Energy Scenario and Environment in India
Energy is an essential need for human existence. There is shortage of energy due to fast depletion of fossil fuels and the increase in demand for energy due to the increase in population and the growth of industry. The energy demands are increasing while conventional energy sources are diminishing at a much faster rate.
Take for example the generation of electricity. The present mode of electricity generation all over the world is largely dependent on fossil fuels. The consumption of fossil fuels for power production is expected to continue rising steadily in India. Experts have estimated that the availability of coal will be only enough for another 100-200 years while the oil sources at the present rate of consumption are only expected to last for another three decades or so. Energy shortages are expected to double in the next decade. A shortfall of 50,000 MW by the year 2004 has been estimated. It is estimated that a capacity of 6500 MW per year will be required to be added until 2010 to meet the shortfall. Against a planned addition of 30,000 MW during the Eighth Five Year Plan, the actual capacity addition was a dismal 19,000 MW for the country.
The rising energy demand resulted in the setting up of more power plants which are based on primarily fossil fuel (coal, oil or gas). The fossil fuel based plants not only emit Green House Gases like Carbon Dioxide (CO2) but also generate Fly-Ash-which is dangerous to human health. The emission of CO2, the main Green House Gas, is expected to surpass that of the OECD Countries by the year 2015. Hydro plants have also been installed to generate energy but these plants also create problems like Human Displacement and are damaging the ecosystem.
At Rio Summit, an agreement committed governments to prepare national strategies to attain CO2 targets set at the conference. The Framework Convention on Climate Change (FCCC), which was drafted at the Summit in Rio, has now been ratified by almost all the countries involved. These countries have committed themselves to achieve stabilization of Green House Gases concentrations in the atmosphere at a level which would prevent dangerous interference with the Climate System. The stabilization requires long term measures to lower the emission of Green House Gases in particular that of CO2 from energy use.
Kyoto conference on Climate change, held in 1997, has achieved the world’s first climate protection protocol containing legally binding targets for Green House Gas reduction by the industrialized countries. If implemented seriously, this would reduce fossil fuel consumption for the industrialized nations. In the first phase between 2008 and 2012, the industrialized nations are to reduce Green House Gas emissions by an average of 5.2% from 1990 levels. For the European Union and several Eastern European countries the target is 8 percent, for USA 7% from 1990 levels; for Japan, Canada, Hungary and Poland is 6%.
If the fossil fuels are to be minimized alternative sources of energy have to be found. The option that could be pursued is that of using Renewable Energy which is expected to contribute as much as 6-10% of the World’s Primary energy requirement in the year 2020. However, the potentials are much greater. Most renewable energies substitute for conventional fossil fuels. Renewables, help to reduce emissions. Another way in which renewables protect the environment is through the utilization of waste.
India is a leader in the Renewable energy Sector operating world’s largest programme. In this Energy sector, 925 MW capacity has already been installed in the country.
Rate of Gross National Production (GNP) is considered to be an indicator of economic performance of any nation. Increase in GNP indicates that economic health of the country is good. But such increase in the ultimate analysis, is based on high rate of consumption of natural resources of which environmental degradation is the result. In such a situation, economic growth comes in conflict with issues of environmental concerns.
India since early 1990’s opted for a major economic transition towards free market economy. Major economic advantages are expected to follow this transition. However, economists would have to take into account the idea of ecological disadvantages inherent in such an economic shift. In order to ensure the success of such an economic transition, it is imperative that the economists take into account short and long-term ecological costs so that in our effort to increase GNP, we may not liquidate ecological assets.
High economic growth means high rate of extraction, transformation and utilization of non-renewable resources. We must realize that though higher rate of GNP is important, equally important is the rate of regeneration of natural resources.
Concept of sustainable development which was brought into focus by Brundtland Report. (It is the report of Brundtland Commission – ‘Our Common future’, 1987) states that economic growth has to be environmentally sustainable. There is no economic growth without ecological costs. The GNP in the Annual Budget must be accompanied by Ecological Budget. Taken together the two will give a real picture of our economy. The National Accounting System should reflect the state of both our economy and environment. There is one more issue. As mentioned above the, developing countries have yet to undertake more developmental programmes and yet to attain reasonable standards of living. Therefore, GNP must increase for these countries. But one must realize that increased development and higher GNP are related to environmental damage and resource depletion. Therefore, an element of resource regeneration and positive approach to environment have to be incorporated in developmental programmes.
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