Under the UK’s new electric vehicle policy, electric vehicles are likely to need 23 teraWatt hours by 2030 and 56tWh by 2050, equivalent to 7% and 17% of total 2016 UK power demand. One teraWatt = 1,000,000,000,000 Watts An average fridge consumes 35 Watts per day Power-guzzlers Investment needed Supporting the growth in demand for energy will require significant investment in renewable energy, replacing ageing infrastructure, installing smart energy systems and electric vehicle charging stations, and providing adequate energy storage facilities. More than £185bn by 2030 More than £396bn by 2050 0 100 200 300 400 £(bn) Power needed to keep EVs on the road 56tWh 2050 2030 23tWh The UK is committed to reducing greenhouse gas emissions by 80% between 1990 and 2050 Solar and wind power are known as intermittent renewables, and in the UK supply is well matched to demand on a monthly/seasonal basis: more sun in summer and even more wind in winter. However, on a daily basis in winter when demand is at its highest, the coldest temperatures are typically accompanied by low wind speeds. This results in an inverse correlation between demand and supply. Reliable energy storage is thus essential. Lithium-ion batteries are crucial for storing the unreliable energy output of intermittent renewables. But for longer-duration energy storage and output requirements, pumped- storage hydroelectricity and hydrogen offer far superior economics, making a mixed-technology solution most viable. The way energy is generated is changing rapidly around the world, and governments, organisations, investors and individuals are all in search of effective ways to adapt. A successful transformation to a low-carbon future requires a focus on new technologies low on CO 2 with substantial investment in efficient energy storage, electric vehicle charging infrastructure and smart energy systems. 2040 Sale of ICE cars and vans banned 2050 Use of ICE vehicles banned Harnessing weather to meet demand The Energy Revolution Storing good energy Currently, ground transport and heating are two of the largest carbon emitters, together producing nearly two and a half times the amount of CO 2 generated by power stations in 2016. They’re also huge energy consumers, using roughly the same amount of energy that was electrified in 2016. Electric vehicles (EVs) could help lower pollution, but it depends on where they source their electricity. If, for example, an EV is charged by electricity from a standard coal power station, it will emit nearly twice as much CO 2 during its lifespan as a similar vehicle with an internal combustion engine (ICE). Power stations Down 61% Heating Down 16% Road transport Down 0.7% How the UK has reduced its CO 2 emissions between 1990 and 2016 Emissions depend on the energy source The biggest emitters The law of the land Electric vehicles to the rescue? Comparing the emissions of electric * and internal combustion engine (ICE) vehicles over their life cycle *265 mile range. Source: Drax, UCSUSA, IVL, UK Government, RAC, Barclays Research estimates Coal Open cycle gas turbine used at peak hours only Average combined cycle gas turbine (CCGT) High-efficiency CCGT DRAX power station biomass 1.2x 0.8x 0.4x 0x 1.6x 2x 17 % UK power stations' contribution to greenhouse gases in 2016 40% Heating & ground transport's contribution to emissions in 2016 Source: Company Reports, Barclays Research estimates National Grid predicted range National Grid predicted average Barclays predictions Hydrogen storage Pumped-storage hydroelectricity Power station Lower reservoir Turbine Upper reservoir Water pumped up for storage Water flows down to generate electricity 1990 2016 Source: Committee on Climate Change, UK Government, Barclays Research Estimates. Source: Company reports, Barclays Research Estimates. With the electrification of transport and heating, the UK's appetite for power will increase. It will need to be met in new and innovative ways over the coming decades to meet demand and reduce emissions. Compared to 2016, demand for power will grow 6% by 2030 and 22% by 2050. Hungry for power Total electricity demand UK electrification: the road to 2050 In the coming decades, transportation and heating in the UK will increasingly be powered by electricity. To ensure this rise goes hand-in-hand with a reduction in greenhouse gases, renewable energy will become even more important. So what will it take for the UK to seize the opportunities and overcome the challenges ahead in the Energy Revolution? Avg comparable ICE 1.9x 1.5x 1.3x 1.2x 0.7x 300 320 340 360 380 400 420 tWh 2008 2014 2020 2026 2032 2038 2044 2050