ECE Energy Series

English
ISSN: 
2412-0022 (online)
http://dx.doi.org/10.18356/d114d3d8-en
Hide / Show Abstract
UNECE’s work on sustainable energy is designed to improve access to affordable and clean energy for all and help reduce greenhouse gas emissions and the carbon footprint of the energy sector in the region. It promotes international policy dialogue and cooperation among governments, energy industries and other stakeholders.  The focus  is on energy efficiency, cleaner electricity production from fossil fuels, renewable energy, coal mine methane, natural gas, classification of energy and mineral reserves and resources, and energy security.
Also available in Spanish, French
 
Mitigating Climate Change Through Investments in Fossil Fuel Technologies

Mitigating Climate Change Through Investments in Fossil Fuel Technologies

A Synthesis Report Based on National Case Studies from Afghanistan, China, India, Kazakhstan, Kyrgyzstan, Mongolia, Tajikistan, Ukraine, and Uzbekistan You do not have access to this content

English
Click to Access: 
    http://oecd.metastore.ingenta.com/content/3828feaf-en.pdf
  • PDF
  • http://www.keepeek.com/Digital-Asset-Management/oecd/natural-resources-water-and-energy/mitigating-climate-change-through-investments-in-fossil-fuel-technologies_3828feaf-en
  • READ
Author(s):
UNECE
17 May 2016
Pages:
74
ISBN:
9789210580595 (PDF)
http://dx.doi.org/10.18356/3828feaf-en

Hide / Show Abstract

This report is the principal written deliverable of the project "Mitigating climate change through attracting foreign direct investment in advanced fossil fuel technologies", financed from the United Nations Development Account (UNDA). The project, implemented in 2010-2012, covered nine countries: Afghanistan, China, India, Kazakhstan, Kyrgyzstan, Mongolia, Tajikistan, Ukraine, and Uzbekistan. The report takes into account findings of the national baseline studies, drafted for each of the nine countries between November 2011 and August 2012. The report summarizes and interprets the experiences, policies, and plans for the future of each country in developing a thermal electricity sector using advanced technologies that reduce carbon dioxide (CO2) emissions and exploit the countries’ fossil fuel resources.
loader image

Expand / Collapse Hide / Show all Abstracts Table of Contents

  • Mark Click to Access
  • United Nations Economic Commission for Europe
    The United Nations Economic Commission for Europe (UNECE) is one of the five United Nations regional commissions administered by the Economic and Social Council (ECOSOC). It was established in 1947 with the mandate to help rebuild post-war Europe, develop economic activity and strengthen economic relations among European countries, and between Europe and the rest of the world.
  • List of abbreviations
  • Executive summary
    This report is the principal written deliverable of the project "Mitigating climate change through attracting foreign direct investment in advanced fossil fuel technologies", financed from the United Nations Development Account (UNDA). The project, implemented in 2010-2012, covered nine countries: Afghanistan, China, India, Kazakhstan, Kyrgyzstan, Mongolia, Tajikistan, Ukraine, and Uzbekistan.
  • Background
    The project was implemented in a vast region of Eurasia that some 2.5 billion people call home. The nine countries covered by the project vary greatly in size and level of economic and social development, which is reflected in their electricity sectors.
  • Electricity sector overview
    The nine project countries range from large and high-growth countries with large and rapidly expanding electricity sectors such as China and India to smaller and relatively low-growth countries with small electricity sectors such as Tajikistan, Afghanistan, Mongolia, and Kyrgyzstan. In between are Kazakhstan, Ukraine, and Uzbekistan, which inherited planned economies, substantial electricity infrastructure, and sizeable fuel resources from centralized Soviet planning. (Of course Tajikistan, Kyrgyzstan, and to a certain extent Mongolia are also former socialist economies with infrastructures built primarily by Soviet centralized planning.)
  • Fossil fuels in electricity generation
    Historically, electricity generating plants were built where fossil fuels were readily available, reliably delivered, cheap and easy to handle. This has over time usually meant coal, although oil was sometimes used (as in the Persian Gulf states), and latterly natural gas in countries having abundant gas reserves. An important, but often unstated criterion in both developed and developing countries was security of energy supply: it is deemed better to rely on domestic resources of fuel for electricity than to use interruptible sources which have to be imported. It has only been in the past three decades that the need to control and reduce pollution and then CO2 emissions has become an important criterion in building electricity generation plants.
  • Advanced fossil fuel technologies for cleaner electricity generation
    Advanced technologies for using fossil fuels in electricity generation have evolved over the past decades primarily as a means of achieving higher fuel energy efficiency through burning of these fuels at higher temperatures. An important goal in recent years has also been to reduce CO2 emissions from power plants, which historically have been the biggest single source of man-made CO2, as part of the global program of mitigating climate change.
  • Electricity demand growth and plans for the future
    A country’s economic growth is directly underpinned by its growth in electricity output. Planners in China and India have both forecast that electricity capacity needs to grow by 8.5-9.5 per cent per year and 8.0 per cent per year, respectively, in order to support the planned annual growth in GDP of 10 per cent and 8 per cent in the coming five years. Between 2010 and 2012—a period when Chinese planners were actively trying to slow the economy—growth in electricity demand was about 7 per cent a year reaching a new high level of consumption of 4.7 Petawatt hours (1,000 billion kWh). Demand already for electricity in both countries is greater than production. In China, there was an implied deficit of 30 GWh of power in 2011, and it is estimated to be 40 GWh this year which means supply and demand are virtually balanced, but many regions of the country are supply constrained or under-supplied. In India, meanwhile, there has been a systemic deficit in electricity supply of about 8 per cent a year over the past decade. Planners expect that 94 GW of new capacity will be needed in the coming five years just to keep up with the growth in demand, but not to close the deficit.
  • The role for FDI in introducing advanced fossil fuel technologies
    It has long been a tenet of economics that foreign direct investment can have a positive effect on the economic development of a country through the introduction of new, advanced technologies and production processes into an economy. Similarly, there has long been the expectation that foreign investment can raise energy efficiency, productivity, as well as to reduce pollution from energy use, reduce the wasteful use of energy, and contribute to reducing carbon emissions from electricity generation. Foreign investment can often be the financial means or catalyst which serves to introduce or to accelerate the development of an economic sector or industry. At its most basic function, foreign direct investment provides capital which otherwise might not be available in the target country.
  • Investment climate
    The general rules, functioning, regulations, and conditions of a country’s economy and business activity are the background which makes up the investment climate for both domestic and foreign investors. Elements as diverse as inflation, labour unions, demand growth, currency exchange restrictions, xenophobia, anti-monopoly rules, presence of racketeering, public auction rules, political transparency, and domestic input requirements all are part of the complex fabric of the investment climate.
  • Findings and conclusions
    The Problem: Thermal electricity generation every year emits a substantial share of the world’s CO2. Coal-fired plants are especially large contributors and the rapid growth in capacity of coal-fired power plants in the past 15 years has especially raised alarms about the sudden surge in carbon emissions and their deleterious effect on the climate. China and India have very large coal-burning electricity sectors and are the world’s first and third largest CO2 emitters—and their emissions have shown very strong growth in the past decade.
  • Add to Marked List