 drivers of the global electricity demand growth in India, China, ASEAN countries, and these countries are the drivers of the global electricity consumption. So therefore, we have to be very clever what kind of electricity sources, first of all, we are going to choose in order to provide this electricity, number one. Number two, it is very important to use that electricity efficiently so that we don't need to build unnecessary power plants than we normally use. For example, I mentioned air conditioners, let's take India and Japan. In India, in order to provide the same comfort with bringing the temperature down, you need three times more electricity than in Japan because of the low efficiency standards of the boxes, air conditioners. It may seem a trivial thing, but it's a big thing. The air conditioners and how the refrigerators and the other efficiency is critical. So the question is, we are going to see electrification is a major driver. And since we have the Chinese minister with us, minister, congratulations for your new and challenging job, by the way, we are seeing that we will discuss, I'm sure in a few minutes, the United States oil and gas production is growing, Middle East, already the major oil and gas center, Russia is like that. And the response from China in terms of energy, in terms of the global energy picture is electricity. China is today number one in terms of electric cars, electric buses, and now making a major move, changing the heating system from a gas and coal based system to electricity. So therefore, I believe electricity is very important. Let me finish by saying, with a good news at least, that many of you may know that the International Energy Agency, since 20 years, we are looking at how many people have no access to electricity in the world. It's a major issue. You know as well, we discussed this issue several times. In since the year 2000, it is coming, it was 2 billion people. Now for the first time at the end of last year, number of people who have no access to electricity went below 1 billion mark, benchmark. But still 1 billion people, 2 out of 3 people in Africa have no access to electricity. It's a shame. But it's a success. It came to under 1 billion. And here, the price goes to one country. Everybody made the effort, but one country especially, which is India. Under Prime Minister Modi, they brought electricity to hundreds of millions of people. And as a result, the problem is now an electricity problem in sub-Saharan Africa. To sum up, I believe electricity is definitely the future of the energy system. For many years to come, of course, we will need oil, gas, coal, clean coal, renewables and others, but the world is going in the direction of electricity. So to have this air conditioning load and to give access, it all comes back down to human beings and people. So Ian Kahn, consumers, how does this electrification change our relationship to consumers? How are you seeing that play out? Let me start, firstly, with some pretty big trends, which is, as we're responding to climate change, we are driving decarbonisation through policy. And this has resulted in the decentralisation of the energy system. As Fatih said, there's more going on at the edge of the system rather than a big central supply and transmission arrangement. The second thing is, because of that, customers have got more choice, they're becoming more powerful and then digitisation is accelerating the whole thing. What this is enabling, and Fatih's right, that is electricity dependency becomes higher. We have to find ways for customers to use energy and electricity more effectively and efficiently. And some of the technologies that are being used now are allowing, first of all, on-site generation at the point of use. They're allowing export of electricity back to the grid, so people actually can benefit from their excess generation and there's the possibility of turning down demand. And so it's actually very exciting, and the key technologies that I think are enabling customers to be more powerful and will have a very big impact on the overall energy per unit GDP. Because for years we've been focusing on lowering the carbon intensity of energy production. What we haven't been focusing on is lowering the amount of energy per unit GDP. And we should be very encouraged that since 1980 to about 2015, the energy intensity per unit GDP fell by two thirds. The technologies that are going to make a big difference, combined heat and power units, solar, heat pumps at the point of use, batteries allowing for storage and then re-export of energy or optimisation. The combination of batteries and demand response, which is allowing customers to effectively become virtual power plants where you switch on a battery and reduce demand at the same time. This means you need less central generation on the grid, electric vehicle integration, and then finally artificial intelligence, which is allowing predictive maintenance on the system. These are all the technologies we're going to need if we're going to be more effective and efficient in this electricity intensified world. Right. So I'd like to build on that decentralisation theme and turn to Jean Pascal. So how has this decentralisation changed industries' focus on technology? Are we looking at the right technologies? What do you see? Well, I believe that most of the technologies that allow or enable decentralisation and electrification are already existing. They are just not integrated. It's like every technology transition, they are not yet adopted completely or embraced completely by the users and the consumers, but it's going fast. So let me let me build on what Fatih was saying about electrification. You spoke about HVAC. One of the fastest electric consumption today is the IT industry and everything going around electronics. Every time we use electronics, would it be from semiconductor manufacturing as well as networks, data centre, data storage? That is fast growing. Today, 5% roughly of power consumption soon to be 10% and actually enabling the other face of it, which is a higher efficiency in everything we do. So to build on what Ian was saying, we absolutely see in our business a big move to the edge. So while the world of energy traditionally was very centralised, the world of tomorrow will be a combination of centralised where if you say, if you will, the cloud of energy is agreed, but more and more of the capacity is going on the edge. And you see consumers taking over their energy equation and combining the edge together with the grid. So that's enabled of course by digitisation, but if you look at the benefits of that, it's more efficiency and there is still a vast potential behind efficiency. You still have 60% of energy consumption where there is no objective, no regulation, no objective to diminish the energy consumption. So there is still the biggest, the fastest, the cheapest, the most effective way of saving energy or producing green energy is to save energy. The second point is resilience. We've seen a world where there is more climate disorders. Managing those variations of renewable energy is more complicated. Therefore managing your energy system is becoming more complex. And going on the edge offers more resilience. It's like in social systems, if you centralise too much, it's more complicated to adjust what's happening. If you separate those systems, it's easier to manage. And what we see is people really managing more of it locally to share energy better, shave the peaks, which have been the traditional problems of electricity, and be more resilient in front of issues. Finally, also what we should recognise is going on the edge will be very job-creative. It's creating many more jobs on the field close to the user to go on the edge and to deploy what we used to have before, which were centralised systems. And it puts people more in contact with their energy, what Ian was doing, and what we see is that every time we give access to a consumer to its energy bill, they immediately save on energy. So those things are combined together for a very different landscape of energy. Thank you. Minister Zhang, I would like to hear more about what China's energy policy is. You have the full spectrum of everything from very developed in many cities to developing. You have it all. So what is the, as you see in your new role as Minister of Energy, what is your energy policy looking forward? Well, from 2018, we should say that China's energy consumption has achieved a great success. For example, in 2018, the consumption rate of energy and natural gas reached 22.2% in 2017. It increased by 7% in 2017. The consumption of coal has reached 61% in 2017. In 2012, it dropped to 9.5%. The total consumption of natural gas reached 40% in 2017. The total consumption of electricity reached 30%. So the efficiency of energy has also increased significantly. In 2018, the consumption rate of GDP decreased by 20% in 2017. The total consumption of electricity reached 30.7% in 2017. So I think that China's energy policy is still important to the energy development of the country. Thank you very much. Dr. Birol, you mentioned oil and gas. So let's turn a little bit to that sector and transportation. What do we need to do there? What do you see on the oil and gas front that we need to really accelerate or transition? So first of all, oil and gas. What happened last year compared to previous devils? I think there are two major things happened. Number one, U.S. shale production. Now, that was last year. These times we came up with an estimate of the U.S. production growth. Very bullish at the time, many colleagues said, about 1.5 million barrels per day. Big growth, we expected. And again in the Davos meetings, many of the observers thought we were far too bullish. And I said, we don't know. We may revise them at the end of the year. We did revise them, but we revise them upwards. 2.1 million barrels of growth coming from U.S. shale. Huge growth. They added in one year, one Mexico, just a growth. And if anybody thinks we have seen the impact of shale revolution fully, he or she is making a mistake, but a big mistake. It is yet to come to see the impact of the shale revolution oil and gas in the United States. Farage implications, energy, economy, and beyond. This is number one. Number two, under natural gas front. Biggest development. It is China. It is China impact and gas is amazing. The picture what we have seen the oil markets, China effect, 10 years ago, we are seeing under natural gas markets now. Under the present, she is a motto of making the scars of China blue again. China pushed the natural gas consumption very strongly. And as we speak now, China took over Japan as the largest natural gas importer of the world. Big double digit growth. So under production of oil United States and under consumption of gas China, of course U.S. gas production increase very strongly as well. And now how do we use them in a more sustainable way? So I see that many companies are giving strong signals to use the produced oil and gas in a sustainable way, ranging from looking at the applications like hydrogen, carbon capture and utilization, or they are looking how to reduce the methane emissions in the production practices, which is very good. But it is very important to note that we will be with oil and gas many years to come, whatever scenario we look at it. The most important thing is how to use it in a sustainable way. I have to talk about oil and gas, and one final remark on Middle East, so that's not misunderstood. As I have here, we enjoy the presence of OPEC Secretary General, my friend, Mohammed Bakundo, with us here today. Even though U.S. is now a very important oil producer, Middle East will remain the largest exporter of oil many years to come, because U.S. produces a lot of oil, but most of them they use at home for domestic purposes. So Middle East, especially Saudi Arabia, will remain the largest exporter of oil for many years to come. But for this year, 2019, let's pay special attention to U.S. shale once again, because some of the observers last year, I think, made wrong assumptions underestimated the U.S. shale growth. Yes. So Ian, Kon, you have worked at BP for a long time, so you know this sector very well. Let's turn a little bit to, as Fatih was talking about, the acceleration of technology. And what is, how do we not have to reinvent the wheel? Give us some use cases. You have a lot of interesting things you're working on. How do we see this really manifesting in reality? So Catherine, just a comment to build on Fatih's points, because both you and Fatih mentioned using oil and natural gas more effectively. And I spent 30 years nearly in producing and also in the consumer end of the oil and gas business. I think there's a real obvious pathway for transport, which started some time ago, which is the increasing efficiency of the internal combustion engine, then very significant penetration of hybridization, so the plug-in hybrid electric vehicles, which have got the range and the interoperability, and then finally the penetration of pure electric vehicles. And what we're now seeing in Centrica is customers, whether they are business customers or consumers, wanting propositions that integrate electric vehicles into their lives or their business. The problem, though, is we've got to be, we've got to recognize two things. We need to decarbonize the grid in parallel with the increased use. And also, there are some practical issues around electric vehicle charging, for example, in multi-residential buildings or in the center of cities. Nevertheless, this is happening, and on natural gas, the biggest challenge, as Fatih and I often talk about, is the decarbonization of heat. And that is a really big issue, and we have to start with the efficiency side of it first, and then we need to progressively look at heat pump penetration and other ways of taking people progressively off the natural gas grid. But this is going to take a very long time, and in the initial period, we are actually going to be more dependent on natural gas as the minister has just described. Now, you asked use cases, and let me try and tie it also to digitization, which is accelerating things. There are, I described some technologies that are being deployed at the edge of the system, but some of the digitization technologies that are really helping optimize the system, firstly, digital control systems. From the simple in the home, we've got 1.3 million customers who control their heating in their home from their smartphone. So what? Well, the so what is that a recent survey we did, over 55% of them are saving 12% on their natural gas bill, just by being more precise, more in control. Integrated solutions platforms for business customers that allow the business to optimize the whole energy system that they've got, from production to storage to consumption to demand response. That's becoming a real business for the business customer. And then one of the most exciting ones is optimized dispatch using digital systems. We've got 11 gigawatts under management across Europe that sits in customers yards or on the roof of their factories, all low carbon technology. And we are dispatching that against micro management or monitoring of the weather systems to optimize dispatch of renewables. Those are some of the biggest applications. There are productivity applications for insight into energy use and productivity of all sorts of equipment. And then finally, the last one I'll mention is blockchain. We're currently working on a 20 million euro project in the UK to put peer to peer trading of energy in an automated way into the edge of the grid so that consumers and businesses, homes can sell to each other while we're all at work and the money can transfer into people's bank accounts and your home is just able to optimize your energy. These are all ways in which digitization is accelerating the system. And you asked me about the last thing, I'm sorry, just on learning and there's one plug for the World Economic Forum System Initiative on the future of energy that Fatih and I co-chair. We're trying to join the dots so that one country as it learns about a policy intervention can share it with others so that we can benefit and we don't keep reinventing the wheel. And as particular ways of solving problems are found, we can translate them into other geographies. An example in Colombia with a grid-edge experiment that the minister drove and we've been able to propagate that into Argentina and Brazil, for example. Yeah, and I'd love to get back to governance in just a second. But I want to ask you, Jean Pascal, something because we've been talking a lot about technology, about resources, and yet we're seeing before our eyes climate change manifesting in increased storms, in wildfires that we've had in the U.S. What are you seeing on technology from resilience, really from adaptation, but from resilience standpoint from where you are? Well, all the climatic disorders which we are facing today are putting a lot of pressure on the energy system. So what we've seen and we were speaking about that before, more and more customers have equipped themselves with an H-system, a microgrid, which is combining renewable storage and being linked to the grid so that they can better manage this equation of resilience. And doing that, they're also managing the equation of efficiency on cost because in many cases it brings the cost down. So it's started by the most critical application, typically the military, where you install a military base and you've got on some of them we are facing power breakdowns and we help them to build quite big installation, 15,000 people on the edge with microgrids. Then it went into other mission critical application, hospital, this is a place where you don't want the power breakdown to happen when you're in a surgery room, so more microgrids coming on board. And now it's spreading to neighborhoods, technology parks so that people are becoming more resilient. I'd like to add on what, on switching a little bit here, but Ian was speaking about the consumer with digitization. I think the potential of digitization is even far beyond efficiency. So we work in majority in the commercial and industrial part of the equation. Of course, an apex on energy efficiency which we see to the cross thousands of applications is 25% of energy efficiency. But think about it, when you build such a site, your biggest, large part of the investment is a capex. By working fully on digitization of this, this is more 30 to 40% that you can gain. And we've worked particularly as we speak about oil and gas. Oil and gas industry has been looking really to more efficiency, especially during the year of crisis. And you have a large part of your efficiency which is happening during the construction phase, during that phase from the capex to the OPEX where there was one digital model here on another digital for operation. And our obsession in the past 10 years has been to integrate all of that digital cycle with a software suite that follows you from the construction to the operation. And they have the gains of efficiency from the construction where we avoid many people bickering on the work side because the plans were not precise into the world of operation has been massive. So we started by operations, OPEX, but be prepared for a world where the next steps of efficiency will be in the world of capex on the transition from capex to operations. And we have the same thing with utilities, same thing with buildings. So the world of digital is integrating all of the life cycle of the installations. Yeah, that's great. So Minister Zhang, how is China looking at this? You and you have a history with oil and gas so you know that sector quite well. How is China integrating technologies as you move forward with your policy on decarbonization and access? China's development is also very fast. Last year, our production volume also exceeded 7%. Of course, it's our consumption volume. Since the north region needs to be cleaned up, we have to improve our north region. So our consumption volume has increased by 17% last year and has reached 2,800. In total, it has increased by 420,000 in 2017. Another thing is that as we have been talking about in terms of energy consumption, in terms of supply, we have been developing a lot. Just like we did in Qingqing, we have reached 3.5 billion kilowatts of water, electricity, electricity, electricity and electricity. Our electricity has reached 1.8 billion kilowatts. And the wind power has reached 1.7 billion kilowatts. And the nuclear power has reached 5,800,000 kilowatts of power at the same time. So in terms of supply, the amount is still quite large. And the efficiency of clean energy has also increased significantly. Including the wind power, it has decreased by 5%. The wind power has decreased by 3%. It has also decreased by 3%. So in terms of consumption, we also think that we have to do digitalization, which is the digitalization of the energy system to reduce our energy consumption. We have to use some artificial intelligence, big data and so on. I think that through this effort, we can do as much as possible to solve our own problems. Thank you. I'm going to turn to the audience momentarily for any interventions or questions from the audience. But first, I wanted to touch base with you one more time. Dr. Birol, to address this and also any governance issues that may need to change as you think about moving forward. So I want to react to two things here of my colleagues. The first minister mentioned the China and renewable numbers. So put the things in a context. China is today number one in terms of wind energy in the world, number one in solar, number one in hydro power. And if the US policies do not change, number one in nuclear power in a few years of time. So doing a lot of job, China, plus they have improved, for example, the coal efficiency, coal-fired power plants. China gets a lot of electricity from coal today. If the Chinese coal power plant didn't increase efficiency, today we would add one more gigaton huge to the global emissions. So good work for China, but more to do, I should say, especially in terms of reducing the emissions and maybe as important as that local pollution in the cities. It's a very important job. Second point on the oil and electric cars, if you have my colleagues mentioned. Now, one good news, one not perhaps so good news for the colleagues who are big subscribers of the electric cars. Good news is that we are now almost reaching five million electric cars across the world. Five million, and half of them are China. China, I forgot. Number one in electric cars, electric buses as well. Five million electric cars. Many of us hail this big improvement, big achievement. Yes, it is, big. What does it mean for the oil demand? I tell you, just to put in context, five million electric cars. This year, we expect global oil demand will increase about 1.3 million dollars per day. 1.3. Some people say 1.2, 1.3 million dollars per day. And the effect of five million electric cars out of 1.3 million dollars per day is 50,000 dollars per day. 50,000 versus 1.3 million. So just to see that we should put the things in a context, first of all, five million is nothing because we have one billion internal combustion engine cars. Number one. Number two, cars are not the driver of oil demand growth, full stop. Drivers are trucks, petrochemical industry, planes. Asia is just starting to fly. Asia is just starting to fly. So these are the drivers. Just focus on the electric cars. Big electric cars says, and saying this is the end of the oil, is definitely misleading. We like it or not. Some of us like it, some of us dislike it. This is the other thing. Second. Where does the electricity come from to say that electric cars is a solution to our climate change problem? It is not. Today we have five million electric cars. Even if there were 300 million with the current power generation system in the world, the impact on the CO2 emissions is less than 1 percent. Nothing. So the issue is not only the electrified cars, but if you want to have a solution for the power sector, if you can find a solution for the power sector, decarbonize it, CO2 emissions will not be going down. It may be helpful for the local pollution, but for the global emissions, it is not. So just to put the things in the context, electric cars are today, when we look at the numbers, not the end of the oil era. Number one. Number two, I wanted to say that it is very important to acknowledge what China is doing in terms of renewable energy, but also to say, Mr. Minister, we have high expectations from you as the world to reduce the emissions more and bring more prosperity to your citizens and to the rest of the world, Mr. Minister. Great. I would be glad to take questions from the audience and please wait for a microphone to come. There's one here. Hi. My name is Katie Hill. I'm from Liquid Telecom, which is a Pan-African digital infrastructure company. And among other things, we're building out a data center network across Africa. So we're talking about critical loads in countries that have fairly unstable grids. And I was wondering if the panel could speak about how utilities are coping with the transitions you've outlined as we move from centralization to the edge. Most African utilities are not profitable, but that is not an African challenge with PG&E just filing for bankruptcy and a number of other developed economies that have struggling utilities. And how will these firms survive and what will differentiate? Great. Ian, I'm looking at you. Well, I don't know why you're looking at me, because Centric is not really a utility, although we're labeled as one. But in the sense that we don't run big central generation and big transmission networks. But to answer the question, I mean, first of all, the micro solution. If you've got data centers that you're trying to build on the edge of the grid, or the grid's not very reliable, clearly that some of the distributed technologies that we've been talking about, John Pascal and I, combine heat and power units if there's some form of natural gas or solar and batteries. This is coming to the point where you will be able to put back up generation or it could even be based on diesel initially, so that you have the reliability. On the bigger question, I think the world of things called utilities is very much in transition. This idea of a central production and transmission system where the customer just takes whatever comes to the wall is gone. It is dramatically changing and all of the things we've been talking about is putting pressure on the central generation system. I'm talking mainly in the western world, clearly in growing economies, there is still a need for more baseload power. But what we're now seeing in Europe and the US, actually are people having to make political interventions simply to support the amount of baseload power that exists to keep the light on because it's becoming underutilized and unstable. And I believe where I can understand point B a little bit better than I can how we're going to get there, at some point we're going to reach a place where the transmission system will be partly an insurance policy. And what we haven't figured out is who's going to pay for it. There will be central generation and it will need to be highly utilized to be effective distributed systems will need to connect into the transmission system and export and import from it. And part of the remuneration of the grid will become a sort of membership slash insurance policy. I can't see any other destination. Most countries are having trouble getting there because you've seen it in the United States with solar where who actually pays if local generators don't actually pay when they take transmission off the grid who's going to end up paying? We'll solve all these problems but they're coming to a cinema near us. I think that decentralization of energy is a great chance for many emerging countries for what we see. We are equipping more and more places in the world that were really difficult to equip before because you can deploy a local grid. So speak about the island countries there are plenty in Southeast Asia remote places in Africa. I think here it's not only a technological problem it's a societal problem where if you want it to be effective you need to manufacture locally and this is what we do and you need to train a lot of people which is great because when those people when people are trained then they can take care of the community and bring more services around energy but the worst is to come with something which has been manufactured from remote and land it on the ground and there is nobody to take care because guess what after two months or three months it doesn't work anymore but what we see is that really there is an empowerment of people around energy. Now on the role of utilities in the world that's becoming more electrical utilities have a major role they are the conductors they're in the middle they can be insurers they can be providers but at the end of the day they have a major role but it's a major reinvention for many of them major reinvention we are working with them on the technology while digital is a big thing I mean it used to be a more simple world where generation was fixed consumption was quite fixed it was easy to administrate now everybody has gotten out of work I mean you've got renewable things which are going up, down consumption which are modulated up and down so the big things that utilities are doing is getting digital managing the central and the edge we see many of them inventing a new model which is really impressive so like in every transition there are risks but there are also opportunities on some are exiting us through winners of this transition terrific we have another question or intervention good morning everybody Johnny Maas from Repsol Mr. Virold you said that the electricity is growing and that's okay is right fortunately I mean a part of this electricity is produced using renewable energy but unfortunately I mean renewable energy is intermittent this kind of energy needs today a backup and bad news is that the coal power is still a large part of the electricity production in the world I mean do you think that for instance promoting electric vehicles in countries like Germany Poland and some others where we are burning coal to feed electric cars increasing the CO2 footprint in the world is a rational policy and do you think that shifting from coal to gas in this scenario on top of course of promoting energy efficiency and promoting of course renewable generation could be one of the most efficient ways to reduce the CO2 footprint in the world in a cheap way thank you so uh I mean CEO of Repsol asked many questions in one minute so if I can go very three blocks maybe renewables so first of a good news last year renewables grew very very strongly captain so the boat wind and solar 100 gigawatts solar 50 gigawatt new wind came in the picture again China United States India were main drivers as as the EU but if I can put in a context global electricity demand grows about two percent roughly in a year in in the world this 150 gigawatts of renewables the electricity coming from there is equal to one percent other one percent is coming mainly from coal and natural gas so therefore just to expect that with this pace of renewables we will see a decarbonization of our energy system is extremely optimistic because at the same time electricity is only a part of our total energy system and in terms of CO2 emissions it is less than 40 percent there is a more than 60 percent coming from other things this is number one number two electric cars now I completely agree I give you one without giving a country name in a country where you have about let's say about 40 percent 50 percent of coal in electricity generation if you have to choose one 1990 model diesel car versus 2019 electric car I think it is better to buy the 1990 diesel car if your bulk of your electricity comes from coal full stop the new thing doesn't mean it is better if you do not decarbonize your electricity system if you want to decarbonize your transportation you not only look at the cars but you look at where the power comes from this is number two number three what are we going to do with coal are we today a big chunk of the coal comes in China India Indonesia so these people provide electricity to their citizens which are low and mid income levels we cannot say we decided in Davos please shut down the coal plants it is impossible in the United States in Europe coal plants are on average 42 years old they are coming to the retirement age as many of us here so 42 years old but in Asia coal plants are on average 11 years old they have to pay back to the investment how can we dare to ask them please do so I wouldn't agree with that so what can we do two things one try to equip those coal plants with the carbon capture this is number one number two find incentives to compensate their losses if we want to ask for early retirement otherwise we can decide whatever we want in Davos Paris Brussels whatever we want but they will not do it because they provide electricity to poor people and their money is not returned back to the utilities who would Ian do it would Jean Pascal nobody would do it after they make the investment before it is paid back who would do that why if we don't do it why don't we ask China India Indonesia and the others to do so we should have double standards and in my view Captain if you ask me what is the main problem of the climate change today there are many of them but I would put the young inefficient coal power plants fleet of 2,000 gigawatts in Asia with all these conditions attached may I just add one little comment to that in the UK in the UK and I realize this is not the countries you've talked about a high carbon price the combination of the European trading system and a carbon tax or a floor has resulted in the early retirement of all the coal plants now who pays is the key question and the only way it's working in the UK is unfortunately for it everyone who's using electricity to pay and that way through carbon pricing we are accelerating the early retirement of plant they're not as young as those in Asia but it's going to be crucial we find a way to retire coal as fast as we can I would be personally less affirmative on the future of energy because what strikes me is that those kind of discussion is the one that we had about the internet on the world of telecommunication in the 90s with some kind of saying well the world of before we cannot decommission we cannot but we're always surprised by the adoption of technology and of course there are economics behind some power plants and things but in some cities emissions particles has become the first political debate then there is a new generation coming up youngsters and they don't have the same patience with a lack of reaction to the environment I think there is urgency respect to the climate question right we are more on a trajectory of 3.5 to 1.5 and we pay for the disasters linked to that so I'm not sure it's just economic it's about reality of life of people in their environment and we are always surprised by the speed of technology adoption so digitization electrification and the thing is that it's a parallel avenue of course electricity doesn't bring any plus if we don't decarbonize electricity so the question is how do we accelerate this in the future so I would say very open and alert on the evolution because well people youngsters the new generation will push us which is probably great because this is how technology evolves that's true speaking of youngsters my children say no I have eyes on the back of my head I think there's someone behind me that has a question there's someone you have the microphone it's good yeah good morning I'm Dr. Ramkumar from Indian Oil Corporation and my question is partly answered by Mr. Fete my question is actually on decarbonization of the whole economy and especially for countries like India and China we just can't banish the coal we can ill effort banishing the coal because coal is still the richest energy source and the cheapest energy source so my question is that world economic forum or any other global forum there should be a need for greater collaboration of exchanging carbon capture and utilization technologies I think there are handful of commercially established carbon capture and utilization technologies and there should be a greater cooperation to these Asian countries where the established technologies need to be shared so that on a global platform the decarbonization will gain traction so any comment is there any global framework that is in place are going to be in place to share these kind of technologies I would like to seek the views of the panel you know I would like to turn to Minister Chong to talk about what how China sees this it's a similar situation just now a friend from India mentioned this very good question I also think in China and India under the current situation it is not realistic to remove coal from the coal but through efforts it can be reduced for example China's coal has been down to 60% in 2018 we on coal production have closed a few small coal mines probably coal has been closed 80 million tons of coal has been removed on the other hand the low efficiency of the coal is 1.1 billion kilowatts yes 1.1 billion kilowatts so the efficiency of the entire coal has been provided on the other hand I would like to answer a friend from Africa mentioned the development of the nuclear power the development of the nuclear power I am responsible because especially in developing countries the development of the nuclear power is very necessary another but the most important problem you have to solve a the safety of the power you have to solve a the wind power so China is also developing the construction of the power plant another to build the fire power the fire power then we can solve the problem of the nuclear power then we can solve it thank you very much so what we're going to do now is just step back for a second and I'll give a few reflections and then pose one final question and I'm sorry we weren't able to address everybody's interventions and questions you can certainly pose them afterwards and I'm afraid I neglected to introduce myself I'm Catherine Hamilton I among other things I'm co-chair of the Advanced Energy Technology Council which is a new council under the Future of Energy Stewardship and we'll seize to accelerate at the same time that the youth of the world are stepping up and saying we need to do this faster and we need to do it in our terms without forgetting that we need all of the resources available that we've already invested in so that's sort of where we are in a very interesting geopolitical landscape right now as we go forward through this annual meeting and then you know this annual meeting is a moment in time we then have to take what we learn and the connections that we make and the collaborations that we form here and go and act and have impact going forward for years to come so I would ask each of the speakers here for a final thought on how do we accelerate or what should we be thinking about moving forward so we can really have an impact and make a difference Minister Zhang you start and we'll end up with you The Future of China indeed will lie in resolving issues and supply energy and the low carbon and greenway of course we have to leverage the resources that Mother Nature grants us these sustainable energy for example thermal wind power botafotag powers all these will contribute to the lower production of carbon dioxide as well as carbons so I think that's of almost most important so when when I look at the future I see the two biggest problem we have is probably climate change which is already visible collateral on the alleviating poverty and reducing inequality and the first inequality is access to energy I mean people who have access to energy have access to modernization the other ones don't so energy is at the crossroads of the two on in contrary terms but I think our generation has a fantastic responsibility on opportunity because in the past there was only one way somewhere to consider energy and we are at crossroads at the moment and I would insight all of us not to look at what we have to build from the past point of view but more directed to the future and consider all the implications but we are trying with energy to address probably the two biggest challenges of our generation absolutely my view is that as Fatih and others have illustrated we are not on the path that we need to be on and the problem is many of the reasons why we're not on that path are fundamental as Fatih talked about oil demand is going to go up etc and electric vehicles are not going to answer the problem the whole of transport so only 30% of greenhouse gases so my belief is boldness and understanding are the two ingredients missing in central government and our mission in the effort that we're all involved in here is to try and help governments understand that we're not on the right path and we're going to have to intervene in a more bold way and then so that's boldness and understanding with governments and then the second part is the unleashing of the discretionary innovation in society around new energy technologies and demand between these two things we will solve this but we are not there at the moment okay and so I would say the following very simple a we discuss you also lead a lot of discussion Keatin since some time how important the climate change challenge in front of us is it's completely true but the more we discuss the more the emissions increase at the same time so the 2017 and we just announced 2018 emissions increased so and we all know that energy is the main responsible sector here so in my view what we need is the following two things one we have to understand the order of magnitude of the challenge this is number one not only the new infrastructure how it will be but also the existing look in infrastructure is there that will be with us 30 40 years how we can intervene in the existing infrastructure such as the cold plants CCS I see is a very important part of the equation so this is the understanding the order of magnitude of the challenge this number one number two maybe more importantly now today everybody has his or her own solution some say is renewable the other one renewable the other one CCS the other one nuclear power this is completely absurd when you look at the order of magnitude of the challenge I don't like nuclear okay then nuclear is out nuclear people say I don't like solar because it's intermittent it's also out at the end of the day we have nothing left so when we look at the problem if we are serious we need all technologies all technologies which can help to reduce the emissions even one gram so if we don't have the luxury to exclude any of the technologies our aim should be not to boost our ego but to reduce the emissions and if we are serious about that we need all the technologies thank you so thank you Fatih Biral Ian Khan Jean Pascal Triquiao and Minister Jean thank you very much thank you everybody here now go forth forth boldly to the rest of the annual meeting thank you