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"Energy Revolution" To Cost $45 Trillion -- IEA Print E-mail
Written by Samantha Hulkower   
Friday, 06 June 2008

You know we're in trouble when the International Energy Agency -- the non-partisan energy policy adviser to Western nations -- advocates for an energy "revolution," as it did today in a report analyzing options for a sustainable energy future.

The report was commissioned by the G8 three years ago and is expected to be a major factor in this year's annual G8 summit in Tokyo next month. The IEA president laid out the solution for us in two easy steps: start using alternative energy and then stop using oil.

Even the projected price tag of $45 trillion -- equivalent to about 1 percent of global GDP now through 2050 -- doesn't sound so scary when put into perspective.

But, in order to achieve a 50 percent reduction in emissions by 2050, the IEA report suggests the price of carbon may have to reach anywhere from $200-$500 (it's around $42 right now). Analysts are balking at what would be "one of the biggest rises in a commodity price in history" to reach the proposed price on carbon. But, if successfully implemented, it would reduce demand for oil to 27 percent below 2005 levels. The report also advocates burying carbon as an important step to reduce emissions and building scores of new nuclear power plants.

Hopefully, considering CCS and nuclear power are two of the GOP's favored methods, we don't have to worry about them trying to sabotage US action.

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Copyright (C) 2007 Alain Georgette / Copyright (C) 2006 Frantisek Hliva. All rights reserved.

 
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