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For decades, the battle lines over oil, the world markets
and the environment have been clearly drawn. But recently
there has been an unprecedented shift in the conversation
surrounding energy issues. Scientists and politicians have
finally managed to rouse an undecided public to a climate
crisis that may be "inconvenient", but is increasingly
and disturbingly "true". Meanwhile, economists worldwide
are attempting to dispel apocalyptic predictions about the
global oil supply. The international community finds itself
in the difficult position of gauging energy truths on a daily
basis. How would a polar ice cap melt affect the subarctic
world? What do exorbitant gas prices really mean? While oil
talk is messy, its bottom line is clear: today's energy problems
are global ones and require global solutions.
To this end, the United Nations has led the way in coordinating
a unified international energy effort. Moreover, it has taken
innovative steps to draw human voices into a debate that,
for all its urgency, can seem daunting and inaccessible to
those that it affects most: consumers and workers the world
over.
Three UN treaty bodies met in May 2006 to address the economic
and environmental impact of energy usage. The fourteenth session
of the UN Commission on Sustainable Development heard from
groups as varied as trade union leaders, indigenous representatives
and technology specialists as it discussed a long-term international
energy strategy. A week later, the UN Permanent Forum on Indigenous
Issues held a regional meeting on the Arctic, where representatives
of the Arctic Council spoke passionately about the changes
occurring in their homelands. Finally, the UN Framework Convention
on Climate Change (UNFCCC) met in Bonn, Germany, during the
24th session of subsidiary bodies to tackle the issue of a
post-Kyoto Protocol strategy for the first time. The Protocol's
initial commitment period, ratified by 163 States in an attempt
to lower global energy emissions, expires in 2012.
Keeping fossil fuels available, realistically priced and
environmentally friendly goes beyond what Governments alone
are able to do. However, energy debates have nonetheless been
plagued by regional strife, and cooperation is often elusive.
The question of energy-specific regulations has been a contentious
one for countries with high or rapidly rising industry levels,
such as the United States, China and India. In 2001, the United
States formally withdrew from the Protocol, citing the need
for more country-specific guidelines. China has likewise refused
to sign, worrying that the treaty does not take into account
its energy needs as a rapidly developing nation and asserting
that as the world's most populated State its emissions should
be measured per capita. Both China and India contend that
they will persist in requiring substantial energy supplies
as they continue to develop.
Leading UN environmental bodies like the UNFCCC acknowledge
that such divisions between industrialized and developing
countries are a problem. Working under the principle of industrialized
response, the Kyoto Protocol and other environmental agreements
urge that industrialized nations lead the way in emissions
reduction, while developing nations have only semi-voluntary
participation standards. UNFCCC, however, has seen the conflict
as an opportunity to launch radically progressive environmental
and economic programmes, according to Hennig Wuester, Special
Assistant to the UNFCCC Executive Secretary.
The Clean Development Mechanism (CDM) of the Protocol, for
example, offers industrialized nations the chance to invest
in the energy clean-up of developing nations and use this
as credit towards their own emissions targets. Such projects
create a cohesive global goal from what was once a series
of detached regional problems. Indications are that these
unifying incentives are working, said Mr. Wuester. The UNFCCC
Secretariat estimates that CDM will reduce worldwide emissions
by over 1 billion tonnes by the end of 2012-a success that
will prove to be a great promoter of international cooperation.
"It's a sign that the institutional set-up that's in
place is quite powerful", he said, adding that Kyoto's
critics will be hard-pressed to argue against such a vast
statistic.
But in everyday economic terms, a strong case exists for
curbing fuel usage even more deeply across the planet. Desmond
Lachman, a fellow at the American Enterprise Institute for
Public Policy, explained that short-sighted energy strategies
in parts of the developing world leave the entire global economy
vulnerable to price hikes. To promote industry, some Governments
"suppress" oil prices by keeping domestic gas prices
artificially low, even when the international price rises,
he said. Encouraged by low prices, the industry and consumers
in developing countries consume oil liberally, but the rest
of the global community must account for this suppression
by picking up the slack in oil costs, Mr. Lachman added. Combined
with concerns about the political stability of the world's
big oil producers, the results are drastic hikes in prices
and the common, though not entirely well-founded, concern
that we are scraping the bottom of the proverbial barrel.
"There is no question that you're dealing with a limited
amount of oil", admitted Mr. Lachman, who echoed, however,
much of the media's recent discussion that there's "little
chance that we'll run out soon". George Kowalski, Executive
Director of the UN Economic Commission for Europe (ECE), agreed.
The Commission estimates that at today's prices and with current
technology, conventional oil reserves could meet the cumulative
global demand for the next forty years. A more urgent question,
he said, is how to get to the estimated 65 to 75 per cent
of the world's hydrocarbon reserves that are out of reach
of producers and distributors. These more unconventional sources
of oil-such as shale and coal, both of which must be specially
mined and converted into oil-require financial investments
for several years before they can turn a profit. And because
politics and business have already led to such a tight fuel
market, many countries are unwilling to make these long-term
investments.
Another option for cleaner, more cost-effective fuel-and
one that also requires significant research investments-is
the much discussed biofuels, which are viable ethanol created
from products like corn or sugar cane. A recent report by
the Worldwatch Institute revealed that biofuel production
has doubled since 2001. Although oil still accounts for over
96 per cent of fuel used in transportation worldwide, countries
like Brazil-with 40 per cent of its transportation already
running on sugar-cane biofuel-and the United States have begun
investing heavily in cleaner energy solutions. However, looking
forward to the development of such radical energy sources
and to alternative oil supplies, Mr. Lachman said that international
standards would make sense. More nations need to invest more
capital in these areas because, despite the concerns of individual
nations and regions, the energy economy is fundamentally a
global issue. "I think there is a clear case here for
international coordination", he said. The UN multilateral
framework could be a positive model for cooperative international
ventures in the future.
More urgent, perhaps, than the economic frenzy surrounding
oil are the environmental effects of this much desired, but
increasingly scarce, fossil fuel. Wasteful, unchecked consumption
by industry and consumers, especially due to suppressed oil
prices, is the leading cause of climate change-a process that
threatens the very basic foundation of our environment. Over
time, energy emissions, now almost universally acknowledged
to be warming the planet, threaten to alter global weather
patterns beyond recognition. Droughts, crop failures and famines
could follow as continents struggle to adjust.
While these images are dire predictions for most, some communities
are already dealing with the reality of climate change. Sheila
Watt-Cloutier, Chair of the Inuit Cir-cumpolar Conference
and Special Rapporteur at the UN regional meeting on the Arctic,
shared her people's experience of losing natural resources
on which they have always relied. Their hardships are not
isolated. Representatives of northern peoples from seven nations
and several indigenous groups echoed her concerns. The Arctic
Council reported success in past environmental efforts, including
proactive clean-up solutions, that have begun to teach northern
villages to monitor, test and contain pollution in their own
backyards. However, the melting caused by greenhouse gas emissions,
it said, is too big a problem to be handled locally. Ms. Watt-Cloutier
stressed the need for all nations to make sacrifices in order
to lower emissions even beyond the demands of the Kyoto Protocol.
Without deep and coordinated reductions, she warned, the subarctic
world will likely feel the effects of global warming as well.
"The Arctic is the mercury in the global environmental
barometer", she said. "Climate change has worldwide
consequences."
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Satellite
photograph of the Arctic Ocean. Some climate scientists
are predicting that within 100 years the Arctic Ocean
could be completely free of ice during the summer.
Photo/NASA/GSFC |
Through solutions like CDM, the UNFCCC parties are already
tackling arctic hardships and hope to stave off further climate
change. At the Bonn meeting, members continued to monitor
cuts in greenhouse gas emissions and launched new initiatives,
such as the "Dialogue on Long-Term Cooperative Action",
a project designed to adapt the world to climate change through
innovative technology and open-door international participation.
An agenda for specific talks has been set, beginning in November
2006 in Nairobi, Kenya.
Economics and the environment are integrally connected at
the juncture of oil. With so many varied interests at stake,
the topic can be complex and daunting, but it is also a chance
for meaningful international participation. This should not
be forgotten as the issue continues to take on a wider global
significance. Future cooperation on energy's economic front
is sure to reflect environmental concerns, especially as UN
leaders continue to promote the two perspectives as twin challenges
to be faced.
Commission on Sustainable Development:
'We Need a Revolution in Energy Efficiency'
A comprehensive and broad-based discussion by the Commission
on Sustainable Development, to review progress in the areas
of energy for sustainable development, industrial development,
air and atmospheric pollution and climate change, concluded
on 12 May 2006 at UN Headquarters in New York amid heightened
concerns over energy security and the growing demand for energy
resources, as well as the pervasive and persistent poverty
that impeded access to modern and cleaner energy services.
The Commission's fourteenth session, held from 1 to 12 May,
also concluded its three-day high-level segment, with UN Secretary-General
Kofi Annan calling for the exploration of ways to bring the
poor into the modern energy and industrial economy, while
moving energy use and economic activity onto a cleaner path.
"We have the knowledge and resources to conquer poverty
that blights so many lives and to safeguard our planet and
its climate for generations to come", he said, adding
that "we need a revolution in energy efficiency and new
efforts to scale up investment in renewable energy".
He also urged countries to fulfil their commitments to climate
agreements and integrate climate change mitigation and adaptation
measures into national sustainable development strategies.
Several of the Secretary-General's reports were also taken
up, including a review of progress in meeting the goals and
targets of Agenda 21 and the outcome of the 2002 World Summit
in the areas of energy, industrial development, pollution
and climate change. Mr. Annan said that addressing in an integrated
manner the sustainable development challenges relating to
these issues could serve to enhance synergies, seize win-win
opportunities and minimize trade-offs where they exist. Though
some progress had been achieved in alleviating poverty since
2002 through access to energy, especially in improving access
to electricity, 2.4 billion people worldwide still have no
access to modern energy services and one quarter of the global
population still lives without electricity.
Also before the Commission was the Chairman's summary of
the session, aimed at facilitating the policy debate on energy
in 2007. Broad recognition had emerged that all stakeholders-donors,
lenders, Governments, the private sector and major groups-should
participate in shaping a common, shared and feasible long-term
global energy strategy in support of sustainable development.
Such a strategy should: fulfil present and future energy needs
of developed and developing countries, based on affordability,
reliability and accessibility; ensure energy security, together
with safety, human health and environmental protection; and
establish a global, fair and firm commitment from all countries
to tackle climate change effectively.
A new report by the UN Department of Economic and Social
Affairs, entitled Trends in Sustainable Development, also
looked at the four interrelated areas under consideration.
It recognized the close link between energy and economic development,
poverty reduction and the provision of vital services. Given
a broad understanding that energy production, distribution
and consumption could have adverse effects on the environment,
efforts are under way to improve access to modern energy services,
increase energy efficiency, reduce air pollution and shift
to cleaner energy sources, the report states.
The Commission also heard from representatives of other major
groups, which included children and youth, women, business
and industry, farmers, indigenous people, non-governmental
organizations, scientific and technological communities, workers
and trade unions, on their roles in and contributions to the
implementation of the goals and targets of Agenda 21.
The 53-member functional body of the Economic and Social
Council was established by the General Assembly in 1992 to
ensure full support for Agenda 21-a comprehensive blueprint
for action drawn up by Governments at the 1992 Earth Summit-to
move the world away from its unsustainable model of economic
growth towards activities that would meet development needs
without compromising the environment. The Commission seeks
to build partnerships to address key sustainable development
issues and help coordinate environment and development activities
within the United Nations system.
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