1.3 The Paradox of Energy Security and Sustainability
19
At the same time, developing and underdeveloped nations risked huge capital
for oil exploration with inadequate inhouse data and skilled personnel, limited
petroleum reserves, and high investment in technology and infrastructure. Many
countries in Asia, Latin America, and Africa invested in hydroelectric power plants
as well but subsequently held back further development due to serious environmental, capital cost, rehabilitation, and other issues. Eventually, coal emerged as the
most viable option for cheap energy production in non-oil commercial sector despite
environmental and transportation concerns. Besides commercial energy, the noncommercial, traditional, and non-conventional sector played immensely valuable
role in saving countries from energy catastrophe. Since production and consumption
of energy from traditional sources (firewood, charcoal, plant and animal residues,
and human and animal energy) was outside the purview of organized sector, it was
considered as non-commercial though regularly traded or bartered. The World Development Report 1979 acknowledges that half of the global population relied on noncommercial energy for cooking food (World Development Report 1979, World Bank
1979). Many low-income countries in Asia and Africa continued to rely heavily on
fuel from wood and animal waste till the turn of twenty-first century resulting in deforestation, degradation, and fuelwood shortages. It is surprising that the economists,
intentionally or otherwise, have so far avoided inclusion of traditional sources of
energy as commercial entity despite the fact that millions of households continue to
use wood fuel, charcoal, and animal dung for cooking food and for other household
activities. We must acknowledge that it is unrealistic to presume that every household
will get electricity connection and sufficient supply of commercial energy in future
and therefore, non-conventional energy technologies such as improved cookstoves,
biogas plants, improved charcoal kilns, and so on must be brought under the purview
of commercial energy.
The experience gained in energy access and security during the last four decades
of twentieth century primarily due to international geopolitical and security situation
as well as sensitivity to environmental issues helped the experts in overcoming many
concerns. Starting from Iran–Iraq war, Iraqi invasion of Kuwait, the Gulf war, global
war against terrorism, oil spills, Fukushima disaster, GHG emission, and so on,
acceptance of renewable energy as a viable and better alternative has changed the
security dimension. Governments and private sectors have become more receptive
to investing in new resources, undertaking research and innovations and are willing
to take risk. However, a roadmap to new strategies and approaches to governance,
creating a need for increased collaboration between producer, policy maker, and
national and international entities is required to be adopted.
19
At the same time, developing and underdeveloped nations risked huge capital
for oil exploration with inadequate inhouse data and skilled personnel, limited
petroleum reserves, and high investment in technology and infrastructure. Many
countries in Asia, Latin America, and Africa invested in hydroelectric power plants
as well but subsequently held back further development due to serious environmental, capital cost, rehabilitation, and other issues. Eventually, coal emerged as the
most viable option for cheap energy production in non-oil commercial sector despite
environmental and transportation concerns. Besides commercial energy, the noncommercial, traditional, and non-conventional sector played immensely valuable
role in saving countries from energy catastrophe. Since production and consumption
of energy from traditional sources (firewood, charcoal, plant and animal residues,
and human and animal energy) was outside the purview of organized sector, it was
considered as non-commercial though regularly traded or bartered. The World Development Report 1979 acknowledges that half of the global population relied on noncommercial energy for cooking food (World Development Report 1979, World Bank
1979). Many low-income countries in Asia and Africa continued to rely heavily on
fuel from wood and animal waste till the turn of twenty-first century resulting in deforestation, degradation, and fuelwood shortages. It is surprising that the economists,
intentionally or otherwise, have so far avoided inclusion of traditional sources of
energy as commercial entity despite the fact that millions of households continue to
use wood fuel, charcoal, and animal dung for cooking food and for other household
activities. We must acknowledge that it is unrealistic to presume that every household
will get electricity connection and sufficient supply of commercial energy in future
and therefore, non-conventional energy technologies such as improved cookstoves,
biogas plants, improved charcoal kilns, and so on must be brought under the purview
of commercial energy.
The experience gained in energy access and security during the last four decades
of twentieth century primarily due to international geopolitical and security situation
as well as sensitivity to environmental issues helped the experts in overcoming many
concerns. Starting from Iran–Iraq war, Iraqi invasion of Kuwait, the Gulf war, global
war against terrorism, oil spills, Fukushima disaster, GHG emission, and so on,
acceptance of renewable energy as a viable and better alternative has changed the
security dimension. Governments and private sectors have become more receptive
to investing in new resources, undertaking research and innovations and are willing
to take risk. However, a roadmap to new strategies and approaches to governance,
creating a need for increased collaboration between producer, policy maker, and
national and international entities is required to be adopted.