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Sustainable Energy Planning and

Technological Issues in the


Developing Economy
Dr Titus Kehinde Olaniyi
Afe Babalola University Ado-Ekiti (ABUAD),
Ekiti State
Nigeria.
College of Engineering

Prof. A. R. Day, Prof. T.G. Karayiannis, Prof M. S. Kennedy and


Prof. R.O. Fagbenle
(Co-authors)
Supported by United Kingdom Engineering and Physical Sciences
Titus Kehinde
Olaniyi
(2013) UK.
Research
Council
(EPSRC),

Research Aim

Describes the findings of


literature review of the complex
energy and technological issues
for sustainable energy planning
with special focus on
Developing Economy
Titus Kehinde Olaniyi (2013)

Research Issues

Many DE are undergoing


dramatic changes in socioeconomic policies such market
liberalisation, financing and the
incorporation of grounded
externalities such as the
environmental implications of
Titus Kehinde Olaniyi (2013)

Historical World Energy


Consumption - TJ

Alarming scenario! coal has overtaken liquid (oil) fuel as the


dominantly consumed fuel source.
... these two energy sources represent the major
contributors of
pollution that are responsible for
climate change. Titus Kehinde Olaniyi (2013)

Global Changing Scenario of Energy


Consumption
Historically, Organisation for Economic
Cooperation and Development (OECD)
member countries have accounted for
the largest share of world energy
consumption; however, for the first
time in 2007 energy use among nonOECD nations exceeded that of OECD
nations.
Titus Kehinde Olaniyi (2013)

OECD and non-OECD Discrepancy


The discrepancy between OECD and
non-OECD energy use is expected to
grow in the future; due to the more
rapid growth in energy demand
expected for the emerging non-OECD
economies inclusive of Developing
Economies.
Titus Kehinde Olaniyi (2013)

Need for Stringent National Policy


Regrettably in the absence of
stringent national policies and/or
binding international agreements that
would curtail or reduce Green House
Gas (GHG) emissions, global
consumption of coal is expected to
increase from 139.27 x 106 TJ in 2007
to 217.34 x 106 TJ in 2035, at an
average annual rate of 1.6 per cent.
Titus Kehinde Olaniyi (2013)

Traditional Costs-benefit Analysis


Opposes SED
The notion that natural energy usage is
yet to get to its optimum stock based
on fraudulent costs-benefits analysis
needs to be readdressed in order to
evaluate the goal of SED as a rationale
for energy conservation of existing
resources.
SED is view as a situation in which the
Titus Kehinde Olaniyi (2013)
development vector
does not decrease over

World Commission on Environment and


Development entitled Our Common
Future an extract

..... but technology and social


organisation can be managed and
improved to make way for new era
of economic growth. In the end,
sustainable development is not a
fixed state of harmony, but rather a
process of change ...
Titus Kehinde Olaniyi (2013)

Inadequacy in Brundtland Report

Brundtland report though


addresses various areas
required for SED but
inadequate in reporting the
confounding dilemmas
affecting the SED in the DE.
Titus Kehinde Olaniyi (2013)

Sustainable Energy Development Issues


an extract

Current energy and resource use go


beyond the issue of climate change,
resource scarcity and ecosystem
disruption to how human beings live.
Modern industrial technology leads to
climate change and underpins an unethical
approach to life.
Current technology leads to social
division, conflicts and alienation and
Titus Kehinde Olaniyi (2013)

Positive Causation of Sustainable Energy


- Economic Development and Population Growth
+ Sustainable
Energy

Population
Growth

Titus Kehinde Olaniyi (2013)

+
Economic
Development

International Institute of Energy


Conservation - sustainable energy defined

The provision of energy services


at the lowest life-cycle cost of
the equipment where this value
represents the full economic
cost of the service to society as
a whole.
Titus Kehinde Olaniyi (2013)

Need for Price Reformation of


Commercial Energy in
Developing Economy

Price reforms of commercial energy are


paramount for SED in the DE. If the
necessary steps are not taken to reduce
subsidy, curtail ineffective domestic oil
consumption, and preserve exports, its
implications would be damaging to
balance of payment, impair economic
performance,
and impose substantial
Titus Kehinde Olaniyi (2013)

Energy Challenges in the


Developing Economy
DE is facing great challenges;
however, the challenges can be met
if the principles of SED inform
economic, energy resources and
sustainable environmental policies.
Feasible solutions from technical
and commercial points of view need
to be encouraged.
Titus Kehinde Olaniyi (2013)

Energy Challenges in the


Developing Economy

Sustainable Economic Gr

Financial Capital

Technology (Energy )

Sustainable Economic Growth

Financial Capital

Technology (Energy)

Population

Population

Political Stability

Political Stability

Renewable Energy
Energy Demand

Renewable Energy
Energy Demand

Market Ef f ectiv eness

Market Effectiveness

Conserv ation & Ef f iciency

Conservation & Efficiency

Energy Supply
Env ironment

Energy Supply
Environment

Titus Kehinde Olaniyi (2013)

Technology Development intellectual


transfer and not hardware

Intellectual transfer and


retention of human knowledge
and the purchase of know-how
rather the transfer of hardware
will generally provide the
greatest returns for DE.
Titus Kehinde Olaniyi (2013)

Technology Development intellectual


transfer and not hardware

Regrettably, the organisational


systems of modern corporations
may reflect different and
incompatible priorities and
values to the cultural, political,
technical and religious
institutions in the DE.
Titus Kehinde Olaniyi (2013)

Positive Causation of Sustainability economic development, improved healthcare and


+
energy
Sustainabsupply
ility
+
+

Energy
Supply
+

Energy
Demand

+
Improved
Healthcare

Population Growth

Economic
Development

Titus Kehinde Olaniyi (2013)

Impediment to Economic Growth


Traditional measure of economic
growth such as GDP or GNP measures
real national income on a per capita
basis. However, it does not include
quality of life measures such as sociotechnical and environmental
attributes that are seriously lacking in
the DE.
Titus Kehinde Olaniyi (2013)

Economic Impediment of Subsidy

Subsidy is an
economic
impediment to
sustainable energy
development.
Titus Kehinde Olaniyi (2013)

Higher Commercial Energy Prices stimulant for substitution in Developing


Economy

Higher-energy prices
can stimulate the
substitution of oil, coal
and natural gas with
new energy
technologies.

Titus Kehinde Olaniyi (2013)

Economic Development Path in


Developing Economy
The path of economic
development in DE will involve a
transition from the existing low
levels of energy consumption to
higher levels (as urbanisation and
industrialisation continues) and from

traditional fuel (i.e. wood or dung)


to modern (quality) commercially
Titus Kehinde Olaniyi (2013)

Conclusion - 1
Decision makers and their
advisers in the DE would have
to rethink the planning and
policy framework that would
sustain the energy market and
promote injection of the
required financial capital for
Titus Kehinde Olaniyi (2013)

Conclusion - 2

Technological
sustenance and
advancements will play
a significant role in
shaping the market
opportunities and SED
Titus Kehinde Olaniyi (2013)