Prior to assuming the position of Secretary of Energy in February 2005, H.E. Samuel W. Bodman served as Deputy Secretary of the Commerce Department from 2001 and Deputy Secretary of the Treasury Department from 2003. Before joining the Administration of President George W. Bush, Secretary Bodman, a Sc.D. in chemical engineering from the M.I.T., was Chairman and Chief Executive Officer of Cabot Corp., a multinational chemicals and specialty materials company.

It is well known that global demand for energy is rising rapidly and will continue to do so. By 2030 global energy consumption is projected to grow by over 50 percent, with 70 percent of that growth coming from the world’s emerging economies. And as all nations prepare to meet this growing demand, we also must confront some realities about our current situation: that most economies around the world are fundamentally hydrocarbon-based; that fossil fuels are often in places that are geographically hard to reach and geologically difficult to develop; that disruptions in global supply can harm developed and developing nations alike; and, of course, that we must address the realities of global climate change.

For all nations of the world, it is clear that we need a secure, clean and affordable supply of energy. Our collective ability to attain such an energy future is directly related to: whether or not our economies will grow and our people will prosper; whether or not our industries will operate efficiently; whether or not our earth’s climate will worsen or improve; and perhaps most importantly, whether or not our people will be safe and secure. And the scale and scope of the challenges we face will only grow more pressing over time, as traditional sources of energy become more stretched and demand continues to grow.

Given this reality, President Bush has committed the United States to a path to a more secure energy future. And further, we believe it is time for the world community to embrace a new paradigm of energy security and acknowledge that the international nature of this problem requires coordinated action on a global scale. To that end, the United States has proposed five co-operative global goals for all nations who join us in choosing the path of responsible action.

Five Goals

- First, we must diversify the available supply of conventional fuels and expand production.

We need not only expanded supply from existing sources, but as importantly, we need more producers supplying global and regional markets. Diversification of supply will help to defuse the risks of supply disruptions from any one source. But in order to achieve this, we need stable regulatory frameworks, open investment climates, adherence to the rule of law, and market-based pricing of energy resources.

- The second goal is related to the first: we must diversify our energy portfolios by expanding the use of alternative and renewable sources.

Diversification toward alternatives could greatly relieve pressure on markets for conventional sources over time, while also addressing environmental concerns. Among other measures, we must enhance the use of nuclear and renewable electricity generation in the power sector and develop alternative fuels such as hydrogen, biodiesel and cellulosic ethanol for our transportation sectors.

- The third goal: we must promote increased energy efficiency and conservation measures.

On a global scale, we must continue to encourage consumers to choose energy-efficient vehicles and products. All nations also must reduce the energy intensity of our industries. And, we can all do more to strengthen our cooperation with developing countries to encourage policies that will ensure economic growth and responsible energy use.

- Progress on expanding our use of alternatives and increasing global energy efficiency will move us toward a fourth goal: we must take steps to improve our earth’s environment to reduce pollution and the emissions intensity of the global economy.

Human activity is contributing to changes in our earth’s climate. There is no question that this is a serious challenge. And so, the focus must continue to be on developing and deploying solutions that are technically and economically sound.

- The final goal: we must maintain the global energy supply system and protect critical energy infrastructure to ensure a more resilient, secure and less volatile market.

Delivering energy resources is as important as gaining access to them – and the governments of the world are uniquely positioned to achieve this goal in a coordinated way. All nations should take steps to protect and modernize critical energy infrastructure, safeguard sea lanes, and facilitate multiple delivery routes. At the same time, we must be prepared to address any severe supply disruption by maintaining adequate strategic reserves and using them in a coordinated fashion.

A New Paradigm

Agreement on these five goals will define a new coalition of countries committed to a peaceful, secure and environmentally responsible energy future. And the International Energy Forum will continue to play an important role in achieving this new paradigm. Through its efforts to bring together energy producers and consumers, to enhance market transparency, and to recognize the crucial role of industry, the IEF will help us all meet our energy challenges.

The world has certainly united around issues of common cause before, and I would argue that there are few more compelling global concerns today than the need for a safe, affordable and clean energy supply.