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INNOVATION TECHNOLOGY057Right: Dr Henrik O.MadsenBelow: Bjorn K.Haugland, COO renewable energy sources, greenhouse gas emissionsshould be reduced by 20 per cent and energyefficiency should be improved by 20 per cent - layingthe foundations for the transition to a low-carbonenergy society.Although wind energy has been thefastest growing renewable energy source in recentyears, other technologies will be equally important toreach these goals. DNV is therefore engaged with waveand tidal technology, photovoltaic and solar thermalenergy, and other renewable resources, as well as theintegration of these renewable energy sources into ourtransmission and distribution systems.ENERGY EFFICIENCYWe have also established new standards andindependent accreditation for energy-efficienttechnologies. All the discussion of green technologyagrees that energy efficiency is the low-hanging fruit.There are a lot of similarities between the work we doto check the safety of projects offshore and what wecould do with energy efficiency. In both fields, studieshave shown that good performance is 50 per centdown to the quality of the systems you have in placeand 50 per cent down to how you use them. So we areestablishing new standards and advisory services thatcould be offered to our customers and also operatealongside energy efficiency programmes. CarbonCapture and Storage (CCS) is considered by many to bethe second most powerful tool for emission reductionsin the long term - after energy efficiency. DNV and theenergy industry, with valuable contributions fromgovernment agencies, launched the world's mostcomprehensive guideline for the safe and sustainablegeological storage of CO2. The purpose is to help bothindustry and regulators speed up the large scaledevelopments of CCS. TECHNOLOGY TRANSFERAnother way in which DNV is involved in climatechange-related activities is its leading role in thevalidation and verification of clean technology projects in receipt of funding from the Kyoto Protocol'sClean Development Mechanism (CDM). The firstcommitment period expires next year. DNV is followingthe discussions. It is encouraging to see that thedeveloping countries have committed to the UNFramework Convention on Climate Change andpledged to mobilise funds to finance technologytransfer, capacity building, mitigation and adaptationactivities in developing countries. DNV is committed tosupporting the UN Sustainable Energy for All initiativeand is well positioned to build trust and confidence inmanaging technology transfer risks. We also expectclimate adaptation to be an important service field forus going forward. Our researchers are currentlyanalysing the issue and developing methods andfinding new services that DNV can offer to ensure aglobal impact for a safe and sustainable future for ourcustomers and, ultimately, society at large. Indeed, weare all on a sustainability journey and a low-carbonenergy future is our destination. There is a long way togo, but we remain committed to making a positivedifference. I sincerely hope the governments will makeprogress in Durban and lead us on our way to a cleanand sustainable future. nABOUT THE AUTHORDr Henrik O. Madsen had been heading all the majorbusiness areas in DNV and the Research Divisionbefore being elected the CEO of the company. DrMadsen was elected into the US Offshore EnergyCentre's Technology Hall of Fame as an OffshorePioneer in 2002. He has published several books andmore than 80 papers in his fields of expertise. Dr Madsen is also a Council member of the WorldBusiness Council for Sustainable Development(WBCSD) and a member of the Focus Area Core teamfor Energy and Climate. ABOUT DNVDNV's self-owned independent foundation status isrecognised around the world by Governments,organisations and companies. The Norway-based riskmanagement specialist provides services to a broadrange of industries, primarily the maritime and energyindustries, including the renewable energy sector. Its core competence is to identify, assess and adviseon risk management. DNV currently has 8,440 staff spread over 300offices in 100 countries.

" "FOR TOO LONGNEGOTIATIONSHAVE FOCUSED ON THE COSTSRATHER THAN THEOPPORTUNITIESTHAT ARISE FROMAMBITIOUS CLIMATE ACTIONClean Revolution is quietly underwayaround the world. In boardrooms andcabinet offices, farsighted business andpolitical leaders are taking steps totransform the way their organisations and economiesoperate. Whether for strategic, financial, or societalreasons progressive leaders of all stripes arechanging the way they produce and consume energyand natural resources. One word sums up all thisactivity: opportunity. As climate officials prepare for this year's UN climateconference in Durban, South Africa, opportunityshould also be front and centre of their minds. For toolong negotiations have focused on the costs ratherthan the opportunities that arise from ambitiousclimate action. Countries of all types have sought tominimise any potential commitments in the mistakenassumption that economic development anddecarbonisation are somehow mutually exclusivegoals. Such thinking needs to change and a CleanRevolution embraced.BUT WHAT PRECISELY IS THE CLEANREVOLUTION?In short, it is the swift and massive scaling-up of cleantechnologies and infrastructure, combined with afundamental shift to sustainable production andconsumption patterns. It is the only viable route to cutglobal emissions and avoid dangerous climate change.It can create jobs and strengthen economic growth. Itis a revolution driven by leadership and a belief in abetter, more prosperous future for all. By 2050 it willcreate a world where the planet's 9 billion inhabitantsnot only live, but thrive. In many ways the CleanRevolution is as much evolution as revolution. Wealready have, for example, many of the technologiesand policies to make the necessary changes.Renewable technologies such as wind and solar, whichwere seen as marginal energy sources even five yearsago, are now cost competitive with fossil fuels in manymarkets. The same transformation is almost certain tooccur with marine energy over the coming decade.Electric vehicles are also poised to becomemainstream, with smart electricity grids beingincreasingly developed to support this transportrevolution and other smart energy efficiency measures.The policy levers are also well known and increasinglyin place. A price on carbon, either implicit or explicit,is in effect, or soon will be, in Europe, China, Japan,Australia and key parts of the US. Feed-in-tariffs havedriven a dramatic expansion of solar energy in Europe- and are in place or being considered in as many as30 developing countries -and an astonishingreduction in per unit cost as China's manufacturingmuscle has done its thing. Recent announcementsfrom both China and Japan that they too will introduceFiTs, suggests that further cost reductions are likely.Commitments to eliminate fossil fuel subsidies havealso been made. If implemented fully, this couldrelease up to US$500 billion per annum to support theexpansion of clean rather than dirty energy. Regulatory reform is almost set to make animportant impact. In the UK, for example,the 'split-incentives' problem, whichhas hampered the introduction ofenergy efficiency measures inhomes and buildings, is setto be addressed. The"Green Deal" policy willallow property ownersto implement energyRight:Mark Kenber, CEOof The Climate GroupTHECLEAN REVOLUTIONISHERE058INNOVATION TECHNOLOGYMARK KENBER, CEO, THE CLIMATE GROUPA