The UN Climate Change Conference in Paris, or COP21, hosted last December, has pushed the issue of clean energy to the top of the global political agenda – with a number of key governments making strong carbon-cutting pledges to reduce global warming by stepping up investment in renewable energy projects.
But with a global energy mix comprising only renewable sources likely unattainable in our lifetime, Kirk Edelman, CEO of Global Energy Finance at Siemens Financial Services (SFS), takes to LinkedIn to explain that to support renewables is not to reject fossil fuels entirely. In fact, he argues that natural gas-fired generation is the perfect partner for renewables – not only is it relatively climate-friendly, but modern gas-fired power stations can also operate flexibly, allowing them to respond to fluctuations in renewable energy output. Specifically, he discusses the Temple I, Temple II and Sherman, natural gas-fired power plants in Texas, U.S., for which SFS will provide financing by committing debt capital.
Ultimately, he hopes that these types of clean, flexible power plants will facilitate the development of renewable energy projects – such as onshore and offshore wind farms – without compromising the reliability of transmission and supply. Overall, this will support the goal of COP21 to cap global warming to 2°C between now and 2100 – above which, scientists predict would have irreversible consequences for the environment.
To read the LinkedIn Pulse post, click here.