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It’s not all black and green, you know

Even ministers can lose sight of rationality when eco-talk reigns

It's not all black and green, you know
It's not all black and green, you know

Yesterday saw an impressive gathering of global dignitaries and energy companies convene in Abu Dhabi for the third instalment of the World Future Energy Summit. Let me start by stressing that I think it is, of course, commendable that Abu Dhabi recently became the official home of the International Renewable Energy Agency, and much important work is to be done in this field if the world is to meet its energy requirements in the coming decades.

It was with a little disappointment, however, that I left the forum roundtable discussion between energy ministers (from no less than eight countries), gathered together on Monday.

A lot of urgency was stressed. Familiar, if still impassioned rhetoric was, of course going to be the order of the day. “We have no alternative. The time is now. Copenhagen was a disaster. We need results not talk,” we were all reminded. Again. A smattering of mutual admiration (and self congratulation) for renewable and alternative investments to date was inevitable and forthcoming.

However, as one would expect, a great deal of it amounted to nothing more than hot air. What a warming world needs like a fish needs a bicycle.

Energy diversification is now more achievable to the countries of the Middle East and Asia, and represents an eminently sensible path to follow and promote. Investing in solar power, geothermal technologies and nuclear power production are all sensible alternatives to burning fossil fuels for energy in the Middle East. If nothing else, this will free up more oil and gas to be sold to energy starved nations of the world.

The development of a peaceful nuclear energy industry in particular paves the way for lower greenhouse gas emissions and better air quality across the region. All good stuff.
However, what was disappointing from the roundtable discussion was the black brush that was being swept across the oil and gas industries – still the lifeblood of economic development throughout the GCC and for the many other countries blessed with such resources. Not to mention all their terribly willing customers.

The language had turned a vitriolic green and thankfully before mine turned blue, HE Abdullah bin Hamad Al Attiyah, Qatar’s Deputy Premier, Minister of Energy & Industry took the microphone and delivered some home truths.
“The debate, not just today’s, but for a long time in the media, paints oil and gas producers as the enemy of the environmental movement. This is not true and not helpful. Today we face a situation where all of the energy we can produce, from all sources is needed urgently. We need to dial down the rhetoric and stop making oil and gas the scapegoat for all the world’s problems.”

Quite right.

The frustrated Al Attiyah added that it would be far more productive to have a meaningful conversation where ‘bad’ and ‘good’ were not pinned to the energy resources we have.

Let’s not forget that growing crops for biofuels diverts that resource away from hungry people’s stomachs and into petrol tanks. There is no single button we can press that solves all the world’s ills. By burning natural gas instead of coal many major economies are already making the green switch, and one which requires a considerable infrastructure investment.

“We can’t phase fossil fuels out – we all have to play together to meet the energy challenge,” said Al Attiyah.

With this it is hard to argue. It’s a crime today that in a world of iPods and air conditioning, over 2 billion people remain without electricity (a number that in spite of many wondrous advances in green technology will only grow in step with Asia’s ballooning population), and it is simply wrong to suggest a few billion more dollars in solar panels will ever meet these needs. As India and China’s people increasingly move into cities, for the time being anyway, fossil fuels will be what keeps their lights on, and their ovens warm.

The proceedings ended with Qatar’s energy minister reminding the audience (and one feels some of the panel) that four of Qatargas’ best customers were assembled on stage with him.

“We have 62 million tonnes of LNG production per year on stream today, and we will be increasing that by 15 million tonnes this year to meet the demand from our customers on three continents. Everywhere you need us we will be there.”

It’s easy to get swept up in one side of a debate, but it’s important that common sense and rationality are not the first victims of the green revolution.

Daniel Canty may be slightly biased; he is the Editor of Oil & Gas Middle East.

The Plenary panel session included:

H.E. Abdulla Bin Hamad Al-Attiyah, Deputy Premier and Minister of Energy & Industry, Qatar
H.E. Mohamed Bin Dhaen Al- Hamli, Minister of Energy of UAE
H.E. Dr. Hasan Younes, Minister of Electricity and Energy, Egypt
H.E. Dr Farooq Abdullah, Minister of New and Renewable Energy, India
Hon. Hanny Sherry Ayittey, Minister of Environment, Science and Technology, Ghana
Hon. Jesca Eriyo, Minister of State for the Environment, Uganda
H.E. Tadahiro Matsushita, Senior Vice Minister of Economy, Trade and Industry, Japan
H.E. Young Hak Kim, Vice Minister, Ministry of Knowledge Economy, Republic of Korea

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