Inter-regional electricity trade: a beneficial mechanism to propagate a sustainable low carbon growth path for select SASEC member nations
Student name: Mr Sayantan Sinha
Guide: Dr Arabinda Mishra
Year of completion: 2015
Host Organisation: The Energy and Resources Institute (TERI), New Delhi
Supervisor (Host Organisation): Ms Suruchi Bhadwal
Abstract: Due to the high intra-annual variability of precipitation of the region coupled with climate change-induced
shifts in the pattern of precipitation are having profound impacts on the water availability and energy
security, across the region (ICIMOD, n.d.). Even though, it is recognised that the region and its inhabitants
have been adhering to coping strategies and self-determined adaptation methods, drivers of change such
as population growth and urbanization too, have further exacerbating the problem in ways which are not
yet fully understood. In this regard, the requirement of planned adaptation au fait with modern science and
evidence based practicability is of earnest consideration (Ibid.). In view of above, Himalayan Adaptation,
Water and Resilience (HI-AWARE) Research on Glacier and Snowpack Dependent River Basins for
Improving Livelihoods have been initialised by ICIMOD, with the goal of “[contributing] to enhanced
adaptive capacities and climate resilience of the poor and vulnerable women, men, and children living in
the mountains and flood plains of the Indus, Ganges, and Brahmaputra river basins through the
development of robust evidence to inform people-centred and gender-inclusive climate change adaptation
policies and practices for improving livelihoods.†(ICIMOD, n.d.). In this respect, access to the electricity
by the inhabitants of mountains and flood plains of the Indus, Ganges and Brahmaputra river basins, is
vital in developing the adaptive capacity. For this reason, one of the potential mechanisms by which the
fruition of adaptive capacities could be brought forth is through regional cooperation in electricity trade.
While the objectives of the HI-AWARE project comprises inter alia “on-the-ground adaptation
innovations†(Ibid.) which are basically local adaptation options, the purpose of this study is to look at
adaptation options on a regional scale, in other words, relatively at a macro level. In this regard, this study
endeavours to examine the prospects of regional cooperation among the SASEC member nations of the
HKH region through the means of an inter-regional electricity so as to pave a plausible low carbon growth
path for the region. This study adduces the concept of regional public good and employs the DPSIR
framework to accomplish the objective of the study, which is, to examine, inter-regional electricity trade is
a beneficial mechanism to propagate a sustainable low carbon growth path for the SASEC member nations.
This objective has been accomplished by identifying: 1) the current state of the regional or cross-border
electricity trade between the select SASEC member nations; 2)the drivers of change which are encouraging
such a cross-border mechanism and the pressures which includes aspects which are acting both as
promoting such inter-regional mechanism as well as the key barriers hindering the fruition of same; 3) the
actual impacts as a result of the aforesaid as well as the potential impacts after the interregional trade has
been established;4) the responses which encompasses the discourse that is currently on the table so as to
address the impacts. The study is predominantly based on secondary data. The methodology also entailed
expert consultation with individuals associated with the inter-regional power trade mechanism. It has been
observed that despite a huge potential of a sub-regional cooperation on electricity trade, the current trade
is predominantly carried on a bilateral basis. Even though dialogues have been exchange to form a
multilateral consensus, as well as, third party mediated efforts are in place to connect the region, the pace
has been slow towards the materialisation of such a mechanism due to barriers which has inter alia social,
political, environmental and technical dimensions making electricity a hypersensitive issue. This study
recommends non-country specific investments to create a knowledge repository, which in turn would inform
about the benefits of sharing electricity. This would aid in aggrandizing the precondition of growth not only
through the enabling of access to electricity but also through trade.