Challenges of Energy Transition Away from Fossil Fuels

Assessment

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
CONCLUSION ...............................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
The concept of energy transition is said to be the shift of the global energy sector from
the systems of the energy production as well as consumption that are based on the fossil fuels
such as natural gas, oil, etc. The transition of the energy is considered as change within the
structure of supply of primary energy along with gradual shift from a particular pattern of energy
provision to a new form of system of energy. It is a significant enabler of the process of the
sustainable development as well as the climate resilience (Chilvers and et.al., 2021). This
assessment is based on an essay regarding the critical assessment of the main challenges that are
associated with the energy transition away from the fossil fuels.
MAIN BODY
Energy transition is a pathway for the purpose of transforming needs large investments in
the renewable measures in order to gain the efficiency, accessibility and conservation of energy.
It will be enabled by information technology, policy frameworks, smart technology as well as
market instruments. There are various challenges of the energy transitions and some of these
challenges consist of policy and regulation challenge, financial issues, networks issue,
technological challenges and many more.
The challenge of policy and regulation is considered as a major challenge of the energy
transition. In comparison to the previous great changes within global energy system, the most
significant driver of existing energy transition is that it is being driven by the policy as well as
regulations of the government. Contrary to it, earlier energy transitions that have been on the
basis of inter-fuel competition with oil, coal or gas emerging as effective sources of energy that
are driving economic growth and industrial development. Existing energy transition gets driven
by a distinct motive of averting or mitigating the change of global climate which is occurring as
a result of energy sector emissions and places at a grater cost in comparison to present energy
alternatives. But this highlights one of the major underlying challenge to the energy transition
and includes current failure of the market place to pricing in environment externalities (Hansen,
Liu and Morrison, 2019). Consequently, although renewable as well as other forms of energy
that are free from carbon will ultimately replace the hydrocarbons which is a driver of industrial
development, at its starting stages the transition has been catalysed through policy and has also
required state assistance in order to encourage the investment. Another related area is concerned