The International Energy Agency (IEA) has warned in its 2012 edition of the World Energy Outlook that global energy demands are set to grow with India, China and West Asia accounting for 60 per cent of the increase.
A large percentage of this increase will be in the area of fossil fuels which received subsidies to the tune of $ 523 billion in 2011, up almost 30 per cent from 2010 and six times more than subsidies being given to renewables.
Renewables are set to become become the world’s second-largest source of power generation by 2015 and close in on coal as the primary source of fuel by 2035. But to achieve this position, they will need subsidies to the tune of $4.8 trillion.
Coal has been used to meet the rising global energy demand but while the demand in China is expected to peak around 2020, demand in India will continue to rise. By 2020, India is expected to become the largest importer of coal in the world.
Demand for natural gas is expected to rise exponentially though India, China and Bangladesh account for more than half the 1.3 billion people who do not have access to electricity and clean cooking facilities. The report also stresses the need to improve on energy efficiency measures to help increase energy security.
WWF’s Global Climate and Energy Initiative leader Samantha Smith believes that two thirds of all proven fossil fuel reserves must stay in the ground if the world is serious about avoiding dangerous climate change.