10/10/2010 DESERTEC-Asia | Pan Asian Energy Infr…

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A Pan-Asian Energy Infrastructure
A Pan-Asian Energy “One of the most
There's never been a better time to re-engineer Asia's energy system. important
Infrastructure
infrastructure
Coal-fired power plants are getting old. The electricity transmission system needs upgrading. New projects that we need
Australia
supplies of natural gas are coming on line that need a route to market. The regional economy is is a whole new
The Great Southern Ocean
becoming increasingly integrated. Climate change looms large. electricity grid.”
Olympic-Dam Darwin
Queensland-Darwin Barack Ob ama,
Northwest Shelf President,
United States
Timor Sea "No scientific
Darwin-Sumbaya breakthroughs are
needed to achieve the
Southeast Asia reality of the Energy
Indonesia SuperGrid."
Malaysia-Singapore "National Energy
The Greater Mekong Supergrid Workshop
The Phllippines Report,"
US Department of
China Energy,
Southern China 2002
Central China
"The challenge now is
Northern China
to build efficient and
Offshore China
seamless
connections across
Japan Asia and to the rest of
South Korea the world to foment a
Russia more competitive,
A Pan-Asian Energy Infrastructure could link
Australia to China prosperous, and
Comparison Projects integrated region."
Source: DESERTEC-Asia
"Infrastructure For a
Click here to enlarge image Seamless Asia,"
Asian Development
Energy market reforms that remove the deadweight costs of the status quo will encourage Bank,
application of new technology. The result will be industrial reinvigoration, higher economic growth 2009
"The Asian region is rates and improved living standards.
"(Cross-border)
well endowed with clean extension of power
The challenge? Asia should treat its rising energy needs as a collective, multilateral concern in which
energy sources but grids can benefit the
faces constraints in the overarching goal is the 'greatest good for the greatest number.'
environment b y
developing them." allowing forms of
"Infrastructure For a
A flexible, robust and open regional energy transmission network would achieve this goal. It
would last a century or more. It would be adaptable to tomorrow's energy sources (renewables) and power generation with
Seamless Asia," lower atmospheric
Asian Development tomorrow's fuels (like hydrogen).
emissions to replace
Bank, types of generation
2009 Thinking short term, by contrast, could result in wasteful investment and stranded assets.
with higher emissions."
Several assumptions underpin the conceptual viability of a Pan-Asian Energy Infrastructure. "Electric Power Grid
"Interconnected grids
Interconnections in the
lower needs for
1. A continuing trend toward increasing cross-border trade APEC Region," Asia-
generating capacity by
2. The need to turn over aging energy generating capacity while also creating new sources of supply. Pacific Energy
allowing peak demand in
3. The need for upgraded transmission infrastructure Research Center,
one area to be served in
4. The need to combat global warming. 2004
part by spare capacity
in a neighbouring area
where demand is not at All are largely self-evident.
its peak." "The benefits of
"Electric Power Grid Needed investment could be funded through universally-applied carbon pricing and removal upgrading and
Interconnections in the of perverse subsidies. This is economic common sense. extending Asia’s
APEC Region," infrastructure
Asia-Pacific Energy When the net present costs of avoided climate change and environmental damage are then added in, a networks are
Research Center, massive net present positive sum is generated. substantial, and that
2004 all countries in the
China is a huge energy consumer. Australia is a clean energy powerhouse. region would benefit."
"Infrastructure For a
Developing and linking Australia's clean energy supply to China's clean energy demand will benefit not
Seamless Asia,"
just Australia and China, but all the ASEAN countries that lie in between -- as well as Japan and South Asian Development
Korea. Bank,
2009
The result: a virtuous circle of economic development, industrial reinvigoration, greater social
inclusion through deepened electrification and longer human life-spans through greater " Investment now
environmental protection and remediation. being made in
energy-supply
infrastructure will
lock in technology for
decades, especially
in power generation.
The next ten years
will be crucial, as the

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10/10/2010 DESERTEC-Asia | Pan Asian Energy Infr…
pace of expansion in
energy-supply
infrastructure is
expected to b e
particularly rapid. "
"World Energy
Outlook,"
International Energy
Agency,
2007

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