Energy Security Flashcards
Named Example: China’s investment in Africa
- Around 30% of all used in China comes from Africa
- In 2007 Chinese investment in Africa totalled $30 billion
- 45% ownership of oil field in Nigeria
- Minerals investment in Zimbabwe
- $175 million invested in copper mining in Zambia
Named Example: USA car industry
The USA car industry has shrunk since 1970s due to lack of investment and a failure to compete with Japanese car technology.
In 2000, car sales- 17 million, 2007 - 13 million.
In 2008, the top five best selling cars in the USA were Japanese.
Chinese car industries are also beginning to launch themselves onto world markets and it is thought that by 2015 ‘Geely’ will produce 1.7 million cars per year.
Problems (Arctic Oil Case Study):
- Oil companies have already destroyed large parts of
Alaska and Siberia so should be kept out of the Arctic - New oil rush in the Arctic is only possible because of
the increased shrinking of the polar ice cap due to global warming - The Arctic is a pristine environment containing over 45 species of land and marine animals
- Issue over who has the right to claim ownership of the natural resources.
Benefits (Arctic Oil Case Study):
- At around $70 per barrel it makes drilling in the Arctic viable. (2007 prices reached $100).
- Contains up to 25% of the world’s undiscovered oil and natural gas
Rapid economic growth in China has been achieved at high environmental costs:
- Industrial revolution in a short time resulting in it being
the largest contributor to CO2 emissions - 16 of the top 20 most air-polluted cities
- 2003 – air pollution blamed for 400,000
deaths - 30% of China suffers from acid rain due to emissions from coal-fired power stations
- CO2 emissions in 2006 more than 6.2 billion
tonnes (increase of 9%) - 70% of China’s rivers and lakes are polluted
- Beijing’s pollution levels are 3x higher than
safe WHO levels
Rapid economic growth in China has been achieved at high social costs:
- Rural population still in poverty
- 20% of population live on less than $1 a day
- Child labour used in some factories
- 1/12th of people rely on the polluted Yangtze
river for drinking water
Background to Tar Sands in Canada
Contains up to 2.5 trillion barrels of oil (more than Saudi Arabia’s reserves)
Oil prices mean feasible to extract.
By 2030 they aim to produce at least 5 million a day and export the surplus
Problems (Tar Sands in Canada):
- Large amount of energy required (natural gas)
- Every barrel of oil produced requires 4 barrels of
water. The water then also becomes polluted where it can damage ecosystems - Issue of disposing of the shale once the oil has been removed
- Very expensive and only viable when oil costs over $30 a barrel
- Processes are a large source of greenhouse gas emissions
- 470km2 of forest have been removed and lakes of toxic waste cover 130km2
Benefits (Tar Sands in Canada):
- Alternative source of oil during times of political or access issues
- By 2030 the tar sands could meet 16% of North America’s demand for oil
- Provide additional source of energy until more renewable sources can be found
- Oil is vital to Canada’s economy (2007= 20% of exports)
How energy supplies can be disrupted e.g. Russia
Tensions between Russia and Ukraine have been high since 2004
Russia also opposes Ukraine’s desire to join the North Atlantic Treaty Organization and the EU.
The EU gets a quarter of its gas supplies from Russia - 80% of which passes through Ukraine
Ukraine and Russia have faced negotiations over the renewal of gas supply contracts every year and couldn’t agree on a price (2009) and Russia accused Ukraine of taking gas meant for European customers and so cut off gas for more than a dozen countries.
Why is the USA in energy crisis?
1) Consumption- 2007 used 23.8% of world’s oil
2) Reliance on imports- 1960- 2003, USA’s reliance on imported gas and oil increased by 18% to 58%- 9/11 terrorist attack = concerns of dependence on imports from the Middle East.
3) Price- In 2006 the price of oil had risen from $20 to $60 per barrel. In 2008 the oil was $140
4) Reserves are beginning to run out reserves (should last 40-65 years)
5) Global sources of energy are unevenly distributed- most are concentrated in politically unstable parts of the world
6) Demand for energy is increasing- the growth of economies in China and India has meant more competition for resources
Give examples of how oil has lead to conflict.
Iraq’s invasion of Kuwait in 1990.
First Gulf War 1990 (American led coalition liberated Kuwait).
Second Gulf War 2003
Iran’s nuclear threat and ongoing conflict with the USA.
Increased demand in emergent countries- China
2010- China overtook US to become biggest energy user
Since 1980’s, its economy has doubled in size every 8 years- the consequence of this is a massive increase in the demand for energy.
The growth of industry has created a Chinese middle class- of which have higher consumption levels (higher quality of life).
Three Gorges Dam.
Energy in Contrasting Countries- Mali
Mali is a landlocked country in North Western Africa.
Typical characteristics of LEDC: increasing population due to high birth rate, low life expectancy (53), low adult literacy rate (74%) etc.
70% of the population is in rural areas
Decentralised energy production for a decentralised population.
86% of the energy they use in in household.
Tiny amount of electricity but of that is hydropower (70%) and thermal power plants.
93% of the population use firewood and charcoal as primary source of energy.
Between 5 and 10% has access to electricity
Less than 5% has access to modern energy services
Energy in Contrasting Countries-UK
Consume less energy today compared to 1970 due to increased efficiency eg 3 million tonnes compared to 53 million.
In the late 2020s, nuclear is also set to contribute more as the UK’s new generation of nuclear power stations come online.
43% of fossil fuels from abroad.