Welcome to today’s GridBrief! We’re examining the potential impacts of Trump’s second term on energy policy, with fresh insights from Wood Mackenzie and analysis of Chris Wright’s nomination to lead the Department of Energy. Plus, Zimbabwe’s power tariff overhaul is sparking major energy investments.

WoodMac: Trump Energy Agenda Faces Roadblocks

Grid-Scale Implications: Fossil fuel revival meets renewable inertia.

A detailed analysis from Wood Mackenzie reveals the complexities of President-elect Trump’s energy agenda. While lighter regulations and protectionist trade policies are likely to favor fossil fuels, the bipartisan backing of the Inflation Reduction Act (IRA) ensures its partial survival. Over $220 billion in manufacturing investments tied to the IRA—largely concentrated in Republican-led states—create political barriers to wholesale repeal.

Despite Trump's intent to curtail offshore wind and promote coal, market forces remain powerful. Solar and energy storage pipelines show resilience, with 100 GWdc of utility-scale solar projects contracted and energy storage expansions critical for grid reliability. Meanwhile, new tariffs on metals and equipment could inflate costs for renewables and traditional power infrastructure alike, further complicating Trump’s pro-energy independence stance.

Key Players to Watch: Expect a tug-of-war between the DOE and EPA, as well as market shifts in advanced manufacturing and LNG exports.

Chris Wright’s Energy Nomination: A Bold but Polarizing Choice

Grid-Scale Implications: Hydraulic fracturing expertise, fossil-first policies.

President-elect Trump’s selection of Chris Wright, CEO of Liberty Energy, for Secretary of Energy signals a fossil fuel-centric policy shift. Wright, a vocal climate skeptic, has publicly dismissed the concept of a climate crisis and criticized terms like “energy transition” as “deceptive.” While his expertise in hydraulic fracturing and well completion underscores his technical acumen, his nomination has drawn fire from climate advocacy groups.

Wright is expected to focus on bolstering U.S. natural gas and LNG exports, with potential deregulation across sectors. His appointment aligns with Trump’s broader energy strategy, which prioritizes baseload generation and increased domestic production. This direction, however, could alienate clean energy investors wary of policy uncertainty.

Industry Reaction: Energy Workforce & Technology Council lauds Wright’s nomination as a step toward “unleashing American energy,” while environmental groups warn of significant climate policy setbacks.

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Conversation Starters

• Zimbabwe Tariff Reforms Drive 3,000 MW in Energy Investments
  New cost-reflective tariffs spark mining-led power projects, promising to stabilize Zimbabwe’s energy grid by 2026.
  

• TC Energy Projects Rising Gas Demand and Nuclear Expansion
  The pipeline giant forecasts $1.5 billion in new growth projects amid record natural gas consumption.
  

• Microreactor Testing Expands at INL’s DOME Testbed
  Westinghouse and Radiant secure $5M to test portable microreactors for decentralized energy systems.

Good Bet, Bad Bet

Bad Bet: IBM’s Infamous “Nickel-Zinc Supremacy” Prediction
In the late 1980s, IBM boldly declared that nickel-zinc batteries would dominate energy storage by the year 2000. The company invested heavily in this chemistry, touting its supposed advantages over lithium-ion. But high costs, poor durability, and technical challenges meant nickel-zinc never gained traction, becoming a costly footnote in battery history.

Good Bet: QuantumScape (QS)
Solid-state batteries promise longer lifespans, shorter charging times, and safer operation. QuantumScape, a pioneer in this field, has seen growing investment from automakers and grid operators. With Tesla and Volkswagen among its backers, the company’s innovative separator technology could redefine battery efficiency, making it a key player in the energy storage revolution.

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