Renewable electricity is widely recognised as the backbone of the energy transition. The early years of the transition have seen the share of renewable resources (solar, wind, hydro, and nuclear) grow in proportion to fossil sources (coal, oil, and gas). In its Energy Transition Outlook 2026, DNV forecasts the share of electricity in the global final energy demand will double from 16% in 2026 to 33% by 2045. In this edition of Decarbonisation Technology, we share two articles on systems integration for electrification that highlight the need to design grid connections and grid flexibility alongside expanding energy storage capacity. Prolonged geopolitical conflicts mean energy security and affordability will be key drivers of the energy transition in the immediate future. In its Oil Market Report – October 2026, the IEA reported that diesel prices reached an all-time high of more than $200/bbl, with broad economic consequences for the price of goods and inflation. Inventory drawdowns mean country-level reserves of oil products are now at their lowest levels in nearly 10 years, with winter approaching in the Northern Hemisphere. Energy importers are increasingly turning to domestic renewable solutions to reduce their dependence on imported fuels. Even so, fossil energy sources will continue as the largest global primary energy supply into the 2050s. This emphasises the importance of reducing carbon intensity (carbon dioxide and methane) during upstream oil and gas extraction and downstream manufacture, followed by combustion of hydrocarbon fuels. Emissions from road transport are declining due to the growing share of electric vehicles. However, for the harder-to-electrify transport sectors, biofuels and e-fuels are the only practical ways to reduce the carbon intensity of marine and air transport. Industrial clusters are being designed to minimise carbon emissions by sharing investments in facilities such as carbon (dioxide) capture, pipelines, and storage. Rethinking the use of waste streams from agriculture and forestry operations can reduce the carbon intensity of food and forestry products to help restore a healthy balance in the carbon cycle. Developments such as capturing methane from palm oil mill effluent and using lignin as a refinery feedstock show that the future of sustainable hydrocarbons, like renewable electricity generation, involves integrating a diverse mix of energy sources. Referring back to DNV’s Outlook 2026 , global emissions are likely to be reduced by 44% by 2050. This still means we are likely to exceed the 2.0ºC global warming target by 2051. Perhaps we can all consider what more we can do as individuals to reduce our domestic emissions?
Managing Editor Rachel Storry rachel.storry@emap.com Consulting Editor
Robin Nelson robin.nelson@ decarbonisationtechnology.com Sub-Editor Lisa Harrison lisa.harrison@emap.com Graphics Peter Harper Account Director Renzo Latella renzo.latella@emap.com Business Development Director Paul Mason info@decarbonisationtechnology.com tel +44 844 5888 771 Managing Director Richard Watts richard.watts@emap.com
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Cover story Dragon LNG Terminal, Milford Haven, UK. Courtesy of Shell
Robin Nelson
www.decarbonisationtechnology.com
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