Environmental stewardship

Summary: Environmental stewardship in the energy sector requires careful understanding of all impacts of consumption so that the most sustainable energy options can be selected.

The energy sector has an impact on the natural environment in a variety of ways that can occur throughout the energy value chain, from the extraction of raw materials to the generation of electricity. Fossil fuels emit greenhouse gases, which have an effect on climate. Consequently, there is increasing emphasis on developing alternative energy sources, such as wind, solar energy, and geothermal power. However, alternative energy sources may also have impacts on the natural environment, including water use, biodiversity, and pollution.

The Growth of Modern Energy Services

Modern energy services make a significant contribution to economic and social development. In many developing countries, access to energy services assists in removing communities from the burden of fuelwood collection and the health impacts of open fires for cooking. Access to artificial light extends the workday and opens communities to communication services such as telephones, televisions, and radios. All of these benefits are important for social and economic development in a country. The trajectory of economic growth in lower- and middle-income countries requires increased growth in energy services. However, the pace of development has environmental impacts. Advancing energy services requires a careful balance between the environmental impacts and the social and economic benefits of these services.

Climate Change

The levels of greenhouse gases (GHGs) in the atmosphere—mainly carbon dioxide, methane, and nitrogen oxides—are rising as a result of human activities. Energy-related emissions contribute 63 percent of GHGs, with the remainder coming from agricultural and land-use activities. Within the energy sector, electricity and transport contribute the most emissions. In 2006, the stock of greenhouse gases in the atmosphere was equivalent to about 430 parts per million (ppm) of carbon dioxide equivalent (CO2e), in comparison with only 280 ppm before the Industrial Revolution. Increasing demand for energy and transport infrastructure is leading to increasing CO2e levels. At current rates, levels could reach 550 ppm by 2035, which would mean a 77 to 99 percent chance of global temperatures rising by an average of 2 degrees Celsius or more.

The exact impacts of climate change are difficult to model and predict, but temperature changes are likely to include changes in sea levels, precipitation events, and extreme weather events. Climate change will result in disruptions to ecosystems and the communities that depend on them. As demand for energy grows, the challenge is to find energy sources that minimize the impacts of climate change.

Sources

Many different energy sources can meet global energy requirements with lower carbon emissions than conventional fossil fuels; these include hydropower, wind power, solar power, biomass, nuclear energy, ocean (tidal and wave) power, and geothermal power. However, many of these alternative energy sources are still underutilized. In 2009, renewable energy provided 19 percent of final global energy consumption, of which 13 percent was made up of traditional biomass. Nuclear power contributed 3 percent, and fossil fuels made up the remaining 78 percent. Depending on the available sources of energy, some countries are almost entirely reliant on renewable sources for power. For example, Iceland obtains 100 percent of its power from renewable sources, predominantly geothermal, and Brazil obtains 85 percent of its electricity from renewables.

Increasing public pressure on the impacts of climate change is leading to more country-level commitments to expand renewable energy options. In 2009, 85 countries established some type of policy target to increase renewable energy. This represents an increase from only 45 countries in 2005. Most notably, in March 2007, the European Union (EU) adopted a 20 percent binding target of energy from renewable sources by 2020. These types of policy commitments assist in bringing new investment to the sector and driving down prices for new technologies. In 2008 and 2009, investments in new renewable power represented half of the total global investment in new power generation. Increasing interest in renewable infrastructure from emerging economies, particularly China, may further assist in driving down the prices of renewable technologies.

Transforming the Energy Sector

Switching from a carbon-based society to a more sustainable society will require widespread government commitment and international cooperation. In 2010, several countries committed to the Copenhagen Accord during the United Nations Framework Convention on Climate Change (UNFCCC) Conference of the Parties (COP15) meetings in Denmark. This agreement saw all major emitting countries set nonbinding objectives of limiting increases in global temperature to 2 degrees Celsius above preindustrial levels. The accord also set a goal of mobilizing $100 billion per year by 2020 for climate change mitigation and adaptation in developing countries. The agreements made under the accord are likely to contribute only half of what is required to meet the goal of keeping temperature increases below the goal of 2 degrees Celsius.

In addition to government actions, the commitment to a more sustainable energy sector requires individual commitments and lifestyle changes. Most households can easily reduce energy consumption by 25 percent through activities such as using energy-efficient lightbulbs, turning down hot-water thermostats, and increasing the heating efficiencies of homes and buildings. Improving the efficiency of household heating can significantly reduce CO2 emissions per household, as heating usually makes up 50 percent of household CO2 emissions. The average U.S. household produces about 150 pounds of CO2 per day through commonplace activities such as air-conditioning or driving cars. That amount is almost twice that of the average European household and almost five times the global average.

Impacts Beyond Climate Change

While renewable energy sources contribute fewer CO2 emissions, they may lead to other environmental impacts. For example, hydroelectric power is classified as a renewable energy source, but it can have a significant negative impact on aquatic ecosystems. Dams for hydroelectric power may block normal movements of fish and other animals, change sediment loads in rivers, and alter flow regimes. Wind farms can disrupt flyway patterns for migratory birds. All forms of energy development, in other words—including those of renewables—have the potential to affect natural systems. Environmental stewardship in the energy sector requires a careful understanding of these potential impacts and the best ways to mitigate them so that the best energy options can be selected.

Extracting Minerals and Fuel Sources

The energy sector has a range of other environmental impacts, particularly with respect to the extraction of fuel resources, such as oil, coal, uranium, and plutonium. Unconventional oil and gas sources, such as tar sands and shale gas, involve significant environmental impact and also require more energy to extract and process than conventional fuels. Much of the extraction of unconventional oil occurs in Canada’s boreal forest, which forms a mosaic of connected forests and wetlands, supporting a wide range of biodiversity. Currently, an estimated 42,000 hectares are active for oil sands mining. The area contains 35 percent of the world’s wetlands and has the largest coverage of peatlands in the world.

Mining processes have a number of waste streams, which need to be carefully managed to reduce impacts. Ineffective management of waste rock may lead to acid mine drainage, which occurs from the oxidation of sulfide minerals when they are exposed to air and water, leading to the production of acidic and sulfur-rich waters. Excess sediment can also lead to sediment increases in rivers from erosion. In many instances, mines are dewatered to lower the water table, but this process exposes toxic contaminants that might need to be treated for years beyond the closure of a mine. Mine operations produce tailings that have an impact on the environment if they are not correctly managed. Mining operations and associated processing plants may also contribute to emissions of sulfur oxides (SOx) and nitrogen oxides (NOx) and other particulates. The impact of these emissions can be minimized through appropriate siting, milling, and screening operations downwind of communities.

An important part of environmental stewardship is the decommissioning and rehabilitation of drilling and extraction sites. There is growing recognition within the industry that safe decommissioning, site rehabilitation, and ecosystem restoration are obligations of extractive companies.

Nuclear Waste

At the end of 2008, an estimated 438 nuclear power reactors were operational worldwide. Increasing fossil fuel prices and energy security concerns have prompted many countries to investigate and invest in the development of nuclear-fueled power plants. Nuclear power is advantageous because a fully operational nuclear power plant has almost no carbon emissions. However, nuclear power has other impacts, arising from the disposal of waste. There are two alternatives for disposing of nuclear waste. First, waste can be disposed of directly, which involves using the nuclear fuel once, cooling it in an interim facility, and then disposing of it in a long-term repository. Alternatively, waste can be reprocessed before it is stored. Several countries are reprocessing their waste, including France, the United Kingdom, Japan, Russia, and India. The useful components of the nuclear waste (uranium and plutonium) are recovered during reprocessing and returned to the fuel cycle to produce more reactor fuel. Any remaining waste is stored.

Although reprocessing is a more efficient process, in both cases long-term storage of waste is required. At the moment, there are no long-term repositories for storing commercial nuclear waste. France is currently testing the viability of storing radioactive waste in underground storage facilities. Other European countries, such as Finland and Sweden, plan to open deep geological repositories in about 2020–25. In the United States, the Department of Energy has been planning to open a long-term repository site in the Yucca Mountain in Nevada, but completion has been delayed by political and public opposition as well as scientific studies raising concerns about the safety of the site.

Emissions of SOx and NOx generated from coal-powered plants contribute to acid rain, which has severe impacts on natural systems. Coal cleaning involves reducing sulfur levels in coal and thereby lessening SO2 emission levels. Sulfur particulates can also be removed through systems such as electrostatic precipitators (ESPs) and fabric filters, which can remove 99.5 percent of particulate emissions. The use of flue gas desulfurization (FGD) systems, which remove sulfur from the coal, is the most effective means of reducing SO2 emissions. FGD systems are sometimes referred to as scrubbers and can remove as much as 99 percent of SO2 emissions.

Impact of

Biofuels are associated with several types of impacts along the production and consumption chain. Because of the variety of different feedstocks used in biofuels, there is considerable variation in the nature of associated impacts. When compared with fossil fuels, some forms of biofuels produce significant savings in GHG emissions. Sugarcane can produce savings of between 70 and 100 percent, while corn can save up to 60 percent. However, some forms of soybeans and palm oil may lead to increased GHG emissions when compared with fossil fuels. Biofuels also lead to increases in agricultural land and require significant water resources. The land and water required to grow biofuels may compete with crops required for food production. At times, this has contributed to increased food prices. When degraded land is restored for agricultural activity, biofuel production may increase biodiversity. However, in many cases biofuels are grown on land that has been converted from biologically rich forests or grasslands. Biofuel production can be made more sustainable through the adoption of good practices in soil and nutrient protection, water management, agrochemical management, and landscape and biodiversity conservation. Engaging in more environmentally friendly harvesting, processing, and distribution practices can also contribute to more sustainable bioenergy production.

Water is required throughout the exploration, processing, and distribution of energy. Water is particularly important for cooling processes in the generation of thermal electricity. The availability of adequate water has an impact on the types of generation options that are selected. For example, nuclear power generation is particularly water intensive, while wind-powered generation uses very little water. Approaches that reduce CO2 emissions may create other environmental impacts. For example, carbon capture and storage or sequestration (CCS) uses more water per energy output than conventional technologies. In some cases, water use in power plants can increase by between 46 and 90 percent when combined with CCS. There is a growing need to plan energy options with an understanding of the integrated environmental impacts of different supply options, including water needs, pollution events, and biodiversity impacts.

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