Meeting the new energy reality by strengthening energy supply

The global energy transition is facing a critical trilemma, balancing energy security, affordability and sustainability. In a world shaped by poly-crises, the question we must ask ourselves is: how can we ensure a reliable energy supply while advancing the transition to a sustainable future? 

Building resilient energy systems in a shifting landscape  

Energy resilience is no longer optional; it’s essential. Global energy demand is projected to grow by 11–18% by 2050, putting increased pressure on existing systems. Meanwhile, geopolitical risks and market volatility challenge energy imports and disrupt supply chains.  Addressing this vulnerability means prioritizing resilience. 

Diversifying energy supply: a global imperative 

Diversifying energy sources is critical to mitigating risks of supply disruptions and price volatility.  Renewable fuels and e-fuels, for instance, can transform the way we produce, transport and consume energy. They drive sustainability while improving localized energy production - empowering nations to meet their energy needs independently. 

To truly strengthen our energy supply, we must embrace diversification across energy production and value chains. 

Denmark: A proven model of clean energy resilience

Denmark is a compelling example of achieving greater energy independence and resilience by diversifying clean energy sources. In the 1970’s, over 90% of the country’s energy consumption depended on oil imports. Today, thanks to a national commitment to renewable energy, Denmark’s energy self-sufficiency has reached 59%, with renewables accounting for 82% of its electricity grid. Investments in biogas, biomass and waste-to-energy have further solidified its energy resilience. Denmark shows us that transitioning from fossil fuels is not only achievable but transformative. 

Tackling supply chain vulnerabilities 

Diversification must also address vulnerabilities in clean technology supply chains. Single sources supply or over-reliance on a few nations creates exposure to geopolitical risks and potential supply disruptions. 

Efforts to localize production are already underway. For example, both Europe and the United States are investing in domestic clean technology manufacturing to limit reliance on imports. These initiatives are vital to reducing risks and ensuring a stable supply of critical components like electrolyzers. 

India: Advancing green hydrogen and green ammonia for energy independence 

India, too, highlights the importance of diversifying energy supply. The country heavily depends on natural gas imports for fertilizer production, with public subsidies for fertilizers reaching $14.2 billion in 2022/23. As fertilizer production is set to grow from 3 MT to 7.5 MT by 2025, this dependency leaves India vulnerable to price volatility and financial strain. 

To counter this, India is advancing green hydrogen policies to support domestic production of renewable hydrogen and green ammonia. These efforts promise to strengthen energy independence while addressing both economic and environmental challenges. 

Topsoe’s role in strengthening energy supply 

Topsoe is actively helping to shape the future of energy resilience. A prime example is Project REDDAP 1, where we support localized green ammonia production. By integrating a fully dynamic ammonia synthesis loop with renewable energy sources like wind and solar, this project demonstrates how advanced technology can enable efficient, decentralized energy systems. This kind of innovation is essential to meeting the demands of a net-zero future. 

Looking ahead 

As the world confronts the complexities of the energy transition, the path forward demands innovation, unwavering collaboration and scalable solutions. At Topsoe, we are committed to driving this transformation – delivering proven technologies that empower industries to transition toward a net-zero future, while fueling innovation, economic prosperity and energy security.