The world’s energy system is at a crossroads. Current global trends in energy supply and consumption are patently unsustainable– environmentally, economically and socially.
But that can – and must – be altered; there’s still time to change the road we’re on. It is not an exaggeration to claim that the future of human prosperity depends on how successfully we tackle the two central energy challenges facing us today: securing the supply of reliable and affordable energy; and effecting a rapid transformation to a low t carbon, efficient and environmentally benign system of energy supply.
Fundamental to achieving such an energy revolution is the role of governments, and the policy instruments that they use to achieve their objectives. For it is governments that “hold the key to changing the mix of energy investment” and it is the policy and regulatory frameworks that they establish, nationally and internationally, that “will determine whether investment and consumption decisions are steered towards low carbon options”.