Opening speech - seminar about India and Norway

(Listen to/download the speech)

Excellencies, Ladies and Gentlemen,

Dr. Pachauri

I’m glad to be here today and would like to thank Innovation Norway for organizing this event. The seminar is one step in a series of seminars culminating in the Delhi Sustainable Development Summit 2009. And it is a concrete follow-up of the successful workshop on renewable energy and CDM that was organized during the visit of Prime Minister Stoltenberg to New Delhi in February. The mandate given by the Prime Minister to strengthen Norway’s cooperation on climate with TERI forms the basis of our meeting today.

Let me start with a personal reflection. My very first trip abroad as Minister of Trade and Industry was with Their Royal Highnesses the Crown Prince and the Crown Princess on their official visit to India during the fall of 2006. A record-high number of business representatives accompanied us on the trip, many of whom are present here today.

Dr. Pachauri.

I’m honored to address you. It is not long ago that you were in Oslo receiving the Nobel Peace Prize on behalf of the Intergovernmental Panel on Climate Change. The work of the Climate Panel has enlightened, educated and inspired millions of people around the world. Its spirit fills us with determination. In your Nobel lecture you acknowledged the importance of collective and trans-border scientific cooperation, as well as the need for developing an effective rationale for timely and adequate action against climate change. Your call for action then, and your message that there are plenty of opportunities for turning the situation, is at the core of this seminar too. Your main message was not one of hopelessness, but one of optimism.  

*****

Mahatma Gandhi said that ”you must be the change you want to see in the world.”

The aspiration for change is what encouraged Gro Harlem Brundtland and the United Nations World Commission on Environment and Development to develop the concept of sustainable development 21 years ago. They succeeded in changing the way countries around the world contend with environmental problems.

Scholars, researchers and scientists agree that climate change is a reality.  Climate change affects us all, and it threatens our basis of existence. In your Nobel lecture, Dr. Pachauri, you mentioned five specific and observed challenges caused by climate change:

· access to clean water
· access to sufficient food
· the health status of millions of people
· the loss of biodiversity
· and the security of human settlements. .

The question of food security is very topical today. In many developing countries, the poor spend close to three-quarters of their income on everyday staple foods. High prices threaten unrest and starvation. The price rise can partly be explained by the extreme weather that has destroyed crop production around the world.

However, the present situation is also caused by the steady and rising demand for energy. The inter-related effects on the energy and world markets prompt farmers to shift production towards biofuel crops. This leads, in turn, to shortages in rice, wheat, corn and oilseeds. This challenge is likely to remain.

In the words of Al Gore, “ this is the 11th hour”.

But we can change the course! The Fourth Assessment Report by the IPCC concludes that we might be able to offset the projected growth of global emissions of greenhouse gases or reduce emissions below current levels. Among other things, the Panel prescribes a change in the pattern of investments and an increase in the share of renewables to 30 – 35% of total electricity generation by 2030. The American economist Dr. Jeffrey Sachs claims that the solution to the combined climate and food challenge lies in investment in new technologies for the development of renewable energies, food and clean water.

I couldn’t agree more!

Ladies and Gentlemen,

Both the Indian and the Norwegian government are committed to fighting climate change.

With an economic growth rate of close to 9% in 2007, and a booming industrial development, India is currently facing an energy shortage. The next five-year plan of the Indian Government therefore projects a 70% increase in energy production. The plan emphasized the use, and development, of new energy technology. And it prioritizes renewable energy and electricity production with low emission levels. Hydropower is a central element in the plan.

Hydropower has historically been at the core of Norwegian industrial development. Currently more than 99% of the mainland power production in Norway is based on hydropower. At the same time, Norway is a major exporter of oil and gas. Petroleum amounts to more than 50% of the total export related income, and is a major source of our national wealth. This means that we have a particular responsibility reducing emissions and for developing new, environmentally friendly technology.

This is a responsibility the Government takes very seriously. Although the share of renewable energy is on the rise; oil, gas and coal will remain the critical energy source for many years.

Therefore we aim to develop new carbon capture and storage technology. The Climate Panel states clearly that CCS must be a central part of the effort to curb global climate change.

The Government has decided that Norway shall over-fulfill the Kyoto commitments by 10 per. We have decided to make Norway carbon neutral by 2030. This is an ambitious goal, but it is attainable. It enjoys the full support of the majority of all the political parties in Parliament. As such, it has become a national goal.

One of the measures the Government will employ is to increase the spending in research and development on renewable energy sources and carbon capture and storage technology. By 2010 our goal is that these contributions reach 75 million Euros. A considerable amount is dedicated to a demonstration facility for the development of offshore wind and other forms of emerging energy technologies.

The Ministry of Trade and Industry promotes the development of renewable energy technology through its programme-specific contributions to the Research Council of Norway – and Innovation Norway. 

Another means towards our goal of being carbon neutral by 2030 is by utilizing the flexible mechanisms under the Kyoto agreement - such as the Clean Development Mechanism (CDM). Climate change affects us all, but in different magnitude. CDM is an important instrument for transferring cleaner technology and financial resources to where they matter most. This implies opportunities for Indian and Norwegian businesses. I hope to see Indo-Norwegian projects on CDM in the future. 

*****

The cooperation between Indian and Norwegian businesses and research institutions on renewable energy and climate is already well established.
 
· SNPower and the Bhilwara Group are currently constructing a hydropower station in Himachal Pradesh. In addition to addressing the challenges related to power shortage, this project is also certified by the UN as a CDM project. 

· About a year ago REC and Moser Baer signed a comprehensive long-term agreement on the supply of wafers for solar applications.

· Furthermore, SCATEC serves as a hub for developing new business ideas. Today SCATEC cooperate with the Indian Government and industry on the development of new solar energy projects.

· In February ONGC and StatoilHydro signed a MoU advancing their technical and commercial cooperation on carbon capture and storage (CCS) and CDM projects in India.

· There is also extensive Indo-Norwegian cooperation within climate research:
o The Norwegian Geotechnical Institute is active in the Indian market, focusing among other things on the geological storage of CO2.
o Later in this seminar you will hear more from the University in Oslo, TERI, The Bjerknes Centre for Climate Research and CICERO as they will elaborate on current projects and the potential for future cooperation.

*****

India is a valuable partner for Norway. Our framework for cooperation is strong, and is constantly strengthened by the establishment of new arenas for discussion and deliberation. My Ministry is currently negotiating a maritime agreement as well as an EFTA trade agreement with India.  And in June, during the next meeting in the Indo-Norwegian Joint Commission it is my ambition that the two sides will sign an agreement establishing a Working Group on Trade and Investments. This will hopefully become an important arena for the promotion of bilateral trade and investments.

*****

Yesterday a number of Norwegian business and research representatives met here in these premises to exchange experiences and ideas, and coordinating their efforts towards the Indian market. Today we are looking towards the future; towards new solutions, new technologies and new forms of cooperation.

Ladies and gentlemen.

We would all like to see change. A change towards a more sustainable future. And a change towards a stronger and even more result-oriented public-private partnership in the fight to preserve our future.

Let us be that change! It is our responsibility and duty. In addition, it makes perfect economic sense!

When people unite and call for action, change is possible.

I believe we will succeed.