Balancing the energy trilemma's conflicting agenda

September 27, 2013 | By Barbara Vergetis Lundin

The global energy industry must play a greater role in the transition to sustainable energy systems if United Nations' development goals are to be met, according to the World Energy Council's (WEC) 2013 World Energy Trilemma report. The report, produced in conjunction with global management consulting firm Oliver Wyman, concludes that without increased private sector support, billions of people could lose out on the benefits of sustainable energy systems in future decades.

The lack of global consensus on climate change and a future energy system framework, coupled with dramatic disruptions caused by emerging technologies and rapidly shifting patterns of energy use and supply, make it difficult to develop and implement long-term energy policies, according to the report, resulting in increased risk for industry and investors, which must be addressed if the much-needed energy transition is to be delivered in the future.

Developed countries with higher shares of energy coming from low- and zero-carbon energy sources supported by well-established energy-efficiency programs, such as Switzerland, Denmark and Sweden, outperform most countries across all three dimensions of the energy trilemma -- energy security, energy equity and environmental sustainability. Nevertheless, the report finds that all countries struggle to balance the three aspects of the trilemma's currently conflicting agendas. Five countries -- Switzerland, Denmark, Sweden, the United Kingdom and Spain -- have been recognized for historically demonstrating their ability to manage the trade-offs between the three competing dimensions equally.

"If countries are to improve the sustainability of their energy systems, they must continue to work hard at identifying and successfully implementing balanced and forward looking policies. A more sophisticated and proactive partnership with the private sector is also necessary to drive the higher level of energy investment now required," said Joan MacNaughton, executive chair of the report. "For its part, the private sector needs to better understand how policy is made and how to contribute to it more effectively. It should also be more proactive in helping to build an informed consensus that moves us away from ad hoc approaches dominated by debate about short-term costs."

The report recommends being more proactive in improving energy policies and being less risk averse in making energy investments.

For more:
- see this report

http://www.fierceenergy.com/story/balancing-energy-trilemmas-conflicting-agenda/2013-09-27