Global Teamwork for New Energy Solutions

Thank you, John, for that kind introduction. Over the past 2 years, I have had the pleasure of working with you and your organization on a number of the initiatives that I am going to discuss today. Your leadership and vision has been critical to their success. I would also like to acknowledge your co-host for this Forum, Johnson Controls.

It’s good to see so many distinguished representatives from science, industry, and government. For 16 years, this forum has brought together those with an interest in finding new, more efficient ways to produce and use energy. Your efforts are commendable not only because of the worthiness of the cause, but because of your recognition that success hinges on technological breakthroughs and by government working together in partnership with the private sector and the science community.

In fact, this week marks the anniversary of an important event in the annals of government and industry leveraging one another’s skills and needs. In 1951, the U.S. Census Bureau obtained the first UNIVAC, or “Universal Automatic Computer.” UNIVAC was the first-ever commercially produced digital computer. For what would be more than $1 million in current dollars, the U.S. Census Bureau acquired this device, which could process a then-stunning 1,000 calculations per second. Other agencies followed, and the computer age in government began. One can argue whether this new technology actually increased the efficiency of government, but at least more numbers could be processed!

In this example, we see a technology and a solution that was not regulated into existence, but that came about from science and industry doing what they do best. But knowing today that the tiny processors in our cell phones are vastly more powerful than this giant machine, we also see the steady march of technology, and how what appeared to be impossible or improbable feats can actually be accomplished as technology advances -- often in less time than one thinks. This is particularly true when the public and private sectors work together.

Cooperation between the public and private sectors underpins our international efforts to achieve America’s energy, scientific, and technological goals. We seek to leverage technology through collaboration. Our approach is based on our overall effort to promote sustainable development -- namely, helping to create the conditions that foster long-term, lasting economic growth in the developing world. Energy and its efficient use is an inextricable component of this development process.

The linkages between energy efficiency and sustainable development were made apparent at the 2002 World Summit on Sustainable Development in Johannesburg, South Africa. This summit produced a number of public-private partnerships on energy projects. Through the U.S.-led Clean Energy Initiative, our Environmental Protection Agency, Department of Energy, and Agency for International Development are working with civil society and the private sector on projects designed to: 1) increase access to modern and affordable energy services in under-served areas, 2) improve the productivity and efficiency of energy systems, and 3) promote cleaner transportation fuels and healthier indoor cooking and heating practices.

We have taken this proactive agenda to the UN Commission on Sustainable Development in order to turn words into actions. This international forum is charged with getting the most results from the aid provided by governments around the world. It provides a venue for representatives from government, foundations, and business to compare notes on what works and what does not. It’s a place for developed and developing nations to speak frankly about their needs, their expectations, and their actions. The topics cover the range of development issues from water and sanitation to health to natural resources to governance. But importantly, one of the Commission’s major thrusts is energy. In fact, for 2 years starting in 2006, the UN Commission on Sustainable Development will focus on issues related to energy.

Bringing together the broadest range of countries to talk about energy and development issues is key. If these countries are not part of the discussion, they are not going to be part of the solution. We must concern ourselves not just with what we do domestically, but how energy is obtained and used in places like China, India, and Indonesia. During my interactions with other delegations, especially those from developing countries, I am struck by the great willingness to work together toward common solutions. These countries, which will comprise most of the new demand for energy in the years ahead, are particularly interested in access to safe, affordable, and reliable energy sources. They are aware of its importance to their long-term economic growth.

One way that we have reached out to other countries in developing cutting edge energy technologies is through the International Partnership for the Hydrogen Economy. When President Bush launched the Hydrogen Fuel Initiative in his January 28, 2003 State of the Union Address, he envisioned that “the first car driven by a child born today could be powered by hydrogen, and pollution free.” He challenged this Administration to reach out and build international cooperation, and the result was the International Partnership for the Hydrogen Economy, launched by Secretary Abraham last November.

Cars that run on hydrogen are virtually emissions-free, producing only water as a by product. Because hydrogen is present in almost all material -- water, petroleum, coal, and natural gas -- it is not concentrated in certain parts of the world. However, it does take energy to produce the pure hydrogen needed for fuel cells. Thus, we are working with other countries to develop efficient and cost effective ways of doing this. The Partnership is also tackling the issues of building a hydrogen infrastructure for needed storage, transportation, and distribution.

This is clearly a global challenge since our energy systems and our environment are themselves global in nature. Even if each American drove a hydrogen-powered car, we would still have to grapple with issues related to fossil-fuel burning vehicles. In this Partnership, we are not only working with highly advanced economies, but also with large developing ones like those in Brazil, China, and India. The Partnership is not a large international bureaucracy -- it is an effective and flexible voluntary mechanism for cooperation and sharing of best practices on how to make hydrogen power feasible in our lifetime. Significantly, this partnership not only involves our governments, but also a broad array of private sector companies.

We are still at an early point in this transformation, but we have moved beyond the theoretical phase --beyond a bunch of equations and diagrams on a blackboard. Last fall, I was joined by the Italian Environment Minister at the California Fuel Cell Partnership in Sacramento, California. We had the opportunity to see a number of hydrogen prototypes -- including a Ford Focus, Toyota 4-Runner, and a Hyundai. We watched these cars get filled with their hydrogen fuel and, more importantly, took them out for a spin. Gone are the days of muscle cars with 454s that can burn rubber all the way to sixty, and hydrogen-powered vehicles won’t bring them back. However, the car I drove was excellent and could easily hold its own against a gas vehicle. The basic technology exists. At this point, it is a matter of refining the details and reducing the costs.

The Carbon Sequestration Leadership Forum is another of our major international partnerships. Because the vast majority of the world’s energy still comes from fossil fuels, and this will likely continue into the future, we seek to make this form of energy production cleaner and more efficient. This requires using technologies to capture and isolate carbon that would ordinarily be emitted into the atmosphere when fossil fuels are burned. Technology has come a long way, and we are working with other nations and the private sector to move it along. Last summer, the Forum brought together thirteen nations to discuss ways to reduce costs and improve the technology.

During the Forum we were briefed about the carbon sequestration activities taking place at the Sleipner West Field in the Norwegian North Sea, where a rig extracts natural gas from deep below the sea bed. The platform captures carbon dioxide from the reservoir that would be otherwise vented into the atmosphere and re-deposits it underground. Sleipner is part of a broader initiative called the Storage in Saline Aquifers Project, funded by numerous energy concerns from Europe and North America, with research and technology provided by several different government and private entities. It represents the type of innovative public-private partnership that we are promoting in the Carbon Sequestration Leadership Forum.

All of these efforts involve collaboration: they involve governments from different regions and at different levels of economic development working together. This is an effective approach because it does not mean we have or need perfectly synchronized international environmental and energy policies among nations, nor does it require global consensus on an issue before we collectively move beyond square one. It does mean we will work together on a flexible and effective basis in areas where we share a common goal. It means governments cooperating closely with non-governmental organizations, the science community and private enterprise. Each of these sectors has its unique strengths. Working through partnerships is the best way to leverage our skills and resources. This is our path to greater global energy efficiency.