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to the changed energy market of the 1970s, Spanish energy consumption declined in the early 1980s (US Library of Congress). This reflects an important element of this paper, emphasizing that in order to achieve and sustain rapid industrial growth, en- ergy is a fundamental factor. The impetus to sustain this rapid industrial growth in Spain has driven the renewable energy initiative in order to satisfy energy demand and also reduce the energy import bill. Spain’s major source of energy has been largely imported petroleum, accounting for some two-thirds of the country’s primary energy requirements in the 1970s and mid-1980s. However, after 1985, there was a move towards natural gas consump- tion in order to reduce dependence on petroleum, saving Spain billions of pesetas. This came about when,in order to reduce Spain’s dependence on imported oil, PEN encouraged natural gas consumption. Efforts to redirect the use of fuels were suc- cessful, and in the 1980s the consumption of natural gas increased faster than that of any other fuel. Total natural gas demand doubled between 1973 and 1984, and in 1987 it accounted for 3.85 percent of all energy consumption. Energy planners hoped to increase this share to 7 percent by 1992 (US Library of Congress). It is important to understand the recent history of Spain to appreciate the context of the problem. In this respect, the country is vulnerable to international shocks and volatility. Additionally, the scenario pertaining to Spain’s energy security has not been altered much since the 1970s and 1980s where in 2005, 80 percent of energy consumption has to be met from imported sources. Spain imports approximately 64 percent of the coal, 99.5 percent of the oil and 99.1 percent of the gas it uses. Moreover, oil accounts for around 50 percent of primary energy consumption. The strategies defined for the energy sector have been shaped by the international com- mitments of the European Union as a whole, and those of Spain in particular relating to energy supply and climate change. Promoting the use of energy from renewable sources plays a fundamental role in meeting both commitments (Gil and Lucas ). There has been a persistent approach to reduce energy dependency on imported fuels and this continued when, on August 26, 2005 the Spanish government ap- proved the new Renewable Energy Plan (Plan de Energias Renovables, PER), which supersedes the Renewable Energy Promotion Plan, which dates back to 1999. The overall aim of the new Plan is to make it possible to achieve the target of 12 percent of primary energy being met from renewable sources by 2010 and to do so it sets more ambitious objectives in those areas that have been developing successfully and establishes new measures to support technologies that have not yet managed to take off. Renewable energy sources contribute to reducing energy dependence and increasing security of supply. Moreover, the development of renewable energy can make an active contribution to job creation, generally in less favoured and sparsely populated areas (Gil and Lucas ). The government has involved financial actors in order to realise its goals and has re- quested that the energy industry fund 77 percent of the overall cost for implement- ing the renewable energy plan. Also, there are requests to the private sector indus- ENERGY SECURITY OF THE CARIBBEAN 121PDF Image | Confronting the Energy Security Dilemma of the Caribbean
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