Energy Challenge in the Global Economy Prof. Emanuela Colombo, Rector’s Delegate to “Cooperation and Development” - Politecnico di Milano Department of Energy

Emanuela Colombo - POLIMI Today Social Challenges The 8 Millennium Development Goals are the frontiers of the global growth The interdependency principles Underline the need of managing a global society from the economic, environmental and social point of view The aim at Sustainable development New paradigms for socio-economic development are needed The many financial, political, structural crisis Represent an alarm showing some weaknesses of the current global model of development

Emanuela Colombo - POLIMI 3 And what about Energy ? “Energy is essential to economic and social development and to improve the quality of life. All energy sources will need to be used in ways that respect the atmosphere, human health, and the environment as a whole.” IEA, 2005 Energy Relevance Energy is at the forefront of the global agenda since it is deeply linked to global security (raw materials, food and water security) environmental protection achievement of the MDGs sustainable development (economic, social and environmental..) As declared in 2009 by the UN Advisory Group on Energy and Climate Change

Emanuela Colombo - POLIMI Quantitative interdependency between Energy & Development Total Primary Energy Supply (toe per capita) Vs. Gross National Income - Atlas method, (current $ per capita) Energy and Sustainable Development Energy and Economic Development Electric energy consumption (MWh per capita) Vs. Gross National Income - Atlas method, (current $ per capita) High income Low /Middle income High income Low /Middle income

Emanuela Colombo - POLIMI The Human Development Index Life expectancy at birth (LEI), Mean years + Expected years of schooling (EI), A decent standard of living, (GNI index ), The Energy Development index commercial energy consumption (Ec): electricity in residential sector (EEc): modern fuels in residential sector (ME%) population with access to electricity (EE%). IEA, UNDP Energy and Social Development Energy and Sustainable Development

Emanuela Colombo - POLIMI 6 Ensure universal access to modern energy services Double the rate of improvement in energy efficiency Double the share of renewable energy in the global energy mix International Year of The UN declaration involved the WORLD WIDE asset Sustainable Energy for all Energy and Sustainable Development

Emanuela Colombo - POLIMI 7 JobsEnergyWater CitiesFood Disaster Ocean 2012 Rio +20 The Conference will focus on two themes: - a green economy in the context of sustainable development and poverty eradication; -the institutional framework for sustainable development UN conference on Sustainable Development Energy and Sustainable Development

Emanuela Colombo - POLIMI 8 Global Sustainable Equity and Responsibility Energy is Energy must be Energy requires

Emanuela Colombo - POLIMI 9 A sustainable energy system must provide Economics i.e strategies based on massive financial support are not sustainable in the long run Environmental Impact i.e strategies based on massive use of fossil fuel are not sustainable in the long run Social Impact i.e strategies based on an over-usage of non commercial biomass in low efficient devices are not sustainable Sustainability is a 3D element That we need to evaluate after feasibility studies are completed Energy must be “sustainable”

Emanuela Colombo - POLIMI Mtoe 2008 > Mtoe Energy is “global” Global Energy Supply

Emanuela Colombo - POLIMI 11 Looking indeed at the world wide distribution (TPES around 12 Gtoe). USA > 8 toe per capita LIE < 0.5 toe per capita Data From BP Statistic 2011 World 1.8 toe per capita Energy is “global”.. but

Emanuela Colombo - POLIMI 12 Energy is a leverage to overcome the “development divide” 1.3 billions do not have access to electricity 1 further billion do not have access to reliable electric grid 2.7 billions rely on biomass for cooking and lighting 80% in LIE 99% in rural area 90% in informal suburbs 5-15 % annual outages 1.4 millions deaths /y 10% of fuel carbon to HC 15% efficiency Energy requires “Equity” Sustainable development can not be achieved without social responsibility and social responsibility can not be build without individual responsibility

Emanuela Colombo - POLIMI 13 are growing Energy consumption are coming and will come New players to development Energy is linked are and will be still relevant Fossil fuel are growing fast but their forecasted penetration is limited Renewable energy

Emanuela Colombo - POLIMI 14 is the most pragmatic solution to assure a true energy saving while providing the same quality for the services we need......in High, Middle & Low Income Economies Energy Efficiency

Emanuela Colombo - POLIMI Scientific research and Polimi Innovation aims at overcoming the frontier of technology Innovation should also aim at overcoming geographical economic and social frontiers limiting human & social development Cross Fertilization & multidisciplinary approach involving engineering perspectives, economics and ecology and connecting Human factors, Social Science & Ethics are today essential for facing innovation in the energy field.

Emanuela Colombo - POLIMI “Development as freedom” Amartya Sen