23 March 2010

Getting serious: How renewable energy policies are being promoted internationally

  • Alternative energy sources

Most people are aware that the planet is facing a looming energy crisis, with oil and gas predicted to reach the peak of their production.

Today's oil prices of around $80 a barrel are expected to push upwards to $100 a barrel and higher. With fossil fuel combustion now accepted by many scientists as the main culprit for global warming, how can we bridge the gap between our growing energy needs and a dwindling supply from conventional fossil fuelled sources?

The answer is 'blowing in the wind' from the varied array of renewable resources. The world's energy needs are estimated to increase by more than 50% by 2030, as the population grows towards 10billion by 2050. Yet, even now, almost a quarter of the world's population has no access to electricity and many rely on wood and dung for cooking and heating fuel. To redress that inequity, we will require more renewable energy.

At the moment, total global power consumption is about 14TW, of which less than 3TW (which includes biomass and wood) is renewable. The remaining 11TW comes from fossil fuels. The challenge is to replace that fossil fuelled energy source with renewable options, in a time scale that remains within the lifespan of the remaining fossil fuel reserves to enable an orderly transition, and still retain reserves for future high priority uses. This means acting now, not when the problem of reduced availability of oil and gas is finally perceived and begins to bite.

Until recently, no agency existed with a central mission to assist in the crucial transition that must be made from fossil fuels to renewables. Previously, there were two international energy agencies: the International Energy Agency (IEA), which has been – at least in the past – focused on fossil fuels; and the International Atomic Energy Agency (IAEA), focused on the peaceful development of nuclear energy.

No agency existed until last year that has as its central mission to assist in the transistion from fossil fuels to renewables.

The idea of an international agency to advise on and advocate for renewable energy has been around since 1981. In 2004, the German Parliament put the issue back on the international agenda with a proposal for an International Renewable Energy Agency (IRENA). IRENA (www.irena.org) was established in Bonn on 26 January 2009. Since then, 142 states have signed the Statute of the Agency. Two of the most significant members – the UK and the US – both joined IRENA after obvious soul searching in June 2009.

It was agreed that IRENA's centre of innovation and technology will be located in Bonn, while Vienna will become the Agency's office for cooperation with other renewable energy organisations.
IRENA's role is to become a centre of excellence for the requirements of renewable energy, assisting with technology transfer and to provide experience of policies and practical applications. For example, it could act as an international database on the efficacy of 'feed in tariffs' ? where a guaranteed price for renewable energy allows investors and their bankers to have confidence in future income streams.

As an independent international institution, IRENA's role will also be to promote political processes that put renewable energy at centre stage in international political processes – whether they are to do with trade, investment, environment, energy or other issues.

One of renewable energy's main benefits is increased energy security. Renewable energy is available universally, often locally to the point of use, and is not as reliant on an electricity grid or oil/gas pipeline infrastructure.
The major task for IRENA will be to develop comprehensive renewable solutions to the current challenges facing the world's energy future. This will not be an easy task; it not only involves replacing today's mix of fossil and nuclear powered plants – the transition to renewables – but it also requires increasing demand for energy from both the developed and developing world to be met. There are also sustainability, environmental and equity issues to be addressed.

When the first 'oil shocks' occurred in the 1970s, large amounts of R&D were applied to alternative energy sources and energy efficiency and there was a discernable blip in the energy growth curves of the US. We now need to apply the same focus on making the move from fossil fuels to renewables and IRENA will provide that focus.

Author profile:
Gerry Te Kapa Coates, a consultant and professional director, is chair of the New Zealand Marine Energy Deployment Fund. He is also a member of the IEEE.

Author
Gerry Coates

Supporting Information

Websites
http://www.eeca.govt.nz/marine-energy-fund
http://www.ieee.com

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