Energy: A Challenge For Sustainable Development

NACES 2008 TECHNICAL ESSAY WRITING COMPETITION ENERGY: A CHALLENGE FOR SUSTAINABLE DEVELOPMENT

NAME IC NO. UNIVERSITY AFFILIATION

: MOHD HAAZIQ B. MOHD ZAHAR : 871111-23-5093 : UNIVERSITY SAINS MALAYSIA : SCHOOL OF CHEMICAL ENGINEERING YEAR OF STUDY : 3RD YEAR CONTACT NO. : +60177353696 EMAIL ADDRESS : [email protected]

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Table of Content No.

TITLE

PAGE

1.

Abstract

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2.

Introduction

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3.

The Importance of Energy

4-5

4.

A Challenge For Sustainable Development

5-8

5.

Policy Recommendations

8-9

6.

Conclusion

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7.

Figure 1: Examples of The Critical Role of Energy in

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WEHAB* Priority 8.

12 – 13

Bibliography

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Abstract Over the last two decades, global energy production has more than doubled and still, its demand is rising rapidly. This article outlines the importance of energy in difference areas of life such as water, health, agriculture, biodiversity, and small businesses as well as in human development consisting urban, rural, agriculture and forestry, and industrial development. Furthermore, it also discusses how energy, in today‟s world is becoming a challenge for sustainable development. By drawing on some of the lesson from the general outlook of the global energy conditions from industrialized countries, China and India, this article highlights, exemplifies and discusses some policy recommendations that will ensure the sustainable development. These include reviews of the potential and utilization of the renewable energy sources in the world.

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1. Introduction

Energy is the driving force for the development of a country. It is a fundamental input for the production of goods and services, apart from increasing the well-being of the population, through the provision of thermal comfort, light and leisure, among other benefits. These benefits, however, are accompanied by high economic and environmental costs. The construction of great hydroelectric dams, the exploration and processing of oil, and nuclear power generation are examples of projects that demand high investments and that can cause some environmental impacts. It is therefore necessary to have a planning process that, on one hand, makes supply of energy that guarantees security of supply at minimum cost and that minimizes environmental damage is possible. On the other hand, it also needs to consider managing the consumption so that it takes place in an efficient way. In other words, it is necessary that energy planning be made in a sustainable way.

2. The importance of energy

Access to modern energy services is a central precondition for poverty reduction and development. Energy will help people to become more productive in their work and to raise their income [1]. The linkages between energy and goals related to water, health, agriculture, and biodiversity (Figure 1) [2], is made known during the World Summit on Sustainable Development 2002. It emphasizes on the interdependence among sustainable development issues. Development goals in the areas of water, health, agriculture, and biodiversity often cannot be met without energy inputs, and the policies adopted in these sectors similarly impact the availability and reliability of energy services [3-4].

Energy, rather than acting as a barrier to sustainable development, can contribute to success in those areas critical to sustainable human development, including urban development by providing low cost intra-urban public transportation and community waste management programs activities which simultaneously generate jobs and improve the physical environment, and in rural development area by providing renewable forms of energy that can increase the amount of daytime available for economic activity and

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employment generation. It could also effect in the agriculture and forestry area by using biomass waste streams and biomass plantations that in turn help restore degraded land while providing employment and sustainable energy supplies, and in the industrial development by introducing advanced technologies that reduce energy requirements in both the basic materials industries and the manufacturing industry, as well as by enabling the production of more energy-efficient products [5].

Small businesses will be given new opportunities to foster production and generate income. Ever since the beginning of the industrial age, huge amounts of fossil fuels are being used for development. The ensuing burden on the environment and the threats to the global climate are also very well known. The problem is currently being exacerbated, as the developing, newly industrialized and transition countries are trying to catch up in economic terms, basing this process on conventional energy technologies. Thus, promoting renewable energies and exploring energy saving potentials as an alternative approach in all parts of the world is becoming increasingly urgent [6-9].

3. A challenge for sustainable development

Energy is essential to economic and social development and to improve quality of life in all countries. However, much of the current energy consumption patterns are both physically and socially unsustainable. The need to control atmospheric emissions of greenhouse and other gases and substances will need to be based on efficiency in energy production, transmission, distribution and consumption in the country. Electricity supply infrastructures in many developing countries are being rapidly expanded until policymakers and investors around the world increasingly recognize electricity‟s pivotal role in improving living standards and sustaining economic growth [10-13]. While the industrialized world1 faces sweeping energy transitions imposed by an impending decline of petroleum production, much of the non-industrialized world already 1

In this report, the term industrialized countries refers primarily to high-income countries that

belong to the Organization for Economic Co-operation and Development (OECD). Developing

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faces significant energy shortages. And although there is considerable discussion about the timing of „peak oil,‟ there is little discussion about the nature of the overall transition to more sustainable energy systems. It seems unlikely that any single source will succeed in claiming a market share comparable to that currently owned by petroleum, let alone the collective fossil fuels. The transitions can be expected to be no more uniform than the current energy consumption patterns, and probably less so.

Climate change is a global challenge with serious consequences for our social and economic infrastructure as well as the natural environment. The greenhouse gas (GHG) emissions that cause climate change are emitted mainly from burning fossil fuels such as coal, oil and natural gas. Because heavy industry is a leading source of GHG emissions, most of the business-focused programs responding to the problem emphasize participation by “emitters,” manufacturers and utilities. Action by industry alone, however, is not enough. Long-term solutions require emission reduction efforts by the entire economy, including service-sector companies such as banks, law firms, retailers, and real estate managers. Even though they are not considered large emitters, these companies do emit GHGs and can help mitigate climate change through changes in their energy use and the products and services they offer [14-20].

Dependence on imported fuels leaves many countries vulnerable to disruption in supply, which might pose physical hardships and economic burdens; the weight of fossil fuel imports on the balance of payments is unbearable for many poorer countries. The current energy system of industrialized countries is heavily dependent on fossil fuels, which are geographically concentrated in a few regions of the world. It will be critical in planning for the transition to understand the energy demand and potential production from various sources in terms of the value added of each source. In other words, real energy demands are not for quadrillion BTUs or kilograms of oil equivalent (kgoe), but for the work or

countries generally refers to lower income countries that are members of the G-77 and China. Although many transition economies also have a high degree of industrialization, they are often considered and discussed separately because of their specific development requirements.

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provided to the end-user. Fuel-wood use, for example, must be heavily discounted for a number of factors. Dependence on it contributes to deforestation in many urban areas of the developing world, crossing the threshold to unsustainable use. Beyond that, fuelwood and other primary biomass sources only support bare subsistence requirements that show no promise for supporting any plausible human development. For both environmental sustainability and human development purposes, then, direct consumption of traditional biomass offers very little real energy value added (REVA) [21].

Part of the global energy transition challenge is to enhance REVA resources in the developing world. Even before evaluating the real value of specific energy alternatives, it is important to consider the total energy requirements of the global society. Energy consumption has been growing exponentially since recorded data are available. This growth is partially attributable to the needs of an exponentially growing population, but is also partially attributable to the energy demands of increasingly industrialized, urbanized, and mobile societies. The question of when an energy crisis will be manifested is practically moot as half of the world already faces a severe energy shortage. The UN estimates that 1.6 billion people lack any access to electricity. Even more people have limited and/or costly access. Most of these people also lack access to other modern combustion fuels, leaving them largely dependent on low REVA biomass fuels (wood, charcoal, and dung). In addition to the aforementioned impact on deforestation, its use contributes to a variety of respiratory disorders, especially amongst women and children [22]. It essentially prohibits any modern development projects. It seems reasonable to assume that „energy-poor‟ nations seeking to improve their quality of life will need increased access to cleaner, more reliable and efficient energy sources. Thus, it follows that part of global energy transition planning entails reasonable evaluation of the goals society should set to address the imperative of increasing energy access to people seeking to improve their current conditions. Even if the argument is made that the energy consumption of some of the most affluent nations would be physically impossible to provide to all of humanity. Recent consumption patterns by China and India suggest that a realistic energy transitions plan must include enhanced

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energy development and support the need for increased energy consumption from the developing world. On the other hand, renewable energy sources are sufficiently abundant that they potentially could provide all of the world‟s energy needs foreseen over the next century.

4. Policy recommendations

In many countries, the potential for implementing sustainable energy programs are limited severely by existing laws, regulations, and incentives. For example, energy prices do not reflect the full costs of energy and may have no incentives or capacity to encourage consumers to reduce consumption. Energy prices are flawed in two ways. First, government subsidies for energy in developing countries were over US$ 50 billion in 1992, more than total official development assistance to these same countries after accounting for debt service payments [23]. Policies should be designed to encourage energy prices that reflect the true and full costs of energy. Of course, price structures need to be changed gradually, with explicit attention to the effects of such changes on the poor. Second, the costs of environmental degradation are not reflected in the price consumers pay. These costs come, for example, as air pollution affecting human health, land degradation, acidification of soils and waters, and climate change [24].

On the issue of nuclear energy, it was agreed that the choice of nuclear energy rests with individual countries. While some countries considered nuclear power as a sustainable energy source with both economical and environmental advantages, other countries do not consider nuclear energy as compatible with the objective of sustainable development, and that risks related to safety, waste management and transport and stranded costs remain unresolved. For those countries that choose nuclear energy, the challenge lies in ensuring environmentally sound, socially acceptable, and cost-effective solutions and in addressing nuclear safety and spent fuel and waste management as well as public concerns on these issues [25-26].

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Privatizing energy industries is now widely recommended to increase economic efficiency in the energy sector, especially the power sector, often dominated by large paranational institutions. Turning these institutions into corporations and requiring them to work in a regulated, competitive environment could considerably increase the energy system‟s economic efficiency. At the same time, there must be room for independent power producers, access to the grid for interested parties, as well as rules and procedures that require least cost solutions on a national basis.

In addition to promote economic efficiency, the legislative and regulatory environment must also promote such goals as sustainability and meeting the needs of disadvantaged groups. Improved energy efficiency and increased utilization of renewable sources of energy are strategies for realizing these goals and should be promoted by appropriate laws, regulations, and policies. For example, for development to take place in a significant way, large capital investment is needed in all sectors and it should be accessed through the private sector. This means that creating the terms and conditions that will attract private capital to sustainable development are an important policy concern. At the same time, the institutional and regulatory setting must ensure that projects meet social as well as financial objectives. Examples of activities and projects that meet both efficiency and social goals include temporary subsidies, decentralized rural electrification and the promotion of energy service companies.

5. Conclusion

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To the extent that energy also contributes to self sufficiency and the ability to build other industry and social programming, such improvement may also catalyze continued growth and development in nations with reasonably good, responsible governance. It can be the building block for sustained development. The energy mix choices and planning for the future energy plan will be essential in the aid of making a sustained development. This shift can be hastened by wise policy incentives and an increase in research and development funding for renewable energy so that renewable sources can meet the world‟s energy and environmental needs in the twenty first century.

FIGURE 1: EXAMPLES OF THE CRITICAL ROLE OF ENERGY IN WEHAB* PRIORITY AREAS

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