⚡️INERTIA⚡️
The magic ingredient at the heart of our power systems.
It's also one of the obstacles to replacing fossil fuels with renewables.
In short, a REALLY big deal!
But most folks have never heard of it.
It's widely considered too complex.
So. Here's your idiot's guide
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Key thing here is to remember that for most of history most of our power has come from turbines spinning.
Steam turbines in coal and nuclear power stations. Gas or hydro turbines.
When you think of the electricity grid, think of lots of big wheels turning, all around the country.
And here's the slightly 🤯 thing: every single turbine around the country is spinning at exactly the same frequency.
Every one.
50hz.
It's like an enormous orchestra across the land, all playing the same tune at exactly the same tempo.
Sidenote:
There's no reason it HAS to be 50hz. In US the system runs at a frequency of 60hz. It's just convention. Main thing is getting all turbines running synchronously.
Side-sidenote: Japan actually has two separate systems, one 50hz, the other 60hz due to historical accident
As those turbines turn the copper coils in the generators attached to them turn through a magnetic field at 50hz and generate AC power.
But here's the thing. They don't just generate power. They also provide something known to electrical engineers as inertia.
THE magic ingredient
Perhaps the best way to think of inertia is via a spinning top.
Picture a very heavy spinning top, turning v fast. If you nudge it it moves a bit but carries on spinning.
Now picture a much lighter spinning top. Nudge it and it falls over.
Inertia is somewhat similar...
Having loads of big heavy turbines spinning at precisely the same rate all across the country helps the grid maintain frequency. If there's an outage it's far easier to prevent the lights going out if you have lots of inertia.
No one spent much time thinking abt this til recently
But then along came net zero.
Now everyone is phasing out those old coal/gas power stations and replacing them with wind turbines & solar panels.
But there's a problem. A big problem. They don't provide inertia.
Leaving places like the UK, with lots of wind turbines, in a pickle
If the UK were getting 100% of its power from wind & solar then there would be no inertia. The system wouldn't work.
We've had a sneak preview of this recently during Covid.
Lots of wind, low demand. The grid operators actually had to fire up gas turbines JUST to provide inertia
And while batteries and power electronics can help a bit, there are some who say that this is another reason why we'll ALWAYS need gas in the power system. Which raises a question. What to do?
It so happens the answer might be in a room on a road in the outskirts of Liverpool.
Inside this small facility are two big soundproofed rooms and inside them are two massive 40 tonne flywheels, turning at 1500rpm. They're powered by the grid (eg they actually TAKE power away) but they send back INERTIA.
They are replicating what happens in conventional turbines!
The @StatkraftUK facility only came online this year. But it's a glimpse of something important. A potential solution for the inertia conundrum.
If we want 100% renewables we'll need lots of these spinning wheels alongside the wind/solar power
🍿Of course, inertia is only one small part of this puzzle. It's just one ingredient in a film we've just made at @SkyNews about the future of the power grid and its aim to reach net zero.
Been working on this for a while. Do share if you enjoy!
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🧵Some thoughts re inflation.
Not the data today, but two deep issues we should prob spend more time thinking about. 1. While economists and policymakers may have convinced themselves that the cost of living squeeze is over, for millions of households, it doesn't feel that way.
The key thing to remember here is that when economists talk about inflation what they're really talking about is the ANNUAL RATE at which a basket of goods and services changes price. And certainly, that rate is much lower than the 2022 peaks...
But, as I say, what that number is is simply looking at the difference in the LEVEL of prices over the past year. This chart is that level. (The actual consumer price index!).
And yes, look over the year to May and it's up 3.4%.
🧵Why, barely 24 hours after the Spending Review, is everyone already going on about tax rises?
Are they REALLY coming?
Or is this an "incoherent argument", as one leading minister calls it?
Well here's a thread explaining what's really going on here.
Bear with me...
First things first.
Key thing to remember is that the main job of HMT is to generate enough money, mostly via taxes (left hand bar here), to finance all its spending (right hand bar).
If that left hand bar isn't high enough, we have to borrow to fill the gap.
That's the deficit!
This week's Spending Review was about the right hand column, obvs. But not ALL of the column.
Actually more than half of govt spending is on stuff that WASN'T covered by the spending review - on benefits, debt interest, pensions etc. It's called "annually managed expenditure"
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You may recall a spate of stories a few years ago about appalling working conditions & abysmally low pay in Leicester's clothes factories.
The hope was those stories would shame businesses into improving working conditions.
But here's what ACTUALLY happened next...
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Instead of staying in Leicester, most brands abandoned it & shifted production to N Africa & S Asia.
Today Britain's biggest centre of textile & apparel manufacture is battling the threat of extinction.
It's a mostly untold economic story we've spent recent months documenting
Once upon a time Leicester was the beating heart of UK clothes manufacturing.
The city was dotted with factories making clothes for big name brands.
Now, according to one estimate, the number of clothes factories has dropped from 1500 in 2017 to under 100 this year. A 95% fall.
How big a deal is the new trade agreement unveiled between the US and the UK? Here are some initial thoughts.
Start with this: this is total UK exports to the US over the past 5yrs: £273bn. Right now most of this will face a 10% tariff. Some things (eg cars) face 25% extra
Let's break down that total. The biggest chunk is cars. Just under £30bn. That's covered under the agreement. So too are steel/aluminium exports. Much smaller at £2.7bn...
These sectors will benefit from special deals (though much of the detail still remains vague).
Rolls Royce will apparently get tariff free access for its jet engines. That mostly helps Boeing, but also Rolls Royce. Jet engines comprise a surprisingly large chunk of UK exports to the US, about £17.3bn. So let's shade that red too...
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The Chinese owners of British Steel say they are now considering shutting their blast furnaces and end steelmaking at Scunthorpe in early June - only a few months away.
It would mean an end of virgin steelmaking in the country that invented it during the industrial revolution
British Steel say the main question now is timing: whether the operations will close in June, in September or later.
It says tariffs are one of the reasons the blast furnaces are "no longer financially sustainable".
Press release 👇
The news means @jreynoldsMP faces two interlocking crises in the coming months: 1. The imposition of US tariffs on an ever growing segment of British exports 2. The end of virgin steelmaking (the UK would be the first G7 country to face this watershed moment).
This is big stuff
Donald Trump just announced 25% tariffs on anyone importing oil from Venezuela.
This is odd.
Because the country importing the most crude from Venezuela is... the US.
Capital Economics chart of Ven oil exports by Capital Economics via @rbrtrmstrng
But it raises a bigger point
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Why does the US import so much oil from Venezuela?
Mainly for the same reason it imports so much oil from Canada.
And no it's not just because they're close.
It's because most US refineries are set up to refine the kind of oil they have in Venezuela and Canada.
To understand this it helps to recall that crude oil is actually a broad term. There are LOTS of different varieties of crude - a function of the geology of where the oil formed and the organic ingredients that went into it millions of years ago.
It's called "crude" for a reason