South Asia: fast developing power sector, high population density and high biodiversity
South Asia is characterised by high power needs to support rapid growth, and the power sector is one of the most emitters in the area due to its high reliance on fossil fuels. In the context of climate change, the region committed to developing a low-carbon power sector. South Asian countries are implementing a common power market, an essential step towards achieving this low-carbon goal. Bhutan and Nepal will keep developing their hydropower sector, benefiting from their tremendous potential. India is making significant investments in wind and solar power capacity, and so is Sri Lanka, whose hydropotential is almost fully exploited.
Note: As for Pakistan, NDC commits to increasing renewable generation capacity by up to 30% by 2030
The region is home to more than 2 billion people, and this high population density makes every piece of land exploited. Plus, there is a high level of biodiversity threat, and impacts on the ecosystem pose a series of problems, including the reduction provision of invaluable resources such as clean water and clean air, both particularly at risk in Bangladesh or even impacts of tourism, which is heavily reliant on wildlife in Sri Lanka.
Due to its infrastructure power gap, the rationale of benefiting millions vs affecting a few people is strong and leads to overlooking environmental and social (E&S) when developing power projects. However, lack of appropriate consideration of E&S risks can lead to not only unreversible social and environmental impacts for local communities but also significant delays, increased costs of such projects, sabotage, or even the project’s termination, therefore, failure to provide millions with the power they need.
E&S risks and their integration into project planning
Low-carbon energies benefit societies through clean energy production; however, they are not exempt from E&S risks. This includes new projects for adding hydro, wind, and solar energy capacities, as well as associated transmission lines connecting generation capacity to the grid. Finalised projects also entail E&S risks, notably when infrastructure can increase vulnerability to extreme events. For example, large hydro-power dams can deepen the risks of floods and landslides, likely to increase due to climate change. One common feature of E&S risks is that they tend to be very localised around the project’s area when the benefits are at a national scale. In addition, water scarcity in the region tends to fuel conflict and is likely to be exacerbated by climate change.
Numerous examples of conflicts due to power projects relate directly to E&S risks. For instance:
In India, an estimation for the second half of the 20th century states that approximately 50 million people experienced displacement due to developmental projects, with large dams alone displacing 16 million people. Besides dams, power conflicts extend to solar power; for instance, the solar panels at the 100 Mw solar plant in Maharashtra were vandalised due to non-payment of wages.
In Sri Lanka, environmental complaints can be particularly virulent: in the Mannar area, the Mannar Asia flyway is a significant bird corridor and many protected wetlands, all being internationally recognised for their biodiversity value, making this area a key biodiversity hub. The first phase of the Mannar wind project (30 towers) is finalised, and the second phase is in the planning stage and consists of a significant expansion with an additional 52 towers that could seriously impact wildlife. The impact assessment is criticised and challenged in Sri Lanka’s Supreme Court.
In Pakistan, the long-lasting Kalabagh Dam conflict remains very much alive, impeding any progress for the past three decades. The Kalabagh dam project on the Indus River in western Punjab is denounced for disproportionately affecting downstream communities’ water access and livelihoods. Any advancement in the project led to protests and back-and-forth decisions, and the conflict expanded to the political sphere. The Indus River System Authority (IRSA) was created in 1992 to regulate the distribution of water resources between provincial states. It referred to constitutional bodies for a decision and is now at the highest level of government for a decision.
Policies solutions
Firstly, countries could adopt more ambitious E&S frameworks. The World Bank is a leader among donors with the World Bank Environmental and Social Framework, which proposes identifying, evaluating and managing projects’ environmental and social risks and impacts, focusing on vulnerable groups. Secondly, provision shall be made for such ambitious frameworks to be put into practice, especially stopping the use of the provision of land acquisition legislation law for public interest, which allows the state to take possession of lands for public purposes. Additionally, such frameworks could integrate E&S costs to inform decision-making and foster community integration into the planning. Finally, ensuring benefits to local populations of energy projects can take several forms. Allowing a lower price for energy in the affected municipalities is a common practice for increasing the acceptability of the risks of nuclear power in Europe. Rethinking ownership of energy projects could also be an option, whether full ownership for smaller-scale projects or shared ownership will benefit local communities financially.