Hydrogen cells, Net Zero, and a brighter future
So far, Malta operates a grid system which is fragile as it has seen patch work repairs and parts of the distribution cable still in use which critics say it is a relic from colonial times
by George M. Mangion
In the EU, there is an ambitious roadmap to reach net zero by 2050.With annual additions of solar and wind power reaching 630 and 390 gigawatts respectively by 2030, the IEA said that investment in renewables could put global GDP four percent higher by 2050 than it would be based on current trends. By 2050, it said that renewables capacity and greater efficiency would see global energy demand drop about eight percent compared to today, even as two billion more people gained access to electricity.
Everyone acknowledges that the green sector also creates jobs, makes electric grids more resilient, expands energy access in developing countries, and helps lower energy bills. All these factors have not yet fully succeeded to a renewable energy dream taking root in Malta. Citizens were given hope as many studies were commissioned over the decade, only to have wetted an appetite for low carbon emissions. Regrettably, the spirit was willing, but the body was weak. In 2019, Malta was at the bottom of the table in terms of the share of electricity coming from renewable energy (now we reached circa 13%).
Eurostat reveals others generated an average 34%. At the lower end of the scale, the share of electricity from renewable sources in 2019, was (8%), Cyprus, Luxembourg (10%) and Hungary (10%). The target plan for EU is to become the world’s first climate-neutral continent by 2050 -an admirable objective behind the European Green Deal. Readers remember how Donald Trump had ridiculed ‘climate change ‘and walked out of the Paris agreement signed in 2015. Unbelievably, this report reads like an indictment of humanity's stewardship of the planet. Many recall reading how in the past, scientists believed that limiting global warming to two degrees Celsius above mid-19th century levels would be enough to safeguard our future. This target was enshrined in the 2015 Paris Agreement, adopted by nearly 200 nations who vowed to collectively cap warming at "well below" two degrees Celsius -- and 1.5 degrees if possible. Stark reality shows that when analysing current trends.
The target seems to be heading for three degrees Celsius at best. How can we define climate change. Simply put, this will fundamentally reshape life on Earth in the coming decades, even if humans can tame planet-warming greenhouse gas emissions, according to a landmark draft report. Many studies show how renewables can be an effective solution to reach carbon neutrality. Renewables could supply four-fifths of the world’s electricity by 2050, generate hydrogen from the sea via electrolysis, massively cutting carbon emissions and helping to mitigate climate change. But solar and wind power must be fully integrated, with sustainable bioenergy, hydrogen fuel cells (apart from the innovative use of ammonia as a fuel) active storage facilities, providing another key part of the mix. All this means speeding up innovation in business and technology.
KPMG has launched its unique study “Net Zero readiness spotlight: Islands.” This ‘Net zero readiness’ series, co-created with CREATE-Research, highlights SIEs and how they can attract private capital in their journeys towards net zero. It assesses 36 countries and territories across the globe, including Malta, on their relative preparedness and ambition to achieve net zero, and their ability to attract private capital to fund the transition to a sustainable economy, while highlighting examples of practices that are already being deployed. This report is comprised of two research areas. The first is a country profile analysis across 19 different indicators to evaluate preparedness based on four pillars: 1) their contribution to decarbonisation; 2) their drivers of emissions; 3) policies and enabling environment; and 4) energy supply and use. In simple terms, it means the planet needs to start taking collective action to promote renewable energy before it is too late.
How is Malta faring in this quest? During the past decade, Enemalta invested circa €10 million investment in a modest wind farm in Montenegro. So far, Malta operates a grid system which is fragile as it has seen patch work repairs and parts of the distribution cable still in use which critics say it is a relic from colonial times. The extensive blackouts experienced last year, has angered consumers, including hotels, restaurants and industry managers that had to send staff home, hurt tourist business while many threw away tons of refrigerated stock. Obviously, most will agree that a constant supply of power is a pre-requisite for a healthy and flourishing economy with unprecedented rise in population.
Back on Net Zero, the importance of fighting climate change and reducing carbon footprint are both essential ,if we care to achieve EU standards by 2050.On the local insurance aspect, we meet MAPFRE who intent to continue adding to the demand for sustainability firmly and progressively, with concrete objectives that contribute to reducing the greenhouse gas emissions of the multinational’s insurance and reinsurance portfolio, and thus enable the company to reach a sustainable transition. MAPFRE has promised to transition its investment portfolios’ net Greenhouse Gas (GG) emissions and becoming a net zero (NZ) company by 2050. The insurance group joined the Net Zero Asset Owner Alliance in its sustainability plan 2022-2024, with which it aims to make progress on strategic objectives such as rating 90 per cent of its investment portfolio with ESG criteria at the global level, as well as neutralising the company’s carbon footprint by 2030. MAPFRE is not investing or insuring carbon, gas, or oil companies that don’t have an energy transition plan.
These targets reflect the company’s ambition to take an active role in the necessary and urgent transformation towards a low-carbon economy. Certainly, the new hobby horse is hydrogen fuel technology. Some criticize that the EU Green strategy is not as revolutionary as it may seem when it concerns hydrogen, as only lip services were paid to reduce the use of fossil fuels. Without any doubt, apart from nuclear power, the use of green hydrogen is an ideal option for the decarbonisation of the energy system. In conclusion, one cannot label hydrogen fuel cells as a panacea as there exist challenges to translate this revolutionary concept into a commercial reality. This noble aim comes with integral regulation for the global market of transport, shipping and aviation.
