To achieve prosperity on a truly sustainable basis, the world must achieve a three-way balance among economic development, environmental needs and expectations of the society- the 'Three Es'.

''It is important to note that plentiful supplies of reasonably priced energy are key enablers of economic growth,'' Saudi Aramco president and CEO Abdallah S Jum'ah told the Canadian International Petroleum Conference earlier this year.

''Side by side with the world's desire for economic development, there is a clear realisation that the impact on the environment of energy as well as other inputs of economic growth must be minimised. The oil and gas industry fully recognises this important priority,'' explained Jum'ah.

The oil and gas industry has made considerable strides in reducing emissions as well as improving the overall efficiency of oil use, he said.

''Much industry-wide work has gone into improving end use applications of oil and gas, eliminating natural gas pipeline leaks, minimising flaring at refineries and processing plants, and eliminating emissions at chemical plants,'' he said.

''The third factor in our equation for sustainable development concerns societal aspirations. Consumer preferences will continue to be a key determinant of which energy sources and technologies will succeed in the future,'' said Jum'ah.

''The current trends in consumer preferences point to the need for energy that is cost-effective, clean, convenient, abundant and reliable.

''Industry and governments must continually assess society's preferences and concerns to guide future energy policy and investments.

''Thus, sustainable development depends on getting the balance right between its three E's.

With combined global recoverable conventional and non-conventional oil in the range of some three trillion barrels, it is clear that the world has an abundance of affordable hydrocarbon energy for a long time to come, said Jum'ah.

However, alternative sources of energy and technology, including hydrogen, are currently at various stages of development, and the share of renewables, exclusive of hydro energy, is presently less than three per cent of the world's primary energy demand.

''It is possible that, long-term, alternatives will assume a greater role. The degree to which any of these substitutes will replace oil and gas, and the timing of such replacements, will depend upon the resolution of many outstanding technical and economic issues,'' Jum'ah reasoned.

''The simple but significant conclusion is that oil and gas will continue to play a pivotal role in economic activity for the next several decades and likely beyond. Meanwhile, the alternatives are still in various stages of development, and their technical and commercial viability is not yet fully established.

''In this situation, what should be an optimum energy strategy that would satisfy the goal of sustainable development? The risk is that if proven energy resources and technologies were ignored and premature commitments were made to alternatives that are not yet ready, we could put at serious risk the social and economic development of the world that is dependent on the availability of ample and reasonably priced supplies of energy,'' he warned.

''I propose that a pragmatic global energy strategy carry a dual focus. Strategically, the world should continue to rely upon the tried-and-tested oil and gas industry with its ample supplies and superb infrastructure,'' he stressed.

''The centerpiece of our strategy should be to encourage the world's major consuming and producing nations, along with their search for alternatives, to invest in research to improve the performance of fossil fuels to make them burn cleaner and deliver their energy value more efficiently.

''Considering the energy outlook for at least the next several decades, where hydrocarbons will clearly be the mainstay of the world's energy supply, cleaner oil technologies will contribute a lot more to sustainable development than disproportionate focus on alternatives, whose potential and viability is still uncertain,'' said Jum'ah.

A reasonable energy strategy would also emphasise developing alternatives that would complement oil and gas energy once they have shown themselves to be technically and commercially mature as well as self-sustaining in the long term.

With the world population headed towards the 10 billion mark by the year 2050, an energy portfolio comprising many different sources may be needed.

''Naturally, each of these sources in the global energy mix will have to deliver high environmental efficiency to meet the sustainability goal,'' explained Jum'ah.

''To succeed over the long-term, it is equally important that energy sources are able to stand on their own, without subsidies,'' he said.

With regards to security of supply, governments, public and the industry need to guard against emotional reactions overriding reasoned, long-standing policies, said Jum'ah.

''Oil imports by major consuming countries is often mentioned as a significant driver of security of supply concerns. However, what may look like import vulnerability to some can just as readily be seen as mutual dependency,'' he said.

''This mutual dependency, where one need meets another, creates a situation in which nations of the world are encouraged to work together in their own interest, and thus creating broader global stability and enhancing supply security in the process. An important point we need to recognise is that oil reserves in the ground have little value to their owners unless they are produced and sold to consumers,'' he explained.

''Sustainable growth requires a high degree of global economic integration. We will see economic considerations being increasingly integrated with environmental priorities and, to be consistent, any long-term energy strategy must also provide solutions that are economically pragmatic and environmentally visionary,'' he said.

''In addition, for an energy strategy to be successful, it must address the need of producers and consumers around the world.

To this end, Saudi Arabia, a little over 18 months ago, proposed the creation of a permanent secretariat to ensure the flow of accurate information and to facilitate dialogue between consumers and producers on a regular and continuing basis.

''For oil and gas to be able to maintain their positions as premier energy sources amid tough competition, the quality of human resources will be the key difference between the successful and not so successful industries and companies of the future,'' Jum'ah emphasised.

''Similarly, we will require a rapid and sustained pace of technological innovation across the entire spectrum to stay ahead of the increasingly challenging demands of consumers and regulators.

''In the upstream sector, this means enhancing the ability to continue economically producing maturing fields, profitably recovering oil from increasingly difficult areas, and bringing more unconventional oil to the market. Downstream, it means economically meeting the need for better and cleaner end-use energy products that also satisfy increasingly stringent product specifications, and developing new, improved petrochemical products.