The Bali Action plan, adopted in December 2007 at the outset of the United Nations Framework Convention on Climate Change (UNFCCC) conference, set out actions to be taken by the represented countries in order to promote economic and social development and eradicate poverty. These actions related to: shared vision, enhanced action on mitigation of climate change, adaptation of economies and infrastructures, technology development and transfer, provision of financial resources and investment.
The information and communication technology (ICT) industry has responded with its full strength to the call for action by the Bali Action plan. As noted by the International Telecommunication Union (ITU) during its conference in Quito in 2009, ICT can play a key enabling role in reducing greenhouse gas (GHG) emissions in other sectors. Governments and the private sector each have their role to play in deploying ICT to maximum effect.
Green growth, defined as economic development that is clean and sustainable, is a key issue for both developed and developing countries. A number of developed countries have taken bold steps to radically change their economies and power generation mix, in order to slow, limit and reduce carbon emissions.
It is likely that developed countries are better equipped than developing ones with advanced technologies and innovation capabilities to transform their economies in a way that reduces carbon emissions but does not hinder long-term economic growth. We see this transformation challenge as a great opportunity to promote innovation, create green jobs, foster long-term growth and increase social development.
In contrast, developing countries will find it difficult even to limit the growth of their carbon emissions in the foreseeable future, unless they have technology and financial support. If they do secure this support, however, they should derive clear benefits, as illustrated in Figure 1.
Figure 1: ICT investment kick-starts a virtuous circle in developing countries
In contrast, developing countries will find it difficult even to limit the growth of their carbon emissions in the foreseeable future, unless they have technology and financial support. As the economies of many developing countries are based on outdated technologies, we believe there is an opportunity for them to leapfrog the inefficient technologies that were adopted by developed countries in the past. Social development in developing countries will be enabled by the bridging of the ‘digital divide’, as rural areas (and many underserved urban areas) are equipped with appropriate ICT systems.
We believe that ICT can be shown to support all five actions identified by the Bali Action plan. However, a strong business case must be presented to the UNFCCC (and other parties) to highlight the significant contribution that ICT can make to finding one practical, workable solution to ensure mitigation of climate change and green growth.
Analysys Mason’s energy strategy consultants work with public- and private-sector clients worldwide on key issues related to energy strategy and climate change. Our company was at the forefront of the transformation of the telecoms sector and is now helping the energy sector to undergo a similar, but faster, radical shift.
For more information, please contact David Eurin, Senior Manager at david.eurin@analysysmason.com.