8.5 The challenges and opportunities of Alaskan oil

Question 1

What is the trans-Alaskan oil pipeline

Answer 1

The pipeline is 800 miles long and 48 inches in diameter. It moves oil from Prudhoe Bay to Valdez Port and provides 20% of US oil.

Question 2

What are the economic opportunities in Alaska

Answer 2

Employment - 1 in 7 Alaskans work in the 100,000 jobs available in the oil industry
Taxes for social development - oil industry provides 90% of Alaska’s taxes and this pays for education, health and policing
Caribou migration route - not disturbed, in certain places the pipeline passes underground and is thickly insulated to ensure it does not freeze
Zig zag pipeline - pipeline adjusts to ground movement during earthquakes

Question 3

What are the cost (environmental challenges) of economic development in Alaska

Answer 3

Migrant worker - take many of the jobs available and do not spend the money earned locally, impacting the economy in Alaska

1989 Oil Spill - 5000 sea otters killed
2006 Broken pipeline - spilled 1 million litres of oil

Arctic National Wildlife Refuge is home to polar bears, wolverines and snow geese but there are up to 16 billion barrels of oil underneath 80000 sqkm site.

Question 4

To what extent can the environmental costs of economic development can be overcome

Answer 4

Environmental costs can be overcome so long as there is balance between economic development and environmental needs
Vast wilderness is fragile and must be protected