by spiking natural gas prices — is a step back from the world's carbon goals. Meanwhile, tenacious supply chain problems from the early days of Covid-19 are continuing to slow deployment. And while carbon pollution increased less than many expected this year, it still rose — inching the planet closer to the edge of climate catastrophe. Let's first dive into the clean power gains. The International Energy Agency said Tuesday that global carbon dioxide emissions from the energy sector are on track to increase 1 percent this year, a much smaller bump than energy analysts feared. In a story today , POLITICO's E&E News reporter Benjamin Storrow breaks down the global dynamics at play — and it's a bit of a roller coaster. Global emissions were steadily declining before Covid-19. Then they dramatically dropped in 2020, before swiftly rebounding in 2021. Conventional wisdom said energy demand would rise significantly this year as the economy recovered from lockdown. Then, Russia invaded Ukraine, catalyzing a global energy crisis. Europe splurged on natural gas to replace Russian imports, causing prices to skyrocket and some countries to turn to carbon-intensive coal as a fuel replacement. Two factors helped keep heat-trapping emissions at bay, Ben explains. Covid lockdowns in China, the world's leading CO2 polluter, slowed demand for coal and oil. And renewable power such as solar and wind exploded. In fact, global clean power generation is expected to hit 700 terawatt-hours this year — more than Canada's total energy demand in 2021. You probably sense a "but" coming. As POLITICO's E&E News reporter Peter Behr writes, the country is experiencing an increasingly dire shortage of transformers — the equipment that basically transforms raw power, if you will, into electricity for consumers. That means utilities could struggle to add enough new wind and solar energy to meet the country's net-zero goals and keep the lights on when storms damage their depleted transformer stockpiles. Most U.S. transformers are near or past their expiration dates, and extreme storms are hitting grid infrastructure harder, depleting reserves. Covid busted supply lines and doubled delivery times in some cases. Clean power deployment also faces other hurdles, such as a backlog of transmission projects necessary to carry wind and solar into dense urban areas. The world is slowly curbing emissions, but we have a ways to go if we're going to successfully tiptoe away from the climate cliff's edge.   It's Thursday — thank you for tuning in to POLITICO's Power Switch. I'm your host,  Arianna Skibell.  Power Switch is brought to you by the journalists behind E&E News and POLITICO Energy. Send your tips, comments, questions to  askibell@eenews.net. Listen to today's POLITICO Energy podcast Today in POLITICO Energy's podcast: Ben Lefebvre breaks down the White House's latest attempts to slash gas prices by releasing oil from the Strategic Petroleum Reserve.   A message from Chevron: The fuels of the future can come from unexpected places. Find out how Chevron is working with partners to convert the methane from cow waste into renewable natural gas. Learn more.   Power Centers Pumpjacks operate in the Belridge oil field near McKittrick, Calif., last year. | Mario Tama/Getty Images Political calculations The Biden administration has put off releasing its proposed rule to reduce methane at oil and gas wells for weeks now, writes Jean Chemnick . The delay comes as the president faces criticism for issuing new regulations for U.S. energy companies, even as he presses foreign suppliers to increase oil production to lower gasoline prices. Still, President Joe Biden has managed to bring prices down slightly by dipping into the Strategic Petroleum Reserve, writes Adam Atom , making more of a market impact with that stockpile than past presidents have managed. Job generation A $2.8 billion investment by the Biden administration could start to create a real domestic supply chain for electric vehicles, but it will produce relatively few new jobs, writes David Ferris . While auto and battery plants are serious job generators, the companies that are getting funding from the Department of Energy to create battery precursors are more modest in size and earlier in their development. Most expect to employ just a few hundred people. The EU strikes back The European Commission is hitting back against a rebellion from national governments that are withdrawing from an energy treaty they say is a climate killer, write Karl Mathiesen and Sarah Anne Aarup . Spain, the Netherlands and Poland have all declared their intention to exit the Energy Charter Treaty. Italy left in 2015, and Germany, France and Belgium are considering it. Trends The 2023 electric Jeep Wrangler is introduced at an auto show in Detroit. | Bill Pugliano/Getty Images Buckle up, y'all. Parents are putting their teenagers behind the electric wheel. According to a national survey by Cars.com, 74 percent of parents said they believe teen drivers should learn to drive an electric car, while 59 percent said they expect their teen to learn about operating and maintaining an EV from either a family member or driving school. For some student drivers, electric vehicles are already the norm as in-school driver education programs increasingly use EVs for hands-on instruction.   A message from Chevron:   Subscriber Zone A showcase of some of our best subscriber content. Soybeans are ready for harvest at a farm near Wyatt, Mo. | Scott Olson/Getty Images Yields of corn, wheat and soybeans in three critical Midwest states will suffer from climate change within a decade unless farmers adopt new growing techniques. EPA proposed a rule that will reduce the use of hydrofluorocarbons by 40 percent — the second step toward fulfilling an emissions reduction target set by Congress. A federal agency faulted the Coast Guard for an oil-industry boat accident that killed 13 people. That's it for today, folks! Thanks for reading.   A message from Chevron: Energy demand is growing. Meeting that demand calls for innovation. That's why at Chevron, we're working with partners to convert the methane from cow waste into renewable natural gas. Through our partnerships, we expect to increase our RNG production 10x by 2025. Learn more.     Follow us on Twitter Arianna Skibell @ariannaskibell   Follow us

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