In the thirty years since the end of the Cold War and the onset of globalization, the world has simultaneously become more integrated and yet faces ongoing instability. Conflicts rooted in protracted social issues ranging from border disputes to resource misallocations, to poor governmental performance, have demanded engagement from the major international powers. Current crises, such as those in Ukraine and the Middle East, give one the impression that unresolved security dilemmas from the late twentieth century have affected, and will continue to affect, international relations well into the twenty first. However, some of the greatest challenges to global peace and security come from transnational threats such as global pandemics, migration and refugees, resource depletion, and perhaps most important of all, climate change.
These transnational challenges present new dilemmas due to their regional implications. Not only do these problems not stop at one national border; there is not one state in the world that has neither the capability, nor the authority, to solve the crisis on its own. International organizations like the United Nations may offer a route to solutions, but it relies on the collective willingness of its member states to take action.
Climate change is an undeniable global crisis, demanding a unified response transcending political boundaries. As countries and regions grapple with the urgent need to transition to sustainable energy sources, it is crucial to prioritize both energy security and safety for all, irrespective of political differences. The quest for a greener future necessitates a collaborative approach, where both energy diplomacy and energy security become pivotal tools in uniting states under a common climate agenda.
The U.S. energy sector is at the forefront of this transition, with several significant developments accelerating this move. This includes measures like the Federal Energy Regulatory Commission’s (FERC) efforts to streamline how new energy projects connect to the grid, unlocking barriers to clean energy growth in the country. Energy storage is also experiencing growth, driven by dynamic policy such as the Inflation Reduction Act, which has led to unprecedented growth of the renewables sector, driven by a highly attractive investment market.
But energy diplomacy can take this growth beyond U.S. borders. Simply defined, energy diplomacy is a strategic approach to managing international relations through coordinating and harmonizing supply and demand chains of energy resources and markets. For instance, the United States has leveraged its Liquefied Natural Gas (LNG) exports to Europe in the wake of the conflict in Ukraine, reducing dependency on Russian fossil fuels.
Europe’s increased reliance on U.S. markets has lessened its dependency on Russian energy. However, this shift may have simply replaced one dependency with another, potentially leaving Europe still vulnerable to its supplier. Additionally, this policy from the US has done little in facilitating alternative energy sources that form a core part of the energy transition, such as alternative fuels. Therefore, while energy diplomacy succeeds in this case in addressing immediate geopolitical issues, it must also aim to support long-term climate protection goals through enhanced energy security.
While energy security primarily focuses on immediate objectives, a key long-term goal is to reduce the consumption of certain types of energy in favor of transition fuels, such as LNG, and wind, solar, geothermal, and other sources of renewable or “green” energy that are essential components in combating climate change.
Energy security plays a crucial role in addressing the underlying challenges stemming from resource competition and climate change. It shapes energy diplomacy in establishing international frameworks of cooperation between developed and developing states, and with varying energy profiles. This approach involves engaging with countries that are presently at an early, or undeveloped stage in their energy journey, in order to facilitate a strategy of transition to cleaner energy solutions that works within reasonable infrastructural capabilities. It also means recognizing geopolitical differences are subordinate to longer global crises like climate change that affect everyone collectively. The United States, as a leader in both traditional and renewable energy sectors, has a unique opportunity to guide these international efforts while balancing its own energy security needs.
American energy diplomacy needs to be nuanced and adaptable to every country in terms of structural capabilities, and flexible to states traditionally regarded as rivals and adversaries. Tailored diplomatic strategies, such as forging bilateral agreements on renewable technology or providing financial incentives for green energy projects, can encourage these states to align with global climate commitments. At the same time, the U.S. and its allies should commit to timetables and benchmarks of transition in energy consumption of its own; setting an example for others.
International events and forums present valuable opportunities to advance these goals, such as Gastech, taking place in Houston in September. By fostering dialogues and partnerships at climate summits and trade conferences, states and the private sector can build consensus on energy policies and establish frameworks that support collective progress. Such cooperation not only aids in mitigating climate change but also promotes energy equity and security worldwide. The U.S. energy industry, with its expertise in traditional, transitional and renewable energies, can play a pivotal role in these international efforts, contributing to global energy security while advancing its own economic interests.
