I’m not sure if the Bush administration has realized that anthropogenic (human-induced) climate disruption is a serious threat to our planet and many people’s livelihoods…but they at least acknowledge the importance of developing renewable energy, both in the U.S. and abroad. I was excited to read that Bush “urged Congress” to put $2 billion towards an international clean energy technology fund! Now I’m going to move to a developing country and try to start a clean energy company! Well, actually, I don’t know if that would work. The money would actually go to a fund that is managed by the World Bank, who will then distribute the money. I wonder how they plan to distribute it? Will they give it to the government? Will they have a grant process for people in developing countries who want to invest in clean energy? I wonder if the money will end up in the right hands to actually make a difference.
After reading the World Energy Outlook (WEO), I think the money really needs to go mostly to clean energy technology in China and India. I don’t have anything against Africa or any other developing nations, but by 2015, China is projected to surpass the U.S. in carbon emissions, thanks to their booming coal industry. (I feel sorry for you, Olympic athletes.) And India is right behind them.
Now I’m going to contradict myself. Maybe all the money shouldn’t go to China or India, since their economic growth is booming right now. Maybe instead, we should develop international regulations on carbon emission to “encourage” countries to develop clean energy technologies on their own. The richer countries in the west and China and India have enough human and techincal capital to rise up and develop clean energy technology, given economic incentives. But many African countries and some poorer developing countries don’t have the capital and will need support from an international clean energy technology fund.
So I would argue that we need international regulations on carbon emissions, and then we should give international aid to help the poorest developing countries with clean energy technology. However, without international regulations, we will be “forced” to give China and India economic incentives to blast forward with clean energy.
-Carbon
