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All about the evolving scope of Energy Law

In today’s Global Context Climate Change is one of the highly contested issues that is a major headache amongst nations across the world. In that case, Energy law has taken a major stand becoming a complex and ever-evolving area of law encompassing a broad range of issues related to the production, distribution, and use of energy or natural resources. Energy law covers natural resources and includes dealing with resolutions pertaining to the extraction of coal, oil, gas, and other resources that help to counter electricity shortages, production, and distribution of energy.

The significance of energy has taken a centre-stage in the last 5-6 years, only due to concerns about climate change, energy security, and the transition to renewable sources. However, in response to such concerns governments around the world have repeatedly come up with varying policies pertaining to the cause of promoting energy-efficient sources of power to reduce greenhouse gas emissions and increase the use of renewable sources of energy.

Components determining the validity of Energy Law-

Though energy law is a multidisciplinary field of study, which encompasses a lot of legal disciplines to be followed with reference to the environment, administration, property, and contract law, as well, which can be understood as-

  • Oil and Gas Law - Generally this branch of law covers issues over the exploitation, production, and distribution of oil and gas resources. It includes issues relating to drilling rights, leases, royalties, and environmental regulations too.

  • Renewable Energy Law - Renewable Energy Law includes laws and regulations in areas of production and distribution of renewable energy sources like solar, wind, and hydropower. Generally, government subsidies are the prime issue of focus.

  • Environment Law - Environmental Law mostly governs the issues focussed around the protection of natural resources and regulation of pollution, which includes laws relating to air and water quality and the protection of endangered species.

  • Energy Efficiency Law - Energy Efficiency law mainly encompasses laws related to the promotion of energy in buildings and transportation.

  • Electricity Law - It mainly governs the cause of production, distribution, and sale of electricity, which includes issues related to transmission, distribution, and retail sales along with regulations related to rates and tariffs.

Understanding the Significance of Energy Law -

Generally, energy law is a very critical aspect that helps in shaping the natural landscape in today’s world. The legal frameworks provided under the energy law over areas of production, distribution, and use of energy will help to ensure the safe, efficient, and sustainable use of resources. At the same time, Energy Law holds a significant implication within public health, as effective regulations related to air and water quality or protection of natural resources help to minimize the impact of energy on the environment.

Energy law at times also leaves significant economic implications as well. As the regulations on energy production and distribution affect the cost and the availability of energy resources, which also impacts the economic growth and competitiveness of businesses. Technological improvements, market forces, and regulatory changes always alter the energy system, but the future of discovering new sources of energy always remains a question.

Recently three major developments have shown how Energy Law as a context goes towards a proposed change. Implementing and arbitrating upon the cause of bringing out the Energy Law always stands as a cause of a complex and multidisciplinary area or approach of law which encompasses several broad ranges of issues relating to the case of production, distribution, and the use of electricity or any other sources of energy. In such a way, a major significance has shown in this case as to how its importance has grown significantly in recent years due to rising concerns about climate change, energy security, and the transition from renewable energy resources. As in today’s context where the world goes on to face issues pertaining to these aspects, in the same way, energy law will continue to play an increasingly important role to shape the landscape of using energy-based resources soon.

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