Critical Energy

Generating energy in the developing world

In developing countries, energy is synonymous with economic growth and crucial to human development. However many areas of the world lack sufficient baseload power. According to the World Bank Group, one in five people worldwide -- or 1.4 billion people -- lack access to electricity. Approximately 2.7 billion people rely on traditional biomass as their primary source of energy. The large majority of these people live in rural areas of the developing world.

Due to population growth, rising urbanization and the creation of middle classes, there is a growing gap between power generation and demand in these countries. According to the International Energy Agency, by 2020 developing countries will need to double their electrical power output.

This pressing need for new power capacity and, in many places, superior natural resources, is driving many in the private sector to invest in energy generation, transmission and distribution in the developing world. These investments are not only sound, they provide investors an opportunity to help developing countries meet their basic needs and grow their economies.

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