(g) Energy-related issues in transportation.ss

3. At its 1st meeting, on 6 March, the Director of the Division for Sustainable Development made an introductory statement.

4. At the same meeting, the Chairman of the World Energy Assessment Editorial Board made a presentation on the results of the World Energy Assessment.
 
 

6. At its nineteenth special session, the General Assembly, recognizing the complexities and interdependencies inherent in addressing energy issues within the context of sustainable development, also decided that the preparations for the ninth session of the Commission should be initiated at the Commission’s seventh session and should utilize an open-ended intergovernmental group of experts on energy and sustainable development to be held in conjunction with inter-sessional meetings of the eighth (2000) and ninth (2001) sessions of the Commission. The General Assembly emphasized that, in line with the objectives of Agenda 21, the ninth session of the Commission should contribute to a sustainable energy future for all.

7. The Ad Hoc Open-Ended Intergovernmental Group of Experts on Energy and Sustainable Development met for its first session from 6 to 10 March 2000, at New York. At this session, the Group of Experts deliberated on the preparations for the ninth session of the Commission, on energy issues, which involved identifying key issues of energy and sustainable development, discussion of the programme of work between the first and second sessions of the Group of Experts and the formulation of a provisional agenda for its second session.

8. The participants at the meeting benefited from a combined panel on global energy trends and sustainable development, financing, investment and sustainable energy, involving representatives from the Organization of Petroleum Exporting Countries (OPEC), the International Energy Agency (IEA), the United Nations Environment Programme (UNEP), the United Nations Development Programme (UNDP) and the Global Environment Facility (GEF).

9. Preparations for the ninth session of the Commission should build on Agenda 21, taking into account the principle of common but differentiated responsibilities and the Programme for the Further Implementation of Agenda 21. The preparatory process could also take into account the existing international documents which address energy issues, such as the Programme of Action for the Sustainable Development of Small Island Developing States, the outcome of the twenty-second special session of the General Assembly and the World Solar Programme, and energy-related provisions of the outcomes of other relevant global conferences, summits and conventions.

10. At the same time it was recognized that the work of the Group of Experts could benefit from exchange of information with other ongoing intergovernmental processes relevant to energy and sustainable development. The need for active exchange of information between the Group of Experts and such processes in the lead up to the ninth session of the Commission was fully recognized.

11. In reviewing the theme of energy and sustainable development, taking into account the special circumstances of developing countries and bearing in mind Agenda 21 and the outcome of the nineteenth special session of the General Assembly, consideration was given to the implementation of their provisions relating to financial resources, transfer of technology, capacity-building and foreign investment flows to developing countries, and to the importance of national policies.

12. The Group of Experts emphasized the expert nature of its work and the overall objective of its mandate. It was also noted that this preparatory process would provide information for decision makers for their consideration in policy development on energy. The importance of a multi-stakeholder approach in the deliberations of the Group of Experts has also been underlined.

14. A major challenge for the international community is to ensure that energy systems will contribute to the goals of sustainable development.

16. Accessibility of energy depends on security of supply and security of demand of energy, which contribute to market stability. This can be enhanced through, for example, the ongoing international dialogue between producers and consumers of energy, information exchange and enhanced transparency, as well as analysis and projections of future demand and supply of energy. Despite the introduction of new forms of energy, fuelwood continues to play an important role in satisfying energy needs in many rural areas. Access to sustainable fuelwood supplies is a growing problem in many developing countries, and it needs to be addressed in a comprehensive manner.

17. Electricity is increasingly assuming greater importance in the total energy mix, particularly in developing countries, with increasing recognition of adequate and reliable electric power as important to economic and social development. Therefore, low-cost financing schemes may be needed. The electric power sector of developing countries faces a formidable array of new challenges. There are very strong social imperatives and political pressures to expand supply since large segments of the population are still without adequate access to energy, including commercial energy, such as electricity. Electrification is capital-intensive and still perceived as being a major challenge for developing countries; it could benefit from the liberalization of electric power markets. The electrification of rural areas, the maintenance and modernization of existing grids, and the establishment of decentralized and stand-alone energy systems and enhanced efficiency in distribution will need international support. Environmentally sound and economically advantageous solar, wind, biomass and ocean-based technologies should similarly be promoted.

18. Investments in cross-border electricity and oil and gas infrastructure can often be facilitated by cooperation on framework conditions among concerned countries, including transit countries.

19. The transportation of energy products through natural gas and oil pipelines and shipment by tankers should take fully into account environmental and economic cost-effectiveness concerns. The consideration of diversification of energy transportation routes provides an opportunity for international cooperation.

21. The need for close attention to long-term development planning was noted since energy balance is largely determined by long-lived infrastructure of the major energy-consuming sectors, such as transportation, urban layouts, building and industrial plans.

22. Energy conservation by both energy producers and consumers and loss reduction in various energy-use sectors are equally important. Opportunities for energy efficiency are generally cost-effective and should be actively pursued.

23. Energy efficiency improvements in industrialized countries may not be automatically applicable in developing countries because of the existing infrastructure and level of technology development. International cooperation could focus on technology adaptation to suit local conditions. Public awareness campaigns could contribute to greater understanding of the advantages of energy and material efficiency and lead to wider acceptance of energy efficiency standards.

25. Although investment initiatives in renewable energy technologies and their efficient use might require the promotion of attractive fiscal incentives and national legal frameworks, concern was expressed on this matter. In many cases, such investments will require bilateral and multilateral assistance due to perceived higher economic risk by the private sector.

26. Greater understanding and analysis of market conditions, including regional markets, is needed for wider application of these technologies to enhance their contribution to sustainable development. A key element in promoting the acceptance and use of renewable energy sources and technologies lies in heightened public awareness. Constraints in renewable energy application in developing countries include their high capital cost, limited research and development and technology capabilities and resources, lack of institutional capacity, and lack of financial and human resources.

30. Financing mechanisms for rural energy services should be designed to maximize local ownership, by extending credit at low cost — to the local community and by introducing other innovative financial mechanisms. This will require domestic resources and both national and international cooperative efforts to mobilize additional resources for this purpose.

31. Energy supplies and technologies utilized for cooking require special attention. There are social and economic benefits to be gained by enabling women in rural areas to become the beneficiaries of environmentally sound energy technologies, know-how and extension services. Particular benefits could result from outreach programmes in the areas of education, training and microcredit facilities, in particular targeted to women, and related to community development programmes on household use of fuelwood, modern fuels and energy efficient cooking technology.

33. There are a number of possible policies to encourage faster uptake of alternative fuels and reducing the negative environmental impacts of transportation, such as measures to encourage change of transportation modes, measures to raise energy efficiency within each transportation mode, measures to develop and promote public transportation, measures to promote alternative fuels, and measures for emission control and effective enforcement procedures. Initiatives should build on existing industrial and manufacturing agreements, which establish guidelines for improved product efficiency.

35. Efforts to enhance scientific and technology cooperation through the research, development, transfer and diffusion of environmentally sound technologies should recognize the important but differentiated contributions of the public and private sectors. There is also a need for further efforts in the commercialization and marketing of new and cleaner technologies. The governmental role in developing and fostering enabling policy, legal and institutional frameworks should be emphasized.

36. The participation of local communities, the private sector and other stakeholders as well as public-private partnerships in cleaner and advanced energy technology development could facilitate efficient transfer, adaptation and use of technologies and know-how.

38. The educational and awareness levels of end-users should be raised in order to promote the acceptability of many environmentally sound energy technologies.

39. The need to support increased participation of civil society in national and international policy and project development through the rule of law and democratic, participatory and transparent decision-making was expressed.

41. Multilateral financial institutions and programmes should strengthen their financial assistance, particularly grants and concessional mechanisms, in order to contribute to growth in the development and application of energy technologies for sustainable development in close consultation with recipient countries. In addition, they can play an important complementary and catalytic role in encouraging private investment and, where appropriate, all aspects of country-driven capacity-building and strengthening.

42. Establishing an enabling environment to attract private investment and public-private partnerships will require macroeconomic stability, trade liberalization and transparent and sound investment policies, as well as well-functioning regulatory frameworks and legal and financial systems. Privatization and liberalization, including the gradual removal of harmful subsidies, is essential to stimulate increased private investment and competition in the energy sector to bring about more efficiency in the sector, reduce the investment burden of the public sector and ensure the best possible safe services for consumers. However, implementation of the reforms should take into careful consideration adverse social, economic and environmental implications, and may thus require gradual introduction.

43. The importance of structural reforms in the energy sector, including market reforms, and market-based pricing, including through eliminating inefficient monopolies, which are necessary to make energy-producing and energy-consuming activities supportive of sustainable development, was raised. However, concern was expressed on this matter.

44. The importance of the internalization of externalities to achieve accurate price signals was highlighted. However, concerns were raised on the matter.

45. There is also a need to encourage the reduction and gradual elimination of subsidies in energy production and consumption that inhibit sustainable development. Such policies should take fully into account the specific needs and conditions of developing countries, particularly the least developed countries and economies in transition, taking into account the fact that the social objectives of most existing energy subsidies can often be met more efficiently by means of well-targeted social programmes.

46. The external debt problem can continue to hamper the efforts of developing countries to achieve sustainable development, and could be a barrier to private national and international investments.

47. When investing in the development of new energy sources, environmental protection in general and protection of endangered species and biodiversity in particular should be taken into full consideration.

49. There is a need for donors, international financial institutions and the United Nations system to pay particular attention to issues relating to the least developed countries and the poorest communities. International cooperation should focus in particular on the support for delivery of energy in support of sustainable development as a means for providing services to reduce poverty and promote the development process.

50. There is a need to intensify international cooperation, both North-South and South-South cooperation, in order to create environmentally sound, cost-effective and affordable energy systems. It is also essential to ensure international cooperation for promoting energy conservation, the improvement of energy efficiency, the use of renewable energy and research and development and the dissemination of innovative energy technologies. As noted above, international cooperation is also needed in the areas of capacity-building, financing and providing access to information on environmentally sound energy technologies.
 
 

52. The Group of Experts recommended to all countries and organizations planning or proposing meetings or expert consultations relevant to its work to ensure open-ended, transparent, participatory and representative nature of such initiatives, and balanced and active involvement of developed and developing countries from all regions and groups and relevant stakeholders, reflecting a range of interests and views. The organizers, in the course of their preparations, could consult with the Co-Chairmen and the secretariat of the Group of Experts, as appropriate.

(a) Solicitation of views of Governments on the key issues identified in the present report;

(b) Preparation of case studies on specific issues discussed during the first session of the Group of Experts.
 
 

58. The session was opened by the Vice-Chairman of the Commission on Sustainable Development, Choi Seok-Young (Republic of Korea).

59. The Director of the Division for Sustainable Development made an introductory statement. The Chairman of the World Energy Assessment Editorial Board made a presentation.

61. At the same meeting, the Group of Experts elected Marcio Numes (Brazil) and Jaroslav Maroušek (Czech Republic), as Vice-Chairmen by acclamation. One Vice-Chairman remains to be elected.
 
 

1. Election of officers.

(a) Report of the Secretary-General on national submissions (E/CN.17/ESD/2000/2);

(b) Report of the Secretary-General entitled "Energy and sustainable development: key issues" (E/CN.17/ESD/2000/3);

(c) Letter dated 15 February 2000 from the Permanent Representative of Portugal to the United Nations addressed to the Secretary-General, transmitting a European Union position paper on the first session of the Group of Experts (E/CN.17/ESD/2000/4);

(d) Report of the Committee on Energy and Natural Resources for Development on its first session (E/1999/32-E/CN.14/1999/2).