Lesson 9 Flashcards
What is a TNC?
A company which operates in multiple countries
Why do TNCs dominate the energy industry?
• Large potential profits but large investments required which only big companies have
• Vertically integrated
Describe the impacts that TNC can have on countries
• Provide jobs which can have positive multiplier effect on eco
• Very influential from control over resource so can impact decisions of government
• Can have negative impacts on environments
What is fracking?
• Vertical hole drilled into shale rock
• Bore is lined with steel and cement with small holes in casing
• High pressure water, sand and chemicals pumped into bore, causing shale to fracture
• Gas is forced out and comes to surface
Advantages of fracking?
• More jobs -> positive multiplier effect on eco
• Makes gas in ground accessible and is reliable method
• Less reliance on imported due to increased energy security
• Gas is less polluting than coal
Disadvantages of fracking?
• Machinery is unaesthetic
• Contributes to climate change
• Risk of explosion
• Requires lots of water
• Noise pollution
• Low-income population forced to leave area of operation
• Non-renewable
• Generates earthquakes
Describe Chevron as a TNC
• Operates in 180 countries
• Worth $260 billion
• Vertically integrated in fuel industry (farm raw materials, refine it and distribute it)
Describe Lac Megantic explosion in Canada and its consequences
• Oil from Bakken formation is volatile and highly flammable
• Destroyed the downtown area
• Contaminated land and released GHGs
• Lead to construction of 200 mile North Dakota Access pipeline but has disrupted ecosystems and natural wildlife migration
• Risk of leakage
Describe San Francisco spill of 2021
• Nearly 800 gallons of diesel spilt from ruptured pipe into bay
• Impacted bird and wildlife
• Cost $130000 to clean up and $70000 in fines
