SINGAPORE: Rising oil prices and pollution are fuelling interest in green power in Asia but experts see no prospect of a rapid switch from the region's growing dependence on oil, coal and gas.
The problem is the high cost of renewable energy projects such as solar, wind, geothermal and biofuels, lack of government incentives and vested interests who believe green power is unviable or a threat to their wallets.
"We have to work very hard to convince governments that this is something they should focus on," said Samuel Tumiwa, renewable energy specialist at the Asian Development Bank (ADB).
"You have factions in governments that want renewables and others that don't. There are a lot of vested interests be they old power companies or oil companies." Environmental groups such as Green peace and lending agencies such as the ADB say renewable energy is crucial for Asia's economic future.
Renewables would help trim dependency on oil, minimise exposure to oil price spikes and cut pollution in a region that is home to more than half of the world's population.
US crude oil prices have averaged $38.67 a barrel so far in 2004, up more than $10 from the average for the previous five years. US benchmark crude hit a record $49.40 last month.
The International Energy Agency, the world's energy watchdog, predicts Asia, particularly China and India, will need to make trillions of dollars of energy investment by 2030, much of it to build power stations to connect more people to national grids. Transport is also booming.
Analysts say renewable energy can help meet some of these energy demands but most governments need to change the way they think and pass laws that level the playing field for green power. Already there are signs of change.
FUELLING THE FUTURE: China, the world's largest oil consumer after the United States, has ambitious plans to boost renewable energy use that include raising wind power generating capacity from 570 megawatts today to 20,000 megawatts by 2020 and 50,000 megawatts by 2030.
One megawatt of electricity can supply 1,000 homes. A push to use more biofuels such as marsh gas, straw, sugarcane residue and garbage to fuel power plants could eventually save China 28 million tons of coal a year.
In Japan, one of the world's top oil importers, automakers are investing in fuel cells to power new models using hydrogen, though costs remain out of reach for ordinary motorists.
India's prime minister urged scientists and officials last month to speed up development of renewable energy sources for Asia's third largest oil consumer. The record rally in crude futures is expected to raise India's oil import bill by 50 percent to $27 billion in the year to March 2005.
To reduce oil consumption India has started blending petrol with ethanol and has begun tests for running vehicles with a mixture of bio-diesel extracted from plants and diesel.
India's Ministry for Non-conventional Energy Sources has estimated the country has a potential to generate 80,000 megawatts from renewable sources yet produces only 5,000, half from windmills.
Pakistan is turning to wind power and several foreign companies are vying to set up windfarms. Bangladesh, too, is studying wind power and hopes to promote greater use of solar cells in remote villages.
The Philippine government is to start work on its first sugar-fuelled power plant next year. Already, in July, government vehicles started using a one percent blend of coconut methyl ester in their diesel.
The country, already the world's second top producer of geothermal power, wants to boost investment further in that sector to help meet power shortages. Indonesia, too, is turning to geothermal power to help meet its 10 per cent annual growth demand for electricity, while Thailand wants to replace regular gasoline with a mix that includes 10 per cent ethanol and aims to raise daily consumption of ethanol 12-fold by 2006.
While such measures are positive, analysts say renewables will make up only a fraction of the total energy mix in Asia for the foreseeable future. Athena Ronquillo, Green peace's international climate and energy campaigner for Asia, says there are several reasons for this, including cost and policy barriers such as a lack of supporting laws and incentives.
Robert Kleiburg, head of strategy for Shell Renewables, said the solar power industry was growing globally by 30 per cent a year because the cost of the technology was falling and many people in the Asia-Pacific region lacked access to the grid. -Reuters
