Lesson 5

Question 1

How much oil is traded?

Answer 1

Most traded energy source due to high demand and unequal distribution of reserves

Question 2

How is gas traded?

Answer 2

Traded through pipelines but these are very expensive and can be disrupted or traded through tankers and liquefied gas

Question 3

Why is coal traded less?

Answer 3

Less economically viable

Question 4

Who is OPEC?

Answer 4

Organisation of Petroleum Exporting Countries who has over 50% of global reserves giving them great influence as they can control prices and production

Question 5

What is an energy pathway?

Answer 5

Flow of energy from producer to consumer

Question 6

Describe benefits of being a top 10 energy producer

Answer 6

• Shows energy security
• Provides more influence
• You can have cheap energy prices in your country

Question 7

Why may a country need to import energy?

Answer 7

• Industrialisation requires lots of energy
• Lack of energy in country

Question 8

Describe problems of high imports

Answer 8

• Could lead to over-dependence especially if unvaried energy mix
• Could then lead to inflation in country