Energy Transition to Renewables: Challenges and the Way Ahead

For the growth of the economy and the provision of public services, access to affordable and reliable energy is crucial. However, variables affecting demand and supply have caused price increases and disruptions in the energy supply chains, disrupting the global energy market. As a result, nations with a large reliance on fossil fuels, like India, had considerable difficulties.

Energy availability and economic growth are related.

Energy accessibility and availability are crucial inputs for many public services, and providing inexpensive and consistent access to energy continues to be a major political and economic objective for almost all governments, which is why there is a correlation between these two factors.

Energy availability and accessibility are necessary for economic growth and development, and a lack of access to energy can hamper the growth of industries, limit productivity, and impede social development.

Factors that contributed to the Global Energy Crisis

Demand and Supply-side Factors: There have been disruptions in the oil and gas supply chains due to the ongoing Russia and Ukraine war. Additionally, energy prices came under pressure due to a sudden rise in demand resulting from abnormally high temperatures and associated heatwaves across the globe. These factors inflated the international price of oil and natural gas.

Dependence on Finite Fossil Fuels: Fossil fuels account for over 80% of global energy requirements and over 64% of electricity generation worldwide. Additionally, most countries are net importers of fossil fuels, and thus prone to adverse supply shocks resulting from various geopolitical and economic events.

Overdependence on Fossil Fuels: Many countries turned to coal to meet their energy needs, while those already using coal intensified its exploitation, putting immense pressure on the coal market.

Increased Cost of Electricity: The increased cost of electricity due to a higher usage of fossil fuel-based sources imposed a heavy burden on low-income households since they spend a larger share of their incomes on electricity and gas.

Widespread Power Outages: Widespread power outages in many countries due to disruptions in electricity supply threw lives out of gear.

Dependence on Imported Fossil Fuels: Europe, for instance, faced a challenging situation due to its historic high dependence on imported gas from Russia to meet its energy requirements.

Climate Change: Fossil fuels account for 75% of global greenhouse gas emissions and around 90% of carbon dioxide emissions. Climate events, such as floods and droughts, cause immense human and economic loss.

Impact on countries

High energy prices: The increased cost of electricity due to a higher usage of fossil fuel-based sources imposes a heavy burden on low-income households since they spend a larger share of their incomes on electricity and gas.

Power outages: Widespread power outages in many countries due to disruptions in electricity supply throw lives out of gear. For instance, Bangladesh witnessed a countrywide blackout as many gas- and diesel-based power plants, responsible for approximately 85 percent of the country’s electricity generation, were forced to shut down due to fuel shortages.

Slowdown in economic growth: Increased prices and disrupted supply severely impacted those countries with a high dependence on fossil fuels, particularly its import, and led to a slowdown in global economic growth, forcing some countries and regions into recession.

Environmental degradation: Overdependence on fossil fuels impacts countries adversely in the form of air and water pollution and soil degradation, while also being a significant cause of climate change.

Foreign exchange reserves: The dependence on fossil fuels also affects countries’ foreign exchange reserves, as the fluctuations in prices of fossil fuels affect their import bills and balance of payments.

Revenue loss: Many regions and their economies, especially in developing countries, depend on incomes derived from fossil fuel-based employment, such as mining, power generation, transmission, and distribution and storage. In many regions, governments are also dependent on the revenue generated from fossil fuels to enhance infrastructure that enables local communities to expand and diversify their livelihood options.

Challenges in way of transition to renewable sources of energy

Mobilizing capital: While the cost of clean energy is declining, many clean energy technologies require high upfront investment costs, which may be beyond the capacities of most developing countries. Additionally, international support for developing countries is lacking, making it difficult for them to transition to renewable energy sources without supportive international actions.

Technical challenges: The transition to renewable energy sources may require significant upgrades to infrastructure, including energy storage and transmission systems, which can be costly.

Policy and regulatory challenges: The transition to renewable energy sources requires significant policy and regulatory changes, including reforms to subsidy systems, pricing mechanisms, and energy markets.

Reliability and intermittency of renewable sources: Unlike fossil fuels, renewable energy sources are often intermittent, making it difficult to guarantee a stable supply of electricity. This may require investments in energy storage and backup power systems to ensure reliable supply.

Public acceptance: The transition to renewable energy sources may face resistance from some stakeholders, including those who are reliant on fossil fuels for their livelihoods or those who are concerned about the visual and environmental impacts of renewable energy infrastructure.

Rebuilding the Idea and Reality of Manipur

The recent riots in Manipur have caused unprecedented levels of human displacement, death, and property loss, as well as irreparable damage to the state’s geopolitical foundations. It is necessary to face the truth about the nature of these riots and their primary cause in order to maintain future stability and peace. Additionally, appropriate steps must be taken to ensure institutional accountability, recognition of distinguishing rights, and accommodation of identities.

What is the main reason?

The state government’s failure to acknowledge and take into account the territorial rights and identities of the various communities in the state is the main reason for the riots in Manipur.

The state’s aggressive integrationist project, which seeks to dissolve tribal land rights in the valley areas, has been a major source of tension between the Meitei and tribal communities.

Additionally, the lack of functional sub-state asymmetrical institutions and the weakness of the state-society model have contributed to the instability and ethnic security dilemma in the state.

Who are the Meiteis?

Largest community: The Meiteis are the largest community in Manipur.

Community’s Language: They speak the Meitei language (officially called Manipuri), one of the 22 official languages of India and the sole official language of Manipur State.

Geographical Distribution: Manipur is geographically divided into the Imphal Valley and the surrounding hills. The Imphal Valley is dominated by the Meitei community, which accounts for more than 64% of the population. The hills, which comprise 90% of Manipur’s geographical area, are inhabited by more than 35% recognized tribes, which are largely Christians.

Major Festivals: festivals of meiteis are Lai Haraoba, Cheiraoba, Yaosang among others. Also, The Manipuri martial art Thang-ta had its origin in the Meitei knights during the king’s rule.

Need for recognition and accommodation: Illustration

Recognition of territorial rights: The stability and integrity of a pillarized society like Manipur can only be secured through recognition of territorial rights and identities of all communities. This means recognizing the land rights and heritage of the Meiteis and the tribals in the hills.

Substantive accommodation: In addition to recognition, it is necessary to provide substantive accommodation to different communities. This can involve granting tribal communities more autonomy in decision-making and representation in government.

Genuine dialogue: Accommodation requires genuine dialogue between communities that is based on mutual respect and a willingness to compromise. This is crucial for building trust and reducing tensions.

End of aggressive integrationist projects: The idea that one community should dominate others must be replaced with a more inclusive approach that values diversity and recognizes the rights of all communities.

Working institutions: Accommodation requires that institutions function effectively and equitably. The weak state-society model in Manipur needs to be strengthened and institutional trust and legitimacy must be restored.

Respect for differences: Recognition and accommodation require a respect for differences and a commitment to finding common ground. This can be facilitated by an appreciation of the historical pedigree of extant sub-State constitutional asymmetry and a willingness to address the concerns of all communities.

Way ahead: Steps to promote State-building

Strengthening state institutions: The state government should focus on building strong and effective institutions that can deliver basic services to citizens, maintain law and order, and protect the rights of all communities. This could involve reforming the police force, improving the efficiency of the bureaucracy, and strengthening the judiciary.

Promoting inclusivity: The state government should ensure that all communities, including tribal and non-tribal groups, have equal access to government services and are included in the political process. This could involve implementing affirmative action policies and promoting dialogue between different communities.

Improving infrastructure: The state government should invest in improving infrastructure, including roads, water supply, and electricity, to promote economic growth and development. This could help reduce poverty and inequality and improve the quality of life for all citizens.

Addressing grievances: The state government should address the grievances of different communities, including land rights issues, to build trust and promote peace. This could involve setting up a judicial commission to investigate past violence and ensure accountability for those responsible.

Building regional partnerships: The state government should work with other states in the region and the central government to promote regional cooperation and address common challenges. This could involve promoting trade and investment, sharing resources, and collaborating on regional security issues.

CPEC to be extended to Afghanistan

To fully utilise Afghanistan’s potential as a regional connectivity centre, Pakistan, China, and Afghanistan have agreed to expand the Beijing-supported China-Pakistan Economic Corridor (CPEC) to Afghanistan.

CPEC: What is it?

One of Beijing’s Belt and Road Initiative’s (BRI) most ambitious elements, the CPEC, was unveiled in 2015 amid much excitement.

Beginning in 2013, the CPEC is a group of infrastructural projects being built across Pakistan.

By 2020, the value of CPEC projects will have increased to $62 billion from their initial estimate of $47 billion.

By erecting cutting-edge transport networks, various energy projects, and SEZs, Pakistan’s necessary infrastructure is meant to be upgraded quickly, and the country’s economy is intended to be strengthened.

On 13 November 2016, CPEC became partly operational when Chinese cargo was transported overland to Gwadar Port for onward maritime shipment to Africa and West Asia.

India’s reservation against CPEC

Ans. Sovereignty breach

India which shares tense relations with Pakistan, objects to the CPEC project as upgrade works to the Karakoram Highway are taking place in Gilgit-Baltistan.

This is the territory illicitly occupied by Pakistan in 1947-48.

During the visit of Indian PM Modi to China in 2015, the Indian FM, Sushma Swaraj reportedly told the Chinese.

India did not object to the Chinese construction of the Karakoram Highway which was built between 1959 and 1979.

Why CPEC?

Economic push for Pak: CPEC has consistently been held up as a “gamechanger” for Pakistan’s economy.

Debt trap diplomacy: At the same time, China is the only country that is heavily investing in Pakistan.

Progress status

Slow pace: Gwadar, despite being the epicenter of multibillion-dollar projects, lacks basic necessities like reliable access to water and electricity, let alone other facilities.

At standstill: But the road to completion has proved long and winding. Reports indicate that the pace of CPEC projects has been slowing down in Pakistan in recent years.

Baloch freedom movement: This is another impediment to the stalled project where Chinese officials are targeted and killed.

Consistent security threat: China is also seeking to deploy its Army in the CPEC projects, to which Pakistan has contested.