The electricity sector is
at an inflection point.
And the challenges ahead have created
an unprecedented investment opportunity.
Global demand on the electric grid is
primed to outpace demand for all other types of energy
in the next 25 years. And that demand
isn't for traditional electricity–
It's for smart,
sustainable,
climate-proof electricity.
Today's aging grid needs
strategic investment and careful stewardship
in order to modernize and meet
the challenges of tomorrow.
But what will it really take to ‘modernize’
the grid?
It takes climate-proofing.
Tomorrow’s grid will need to withstand more frequent
and extreme weather events,
from storm surges to severe snowfall,
all while accounting for the upward
pressure on demand that such weather creates.
We need to make the grid smarter,
by deploying smart meters,
enabling two-way communication between
operators and customers,
to help optimize both supply
and consumption.
We need to account for the rise of the ‘Prosumer’.
Consumers who are active players in the grid,
using real-time pricing to optimize their use,
or even generating additional power
themselves.
And finally?
All of the above needs to be renewable,
to slash emissions.
Almost two-thirds of the world’s electricity
is currently generated using fossil fuels.
And the IEA has stated that emissions from
electricity will need to fall by 55%
this decade in order to hit
net-zero by 2050.
These changes aren’t optional–
they’re a requirement of doing business
in tomorrow’s global reality.
And modernization won’t be cheap–
that’s why electricity investment will
need to at least triple from current levels.
But that investment is primed for
long-term rewards.
OTPP has already invested in a number of
grid modernization projects around the world,
with even more future-proofing projects
still to come.
Because whether it’s electric vehicles,
Smart heating, ventilation,
and air-conditioning (HVAC),
or the very screen you’re watching this video on,
the electricity demands of tomorrow,
have already arrived.