The report examines current and potential future impacts of these climate trends on the energy sector. It identifies activities underway to address these challenges and discusses potential opportunities to enhance energy technologies that are more climate-resilient. Its major findings include the following.
- Power generation facilities are at risk from decreasing water availability and increasing air and water temperatures. This reduces the efficiency of cooling, increases the likelihood of exceeding water thermal intake or effluent limits that protect the environment, and increases the risk of partial or full shutdowns of generation facilities.
- Energy infrastructure located along the coast is at risk from sea level rise, increased storm intensity, and higher storm surge and flooding which can disrupt oil and gas production, refining, and distribution, as well as electricity generation and distribution.
- Electricity transmission and distribution systems carry less current and operate less efficiently when air temperatures are higher, and they may face increasing risks of physical damage from more intense and frequent storm events and wildfires.
- Increasing temperatures will likely increase electricity demand for cooling and decrease fuel oil and natural gas demand for heating.
- improved energy efficiency and reduced water intensity of power generation through using innovative cooling technologies and non-traditional water supplies such as municipal wastewater and water capture and reuse;
- improved grid equipment and operations to manage changing load conditions and increase reliability and resilience;
- increased resilience of energy infrastructure to wildfires, storms, floods, and sea level rise, including “hardening” existing facilities and structures (e.g., transmission and distribution lines, power plants, oil and gas refineries, and offshore oil and gas platforms); and
- enhanced demand-side management and development of energy- and water-efficient and energy-smart appliances.