Planning for 2035
The U.S. Energy Information Administration (EIA), which is the statistical agency of the U.S. Department of Energy, reported today that world energy consumption is expected to increase by nearly 50% by 2035. Asia in general and China and India in particular will account for most of the increase. Together, they accounted for 20% of total world energy consumption in 2007. Their combined energy use more than doubles by 2035 while world energy consumption by the U.S. would decline from 21% in 2007 to 16% in 2035, although actual consumption would increase.
Where is that energy going to come from? Who will control the sources? How much will it cost? How will it affect your organization? How will it affect consumer needs, governments, healthcare, and education? Since the increase will be steady for the next 25 years, the impact will be felt along the way and not just in 2035. Your strategic planning process should consider that impact.
Of course, any increase in energy usage means an increase in carbon dioxide emissions, which is a key cause of global warming. The EIA predicts such emissions will jump by 43%.
How will global warming affect your organization? How will it affect your customers, employees, and suppliers? Your strategic planning process should consider this, too.
The EIA’s report is based on the assumption that current policies are unchanged. That seems to be a safe bet, at least until we’re faced with an end-of-the-world-as-we-know-it scenario. Based on its recent history, the U.S. government will drag its heels until other countries are using more energy than we are and spewing out more pollution that we are and then it will suddenly want to address the issues. That probably won’t take 25 years but you should still make sure your organization is as prepared as possible for energy shortages and global warming.
You can read a synopsis of the EIA report here.
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