Carbon : 2.1 - 2.4 Flashcards
What is energy security?
The uninterrupted availability of energy sources at an affordable price.
What is an energy mix?
Every country has its own energy mix – its the proportion of each type of primary energy resource it utilises within a year
Ukraine energy security risk
International Energy Security Risk Index
- Ukraine has worst score of any European country in large energy group!
• Over 175% higher risk (8 metrics ranked in the bottom five)
• But has worlds 7th largest coal reserves
• Recent events:
• Russian Annexation of Crimea 2014
• Anti-Government Rebels in Eastern Ukraine
• EuroMaidan revolution 2014
• Economic recession
Energy mix (transition)
• Pre-industrial: initially it’s a mix of biomass and waste
• Industrialisation: fossil fuels for power stations, oil for transport - domestic sources.
• shift into gas and nuclear
• There might be more reliance on foreign sources of energy
Eventually:
• you get a decrease…
• Growing environmental concerns
• Increased efficiency of appliances
• Lighting technology improveS
Eventually (post industrial):
• Nuclear and renewables (but cost is a limit)
• Sophisticated technology (R&D can be a limit)
• Clean energy sources (is anything clean?
• (Global) environmental / emissions targets (will everyone agree)
• Cost-sensitivity (can’t everyone afford it)
BUT: the use of oil will probably remains high for transport
Why is Ukraine’s energy security so bad?
- low energy efficiency
- high energy, carbon intense consumption
- outdated energy infrastructure
- housing sector is four times less energy efficient than the average west European country
- inefficient central heating systems waste enormous amounts of gas
- abundant coal reserves, but most,y lie in Russia controlled regions
Developing countries
- biomass+ waste
- directly used e.g. for cooking
- Limited fossil fuel use - oil for transport, coal for power stations
Emerging economies
- Growth of mass transport + car so oil use rises
- Shift towards gas as tech developed
- develop nuclear power, renewables
- but some won’t, as economic development takes priority over the environment
Developed economies
- Oil remain high as transport fuel, coal declines due to pollution concerns + replacement with cheaper gas
- nuclear power as requires sophisticated + expensive tech
- rise in clean energy sources use due to envrioentmnal concerns + growing sustainability agenda - links to Kuznets
Mozambique:
Ex-Portuguese colony (coffee / dominos)
• 17 year civil war, ended in 1993
• World second poorest country
• 55% live under the poverty line
• Growth rate of 7%/yr, with young education population, will yield demographic dividend
Exploiting resources:
- Commodity dependency - Dutch Disease:
- Colonies were exploited for particular raw materials
- Raw materials have low value - prebisch singer hypothesis
- This yields poor terms of trade vis cost of imports
Mozambique needs a lot of tech imported for like infrastructure
Trade imbalance
- Consumers are MEDC’s, producers are LEDC’s
- Major profits are made by richer countries
- Gas is vulnerable to price spikes or collapse, resulting in uncertain incomes and difficulties for governments trying to plan ahead
Factors which determine if Mozambique may be energy secure
- physical availability
- cost
- technology
- public perception
- levels of economic development
- environmental priorities
Physical availability
Secure:
- 127bn litres gas found in Temane Gas Field - worlds fourth largest reserve
- 350£ of potential energy sources
Insecure:
Only 3.8 exploited so far, majority exported to South Africa
Costs
Secure:
- new tax rules have been introduced on resource sales - the gov will collect 1hr in tax in 2013, from companies that exploit gas
Insecure:
- after infrastructure spending, there will only be £13bn left
- TNCs can’t wait 3 years to work through tax and concession arrangements
Technology
Secure:
- Portugal Japan Ys India UAE Brazil all want to invest into oil and gas, and associated infrastructure, with around 10 bil investment into Mozambique over last 3 years
Public perception
Secure:
- public concern about government exploitation of resources is high - liquid gas and oil was number 1 topic at music festivals
- Australian universities provide geologist, geographers, marine biologists and anthropologists to chance to create a mega team to work with NGOs and the judiciary to help hold Mozambiques government to account for the contracts it gives to develop local infrastructure
Public perception insecure
Land grabs, forced relocations, poor working conditions by mining companies that don’t stick to contracts (building hospitals and schools)
- concerns growing over whether people will start to fight the government if corruption doesn’t end
