Environmental Issues, Climate Changes, and Energy Security ...

ENVIRONMENTAL ISSUES, CLIMATE CHANGES, AND ENERGY SECURITY IN DEVELOPING ASIA

Benjamin K. Sovacool

NO. 399

June 2014

ADB ECONOMICS WORKING PAPER SERIES

ASIAN DEVELOPMENT BANK

ADB Economics Working Paper Series

Environmental Issues, Climate Changes, and Energy Security in Developing Asia

Benjamin K. Sovacool No. 3 99 2014

Benjamin K. Sovacool is Associate Professor at Vermont Law School, and Professor of Business and Social Sciences at Aarhus University

AsIAn deVeLoPMent BAnK

Asian Development Bank 6 ADB Avenue, Mandaluyong City 1550 Metro Manila, Philippines

? 2014 by Asian Development Bank June 2014 ISSN 1655-5252 Publication Stock No. WPS146535

The views expressed in this paper are those of the author and do not necessarily reflect the views and policies of the Asian Development Bank (ADB) or its Board of Governors or the governments they represent.

ADB does not guarantee the accuracy of the data included in this publication and accepts no responsibility for any consequence of their use.

By making any designation of or reference to a particular territory or geographic area, or by using the term "country" in this document, ADB does not intend to make any judgments as to the legal or other status of any territory or area.

Note: In this publication, "$" refers to US dollars.

The ADB Economics Working Paper Series is a forum for stimulating discussion and eliciting feedback on ongoing and recently completed research and policy studies undertaken by the Asian Development Bank (ADB) staff, consultants, or resource persons. The series deals with key economic and development problems, particularly those facing the Asia and Pacific region; as well as conceptual, analytical, or methodological issues relating to project/program economic analysis, and statistical data and measurement. The series aims to enhance the knowledge on Asia's development and policy challenges; strengthen analytical rigor and quality of ADB's country partnership strategies, and its subregional and country operations; and improve the quality and availability of statistical data and development indicators for monitoring development effectiveness.

The ADB Economics Working Paper Series is a quick-disseminating, informal publication whose titles could subsequently be revised for publication as articles in professional journals or chapters in books. The series is maintained by the Economics and Research Department.

Printed on recycled paper

CONTENTS

Abstract

I. Introduction

1

II. Climate Change

2

III. Air Pollution

5

IV. Water Quality and Availability

6

V. Land-Use Change

8

VI. Environmental Impact of Energy Technology Options

10

A. Energy Efficiency

10

B. Nuclear Power

11

C. Shale Gas

11

D. Conventional Coal

12

E. Clean Coal

12

F. Oil and Natural Gas

13

G. Hydroelectricity

14

H. Wind Energy

14

I. Solar Photovoltaics

15

J. Solar Thermal

15

K. Geothermal

15

L. Biomass

15

M. Biofuels

16

VII. Conclusions

16

REFERENCES

18

Abstract

Four environmental dimensions of energy security--climate change, air pollution, water availability and quality, and land-use change--and the environmental impact of 13 energy systems on each are discussed in this paper. Climate change threatens more land, people, and economies in Asia and small Pacific island states than any other part of the planet. Air pollution takes a substantial toll on national health-care expenditures and economies in general. Of the 18 megacities worldwide with severe levels of total suspended particulate matter emissions, 10 are in Asia. Regarding water availability and quality, hydropower, nuclear power, and thermal power account for 10% to 15% of global water consumption, and the volume of water evaporated from reservoirs exceeds the combined freshwater needs of industry and domestic consumption. In the domain of climate change, rising sea levels could contaminate freshwater aquifers possibly reducing potable water supplies by 45%. Changes in land use for fuelwood collection and biofuel production in Southeast Asia have resulted in deforestation at 5 times the global average and 10 times the average for the rest of Asia. Policymakers must begin to incorporate the cost of these negative consequences into energy prices.

Keywords: environment, water policy, climate change, energy security, Asia-Pacific

JEL: Q40, Q43, Q51

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