The Energy Transition

Make your energy transition add up to more. From greener supply to leaner demand - delivering radical decarbonisation by scaling up renewables, building greener and operating smarter.

Thrive through transition

To win this race, every industry needs to do more – and use less. Delivering radical decarbonisation by scaling up renewables, building greener and operating leaner. By creating sustainable outcomes for people, planet and performance, we can help you target the change that matters to make the transition add up to more.

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Professor Michael Pollitt on the Energy Transition

Prof. Michael Pollitt (Professor of Business Economics, Judge Business School, Cambridge University) on the market design systems required to meet net zero goals and the key uncertainties that remain for a global energy transition.

Question [00:00:03]

“How do you see the energy transition in a broader economic context? Do we have the market design system in place to achieve net zero goals?”

Prof. Michael Pollitt [00:00:09]

The energy transition is about pricing the carbon externality, and that's about raising the price of carbon in the global economy in order to reduce the externality. So that is, you know, the fundamental economic problem that we need to deal with.

Question [00:00:27]

“Where do you see Europe, the US, Africa and Asia on the energy transition runway? What are some interdependencies?”

Prof. Michael Pollitt [00:00:34]

I think that Europe is clearly ahead in terms of making progress with the energy transition, both in terms of the setting of targets and getting those into legislation, but also in terms of policies being put in place that would actually deliver net zero.

Then I think other places are at various stages. I think the US is beginning to do things at the federal level, in addition to the things it's already been doing at the state level in some states, where essentially California and New York, New England have got European style energy and climate targets, and then other places, you know, can be brought along as part of the energy supply chain.

I think China remains a very hopeful location for the world, both in terms of delivering low carbon energy equipment, but also eventually implementing low carbon policies. 

Question [00:01:31]

“Do you think there are any key uncertainties that remain in the energy transition agenda and the move to net zero?”

Prof. Michael Pollitt [00:01:36]

We're getting to the point where energy transition is going to be expensive.

We've been doing the easy things so far, which are the decarbonisation of the power sector with wind and solar. Once we begin to move on to heating and transport, things get significantly more difficult.

I think transport, there are good signs in terms of battery technology in the emergence of electric vehicles, but you know, still that's posing problems in terms of supply chains and the delivery of the quantity of vehicles that we might need.

And in heating, we're only just beginning to grapple with the political costs of a heat transition, which are gonna create very different costs for individual households depending on which heating technology they've got the possibility to adopt.

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2:40

Professor Michael Pollitt on the Energy Transition

Prof. Michael Pollitt (Professor of Business Economics, Judge Business School, Cambridge University) on the market design systems required to meet net zero goals and the key uncertainties that remain for a global energy transition.

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Sep 22-29, 2024 | New York

Building a sustainable business takes more than good intentions. It’s about delivering sustained outcomes that are a win for all. By leading responsively and responsibly, progress can be made toward building greater resilience and trust. 

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February 29, 2024 | Riyadh, Saudi Arabia

PwC and KAPSARC co-hosted a workshop on the role of sustainable finance on February 29, 2024, in Riyadh. The workshop provided a platform for policymakers, market participants, and knowledge institutions to exchange ideas on sustainable finance and its crucial role in achieving KSA’s net-zero ambitions. The event facilitated productive discussions among stakeholders in KSA's energy transition and sustainable finance sectors, incorporating global, regional, and local perspectives.

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October 21st | Milan, Italy

The event will provide you with the opportunity to meet, discuss, exchange ideas and network with Southern-Eastern European projects and stakeholders from the wider energy landscape. Learn about R&I projects around Europe and contribute to the identification of R&I gaps, challenges, and priorities, promoting a vibrant exchange of ideas and best practices.

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Wednesday, October 16, 2024 4:30 pm to 6:00 pm

What’s holding industries back from accelerating their clean hydrogen initiatives?

Get the answers at our upcoming webcast, 'Navigating the hydrogen ecosystem' on 16 October 2024. Join to explore how every stakeholder can play a pivotal role in developing a robust hydrogen market and listen to some of the most profiled executives in the hydrogen ecosystem in the subsequent panel discussion.

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Energy Transition, Partner, PwC Australia