Energy
Key to Growth and Fighting Poverty
Energy - a basic need, not a luxury. Source: KfW Photo Archive / photothek.net
According to estimates, economic growth in developing and emerging countries will double global energy demand by 2030, with all the negative consequences that this entails for the environment. For this reason KfW Entwicklungsbank is providing targeted assistance to these countries for the sustainable development and adaptation of their energy systems.
Accessible and affordable energy in developing countries is not a luxury, but a basic necessity in the fight against poverty. Modern energy supply is a key factor in successful national economies. The energy sector is therefore vitally important for cooperation with developing countries, because problems such as limited access to energy, widespread use of traditional biomass and dependency on imported energy sources considerably hamper social and economic development.
Crucial for Climate Protection
On the one hand, economic growth in developing and emerging countries is the key to fighting poverty. On the other hand, by 2030 these countries will together probably release more carbon dioxide into the earth's atmosphere than the OECD States (Organisation for Economic Co-operation and Development).
If the world's climate is to withstand the growing hunger for energy additional emissions of carbon dioxide must be prevented. Since carbon dioxide is produced by the burning of oil, coal, gas and biomass, relief is possible only if the future supply of energy is based on two pillars.
Firstly, existing energy sources must be used more efficiently. In many developing countries, increased energy efficiency leads to a win-win situation - the consumption of expensive energy can be reduced, and at the same time impetus for economic growth can be created. Secondly, in the interests of sustainability, increased use must be made of renewable energy sources.
Further Information
Article on the Future of Energy Usage
Last updated: January 2012
