Tale Of Two Droughts: Venezuela and India Hit By El Nino Energy Shortages

Posted on 23. Dec, 2009 by Ross in Energy Shortages, South America

One nation left Copenhagen happy with the weak international climate change deal; the other left screaming at the developed world and capitalism. Both have experienced severe energy shortages as a result of climate-induced droughts which have decimated the two countries’ hydroelectric power stations.

The difference between India and Venezuela, however, is that India has averted the current energy shortage danger. Venezuela, by contrast, is now submerged under a deluge of demand but left high and dry by the El Nino-induced water shortage, which is the worst drought in at least 40 years.

The Guri hydroelectric dam supplies 73% of Venezuela’s energy demands, but water levels are critically low and the plant is unable to meet demand. Increasing levels of blackout and energy rationing have been plaguing Venezuela, causing dissastifaction in a country deeply divided over their socialist leader.

Something had to give, and today President Hugo Chavez announced major restrictions on energy use through a number of sectors, many of which will be hit badly by the energy shortages.

All companies demanding over 5 megawatts of energy must now save 20% of their usage, whilst domestic complexes exceeding 2 megawatts must also save 20% of their energy. People are being asked to restrict themselves to taking 3-minute showers to reduce both water and energy consumption. Billboards can only be switched on from 6pm-12am; casinos can only open over the same hours; shopping malls can only receive 10 hours of electricity. Penalties for non-compliance will be 24-72 hour disconnection from the electricity grid.

State-run heavy industry is also facing severe repercussions from the energy shortages. Aluminium companies Alcasa and Venalum are cutting production by 40%, and steel company Sidor is closing two blast furnaces. The combined energy saving from these shut-downs is estimated to be 558 megawatts.

Despite the scaling back of production, officials still claim that the move will not impact existing contracts both domestically and internationally.

Venezuela is not the first country this year to have industries decimated by energy shortages: Pakistan and Bangladesh are two of the countries whose emerging economies have been worst hit in 2009, although much of Africa, Asia and South America have had rolling blackouts as a result of energy shortages.

None of these countries will be the last, either. With the looming spectre of climate change, countries across the world will have to review their energy strategies in order to make their economies more resistant to the floods, droughts and storms which are predicted to increase in the future.

Image of Venezuela’s President Hugo Chavez in the dimly-lit Pal