Statistical Yearbook for Asia and the Pacific 2011
 
Environment
Energy supply and use
Data source: International Energy Agency (IEA).

In 2008, Asia and the Pacific was by far the major energy producer among the world’s regions accounting for 46% of global production, but as a consumer it ranked as the second most frugal, after Africa, in terms of per capita energy supply, at just 74% of the world average.

Energy consumption

Total primary energy supply (TPES) reflects annual supply of commercial primary energy, and is at the national level calculated as the sum of energy production, net imports and net stock changes minus energy used for international shipping and aviation. TPES varies with the level of economic development, the structure of the economy, the choices and opportunities available for energy production, trade and transformation, the efficiency of energy use, and patterns of consumption.

In 2008, Asia and the Pacific accounted for 44% of the total global primary energy supply (TPES) or 5,449 million tons of oil equivalent (mtoe) of the world supply of 12,267 mtoe. The North American share was 21% (at 2,550 mtoe), followed by Europe at 16% (2,014 mtoe), Latin America at about 6.3% (749 mtoe) and Africa at 5.5% (655 mtoe).

Figure II.9 – Share of total primary energy supply in the world, by region, 2008

Figure II.9  Share of total primary energy supply in the world, by region, 2008

The picture is radically different if energy supply per capita is considered; in 2008, per capita energy supply in the Asia-Pacific region was 1,345 koe, only 74% of the world average, at 1,824 koe. Only Africa among world regions had a lower average, at 736 koe, which was 40% of the world average. In contrast, supply per capacity was 3,407 koe in Europe, at 187% of the world average; and North America held the lead at 7,539 koe per capita, or 413% of the global average.

Between 2000 and 2008, the world average annual growth rate of per capita energy supply was 1.4%. All regions, except North America (-0.8%) experienced positive growth. Asia and the Pacific led in growth with the rate of 3.4%.

However, among individual Asian and Pacific countries, the average annual growth rate of per capita energy supply varied widely. Countries whose rate grew the most include Armenia (5.1%), the Islamic Republic of Iran (5.5%), Kazakhstan (6.7%) and China (8.0%). During the same period, the growth rates were negative in a number of countries, with the sharpest declines experienced in Singapore (-2.1%) and the Philippines (-1.9%).

Figure II.10 – Per capita energy supply, world regions, 2000 and 2008

Figure II.10  Per capita energy supply, world regions, 2000 and 2008

Electricity production

Between 2000 and 2008, the world produced 3.4% more electricity per year on average; in Asia and the Pacific, production increased by an average of 6.1% per year, resulting in an increase in the Asia-Pacific share of gross electricity production from 34% to 42%.

Figure II.11 – Gross electricity production, world regions and Asia-Pacific subregions, 2000 and 2008

Figure II.11  Gross electricity production, world regions and Asia-Pacific subregions, 2000 and 2008

Within Asia and the Pacific, the East and North- East Asia subregion produced 5,051 billion kWh or almost 60% of the region-wide total in 2008. China and Japan together generated 4,539 billion kWh, about 90% of the subregional total and about 53% of all electricity produced in the region.

In South-East Asia, Indonesia and Thailand led with combined electricity production of 297 billion kWh or 51% of the subregional total produced. In South and South-West Asia, India and the Islamic Republic of Iran produced 76% of the subregional total of 1,382 billion kWh. In North and Central Asia, the Russian Federation produced more than 83% of the entire subregional total of 1,251 billion kWh. Australia generated about 86% of all electricity produced in the Pacific subregion.

Electricity consumption

Asia and the Pacific, along with Africa, lead the world in growth of per capita consumption of household electricity. From 2000 to 2008, the annual average growth in per capita consumption of household electricity in the world was 2.0%. Asia and the Pacific experienced double that rate of growth at 4.0%, second only to Africa at 4.1%. The growth was particularly evident in least developed countries (LDCs) at 6.5% and in lower-middle income countries at 8.4%. On the other hand, the average per capita consumption of household electricity in the North and Central Asian subregion declined between 2000 and 2008.

Figure II.12 – Consumption of household electricity per capita, Asian and Pacific income groups, 2000-2008

Figure II.12  Consumption of household electricity per capita, Asian and Pacific income groups, 2000-2008

Figure II.13 – Consumption of household electricity per capita, Asian and Pacific country groupings, 2000-2008

Figure II.13  Consumption of household electricity per capita, Asian and Pacific country groupings, 2000-2008

The industrial sector in Asia and the Pacific as a whole consumes the greatest share of region-wide total final energy consumption (TFC), at 36%. The residential sector follows at 27%; and transport consuming the least at 17%. During 2000-2008, the proportion of energy consumed by the industry has increased continuously, reflecting a pattern of increasing commercial activity in the region, especially in such countries as China and India, which have become major industrial production bases for the world.

Energy intensity

Energy intensity is the amount of energy consumed to produce one unit of GDP (TPES per unit of GDP). Between 2000 and 2008, energy intensity declined in all the world’s regions, translating into gains in energy efficiency. Against a world decline in average annual energy intensity of 1.2%, Asia and the Pacific declined by 1.5%, exhibiting higher efficiency gains than the world average.

Within Asia and the Pacific, North and Central Asia was the most energy-intensive subregion during the period from 2000 to 2008. At the same time, however, it led in improving energy intensity at an average annual rate of 5.0%, with many Central Asian countries improving at even higher annual rates with Azerbaijan in the lead at 13%. Nonetheless, the economies of the subregion still exhibit high TPES per unit of GDP with an average energy intensity rate at 342, more than 50% above the regional average at 221.

Figure II.14 – Energy intensity index, TPES per unit of GDP (2005 PPP$), Asian and Pacific subregions, 2000-2008

Figure II.14  Energy intensity index, TPES per unit of GDP (2005 PPP$), Asian and Pacific subregions, 2000-2008

Reducing the pain while improving the gain: Making energy consumption more efficient for a sustainable model of evelopment

Economic development has been closely associated with increasing consumption of energy. A sustainable model of development must, however, decouple those two processes. Economic development is not sustainable if it raises the level of energy consumption beyond a certain level. Through improved energy efficiency and increased use of alternative energy sources economic development can occur without the economic and environmental costs associated with high energy consumption.

Two critical indicators of energy efficiency – energy intensity and per capita energy consumption – are important starting points in the decoupling process. The Asia-Pacific region consumes energy at relatively high levels per unit of GDP in comparison with other regions, such as North America and Europe. Nonetheless, Asia and the Pacific is leading the way in reducing energy intensity. At the same time, the Asia-Pacific per capita energy consumption is the second lowest, after Africa. Per capita energy consumption is increasing, however. This trend, which reflects the conventional paradigm of economic development in tandem with rising energy consumption, can be managed with innovative solutions, as illustrated in the case of China Government with its promotions for sustainable energy development.

In Asia and the Pacific, the ratio of energy imported to energy exported is close to 1, indicating self-sufficiency for the region. However, the uneven distribution of primary energy resources indicates a potential to enhance trade in energy and electricity to support energy security through regional cooperation.

Stimulus packages for sustainable energy development

The United States, Australia and Japan, as well as the European Union, responded to the global financial crisis of 2008 with a commitment to developing sustainable, low-carbon economies. Their commitment is evident in the proportions of funds allocated to sustainable energy initiatives on both supply and demand sides of the energy system. Additionally, India, the Russian Federation and Brazil have announced monetary or budgetary measures involving tax cuts and credit terms but no direct injection of capital. Some of those measures link with their national programmes to promote energy efficiency and renewable energy systems, thereby supporting the common objective of low-carbon development.

China has developed an initiative with policy, monetary and budgetary measures that involve tax cuts and credit terms through a stimulus package. It is expected to spend close to $600 billion on a fiscal stimulus package, of which it would dedicate $140 billion – just under 2% of GDP – for green investments, buttressing its $17 billion renewable energy sector, which already employs some 1 million people.1 Furthermore, the National Development and Reform Commission (NDRC) in China plans to promote the use of 120 million compact fluorescent light bulbs (CFLs) to enable increased use of electric light while saving energy; and the Ministry of Finance has allocated 600 million yuan (US$87.8 million) to subsidize the plan.2


1 UN News Centre, “Global fiscal stimulus funds could jump-start world economy – UN report”, 16 February 2009. Available from www.un.org/apps/news/story.asp?NewsID=29913&Cr=climate&Cr1=financial+crisis

2 Fang Yang, “China offers $88 mln in subsidies for energy-saving light bulbs”, 10 June 2009. Available from http://english.gov.cn/2009-06/10/content_1336578.htm.

 
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Table II.8 Energy supply and intensity
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Table II.11 Electricity production and household consumption

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