The focus of this conference is both timely and relevant. The world energy system is undergoing a fundamental, paradigm-changing transformation, not only in the way it operates, but in its very nature. The current global trends in energy supply and consumption are manifestly unsustainable—environmentally, economically, and socially.

Due to the high and volatile cost of energy, and the doubling of oil prices over the past 10 years, energy security has become a growing global concern. This is not limited to the developing world but – as evidenced by the current global financial situation – is also a concern for the developed world. Declining stocks of fossil fuels mean that governments can no longer ensure security of supply. Without the security of knowing the price of the electricity they will require, people cannot plan; they cannot develop or improve their lives or that of their communities.

Currently, the fossil fuels we burn to satisfy our energy needs account for more than 60% of carbon dioxide emissions. We know that global accelerating trends of climate change pose existential risks to us all, and that a global temperature increase of more than 2°C will lead to irreversible consequences. Energy poverty is another challenge to the current energy system which deprives millions of our fellow human beings of the ability to improve their lives, and continues to be a reality for the 1.4 billion people who lack access to electricity, while for three billion people the reality is involuntary reliance on traditional biomass for cooking and heating, and involuntary exposure to the related health and environmental consequences.