Interconnectivity: Benefits and Challenges

In this report the role of interconnectivity in the development of energy systems is examined with the associated socio-economic, environmental, financial and regulatory aspects that must be taken into account for successful interconnection projects.

One of the major factors affecting world development is energy. Final energy use has increased globally by nearly 20 percent in the last 10 years. The electric energy represents about one third of the total world energy consumption, and its production accounts for 40-50% of anthropogenic CO2 emissions. Consumption of electricity grows 1.5 times faster than total energy consumption. This is supported not only by power generating plants but also by the strong Transmission & Distribution (T&D) systems which carry economic, safe and reliable supplies of electricity to industrial, commercial and residential clients. At the same time, still around 1.6 billion people in the world have no access to electricity. Various studies have highlighted the correlation between use of electricity and social development/quality of life and the role of “interconnectivity” in achieving affordable supplies by interconnecting individual plants, regions, nations and even continents. This role is becoming of paramount importance to future development of the electricity sector.