Energy in a Globalised World - Energy and Climate: How to Achieve a Successful Energy Transition - page 9

energy, has been transferred to the emerging countries, China, India and
Brazil.
Delocalisation of much of the production to these countries, together
with the fast development of their economies, has resulted in a sharp
upsurge in their energy consumption. This trend, particularly striking in
China, tends to exacerbate tensions.
There are numerous consequences. Not only does development of the
emerging countries intensify the rate of growth of the world energy
demand, it also has implications for the distributions between the various
energies consumed. The growth of China, for example, has quickly driven
up the demand for coal.
This situation also has geopolitical consequences. Now having become
a major economic power and having to import an increasing share of its
oil, China is seeking to secure its supplies by strengthening its political
influence over the producing countries.
The influence of the Western economies, in particular Europe, is
therefore reduced in the future trends of the energy sector.
Future outlook
Globalisation is frequently accused of involving unfair exchanges and
creating unemployment. It cannot be denied, however, that it has
favoured rapid development in countries such as China or India. It is in
this context that we have been witnessing exceptional economic growth
on a worldwide scale.
In the energy sector, this growth is faced with two major problems: the
dependency on energy supplies, and the impact of energy consumption on
the environment.
Escalation of road and air traffic generates high dependency on oil
supplies. The increasing level of urbanisation reinforces this dependen-
cy. This situation makes the world economy highly vulnerable to an
interruption in supplies, since no immediate substitution solutions are
available. In addition, the search for the lowest costs and the highest
competitiveness on a global scale does not favour long-term investments.
The recent financial and economic crisis is an illustration of the growing
risks we are facing.
It is also becoming more and more difficult for the environment to
withstand the impact of energy consumption. The damage caused is not
included in the production costs.