How Has COVID-19 Shifted The Global Energy Paradigm?

Solar energy has always been a crucial prospect in sustaining a balanced life on Earth. The various resources have been depleting constantly, and with the advancements in the industry and global trade, these resources have been used at a greater rate which has its repercussions. A decline in global energy resources means a sudden drop in energy production all over the world which would result in a collapsed trade system and a wounded world economy.

The current situation regarding the COviD-19 pandemic has resulted in a shift in the global energy paradigm. To our understanding, this shift is not completely circumstantial to this pandemic, but the prevailing lockdown situations and the halted trade system have somewhat impacted the decline of fossil fuels in the power sector. Moreover, the crude oil prices have been at a record-low point with the demands of overall energy usage has been decreased by 6%. Oil and coal demands are also expected to drop considerably by the end of 2020 consequently.

Keeping this in mind, the governments of the world are now realizing a needed trend shift towards a more independent, long-lasting, and renewable sources of energy production for a more sustainable future.

To what extent is this trend shift circumstantial:

Although this pandemic is unexpected and a unique circumstance, the trend towards renewable energy is not entirely due to this. However, the current crisis situation is believed to enhance the rate at which this trend shift will occur. Three major factors that have caused the rise in renewable energy.

Major dictating factors:

• Policies have been prioritizing the usage of cleaner and cheaper sources of energy for better market and industrial regulations for the post-pandemic era. On a domestic level, the crisis has resulted in a change of peak hours for energy usage. A relatively flat-peak has nullified the need for non-renewable backups. People are inkling towards a more sustainable and cleaner form of energy. Moreover, a greater understanding of world pollution and climatic changes has resulted in a more progressive thinking and a needed shift towards renewable energy. Solar energy has been the most common with different households opting for solar-powered appliances. Even celebrities are following this with their heating systems run by solar power. Platforms like https://poolhomeschool.com/best-pool-equipment-reviews-gas-electric-solar-pool-heaters/ are promoting this shifted paradigm by providing solar heaters at your doorstep.
• The sustainability and innovations in the fields of renewable energy have led it to become one of the cheapest forms of electricity production. With the decrease in global energy demands, the producers have sought to adopt a cheaper form of energy production to compensate for this lower demand. This trend has been largely demand-led and hence this trend is expected to be more than just a short term shift.
• The current pandemic situation forced governments all over the world to adopt the lockdown strategies which have caused a hindrance in global trade. This has provided a vivid realization that current global energy production is largely trade-dependent accustomed to normal, non-crisis times. Hence the need for an independent and sustainable energy source for hindrance free energy production is crucial now more than ever.

A fresh start: post-pandemic strategies:

As industries and businesses are restating, this pandemic situation has provided genuine opportunities for the energy sector. They have had time to reflect upon the importance of cleaner and cheaper sources and how the changes in demand can be dealt with more efficient and green-recovery policies.

Conclusion:

Although the shift towards renewable resources has been prioritized much before the crisis, however, the pandemic has definitely accelerated the rate at which this trend shift will occur in years to come.