The world is not decarbonising. It is electrifying.

This distinction matters

Because the geopolitics of electricity is fundamentally different from the geopolitics of oil. As electricity replaces combustion, power shifts from resource extraction to system design, manufacturing, and execution.

The result is a new class of nations: ElectroStates - economies built on electrons, not molecules.

Free to Download the Preface of the Book “ElectroState  – How the E-Flip, China, and Geopolitics will Reshape the Global Economy” by Nadim Chaudhry  

The Electrical Energy Transition is a Disruption
We believe the Electrical Energy Transition is an unstoppable economic transition of the World’s fossil fuel-importing national energy systems from fossil “molecule combustion” dominant systems to electron-dominant systems. 75% of the World's population imports fossil fuels.

This is not a simple fuel switch. It is a system change that provides a lower-cost, higher-efficiency, faster, and more flexible energy system. An energy system that will provide pioneering states with a concrete competitive advantage in a very different world of drones, robotics, AI, self-driving automotive systems and datacentres.

Electrostate.com is a company providing intelligence and networking to aid in understanding and accelerating this electrical energy transition.

This change is largely driven by the evolving economics of energy production, transmission, storage, and use. The reason electrons will increasingly be at the heart of a highly efficient energy system lies in their ability to flow into applications without incurring the huge thermal losses imposed by the laws of thermodynamics that the combustion of primary fossil energy incurs.  

It is this discrepancy between primary energy and useful energy, or work, that is leading to a widespread underestimation of the impact of efficient electrical energy systems, a transition multiplier effect.

At the vanguard of the transition are the electrical power generation workhorses of wind and solar; in the midstream are battery storage, HVDC transmission and DC distribution; whilst at the consumption end are electrical motors, drivetrains, residential and industrial heat pumps, and the fast-growing segment of compute, AI and robotics. When electricity is created via renewables, losses are minimal, and marginal cost can be negligible. Now, with key innovations in HVDC and battery storage, the advantages of fossil fuels are being eroded by an all-electrical, end-to-end energy system that can scale to the abundance of the new age of electricity.

These disruptive technologies are enabling the electrification of the entire energy value chain, from supply to storage, distribution, and usage. Batteries and digitalisation are making a once-variable supply stable and a once-static demand flexible. Together, these shifts form an electrotech revolution where modular products built in factories enjoy learning rates and economies of scale as they grow.

• How fast will the transition occur, and how will the rate of change vary?
• What are the sources of resistance to system change?
• How can this impact the asset value of the existing energy system?
• What policies are required that will enable the transition?
• Where are the investment opportunities within the transition?