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Submission date 11/30/2015

Demand for renewable energy in BRICs

Essay on the course of Strategies in STI management

Student ID number M151ĚÓČÍÍ036

Professor Thomas Thurner

Submission date 11/30/2015


Abstract.

Energy is the basis of economy and its growth. As the largest economies with comparatively high growth, the sustainability of BRICs (Brazil, Russia, India and China) energy system could being concerned with its use of renewable energy sources and increasing population. This study adopted two-level analysis to explore the demand for renewables in BRICs. At the first level energy system and policies in member countries with pressure on environment are studied . At the second level different widely used by NGO’s reasons to use renewables are analyzed in BRICs framework. The study results show that … makes the largest contribution to the … , which mainly derived from …; on the average, … has the largest share (… %) to the … , next from ... ( ...%), then from ... (…%), accordingly, and the other categories just have a contribution of … %;. Based on these study results, the following measures should be emphasized in future, including …..

Key-words: Renewable energy, BRICs, China, Russia, India, Brazil, energy policies, renewables demand.

Introduction.

As discussions about climate change, environmental accountability are more and more often in the world, especially in developed part of it focus on renewable energy became stronger..For the period 1980-2015 the number of scientific works with key word “ environmental responsibility” multiplied by 200 and covers such diverse branches as social science, engineering, medicine, art and humanities and also energy[1]. In 2014 combination “ renewable energy” was used 10 000 times in scientific works comparing to 146 in 1980 and was studied mostly in developed countries like US, UK, Germany and Italy[2].

 
 

I argue that renewable energy could be of greater importance for developing countries for several reasons like independence from traditional energy suppliers, access for energy in rural and remote areas and environmental care in polluted manufacturing economies. In the graph 1 we can see the distribution of energy consumption among the regions in 1973 and today.It’s clear that role of non-developed countries is more prominent now.

Graph 1: World energy consumption among the regions[3]

Source: OECD/IEA

 
 

There are a set of developing economies playing notable part in the world in terms of energy consumption, renewable energy consumption and investment. One of them is China the leading investor in renewables and first consumer of the energy. Based on top-ten consumers of the world energy in Graph 2. Where BRICs( Brazil, Russia, India and China) countries on the top six I decided to focus on this group and its demand on renewable energy in my work.

Graph 2: Top ten energy consumers



Source: Global energy&CO2 Data[4]

My essay consists of two parts which represents two-level analysis to explore the demand for renewables in BRICs. In the first part (level) energy system and policies in member countries with pressure on environment are studied . After in the second part(level) different widely used by NGO’s reasons to use renewables are analyzed in BRICs framework. Also the hypothesis about interdependence between the size of population and demand on renewables is tested applying to BRICs.

Energy systems in BRICs

A) Energy system and policies in Brazil

Brazilian energy portfolio is well diversified and includes traditional sources such as electricity, oil and gas and the same time some specific ones as sugarcane ethanol or firewood. This structure is explained by the intention of the government to avoid shocks from dependence to only one or two resources as it was during 1970s oil crisis or last decade’s energy shortages due to water cut for hydroelectric damps because of drought. Now biomass and wind are presented by Brazilian government as primary sources of electricity despite the fact that 75% of Brazilian electricity comes from hydroelectricity and wind could be produced only during dry season. Anyway the government set a goal to achieve 20 gigawatts of wind energy by 2020 from 5 gigawatts in 2014[5] while the potential of wind energy is 143 gigawatts[6].

 
 

Despite all efforts Brazilian energy sector is dependent on petroleum and oil production- 39,4% of total energy production in 2014 the same percent as for all renewables( hydraulic, firewood and charcoal, sugar cane products and others) illustrated in Graph 3.

Graph3: Domestic energy supply in Brazil

Source: Ministério de Minas e Energia[7]

 
 

The low prices for oil recent years are expected to motivate authorities to continue investments in alternative sources as well as the decreasing external energy dependence of the country( Graph 4). Energy security proposes Brazil too much advantages in terms of foreign policy independence, defense, economic decisions and regime stability to maintain existing progress by all possible means[8].

 

Graph 4: External dependence on energy

Source: Ministério de Minas e Energia[9]

 

Another important point to stress about Brazilian energy system is the high intervention of the State. Firstly, there is interesting structure of State energy regulation actors and the area of their responsibility and their attachment to one of three power branches representing in Table 1.

Actor Responsible for Power branch
Ministry of Mines and Energy -research funding, -government policies, - energy investments. Executive
National Council for Energy Policy -advices for the President, -electricity policy elaboration. Out from 3 branches, mixed. Consists from government representatives, experts in energy, NGOs and 7 ministers
National Agency of Petroleum, Natural Gas and Biofuels -regulation of oil sector. Executive under Ministry of Mines and Energy (MME)
National Agency of Electricity -regulation of electricity market Legislative, but linked to MME

Table 1. Energy sector regulation actors in Brazil

Source: based on websites of the actors mentioned

Energy system and policies in Russia

B) Energy system and policies in India

C) Energy system and policies in China

 


[1] Scopus : http://proxylibrary.hse.ru:2107/term/analyzer.url?sid=5D410D36BC7032BFEBB10680F9AD8694.y7ESLndDIsN8cE7qwvy6w%3a10&origin=resultslist&src=s&s=TITLE-ABS-KEY%28Environmental+responsibility+%29+AND+PUBYEAR+%3e+1969&sort=plf-f&sdt=b&sot=b&sl=63&count=14427&analyzeResults=Analyze+results&txGid=5D410D36BC7032BFEBB10680F9AD8694.y7ESLndDIsN8cE7qwvy6w%3a6

[2] Scopus http://proxylibrary.hse.ru:2107/term/analyzer.url?sid=5D410D36BC7032BFEBB10680F9AD8694.y7ESLndDIsN8cE7qwvy6w%3a170&origin=resultslist&src=s&s=TITLE-ABS-KEY%28Renewable+energy%29+AND+PUBYEAR+%3e+1969&sort=plf-f&sdt=b&sot=b&sl=50&count=77353&analyzeResults=Analyze+results&txGid=5D410D36BC7032BFEBB10680F9AD8694.y7ESLndDIsN8cE7qwvy6w%3a22

[3] p.30 “Key world energy statistics”, 2015, International Energy Agency( IEA), http://www.iea.org/publications/freepublications/publication/KeyWorld_Statistics_2015.pdf

 

 

[4]http://globaldata.enerdata.net/database/

 

[5] http://www.portalabeeolica.org.br/

[6] http://green.blogs.nytimes.com//2009/11/09/brazilian-wind-power-gets-a-boost/

[7] Balanço Energético Nacional( Brazilian Energy Balance), 2015, final report, https://ben.epe.gov.br/downloads/Relatorio_Final_BEN_2015.pdf

 

[8]http://oilprice.com/Geopolitics/South-America/How-Energy-Independence-Influences-Brazilian-Geopolitics.html

[9] Balanço Energético Nacional( Brazilian Energy Balance), 2015, final report, https://ben.epe.gov.br/downloads/Relatorio_Final_BEN_2015.pdf

 

 


Date: 2015-12-24; view: 907


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