Snippets for 7 July 2022

Thanks for reading our latest issue of Snippets. This week, we examine the continuing journey into renewables and away from fossil fuels. Whilst some of the fiscal numbers such as $9.2 trillion per annum seem large, are they really, compared to the damage being caused to our ecosystems and from climate induced extreme weather events?

And every day, renewable technologies keep on getting cheaper, with on-shore wind at $32 MWh and solar PV at $34 MWh. This compares with industry calls in Australia to allow coal gas fired stations to be allowed to offer bids of up to $600 MWh. Yes, the Australian electricity market is broken. We also examine various forms of energy storage, in this case green ammonia, which when not being used as storage can be used in the production of fertilizers.

Rival technologies are jockeying for ascendancy in the emerging internal combustion transport space, which sees green hydrogen, battery storage and green ammonia all seeking to prove themselves more adept depending on the distance and weight of the required transportation solutions.

Also featuring this week is the softer side of sustainability and how we can implement changes in behaviour and thinking. From utilising an internal price of carbon to get managers thinking of solutions that reduce emissions, to changing thinking of individuals through visual imaging.

We wrap up this week with articles on a Brazilian forestry/pulp/paper provider who is planting 650,000 trees every day, at the same time as seeking to lift their local communities out of poverty; to e-cycling in India and how they have a vision to create a circular economy; and lastly with doing away with car parking close to transport hubs in order to reduce housing costs and promote a greater uptake in public transport.

Getting to net zero will require fast and dramatic, large scale change across industries. This article looks at the kind of change that will be required across businesses, over the next few decades. The key is in scaling up appropriately and there are a lot of tips to ensure businesses do just that. From taking the lead by being ambitious, to pre-empting scaling with captive demand, to front footing recruiting expertise - businesses that plan their scale up well, will reap the benefits. Read more....

Whilst many of us may have heard of green hydrogen by now, fewer may have heard of green ammonia. For its supporters, green ammonia is the key to decarbonising the agriculture sector. It can be used not only as an effective fertiliser but also as a fuel - all without producing CO2, as it is created using renewable energy. Though it’s not without its problems, ammonia has specific use-cases for transportation and storing energy and observers expect production will ramp up significantly, alongside biofuels and hydrogen. Read more....

At the same time as green ammonia is arriving on the scene, green hydrogen is really starting to scale up. Often touted as the solution to decarbonising heavy transport, shipping, and aviation, the demand for green hydrogen is expected to increase dramatically in the coming years. And governments are taking a concerted effort to bring the price of green hydrogen down via tax credits and research subsidies. The expectation: green hydrogen will reach price parity with hydrogen produced from natural gas by the end of the decade. Read more....

Transitioning from fossil fuels to renewables could help us limit global warming to 1.5° C. One of the stumbling blocks has been the high cost of financing. This has now changed dramatically, as we have seen lenders and investors become more comfortable with the performance of the assets and their growth of knowledge and experience of the industry. More installed capacity provided the opportunity to understand the overall process: a classic case of learning by doing. This research brings in some carefully calculated predictability to future development of renewables. Read more....

Medium and heavy commercial vehicles are generally used for transporting goods via road. It is estimated that by 2040, the demand for goods transported by road will climb by a further 50%. This industry cannot ‘truck’ along if they are to help the world meet its climate goals and this article discusses about how the future of carbon-free trucking isn’t batteries for now. Volvo Trucks is progressively developing trucks that run using three different technologies, building charging networks, and developing fuel cells. Read more....

On the journey to a carbon free future, long term a behaviour change is needed; a psychological change. In business and in individuals. Soft changes now will help get us all more prepared for harder ones that will inevitably be needed in future. Businesses are seeing the benefit of a change to an internal carbon price, a tool that turns the sometimes incomprehensible “tonnes of emissions” generated in a business, into a dollar figure that is more easily understood, with 80% more businesses using this now than 7 years ago. Read more....

Individuals on the journey to a carbon free future are not all affected by images of how climate change is impacting the world in the same way. Images that show people taking small actions to tackle their emissions are more impactful and drive more positive outcomes than, say, the stranded polar bear or a ravaged landscape. And interestingly, the age of the viewer is especially important, with millennials, “boomers”, Gen X’s and Gen Z’s all reacting to very different types of marketing imaging. Read more....

Can the largest pulp and paper company in Latin America, be considered sustainable? It seems that the 98-year-old Brazilian company Suzano is certainly putting effort into doing just that. In managing nearly 20,000 square kilometres of land Suzano plants 650,000 trees a day; the goal to regenerate degraded pasture and keep on top of stock levels. It is also striving to lift 200,000 ‘local’ people out of poverty, by providing knowledge and assistance to feed themselves and make a living. While not perfect, the goals they have set are impressive. Read more....

India is the world’s third largest generator of e-waste, and surprisingly has always had an expansive but informal recycling network. Now industry leaders want to see India take the lead in the electronic recycling market and become a truly circular economy. They would do this by providing products made locally, that can be repaired, and upgraded and that are built well enough to extend product life. With an annual market currently worth $180 billion, and local brands only accounting for 5.5%, improving that share would have direct benefits to the local economy. Read more....

In our final article we look at the shift away from mandated parking requirements for businesses and residential properties. Although this article focuses on the US, the same is probably occurring globally. With parking spaces ranging from between US$20,000 to $60,000, it adds costs to a property purchase and takes up space that could otherwise be used for living space. The regulations in this case, focus of property near transport hubs and questions whether there is a need to own a car if you are close to public transport networks. Read more....