energy 2025: challenging tomorrow's leaders. report of the iggy junior commission 2011/12

Report of the Warwick Junior Commission 2011/12

Energy 2025: Challenging Tomorrows Leaders

2 Energy 2025: Challenging Tomorrows Leaders

Redefining Energy Supply

Six goals to meet the Challenge...

Promoting Cleaner Fuels

Distributed Power Systems

Individual Energy Use and Attitudes

A Strategy for Sustainable Development

Energy Demand Management

Report of the Warwick Junior Commission 2011/12 3

Energy 2025: Challenging Tomorrows Leaders

Report of the Warwick Junior Commission 2011/12

Contents

Introduction

Welcome from the Vice Chancellor 4Executive Summary 5Prelude from a Warwick Junior Commissioner 6Foreword from the Chair of the Warwick Junior Commission Advisory Panel 7Introduction from the Director of IGGY 8

The Challenge

Supply 9Introduction 10Redefining Energy Supply 10A Review of the Global Potential of Alternative Energy Resources 12Establishing Sustainable Energy Systems in Developing Countries 24Distributed Power Systems 27

Demand 35Introduction 36Effecting Sustained Consumer Behavioural Change - Energy Generation and Usage 36Promoting Energy Efficiency and Sustainable Alternatives in Global Transport and Industry 42Energy Demand Management 46

Conclusions and Recommendations

Energy 2025: Conclusions 49Energy 2025: Recommendations 49

Appendices

References 53Acknowledgments 56Meet the Commissioners 57Members of the Advisory Panel 62Production and Editorial Credits 64


Professor Nigel Thrift

Welcome from the Vice-Chancellor of the University of Warwick

I am delighted to welcome this report from the Warwick Junior Commission 2011/12 on the future of sustainable energy.

Warwick Junior Commissions offer practical and realistic solutions to seemingly intractable global problems, much like their academic counterparts, the Warwick Commissions. By harnessing IGGY's unique community of gifted and talented young people, the Junior Commission have been able to work across borders and with a distinctly youthful spirit.

Supported by some of our leading academics in the fields of energy, climate change and sustainability, the Junior Commissioners have undertaken a range of study visits, research assignments and structured discussions online and in person. With characteristic vigour, they have produced a strong set of proposals for making the supply of energy more efficient and sustainable and for changing the attitudes and behaviours of consumers toward their consumption of energy.

The report is bold, challenging and forward-looking. None of the Commissioners would expect it to be implemented in full. Internationally binding agreements are notoriously difficult to achieve and scientific discovery, government policies, industrial practice and people's behaviour will have evolved considerably by 2025. Nonetheless, the Junior Commissioners work in analysing possible approaches and models to produce the basis for an integrated plan for the future of sustainable energy is eminently worthy of consideration.

Junior Commissioners are some of the most gifted young people in the world. They will be among the leaders of their generation in 2025. We should listen to their ideas about the world they want to inherit, lead and pass on.

I want to thank the Advisory Panel, the academics and officers at the University of Warwick and the IGGY team for the assistance they have offered the Junior Commissioners. The Commissioners have also been generously supported by the many individuals and organisations listed in the report and I extend my thanks to each and every one.

I commend this report to you.

Professor Nigel Thrift Vice-Chancellor The University of Warwick June 2012

Report of the Warwick Junior Commission 2011/12 5

Executive Summary

3. The report sets out a series of detailed and target-based recommendations for energy technologies in 2025:

4. The key recommendations are to:

a. Establish an International Carbon Tax

b. Develop international distributed power system networks based on renewable resources and low carbon technologies

c. Prioritise the provision of information services

d. Reach out to young people internationally through social media

e. Improve energy efficiency in transport including establishment of international fuel economy standards, 45% reduction in new car energy intensity based on 2005 levels and hybrid cars to make up 4% of global fleet

f. Enhance energy efficiency in industry including the global commercialisation of carbon capture and storage and use of microalgae to sequester industrial carbon dioxide emissions in adjunct bio-refineries

g. Promote energy demand management and reduce commercial and domestic building energy consumption to 25% of global energy use.

5. These recommendations underlie the common dream of Commissioners to live in an energy secure, efficient and sustainable world. With the passion and single minded devotion of scientists, diplomats, policy makers and even normal individuals trying to make a difference, the issues of climate change and sustainability do not seem insoluble to us. Policy makers must make the most of their power to serve the people; investing in areas related to climate change and sustainability will have a long term benefits. As consumers, we must realise that supply measures cannot solve the problem alone and must become more conscious of the way we use energy.

1. The Warwick Junior Commission is a group of 14-19 year old students who are members of IGGY, the global online network for gifted young people. The Commission comprised ten members from nine countries. Through a collaborative research process, conducted both online and during study visits, Commissioners were asked to set out practical steps in terms of supply and demand to meet the challenge of climate change.

2. This report sets out six principal goals:

a. Redefine energy supply

b. Establish sustainable energy systems in developing countries

c. Develop distributed power systems with a strategic plan for the sustainable global integration of distributed generation resources based on key low carbon technologies and renewable resources

d. Effect sustained consumer behavioural change through incentives and information

e. Promote energy efficiency and sustainable alternatives in global transport and industry

f. Improve energy demand management

Technology Target

Photovoltaic solar 4% of global electricity

Wind power 7% global energy market

Enhanced geothermal 2% of global electricity energy systems production

Third generation liquid 15% of transport fuels biofuels

Hydropower 23% global technical potential

Nuclear power Tougher directives on handling nuclear material and running nuclear stations


T he second Warwick Junior Commission comprises ten Junior Commissioners from nine different countries: Botswana, Hong Kong, India, Italy, Malaysia, New Zealand, Pakistan, Singapore

and the UK. We are students between the ages of 14 to 19 and were selected to the Junior Commission via an international essay competition on sustainability and energy management organised by IGGY at The University of Warwick. This competition helped bring together like minded, passionate students driven to change the world.

The Junior Commission initiated its work on Energy 2025 in July 2011. The cultural, geographical and global diversity of the Junior Commission helped each Commissioner appreciate the different ways climate change is perceived around the world. The Commissioners researched, held discussions and interacted with diplomats, policy makers and scientists over a span of nine months to compile our Final Report, Energy 2025: Challenging Tomorrows Leaders.

The Junior Commission divided into two groups, with one group responsible for researching energy supply while the other researched energy demand. Bearing in mind that the supply and demand sectors do not work in isolation and are interlinked, we considered the complexity and overlap of both sections. The six sets of proposed recommendations have been formulated based on our individual research and material available to the Commissioners along with resources provided by IGGY including meetings with various diplomats, NGOs, UN agencies in New York and online sessions with academics involved in the sustainability field.

Our journey with this project has helped us evolve in our thoughts, assumptions and perceptions of the way climate change is dealt with in the 21st century. The talks in New York - at the Science Barge, Solar One, NYC Cool Roofs, NYC ischool, UNISDR, UNIDO, UNDP and the Annual David Vanderlinde Lecture by Baroness Amos provided unparalleled insight. The inspiring sessions with Tim Jones, David Elmes, Alexei Lapkin, Tim Bugg and Joel Cardinal of The University of Warwick, helped tremendously to develop a solid groundwork for our research.

We have been exposed to the rapid change that the renewable industry has been going through. But there is still so much more to do. Thats why Energy 2025: Challenging Tomorrows Leaders aims to mobilise action for a clean, secure and energy efficient world.

Gurrein Kaur Madan

Prelude from a Warwick Junior Commissioner

Gurrein Kaur Madan Amritsar, India June 2012

7Report of the Warwick Junior Commission 2011/12

Foreword from the Chair of the Warwick Junior Commission Advisory Panel

David Elmes

I t has been a pleasure to work with the Junior Commissioners as they have developed and produced their report.

Energy 2025 is very much the result of their ideas, research and hard work. Members of the Advisory Council have helped with providing background information, commenting on their early proposals and working with them to ensure factual accuracy but its been exciting to see the Junior Commissioners take the lead on developing this report.

The ambition and energy of this Junior Commission has been infectious. The issues around energy, climate change and sustainability are complex with no simple answers for scientists or policy makers; for energy providers or consumers. The problems we face in energy are both immediate and long term in nature, so who better than a group of gifted, enthusiastic and focused young people to develop a set of proposals that help provide the basis of a blueprint for the future?

An example of how the Junior Commissioners did not avoid complexity is their equal emphasis on the demand for energy as well as its supply. It can be easy to just call for renewable sources to replace fossil fuels but what consumers can do to change attitudes and behaviours towards energy consumption is also of vital importance. For the generation represented by the Junior Commission, adapting to this double challenge is almost a given which means they are perhaps better placed to find the methods that will achieve the changes needed.

Together with colleagues on the Advisory Panel, I am proud to have worked with this Warwick Junior Commission and hope their report will make a lasting contribution to a vital debate.

David Elmes Academic Director The Warwick Global Energy MBA and Senior Teaching Fellow Warwick Business School June 2012


Janey Walker

Introduction from the Director of IGGY

T

he 2011/12 Warwick Junior Commission is proof of the benefits of bringing gifted young people together from across the world and getting them to work together to bring new insights

to a subject. Watching how they work together, how they use each other's perspectives and experience to improve their understanding of a subject, and seeing them pull together a lucid, forward thinking strategy on energy has inspired us to build on the thinking, exploration and collaboration that IGGY encourages.

IGGY is expanding rapidly in 2012, with a new website and community and new content, and we will use these new services to extend that collaboration and global perspective. There will be another Junior Commission launched this Autumn and we look forward to building on the achievements and the inspiration of the 2011/12 commissioners.

The Junior Commissioners have certainly experienced a journey over the past year, developing their thinking and analytical skills. They have studied print and video materials, used collaborative research and online forums, and learnt through study visits and online conversations with academics. The process has led the commissioners from strong opinions at the outset to well evidenced recommendations and a robust report.

To find out more about their research and discussions go to www.warwick.ac.uk/IGGY/juniorcommission

Janey Walker Director, IGGY The University of Warwick June 2012


Renewable energy resources are highly local in character; their availability, variability, and intensity vary enormously from place to place. Local factors also dictate where resources can best be exploited...

Fairly detailed bottom-up appraisals, much like a series of project assessments, must be used both to harness renewable energy resources and to estimate the realistically-available size of each resource for a region or a country perhaps as a guide for national or regional indicative policy and planning targets. Renewable energy sources that lack such underpinning are somewhat suspect.87 (Ch4, P3-4)

Supply

The Challenge


Introduction

The International Energy Agency projects that between 2007 and 2030, world primary energy demand will increase at the rate of 1.5% annually and grow from about 12,000 million tonnes of oil equivalent to 16,800 million tonnes of oil equivalent1. Accounting for over three quarters of this increase, fossil fuels are set to remain the main source of global primary energy1. However, continuing on this energy path would lead to an increased dependence on fossil fuels. This would result in alarming consequences for global climate change as a result of a 40% rise in energy related carbon dioxide emissions from domestic, commercial and industrial energy use2. In addition, this would increase concern over global energy security as a result of geopolitical issues as well as uncertainty regarding sustainability and finiteness of fossil energy1. To sustainably meet future energy demand, it has become imperative to turn to energy generated from alternative energy resources and low carbon technologies.

With a focus on 2025 and the goal of influencing both national and international energy policy, the energy supply chapter chiefly explores the use of key alternative energy resources through efficient, low carbon technologies for the sustainable generation and effective transmission and distribution of clean, cheap, secure and reliable electric power. The chapter discusses a wholesome approach to energy generation that supports the complementary use of renewable energy resources. Sustainable development and the provision of energy infrastructure and cheap but effective low carbon energy options to rural communities in developing countries are also discussed. Drawing on these two initial discussions, a strategy for the sustainable supply of electricity generated from key renewable resources using efficient technologies is provided.

Redefining Energy Supply

To meet future energy demand, the theoretical, geographical, technical, economic and market potential of key global alternative and renewable energy resources must be evaluated to allow the sustainable harnessing and use of these resources. This sub-chapter explores the future potential of applying efficient technologies in the strategic exploitation of energy generated from solar energy, hydropower, wind power, liquid biofuels, geothermal energy and nuclear power.

When exploited in large scales and in a dominant fashion, all energy systems, including renewables, have unique adverse environmental impacts34. It is essential that a holistic approach to the use of global renewable resources be adopted in order to maintain environmental damage within tolerance range. Diversity in renewable energy production has an additional advantage of overcoming the challenge of diurnal, seasonal and yearly variations that characterise most renewables thus enabling the delivery of security in supply and distribution. It also supports the incremental development and improvement of clean technologies thus providing a stable multifaceted model for energy production with minimal environmental impact.

Potential Definition

Theoretical The highest level of potential as it only potential takes into account restrictions with respect to natural and climatic parameters

Geographical Considers the effects of geographical potential restrictions, such as land use, that reduce theoretical potential. It represents the theoretical potential limited by the resources at geographical locations that are suitable

Technical Geographical potential is further potential reduced due to technical limitations as conversion efficiencies, resulting in the technical potential. Technical potential focuses on conversion of energy resources into useful forms using proven or assumed- to-be-developed technologies and estimates the maximum amount of feasible renewable energy development, not considering economic or market barriers

Economic The technical potential at cost levels Potential considered competitive

Market Represents the total amount of potential renewable energy that can be implemented in a market taking into account the demand for energy, competing technologies, costs and subsidies of renewable energy sources and various barriers

Table 1: The five types of potentials covered in the energy supply chapter and their major factors and limitations3.


Prioritising and planning future energy resources is crucial to meeting sustainable development goals as well as carbon reduction targets. With dedicated policies and financial support, low carbon technologies can be developed and sustainably exploited in an energy mix to generate clean, cheap, secure and reliable energy that can, in turn, deliver the lions share of global energy demand in 2025. These technologies include:

Inorganic thin film photovoltaic technologies and organic photovoltaic technologies, which drive the development of both commercial and other emerging photovoltaic solar technologies.

Offshore wind technology, which is the driver for development of wind energy technology such as efficient low wind regime turbines and improved prediction of wind patterns; both of which can be applied to further develop onshore wind technology.

Enhanced geothermal systems that can be used to expand base load generation in established sites or allow the development of new sites in new locations by increasing the range of accessible geothermal energy resources that can be exploited for power generation.

Microalgae derived third generation liquid biofuels technologies which have the potential to consume large quantities of carbon dioxide while largely replacing fossil fuel derived transport fuels without negatively affecting food security, biodiversity or land use.

Medium scale storage and pumped storage hydropower technologies which can generate substantial peak and base loads with reduced environmental and social impact.

Nuclear power technologies if cautiously used in a closely monitored and highly regulated policy environment.

The pre-eminence of these technologies and their future potentials are reviewed and analysed in the next section.

A Review of the Global Potential of Alternative Energy Resources

Solar Energy

Solar energy has been exploited since ancient times through a variety of evolving technologies. Although scientists have long realised the immense global potential of radiant light and heat generated by the sun, solar energy still remains the most abundant carbon neutral energy source that has not been fully utilised4. Indeed, the amount of solar energy that falls on earths surface in a single hour has been reported to be adequate enough to meet global energy demand for a year4. Three complementary technologies are used to actively harness solar energy:

Concentrating solar power utilises thermal storage and bright sunlight from clear skies to concentrate solar radiation thus producing a high temperature energy resource that can generate electricity and drive chemical reactions in large-scale power plants.

Solar thermal collectors use the suns thermal energy to either heat or cool buildings and water.

Photovoltaic solar systems directly convert sun light into electricity.

According to the International Energy Agency, compared to other renewable technologies, photovoltaic solar showed the fastest growth with an average annual rate of 40% between 2000 and 20114. This growth occurred on the back of strong policy support and reducing technological costs and was mainly driven by installations in the United States, Germany, Italy and Japan4. Despite currently providing only 0.1% of global generation, it is thought that photovoltaic solar will supply approximately 5% of the worlds electricity by 2030 and this is projected to rise to 11% by 2050 and avoid the emission of 2.3 gigatonnes of carbon dioxide4. The basic unit of a photovoltaic solar system is a photovoltaic cell, which employs a semiconductor to convert the suns radiant energy into electricity. Interconnected photovoltaic cells form a photovoltaic module. The connection of modules into arrays with additional components such as batteries and inverters form either grid connected or stand-alone photovoltaic systems. Photovoltaic systems can also be ground mounted for use in grid connected solar farms or integrated into buildings.


Commercial photovoltaic systems are classified as either crystalline silicon or thin film based. Crystalline silicon based systems represent over 80% of the annual global photovoltaic market while thin film systems account for the remainder of the market4. The cost and efficiency of commercial photovoltaic systems vary according to their technologies and diverse applications. Thus a range of different technologies concurrently exist in the market.

Figure 1: Performance, price and market value of different photovoltaic solar modules as of 20084. Source; Technology Roadmap: Solar Photovoltaic Energy IEA, 2010.

Emerging photovoltaic technologies promise to offer lower photovoltaic technology costs and increased efficiency. It is thought that they will not only co-exist in the market with current commercial technologies but their developmental progress will also go hand in hand4. Emerging photovoltaic technologies include4:

Novel technologies, which aim for ultrahigh efficiencies, are under research and employ active layers that respond to solar spectrums

Concentrating photovoltaic technologies, which effectively combine an efficient photovoltaic cell with a thermal radiation source

Advanced inorganic thin films, which are either silicon or Copper-Indium-Dieseline based

Organic solar cells, which are either fully organic or dye sensitized

Recent research has yielded an organic solar cell with an efficiency of 7.4%6. Organic solar cells are positioned to occupy a niche market, which may largely remain confined to small-scale appliances such as laptops and cell phones. Their main strength lies in their highly flexible nature and relative ease of fabrication that promises low-cost manufacturing 6.

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Figure 2: Status and future prospects of commercial and current emerging and novel photovoltaic technologies4. Source; Technology Roadmap: Solar Photovoltaic Energy IEA, 2010.

Solar 2025

The use of solar energy for electricity generation is mature and well established. The increased use of solar energy can effectively reduce the worlds current heavy reliance on fossil fuels for heating and lighting. Solar is particularly a highly relevant alternative energy source for a host of developing and emerging economies in Africa and Asia, which can exploit both electricity and heat production from their sometimes substantial solar energy resources thus stimulating development while drastically reducing their fossil fuel related carbon emissions. Due to the relatively high initial capital costs of installing photovoltaic solar systems and accompanying infrastructure needed to support stand alone or feed in systems, heavy financing accompanied by productive technology transfer initiatives and support for local policies are needed to tap into these and other high potential regions. In addition, it is crucial that future research also focuses on the provision of compact, cheap and efficient energy storage devices.

Figure 3: A schematic diagram showing how a domestic grid connected photovoltaic solar system works5 . Adapted from Photovoltaic solar systems webpage, RWE npower, 2012.

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The evolution of photovoltaic solar technology promises cheap, highly efficient and adaptable modules that suit a wide range of applications. Advanced inorganic thin film technologies are set to introduce high performance modules to domestic and commercial use solar systems. Despite their low efficiency, increased support for the research and development of low cost, easy to fabricate organic photovoltaic cells is the technological key that opens the door to the rapid development of other emerging and commercial technologies. With increased support, photovoltaic solar can supply 4% of the worlds electricity by 2025.

Wind Energy

Wind power is a well-accomplished, variable renewable resource that is poised to play an increasingly important role in the future global energy scene. Wind has been exploited for thousands of years for a range of uses including pumping water for irrigation and propelling sailboats. Compared to other renewable energy resources, the key advantage of the exploitation of wind energy is its relative cost competitiveness and technological maturity7. It is thought that with superior economics and improved technology, wind can seize 5% of the global energy market by 20207 and supply up to 12% of the world's electricity demand by 20508.

Brought about by the uneven heating of earths surface by the sun, earths wind has the potential to continuously generate approximately 10 million megawatts of energy7. Wind electric power is produced via rotating wind turbine blades that extract kinetic energy within moving air and convert it to electric energy by way of an aerodynamic rotor ultimately connected to an electric generator.

Electricity generated by a wind turbine may be transmitted through a grid system or used off-grid. There has been a renewed interest in small and micro wind turbines for off-grid power generation, albeit with reliability issues and a small market8. Made up of several hundred individual turbines mounted on tall towers, offshore and onshore wind farms generate electricity mainly for grid transmission. Despite the large potential of onshore wind10, offshore installations harness better wind speeds and are the main drivers for wind energy technology8. Still, offshore wind accounted for less than 2% of global installed capacity in 201110. According to the Global Wind Energy Council10, by 2030 half the worlds installed wind capacity will be in emerging markets including Brazil, Mexico, China, India, Turkey and South Africa.

Presently, Europe is the global leader in offshore wind power generation10. Approximately 6 gigawatts of offshore wind capacity is currently under construction in Europe, an additional 17 gigawatts has been approved and a further 114 gigawatts is planned11. With a combined

potential of generating at least 135 gigawatts by 2030, the North Sea is set to become Europes wind home12. By 2020, Europe will generate approximately 148 terawatt hours per year from 40 gigawatts of offshore wind power11. This will supply more than 4% of the European Unions total electricity demand and prevent the emission of 87 million tonnes of carbon dioxide11.

Wind 2025

Besides its low carbon, renewable status, which renders it a sustainable energy resource, technological maturity and cost competitiveness represent key strengths of the use of wind for electricity production. In addition, not much land is required for wind energy generation, more so in the case of offshore wind power. Marginal as well as agriculturally productive land may therefore be used for onshore wind power production. Onshore or offshore, location is the most important factor to exploiting the potential of wind on any scale.

Opportunities exist to develop efficient energy storage devices to store winds variable energy and also improve feed in rates to support both off-grid and grid connected wind power installations. The high power generation capacities of both offshore and onshore wind offer an opportunity to localise energy production thus improving security of supply and reduce environmental impact. It also mitigates the problem of variable wind intensity as it offers opportunities for the import of renewable energy when needed as well as export it when in excess. Still, there is a need to better predict both onshore and offshore wind patterns and intensity.

A major shift of focus to offshore wind could not only generate more power but also make wind energy more socially acceptable as offshore installations have a reduced visual impact and lower noise constraints. Also, increased investment in offshore wind has the additional potential to further lower technological and financial barriers that stand in the way of the increasing use of wind power in both emerging and developing economies. By 2025, wind can seize 7% of the global energy market, with approximately half of these installations occurring in emerging and developing markets.

Geothermal Energy

Geothermal energy is thermal energy generated chiefly from the radioactive decay of minerals that is stored in rocks as well as trapped liquids and vapours of brine and water in earths core, mantle and crust13. Geothermal resources, such as hot springs and aquifers, can be used to generate electricity and provide heating and cooling. With a global installed capacity of more than 11,000 megawatts, conventional technologies applied to utilise geothermal energy for the provision of heating, cooling and electricity are mature and well-proven13.


Technological advances that exploit hot rock resources promise to expand the size and range of accessible geothermal energy resources, particularly for use in modular power generation and home heating13. According to the International Energy Agency, annual electricity generation from geothermal resources could reach 1,400 terawatt hours by 2050. This could account for approximately 3.5% of global electricity production and avoid emissions of about 800 megatonnes of carbon dioxide per year13.

Geothermal energy is considered a renewable resource owing to the existence of a continuous flow of heat amassed in the earth to its surface and atmosphere13. As heat can be drawn at different rates, the sustainable use of geothermal resources suggests that the rate heat is extracted from an active site should allow it to be replenished over a similar period. The main environmental concerns associated with the use of geothermal power include negative aesthetic impact, water contamination, land disturbance, noise pollution, and air quality degradation mainly from the release of carbon dioxide and hydrogen sulphide14.

While electricity generation typically requires geothermal resource temperatures that exceed 100oC, a wider temperature range is used for a variety of heating applications, which include space, district and industrial process heating13. Space cooling can also be achieved by the use of heat driven adsorption chillers. Geothermal energy is traditionally exploited in countries such as New Zealand, Philippines, Iceland and Kenya mainly for base-load generation; production of electrical power needed to meet minimum demand. This base load characteristic is brought about by geothermal energys immunity to the effects of weather and seasonal variation thus differentiating it from most renewable resources that generate variable power13.

Until recently, the reliable, eco-friendly and cost effective exploitation of earths geothermal resources was largely limited to regions where obvious surface features indicated the existence of local heat sources such as volcanoes.

Enhanced geothermal systems exploit energy contained in hot rocks deep within the earths crust to either boost production in existing geothermal plants or develop new geothermal sites in areas that lack geothermal fluids13. Currently, enhanced geothermal system demonstrations and research tests are proceeding in the United States, China, Australia and several European Union countries13. The process basically involves creating new fractures in geothermal rocks or opening pre-existing ones. Boreholes and pumps are then used to cycle a transfer medium between the hot rock resource and a power generating plant.

1. Injection well An injection well is drilled into hot basement rock that has limited permeability and fluid content. All of this activity occurs considerably below water tables and at depths of greater than 1.5 km. This particular type of geothermal reservoir represents enormous potential energy resource.

2. Injecting water Water is injected at sufficient pressure to ensure fracturing or open existing fractures within the developing reservoir and hot basement rock.

3. Hydro fracture Pumping of water is continued to extend fractures and reopen old fractures some distance from the injection wellbore and throughout the developing reservoir and hot basement rock. This is a crucial step in the EGS process.

4. Production A production well is drilled with the intent to intersect the stimulated fracture system created in the previous step and circulate water to extract the heat from the basement rock with improved permeability.

5. Additional production Additional production wells are drilled to extract heat from large volumes of hot basement rock to meet power generation requirements. Now a previously unused but large energy resource is available for clean, geothermal power generation.

Figure 4: A detailed schematic diagram illustrating the workings of enhanced geothermal systems13. Source: Office of Energy Efficiency and Renewable Energy (EERE) US Department of Energy. Image sourced from: Technology Roadmap; Geothermal heat and Power. IEA, 2011


Geothermal 2025

Generation of energy from a larger fraction of earths thermal resources through enhanced geothermal systems has the potential to expand the exploitation of geothermal resources to a global scale. This would allow a host of countries access to geothermal energy. Increased research and development, sharing of information from demonstration sites as well as technology transfer will play a big role in facilitating the spread of not only these enhanced geothermal technologies but also traditional technologies. With these in place, annual electricity generation from geothermal resources can reach 800 terawatt hours and account for about 2% of global electricity production by 2025.

The use of geothermal resources for energy production has three key strengths:

Enhanced energy security as the sustainable use of geothermal resources renders their energy potential indefinite.

Base load power generation capability due to immunity to the effects of weather and seasonal variation.

Flexibility from the use of enhanced technologies that can either expand the exploitation of geothermal resources in established sites or allow the development of new sites in new locations.

Although there are numerous environmental concerns associated with the use of geothermal power, systematic environmental assessments and strict continuous monitoring can effectively limit environmental impact of geothermal plants.

CASE STUDY: Olkaria Geothermal Plant in Kenya

Kenya pioneered the use of geothermal energy for electricity generation in Africa at the Olkaria geothermal field in 198114. To date, Kenya has drilled over 100 geothermal wells, the bulk of which are located in the greater Olkaria geothermal complex. The Olkaria geothermal field is located within Hells Gate National Park in the Great Rift Valley14. It spans 80 square kilometres and contains sufficient steam to last at least 25,000 megawatt years14. With re-injection, which allows the reservoir to recharge by maintaining pressure and steam rates, the sites potential is indefinite. Currently, the geothermal power plant covers about 11 square kilometres and has steam for over 400 megawatt years14.

Despite the presence of numerous geothermal prospects within Kenyas boundaries, Olkaria is the only location under advanced development. Olkarias geothermal potential is estimated at over 1000 megawatts14. Presently, the sites installed capacity is approximately 209 megawatts with 240 megawatts under development at Olkaria I and IV and a further 50 megawatts at Olkaria III due for commissioning in 2013 and 2014 respectively15. Power generated at Olkaria meets over 11% of Kenyas electricity supply. It is thought that by 2019, electricity generation from geothermal resources will supply approximately 20% of Kenyas electricity14.

The overall environmental and socio-economic impact of the Olkaria geothermal plant is considered neutral14. Although Olkaria I initially had minimal impact on flora and fauna, affected sites were restored to near their original states. Stipulated environmental assessments prior to construction, which were legislated in Kenyas Electricity Act Amendment on renewable energy in 1997, managed to avoid a repeat scenario in the case of Olkaria II and III14. Rather than disposing wastewater in open ditches, as was the case in Olkaria I, Olkaria II and III opted for re-injection. This prevented contamination of water resources with spent brine, which would not only affect humans and animals but also the local eco-system. In addition, Olkaria II and III were designed to better handle dispersion of gaseous emissions, particularly of highly hazardous hydrogen sulphide, compared to Olkaria I. To maintain the beauty of the national park within which the plant exists, the visual impact of steam pipes and the power plant in general have been reduced by the use of a colour scheme that camouflages them in their surroundings14.


Liquid Biofuels

Biofuels are combustible solid, liquid or gaseous materials derived from biomass generated by animals, plants, microorganisms and organic wastes16. Bioenergy derived from biomass is a renewable resource with both traditional and modern uses in numerous sectors including domestic heating and lighting, light industry and transport. This section focuses on modern liquid biofuels used in the transport industry. According to the International Energy Agency17, biofuels can potentially account for 27% of total transport fuel by 2050 and mostly replace fossil fuel derived diesel and jet fuel. When produced sustainably, this could avoid emissions of approximately 2.1 gigatonnes of carbon dioxide per annum17.

Recently, the use of transport biofuels has rapidly grown on the back of policies aimed at the reduction of greenhouse gas emissions and achievement of energy security2. Through setting targets and blending quotas, these policies have driven biofuel demand by instituting support mechanisms such as tax exemptions and subsidies17. Mandates obliging the blending of bioethanol with gasoline or biodiesel with diesel have been enacted in over 17 countries. Over and above mandated blending, several countries also have biofuel plans and targets that define future levels of biofuel use17.

Despite overlaps in feedstocks, processing technologies and uncertainty on long-term environmental sustainability, transport biofuels are commonly categorised as first, second and third generation. This classification is based on their current or future availability18.

Biofuel Basic Technology Feedstocks Co-Products

First Generation Liquid Biofuels

Plant oils Adaptation of motors to the Rapeseed oil, sunflower and Oilcake as animal feed use of plant oils. Modification other oil plants, waste of plant oils for use in vegetable oil conventional motors

Biodiesel Transesterification of oils and Rapeseed, sunflower, soya Oilcake as animal feed. fats to provide fatty acid palm, jatropha, castor Glycerine. Oilcake in some methyl ester (FAME) palm oil mills is used for energy recovery

Bioethanol Fermentation (Sugar). Corn (maize) and other Maize and cereals yield animal Hydrolysis and fermentation cereals, sugarcane, cassava, feeds. Sugarcane bagasse (Starch) sugar beets is used for energy recovery

Second Generation Liquid Biofuels

Bioethanol Breakdown of cellulosic Ligno-cellulosic biomass like biomass in several steps stalks of wheat, corn stover including hydrolysis and and wood. Special energy or finally fermentation to biomass crops such as Bioethanol miscanthus. Sugarcane bagasse

Biodiesel Gassification of low-moisture Ligno-cellulosic biomass like Various feedstocks for the biomass to syngas from which wood and straw. Secondary chemical industry biodiesel is derived. raw materials like waste plastic

Third Generation Liquid Biofuels

Biodiesel, Bioreactors for ethanol, Marine macro-algae. High protein animal feed, aviation fuels transesterification and Microalgae in ponds or biopolymers, agricultural and pyrolysis for biodiese. bioreactors fertilisers, pharmaceuticals bioethanol Other technologies under development

Table 2: The three generations of liquid biofuels with an overview of technologies, key feedstocks and examples of by-products16.


First generation biofuels are produced largely from food and oil crops as well as animal and vegetable oils through conventional technology19. Having attained economic levels of production, growth in the use and production of first generation biofuels is projected to continue20. Nonetheless, their impact on global energy demand in the transport sector will remain restricted mainly due to their feedstocks competition for arable land with food and fibre production2. Indeed, the impact of the production of first generation biofuels on food security in the most variable regions of the world economy as well as on global food markets has caused considerable controversy. In addition they have been constrained by the following factors2:

Lack of well managed agricultural practices in emerging economies.

Constrained market structures.

High water and fertiliser requirements.

A need for conservation of biodiversity .

The potential of first generation biofuels to sustainably replace fossil fuels has thus been in question as an increase in their demand could place substantial additional pressure on the natural resource base with potential harmful environmental and social consequences.

Strengths of algae over first and second Challenges facing development and commercial generation feedstocks use of algae derived biofuels

Microalgae are capable of all year round fuel production Attaining higher photosynthetic efficiencies through therefore they achieve higher yields compared to the the continued development of production systems best oilseed crops

Microalgae need less fresh water than terrestrial crops Few commercial plants in operation, thus, a lack of data therefore reducing the load on freshwater sources for large scale plants.

Microalgae can be cultivated on non-arable land, and Potential for negative energy balance after accounting therefore may not incur land-use change, minimising for requirements in water pumping, carbon dioxide associated environmental impacts while not transfer, harvesting and extraction compromising the production of food, fodder and other products derived from crops

Microalgae have a rapid growth potential and many Species selection must balance requirements for species have high oil content thus their exponential biofuel production and extraction of valuable growth can double their biomass in periods as short co-products as 3.5 hours

Microalgae biomass production can effect bio-fixation Incorporating flue gases which are unsuitable in high of waste carbon dioxide concentration owing to the presence of poisonous compounds

Algae cultivation does not require herbicides or Development of techniques for single species pesticides application cultivation, evaporation reduction, and carbon dioxide diffusion losses

Nutrients for microalgae cultivation can be obtained from wastewater, therefore, apart from providing growth medium, there is dual potential for treatment of organic effluent from the agri-food industry

Microalgae can also produce valuable co-products after oil extraction

Table 3: The strengths of algae over first and second generation feedstocks and challenges facing the development and commercialisation of algae derived biofuels2.


Rather than food crops, second generation biofuels are extracted mainly from non-food biomass, which includes plant matter of dedicated energy crops such as jatropha, wood processing waste and agricultural and forest harvesting residues. However, their exploitation has been inhibited by concern over land use change and competing land use. Furthermore, conversion technologies for second-generation feedstocks essentially have not attained commercial scales21.

Devoid of the key limitations of first and second generation feedstocks, photosynthetic microalgae are capable of utilising simple precursors to produce large amounts of proteins, lipids and carbohydrates over short periods2. These products can be processed not only into various liquid and gaseous biofuels but also other valuable products in processes that also potentially involve carbon dioxide fixation and wastewater treatment2. Based on recent technology projections, microalgae derived liquid biofuels are considered to be technically viable renewable energy resources2. Despite their enormous potential, numerous challenges stand in the way of the sustainable production and commercialisation of algae derived biofuels.

Liquid Biofuels 2025

With supporting policies and relentless research and development efforts, first and second generation biofuels can account for 15% of total transport fuels by 2025. However, the development and successful commercialisation of sustainable advanced biofuel technologies with minimal environmental and social impact is vital. Unlike first and second generation feedstocks, the technically viable production of liquid biofuels from third generation microalgae has the potential to offer both sustainable and renewable transport fuels that do not substantially affect either food security, biodiversity or land use.

Opportunities exist to genetically engineer microalgae to drastically increase biofuel and by-product yields. However, commercial scale production of fuel products from engineered organisms may face public opposition. In addition, due to the lack of commercial scale algae processing plants, their environmental impact, in terms of net carbon emissions, and also financial and economic feasibility are yet to be fully investigated. Both commercial and pilot scale studies of cost effective and resource efficient third generation algae biofuel production processes should be the focus of future research and development efforts.

Figure 5: A schematic of an algae processing plant22. Adapted from: Algae-to-Biofuel Tech Gets a Big Aloha. Rubens, 2008. Photos: Hermann Luyken, Andrevruas, NISHIGUCHI, Masahiro, Benutzer KMJ, Umberto Salvagnin


Hydroelectric Power

Electricity generation from hydropower is a mature and well-proven technology that is grounded on over 100 years of experience. Hydroelectric power generation is based on harnessing kinetic energy from the gravitational force of falling or flowing water through the use of turbines that drive electricity generators. Hydroelectric technologies are constantly advancing and expanding to reduce costs and incorporate small as well as shallow water resources23.

According to the International Energy Agency, the global technical potential of hydropower is estimated at over 16,400 terawatt hours per year and about 19% of this potential has been developed23. Countries that have embraced hydropower use approximately 60% of their potential23. On the other hand, a number of countries have not tapped into their hydropower potential, which in some cases is substantial. As a result, ten countries are responsible for approximately two-thirds of global hydropower potential, with the top five countries responsible for the production of the bulk of global hydroelectric power23.

Hydroelectric projects may be broadly classified into three highly scalable schemes. While storage schemes generate power from water held in a dams reservoir, run-of-river schemes generate power from the natural flow of rivers. Both storage schemes and run-of-river are used for base load generation. Pumped storage hydroelectricity involves the use of two water reservoirs at different heights; water is pumped from the lower to the upper reservoir during low demand periods and released to generate power when demand peaks23. Hydropower installations can range from large with up to 18,000 megawatts installed capacity to small domestic scale generation. Installation cost and ecological impact generally increase with size.

Hydropower 2025

Hydropower is a flexible, reliable and efficient resource that can be used to generate substantial base load and peak electricity for domestic, communal and public use thus significantly reducing reliance on fossil fuels and carbon emissions. It has the potential to be a great renewable energy source for developing and emerging economies given its technological maturity and relatively low initial capital requirements. Hydropower research and development promises to expand applicable resources thus making hydropower highly accessible especially for off-grid electricity generation.

However, hydroelectric projects can be negatively affected during prolonged dry seasons as storage fluctuates with the weather. In addition, vast amounts of land are required for the installation of large hydroelectric dams and there is high threat of negative social and ecological impacts. The development of medium category hydroelectric power plants after comprehensive environmental assessments may reduce the negative impacts of hydroelectric power generation to manageable levels. When combined with good supporting policies and technological developments that seek to efficiently allow electricity production from small rivers and shallow water resources, this strategy could result in more countries tapping into their previously underdeveloped or neglected hydropower resources and increase hydropower global technical potential to about 23% by 2025.

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Figure 6: The ratio of development of hydropower in different global regions highlighting the top five countries with the highest hydropower potential23. Source: Renewable Energy Essentials: Hydropower IEA, 2010.


CASE STUDY: Chinas Three Gorges Hydroelectric Dam

Chinas Three Gorges Hydroelectric Dam spans the Yangtze River and consists of a concrete gravity dam, two power stations, flood control structures and navigation structures27. With a total generating capacity of 22,500 megawatts the project took about 17 years to complete27. The dam generates 20,300 megawatts from a total of 29 turbines each with a capacity of 700 megawatts27. This makes the Three Gorges Hydroelectric Dam the worlds largest in terms of hydroelectric power capacity.

Operating at full power, the Three Gorges Hydroelectric Dam has been reported to avoid the annual production of 100 million tonnes of greenhouse gases which would have been generated from the annual use of 31 million tonnes of coal25. In addition, the dam has curbed emissions of 1 million tonnes of sulphur dioxide, 10,000 tonnes of carbon monoxide and significant amounts of dust and mercury26. The dams reservoir increased shipping across the Yangtze River thus avoiding emissions of 10 million tonnes of carbon dioxide from handling 198 million tonnes of goods over the 2004 to 2008 period. The dam also avoids downstream flooding promoting agriculture and industry.

On the other hand, there has been concern over the negative effect of the dam on the regions forest and waters, which are known to contain rich biodiversity including a number of endangered species27. Some species have been directly affected by either power generation at the site or increased activity around and on the reservoir. The area around the reservoir is also experiencing large scale erosion with most of the eroded sediment collecting on the reservoir thus increasing its weight and threatening to breach the dam28. Furthermore, in the first quarter of 2010, the area experienced 97 significant landslides brought about by this increased erosion29. The Three Gorges Dam also presents a high value target for terrorists.

Nuclear Power

Virtually carbon free, nuclear power is generated when thermal energy produced from sustained radioactive decay is passed to a working fluid that is used to drive a turbine powered electricity generator. Nuclear power plants produce reliable base-load power, which accounts for approximately 14% of the worlds electricity production and about 21% of electricity used by the Organisation for Economic Co-operation and Development group of countries30.

In countries with active nuclear reactors, the share nuclear contributes to energy generation ranges from less than 2% to 75%30. A 1 gigawatt nuclear plant can prevent carbon dioxide emissions of up to 7 million tonnes when used in place of a coal fired power plant 31. At the end of the first quarter of 2012, there were 439 active nuclear power stations located in 31 countries with a net installed capacity of approximately 370 gigawatts of electricity32. A further 63 with a total installed capacity of 60 gigawatts are currently under construction in 15 countries32.

The future of nuclear power remains uncertain mainly due to rising public opposition and increasing safety concerns30. The risk of nuclear proliferation and terrorism as well as dangers associated with the handling, mining and storage of nuclear material have negatively affected public opinion on nuclear power. Besides at least three major nuclear powered submarine mishaps, safety concerns arise from serious nuclear power plant accidents, which pose a grave threat to both human life and the environment30. Prime examples include the Three Mile Island accident of 1979, the Chernobyl disaster of 1986 and the Fukushima Daiichi incident of 2011, which recently presented a new global turning point in the future use of nuclear energy.

Nuclear Power 2025

Nuclear power offers reliable, low emission, safe base load power, which has high potential to reduce the reliance on fossil fuels for electricity generation. High initial capital requirements and a demand for highly trained and experienced technical expertise limit the use of nuclear power. However, once established, new nuclear plants have low and predictable operating and


maintenance costs. Maximising their lifetime while maintaining high safety and operational standards makes good economic sense.

Still, nuclear power is plagued by concerns over the handling of nuclear materials including waste and raw materials, handling of nuclear accidents and disasters, rising public opposition and the threat of terrorism and nuclear proliferation. At the moment, these issues seem insurmountable in the absence of tough directives on the sourcing of nuclear material, running of

nuclear power stations as well as waste disposal. Thus a cautious approach to its use prevails globally and is recommended. Given the global threat it poses and the presence of other suitable alternative renewable energy resources with comparatively lower environmental and social risk, highly regulated nuclear power should be used as a last resort and a premium should be charged on its use to fund environmental remediation and social compensation in case of an accident.

CASE STUDY: The aftermath of Japans Fukushima Daiichi nuclear plant disaster of 2011

In March 2011, an earthquake and subsequent tsunami damaged Japans Fukushima Daiichi nuclear plant; one of the largest nuclear power plants in the world. The incident resulted in the leak of nuclear radiation from the plant to the ground and ocean waters occasioning evacuations over a 20 km radius of the plant. At least 6 workers were found to have exceeded lifetime radiation limits and over 300 received radiation doses. Two people lost their lives at the site33. These deaths were however attributed to the effects of the earthquake and tsunami rather than direct radiation exposure. The Tokyo Power Company and Japanese government were heavily criticized for poor communication and improvised clean up efforts. Japan decommissioned the plant after the incident.

The 2011 Fukushima Daiichi incident drastically changed nuclear policy in a number of countries30. In 2010, many countries that employ nuclear energy in their energy mix offered it preferential treatment. This was expressed in the form of extensions on nuclear plant life, boosts in the maximum operating power levels of nuclear plants and investment in the construction of a record breaking 16 new reactors30.

After the nuclear incident, while the majority decided to maintain it in their energy mix and cautiously develop it, a number of countries chose to totally phase out nuclear energy30. Furthermore, countries that were contemplating the introduction of nuclear energy to their energy mix either revised or delayed their plans. Thus, in 2011 ground was broken on only 4 new nuclear reactors.

To avoid a repeat, regulatory bodies are expected to introduce highly stringent safety standards and rules30. It is thought that this will expedite the closure of old plants by making the approval of reactor life much more difficult to obtain and slow the start of new projects through extended licensing processes30. In addition, this will possibly negatively affect public acceptance of nuclear energy. According to a comparative study on public opinion of nuclear energy taken in 2005 and after the Fukushima accident, public opinion against both existing and new nuclear plants increased significantly.

Figure 7: Public opinion on nuclear energy before and after Fukushima. Note: Countries in survey data include France, Germany, India, Indonesia, Japan, Mexico, Russia, United Kingdom and United States30. Source: Opposition to nuclear energy grows GlobScan International, 2011. Image data sourced from Tracking clean energy progress, IEA, 2012.

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Nuclear power is a relatively safe, important source of electricity, should build new nuclear plants

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Other, none of above


Establishing Sustainable Energy Systems in Developing Countries

Introduction

To achieve social and economic development, developing nations will have to increase their energy usage. The World Energy Council35 estimates that global energy demand will rise by 40% over the next 20 years, with the bulk of greenhouse gas emissions increases coming from developing countries. It is essential that this development and the associated increase in energy usage occurs in a sustainable way; one in which greenhouse gas emissions are minimised.

About 1.5 billion people worldwide lack access to electricity36. The bulk of these people reside in remote and difficult to access areas that are difficult to connect to existing electricity grids. Remote areas with poor energy access provide a blank canvas where renewable energy systems can be set up to provide energy to vast populations. This sub-chapter outlines a viable approach to promoting the development of sustainable energy systems in predominantly rural

areas in developing countries. Based on the leapfrogging principle, it focuses on initiating locally appropriate, state of the art clean energy supply schemes in viable areas that lack conventional fossil-based energy resources or supplies.

The provision of sustainable energy generation solutions encounters the most difficulties in developing countries. This is primarily due to the lack of financial resources needed to purchase and set up often-expensive clean energy systems36. As most developed nations achieved growth via the excessive expenditure of greenhouse producing fossil-based fuels, the call of a transition away from these fuels to alternative energy resources presents a highly divisive issue.

Developing countries require copious amounts of cheap energy for social and economic development, which they currently obtain relatively cheaply in the form of fossil fuels. It is thus a challenge to compel them to limit the use of fossil derived energy, which in effect limits their growth, due to its growing global negative environmental effect, an effect an effect most

CASE STUDY: Financing Solar Energy in Tunisia86

Tunisias government, with the support of the international community, has taken positive steps to support the development and use of renewable energy. After enacting an energy conservation system in 2005, Tunisias government created a funding body that focused on promoting renewable energy technologies as well as energy efficiency. The body is funded by duties levied on fossil fuel powered cars and all air conditioning equipment save for those produced for export. With an initial investment of $200 million on infrastructure, the government has already saved over $1.1 billion in energy bills.

Recently, Tunisias government put forward a national solar energy plan which centered on photovoltaic systems, concentrating power units and solar water heating systems. This and other complementary schemes are aimed at increasing renewable energy generation in Tunisia from less than 1% to at least 4% in 2014. Overall, the plan hopes to implement 40 projects by 2016 at a cost of $2.5 billion; $175 million will come from the national fund, $1,660 million from the private sector, $530 million from the public sector and $24 million from international cooperation. About 40% of these resources will be spent on energy export infrastructure. The solar energy plan is expected to avoid emissions of 1.3million tonnes of carbon dioxide annually and allow energy savings of up to 22% by 2016.

By taking over $5million in loans in 2005 and $7.8 million the year after, currently more than 50,000 Tunisian families generate hot water from the sun. The schemes initial investment was $2.5 million with a final installed surface area of 400,000m2. Initially, the government offered interest rate and system cost subsidies to promote the scheme. Numerous jobs were created as evidenced by the registration of 42 technology suppliers and at least 1000 companies carried out installations. Tunisias government has set a more ambitious target of 750,000 m2 from 2010 to 2014, a level comparable with Italy and Spain.


believe they did not heavily contribute to. Recognising the undeniable right to development of developing countries, viable approaches must be exploited to allow them to achieve growth in a sustainable way.

A three-pronged approach with schemes targeted at prime factors that limit sustainable growth could be used to promote the development of sustainable energy systems in developing countries. This approach involves:

Financing the development of sustainable energy systems

Improving technology employed in established sustainable energy systems

Furthering the dissemination of information to aid the adoption of sustainable energy systems.

Expanding Financing Options

Although the adoption of sustainable energy systems largely pays for itself through a reduced reliance on increasingly expensive fossil-based fuels, a significant financial barrier is still present in the high initial capital costs needed to adopt these systems. This appears primarily as the cost of developing new physical infrastructure to support sustainable energy systems which in some cases is prohibitive when compared to the cost of refurbishing and extending outdated established infrastructure or developing new infrastructure that supports the use of readily available and cheap fossil-based fuels36.

Governments should take the first step in helping rural communities overcome this initial barrier to obtaining clean energy. Finance can be provided by public-private sector partnerships, brokered investment deals with international institutions like the World Bank and micro-finance networks, which can be used by small scale entrepreneurs to gain access to capital needed to set up sustainable energy supply systems. Existing financial institutions should also be encouraged to extend microfinance services to rural communities.

Professional microfinance institutions such as those in Sierra Leone, Madagascar and Senegal, can be created. In Senegal, for example, there exists a highly developed microfinance sector that is backed by clear political support and a strong legal and regulatory framework37. Microfinance organisations such as the Senegal Ecovillage Microfinance Fund have been developing financing options for the provision of locally appropriate renewable energy technologies38. This institution recently undertook a project that provided poor households in Dakar with efficient cooking systems that replaced charcoal with a biomass obtained from sustainably managed plantations developed on degraded land38.

Rather than micromanage the development of sustainable energy systems, governments ought to improve available financing options, especially to rural communities thus allowing the adoption of such systems to occur through a free market. Through policy, governments should aim to make markets work, thus stimulate an increased utilisation of sustainable energy sources as well as the development of energy sources which are more locally appropriate.

To further support developing countries in their pursuit of the development and utilisation of clean energy resources a global carbon tax initially levied on developed countries could be managed to fund the development of renewable energy and low carbon resources in developing countries. Carbon Tax is essentially a tax on all energy and power derived from carbon based sources, primarily fossil fuels. Besides stimulating the cutting of global carbon emissions, facilitating transfer to cleaner energy and funding operations to mitigate effects of climate change, this fund could be used to introduce sustainable technologies in countries that need them the most.

As part of a global carbon reduction strategy, an International Climate Action body, under the supervision of an international body such as the United Nations, would be formed to collect and manage the tax from highly developed nations. The tax would be calculated based on the amount of carbon content in fuels and thus the more polluting a fuel is the more tax would be charged on it. Governments within these countries would bear the responsibility of collecting this tax according to a mechanism set up by the international body and transfer it to the international fund. The International Climate Action body would then use the funds for two distinct purposes; promote the global development and use of clean energy sources and initiate anti-climate change operations around the world.

In view of the worlds economic conditions and Human Development Indexes for countries, it would be impractical to implement the tax on all countries at once due to economic and political constraints. Thus, the implementation of the tax would be in three phases: firstly in all developed countries, secondly in emerging economies and lastly in developing countries. The international body responsible can set a road map for widening the tax through international consensus.

The International Climate Action body would need to be impartial, unbiased and would function through mutual co-operation of the international community. The tax needs to be based on variable rates so that the cleaner a nations energy sources become the less tax it has to pay. If Carbon Tax is implemented with dedication and sincerity, it can serve as the ray of hope in the fight to


ensure energy and environmental stability. Under such a mechanism, there would be an incentive to rapidly shift to cleaner energy sources. If implemented, such a tax would provide much needed financial support to developing nations thus aid them in achieving sustainable development.

Technological Transfer from Developed to Developing Countries

Compared to relatively developed cities, rural areas have the capacity to implement clean energy generation systems on a far larger scale. This is because resources do not have to be spent on dismantling existing inefficient fossil-based energy generation infrastructure in rural areas, as they probably have none. Rural areas thus present a clean sheet that allows the adoption of the latest available technology. In effect, this bypasses previous generations of less energy efficient power generation technologies that have a comparatively higher environmental impact.

The transfer of technology from developed to developing countries in the sustainable energy field is of high relevance to developing countries, which on their own may have limited technological capability and financial resources to indigenously develop these technologies. Having developed countries provide technological aid to developing countries also recognises their liability for historical emissions.

Technological transfer with relation to sustainable energy generation can be carried out in the multi-stepped approach outlined by the Climate Technology Initiative39, which involves 3 key steps:

Establishment of collaborative partnerships

Technology transfer needs assessment, which determines the most suitable technology to transfer

Implementation of technology transfer plans with on-going refinement and evaluation

Public Education and Human Resource Development

Information related to available renewable energy projects, financing options and the benefits of adopting new energy systems needs to be readily available within the population. This enhances social acceptance of these new technologies40. In addition, for long-term project success, human resource development is crucial. The focus of this should be in the operation and maintenance of the new technology.

Training can be provided on basic operational skills such as correct appliance connections and battery usage, as well as routine maintenance procedures40. Training sessions can be organised by the government, the technological sponsors or a collaboration of both. For example, when the German firm AG Schott sponsored the setting up of solar panels for medical use in Baila, Senegal, trainees from the neighbouring technical college worked with experts from Germany and helped to install modules on roofs. German experts also trained local electricians on location, empowering them to independently service the system on a regular basis41. Governments can provide training for local energy specialists who could receive a government salary for overseeing local projects and promoting widespread access to clean energy in their local areas.

If locals are to be effectively involved in the process of developing sustainable energy systems, there are additional social and economic gains to be reaped. These include job creation and the establishment of a new local sustainable industry.

Distributed Power Systems

A Strategic Plan for the Sustainable Global Integration of Distributed Generation Resources Based on Key Low Carbon Technologies and Renewable Resources

International competitiveness, well-being and the general performance of the worlds nations depend on the ready availability of affordable, secure, safe and sustainable energy. Energy infrastructures that will provide power to public spaces, residences, businesses and industries in the future are being designed and built now. Therefore, patterns for energy generation as well as greenhouse gas emissions in 2025 are already being set. The three main challenges facing the design and build of future energy supply systems are:

Rapidly growing energy demand, particularly in emerging and developing economies

High reliance on the use of fossil fuel derived energy in all sectors despite diminishing resources and their high impact on natural ecosystems, economies and societys social fabric

Effective and efficient exploitation of renewable energy resources and low carbon technologies

Distributed power systems that heavily incorporate renewable energy resources and low carbon technologies will have an increasingly key role in the provision of sustainable energy. Other than abating the current heavy dependence on fossil fuels, such power systems would offer increased energy security thus support growth and development both in developing and developed economies.


Coal is one of the most abundant fossil fuel resources on the planet and although it is widely used for electricity generation, it is thought to produce higher greenhouse gas emissions than natural gas and petroleum. Low carbon distributed generation technologies such as combined heat and power systems achieve superior energy conversion efficiencies and support the use of a larger variety of renewable and non-renewable fuels compared to traditional fossil fuel based centralised power generation systems.

Also, in contrast to traditional centralised power systems in which electric energy is generated in bulk, transmitted over long distances via a central grid and distributed radially to end users, distributed power systems, by definition, generate and distribute energy close to point of use. Thus, distributed generation largely eliminates energy losses associated with centralised transmission44. Indeed, as a result of reduced investment in power transmission and distribution in addition to supplanting higher cost energy generation plants, it is projected that increased use of combined heat and power plants can reduce overall power sector investment by 7% by 203046. The sustainable generation and use of heating, cooling and electric power produced by combined heat and power systems is discussed in more detail later in this sub-chapter.

Figure 8: Energy losses, primarily as heat, attributed to centralised coal based generation and transmission as well as inefficient technology at end-use47. Adapted from: What you need to know about energy - Sources and Uses. The National Academies, 2008.

Distributed generation that reliably meets growing energy demand, with the emission of either no or low associated greenhouse gases, will prove invaluable at not only generating clean and low cost energy but also its efficient distribution at community, national and international scales.

This sub-chapter reviews the precedence of distributed power systems over centralised energy generation and transmission. It also provides a strategy for the establishment of sustainable electric energy supply systems based on distributed generation at increasing scales. With an aim of supporting the supply of cheap, secure and reliable energy, the role international and domestic institutions could play to support distributed generation is discussed as well.

The Pre-eminence of Distributed Power Systems over Central Power Systems

Over the last decade, the changing technological, regulatory and economic environment has brought about increased interest in distributed generation42. A distributed generation resource is an electric power generation source directly connected to either the customer side of an electricity meter or a power distribution network43. Generation that feeds into a distribution network constitute distributed or embedded power systems44. According to the International Energy Agency42, renewed interest in distributed generation has been mainly driven by:

Limitations on the development of new electricity transmission lines

Increasing global concern on the effects of climate change

Energy market liberalisation

Innovation in distributed generation technologies

Increasing demand for reliable electricity

Compared to centralised systems, distributed power systems minimise energy losses during power generation and transmission as well as drastically reduce greenhouse gas emissions related to electricity generation. Traditional coal-fired powered plants only achieve about 33% energy conversion efficiency as high utility heat energy is wasted in almost all stages of the energy conversion process45. For instance, in a typical closed loop coal-burning power station running a closed loop cycle, most of the heat generated during successive conversions of chemical energy to electrical energy is released as waste.


The Sustainable Integration of Low Carbon Technologies and Distributed Generation Based On Key Low Carbon Technologies and Renewable Resources in Global Energy Systems

Distributed generation based on the exploitation of a mix of key renewable energy resources has the potential to abate the current heavy reliance on fossil fuels as well as offer increased energy security, with a bonus of reduced environmental impact and greenhouse gas emissions. Interconnected electric networks centred on the supply of power generated from a range of strategic low carbon technologies and resources that include wind power, solar energy, hydropower, geothermal energy, nuclear power and biofuels can drastically reduce energy related carbon emissions while generating substantial amounts of clean energy to meet growing demand.

Three strategic phases can be identified in the bottom up development of international distributed power systems founded on renewable resources and low carbon technologies:

Promoting community level self-sufficiency with a focus on adequate and efficient electricity generation

Implementing competitive feed-in tariffs to encourage investment in alternatives and related technologies as well as the sale of surplus renewable electricity to a local, national or regional connected grid

Scaling up of national and regional distributed power systems

Promoting Community Level Self-Sufficiency

Community self-sufficiency involves households and local institutions taking the initiative to efficiently produce sufficient amounts of renewable energy to meet their needs. A mix of renewable technologies that could be relatively easily adapted for electricity generation at communal level include:

Crystalline silicon photovoltaic solar

Onshore wind power

Conventional geothermal energy with reinjection

Small and medium scale storage, pumped storage and run-of-river hydropower

Combined heat and power systems

Biofuels

CASE STUDY: University Of Warwicks Combined Heat and Power and District Heating System48

The University of Warwick operates one of the largest gas fired combined heat and power and district heating systems in the United Kingdom. Driven by carbon reduction and effective energy management, between 2007 and 2008, running at 85% efficiency, the system produced over 25,000,000 kilowatt hours of electricity thus avoiding the emission of over 8,000 tonnes of carbon dioxide and saving the university 1 million.

With an installed capacity of 4.71 megawatts of electrical power and 14.1 megawatts thermal supply in the form of hot water, the combined heat and power system covers most of the 292-hectre campus. Electricity produced from the plant sufficiently meets the universitys base load requirement hence reducing Warwicks reliance on the grid. Generated heat is distributed through a 16 kilometre network of underground pipes and provides hot water and heating as well as cooling, via adsorption chillers, to facilities. This district heating system is extended to all new and refurbished buildings in which it contributes to their increased energy efficiency.

In the future, the University plans to incorporate low carbon fuel sources such as biofuels to power the combined heat and power and district heating system. Planning permission for the use of such alternative fuels has already been secured. In addition, the development of a local cooling network is in the works. This cooling network will increase summer heat loads and replace inefficient electric air conditioners.


For use at community level, the availability of effective storage of energy generated by variable renewable resources such as solar and wind is of paramount importance.

Save for combined heat and power systems, the potentials of these renewable technologies are discussed in great depth in the previous section, which redefines energy supply based on reviews of the global potential of renewable energy resources. Thus, this section focuses on combined heat and power systems, which highly complement other low carbon technologies for use in the efficient and reliable generation of energy for use in small and medium sized communities.

Combined heat and power systems are custom made units that simultaneously utilise heat and power generated from single or multiple energy sources close to the point of use. They are reported to be sustainable, reliable and cost effective across different scales of use. Most solid, liquid and gaseous fuels are suitable for combined heat and power systems44. However, the use of waste industrial gases, biomass and municipal solid wastes are becoming increasingly important due to growing concerns over energy security and environmental pollution46.

When used in conjunction with district heating and cooling systems, combined heat and power plants can convert up to 90% of waste and renewable resources into electricity and also meet low and medium temperature heat demands in commercial, public and residential buildings46. Due to their high efficiency, governments have placed more emphasis on the promotion of combined heat and power systems, which has included tax breaks and frameworks for certifications to be exchanged for feed-in tariffs44. The International Energy Agency46 reports that by 2015, combined heat and power has the potential to reduce carbon dioxide emissions from new generation by 170 million tonnes per year and this could rise to 950 million tonnes per year in 2030.

Implementing Competitive Feed-in Tariffs

A feed-in tariff is a policy based financial incentive tailored to accelerate investment in renewables by providing investors with a reasonable return of investment. They are typically designed to offer eligible renewable electricity producers guaranteed grid access, long-term contracts for power production and purchase prices based on cost of generation49. By annually decreasing tariff rates, feed-in tariffs may also be formulated to reduce the cost of technology over time49.

Competitive and fair national and regional feed-in tariffs play a crucial role in the reduction of both financial and technical barriers to the generation and local distribution of surplus electricity produced by distributed power systems from key renewable resources. Comprehensively designed and thoughtfully implemented incentives can potentially result in constant growth of new installations that exploit a wide range of renewable resources using increasingly efficient technologies. This could drastically reduce dependence on fossil fuels while providing secure, reliable, sustainable and cheap electricity with low environmental impact. Established national and regional distributed power systems provide a stable platform for renewable energy producers to feed electricity onto larger networks.

Effective bottom-up finance strategies can free up the technical, economic and market potential of feed-in tariffs for use in distributed power systems. The development of infrastructure that supports highly flexible feed-in systems as well as micro-financing of key renewable installations are vital. Policy should focus on creating a fair and conducive forward-looking developmental, financial and regulatory environment.

energy 2025: challenging tomorrow's leaders. report of the iggy junior commission 2011/12

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