Issues Impacting the Growth of the SEA Clean Energy Industry
An article posted in the last quarter of 2017 focused with laserlike accuracy on the problematic issues within the South East Asia (SEA) clean energy industry.
It seems the main issues surrounding these initiatives are based on a number of factors including:
- Project bankability
- Outdated policy favoring traditional energy giants
- Insufficient utility support
- Grid instability
- Lack of transparency
While it has been proved over and over again that the demand for energy does not decrease, the ever-frustrating case of courting backers is an ongoing one recognized by NERA’s co-founders a few years ago.
The Paris Climate Accord came into effect Friday, 4th November, 2016, and this placed all signatory countries under pressure with regards to cracking down on carbon emissions. Due to SEA’s energy demand set to jump by a minimum of 80% in the next 20 years, these governments currently face an uphill battle to produce enough sustainable energy to meet this challenge head on. Just last week, Singapore’s government declared 2018 the Year of Climate Action. With coal being predicted to be the fuel of choice for the next 25 years in Southeast Asia, such an initiative is critical to help prevent further damage.
Falling Behind?
Though these countries have pledged to boost sustainable energy initiatives, and effectively reduce carbon emissions by a certain percentage within the next 2–3 years, Sanjay Kuttan, programme director at the Energy Research Institute, Nanyang Technological University-Singapore, believes “pragmatic policies in many countries have been hamstrung by social and political pressures. Heavy subsidies supporting traditional energy sources have created an unequal playing field for sustainable energy development.”
Kuttan adds that traditional energy suppliers hold monopoly over the industry, leading to numerous hoops that clean energy developers have to jump through in order to land on the playing field.
For many individuals in these countries, outlying funds for a personal/privately-owned renewable energy source is an expense most cannot handle on their own. While there are many caring, eco-friendly individuals, there are little or no incentives for the average person to go green.
Green products are for most part more expensive because they command a premium due to “certification costs”. Carbon taxes are passed on to consumers because the energy providers
are penalized for carbon emission, and thus the vicious circle ensues.
NewEra
NewEra believes that the blockchain serves as a perfect answer for solving this problem in a technologically secure manner, and allowing players of all sizes to take part.
NewEra, a blockchain-enabled carbon credits certification protocol, first noticed how the majority of companies in Vietnam could not follow through with green projects, because of regulations that limit foreign investment. For instance, in Vietnam, with domestic-only resources, greenhouse gas emissions will only be reduced by 8% by 2030. In contrast, with international support, this will increase to 25% in by 2030.
NewEra was covered last month at Vietstock Blockchain Summit 2018 to great local and global interest.
As the table below shows, the NewEra blockchain is a vast improvement from existing carbon credits schemes in terms of transparency, speed and efficiency, auditability and cost. Under the NewEra blockchain, it is cheap and convenient for any one or any company to participate in green activities and be recognised and rewarded for it.
As such, it may not be as hopeless as it seems — NewEra’s founders and backers have found a way through the red-tape surrounding eco-friendly projects. By becoming involved in our flagship offering, we hand the reins of power back to the people. Take responsibility and become the catalyst for change.
NewEra — creating a better world for future generations!
If you wish to find out more or become involved in the project, please click here.
