2. From the Spec: 1.3: Demand for energy is growing globally, and at regional and local scales, especially in developed and emerging economies such as China and India Examine: Trends in global energy supply and demand by source, Type of economy and economic sector 1.4: Energy security depends on resource availability (domestic and foreign) and security of supply which can be affected by geopolitics, and is a key issue for many economies Develop an awareness that there is little excess capacity to ease pressure on energy resources and therefore energy security is rising particularly for finite resources P17-21 Oxford textbook
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5. Different energy resources coal wind biomass oil The Sun is the original source of most energy resources. natural gas food waves Which of these energy resources are non-renewable?
6. Energy Issues across the world Dependency; wastefulness; lack of fossil fuel supply (energy insecurity) Huge surplus; inefficient use; energy as a political weapon? Rapidly growing demand; use of pollution sources such as high sulphur coal; health impacts; impact on global fossil fuel prices Energy poverty; dependency on foreign TNCs to exploit supply (Nigeria, Sudan) Supply security; role of unstable regions in fossil fuel supply; link between nuclear power and weapons. Reserves; questions of developing these in the Arctic, Antarctic and other sensitive areas
15. What changes are coming? Why? What will be the impacts (SEEP)? The following slides are just an overview Use the articles to answer the questions in detail – present how you wish
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20. WHERE - In Beijing and Delhi, the race for oil deals in Latin America, Central Asia and Africa is a critical concern. - China seems less inhibited about doing business with governments shunned by the West like Iran, Burma and Venezuela. WHY - China’s economy is based on manufacturing, India’s is strongly service-based. This makes China even more energy-hungry. - India’s more open, democratic political system puts it at a disadvantage. e.g. A nuclear deal is being blocked in India by anti-U.S. politics while China is expanding nuclear plans at the government leadership’s will. But neither country will get more than 4% of its power from nuclear in 2020. - Both India and China are developing wind, biomass, solar and hydro-electric energy resources. - India has enormous undeveloped hydroelectric resources.
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23. China’s and India’s net oil imports are expected to jump to 19.1 million barrels a day in 2030 from 5.4 million barrels in 2006, more than what the United States and Japan now import. By 2030, global oil demand is expected to reach 116 million barrels a day. The use of coal, made attractive by oil and natural gas prices, is expected to rise 73 percent in the next 25 years, mostly because of Chinese and Indian use. The share of natural gas is projected to increase modestly while electricity use doubles.
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27. KEY VARIABLES: MOST POPULOUS/WEALTHIEST NATIONS China & India convert energy into wealth (BTUs per $1.00 of GNP) at only about 25% the efficiency of the USA or European Community
28. This projection from the U.S. Energy Information Administration shows that China’s energy consumption could nearly double in the next twenty years, and virtually all of this new energy will come from coal. Sources from http://www.ecoworld.com/features/2007/05/19/chinas-energy-demand/
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30. What does this suggest about the future issues and tensions?
31. Discuss how far economic development can be affected by energy security (10)
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33. CHINA IS ENERGY INSECURE. DISCUSS! THE EVIDENCE China is a net importer of oil (since 1993)and imports are rising China has invested money in oil and gas companies in over 30 countries globally The money the Chinese have invested in oil equates to 30 million tonnes, but only 10% is sent to China China supplies (through money) much of the world’s oil- it is helping global energy security. China is playing a dangerous game- funding oil- what if the oil industry busts again- lost money By 2020 its predicted China will have the world’s greatest installed nuclear energy capacity China has built a petroleum reserve to store petrol (good if oil increases in price) Chinese government owns their energy companies (limited competition on international stage) Although government owns Chinese energy companies, China allows foreign companies in to build refineries to compete internationally China leads the world in producing clean energy China has a clear energy strategy China has implemented energy saving strategies China is the world’s leading investor in green (renewable) energies ($54 billion dollars invested in 2010. Up 40% from previous year China is the world’s largest producer of co2. It and the USA together = 40% of GHG emissions China is tightening up naval presence China aims to produce 20% of its energy from non fossil fuel sources by 2020- (only 3% output for wind, solar and biomass combined) China is the world’s biggest investor and manufacturer of clean energies like wind turbines (still does not = energy production) China is increasing its solar, wind and HEP installed capacity (ability to produce) but it’s not all working (most not connected to energy grid) China doesn’t see coal as dirty , it produces and consumes most in world- it alone provides 70% of China’s energy needs! China is increasing coal production capacity by 1.1 billion tonnes by 2020, but it’s investing in clean coal- especially carbon capture and storage China is investing in a range of energy sources- wind, solar, oil, gas, cleaner coal and HEP China is the world’s fastest growing economy- demand is rapidly increasing- supply potential is too- but not at same rate Much of western China is not connected to the energy grid China has low energy dependency (total imports as % of consumption) only 12% (the USA 40% and Japan 80%) Per person China’s energy demand is small as many have no access to it, it consumes a 1/3 less oil than the USA and uses only slightly more than Japan (China has 10x the population of Japan!) 8.5 million people in China move from rural to urban areas a year- people in cities consume more energy- increasing consumption China’s people per car ratio is expected to increase from 100 per 1000 in 2002 to 267 per 1000 in 2030. 1000 new cars are added to Chinese roads everyday- they now have more cars there than in the USA. China is building 3 new coal fired power stations a week at present- coal is cheap but dirtier than other sources of energy HEP accounts for 16% of China’s energy- the 3 gorges dam (world’s largest HEP project) alone will generate 25 GW of electricity- = to a 1/3 of UKs total output China has reached peak oil, it has reserves but in awkward locations (far inland in mountains) so investment limited. Also has reserves in South China Sea but is in dispute over them with neighbouring Philippines China has the world’s largest coal reserves but it’s in the north and west- it is needed in the urban south and east- moving it is expensive and dirty. Most of China’s oil imports have to be moved through the straits of Malacca a pirate area between Indonesia and Malaysia- sometimes ships cannot pass risking the Chinese supply China and Turkmenistan recently opened a new gas supply line- that will bring gas into Hong Kong and China’s other major cities- the pipe also crosses Kazakhstan and Uzbekistan- supply issues? It will provide 40 million cu metres of gas more than half its current consumption by 2013 China is looking to cut reliance on coal- to improve its energy mix and cut emissions China is investing in Sudan, Pakistan, Burma, Australia and Canada and their energy production Kazakhstan recently became the world’s biggest uranium producer- China has signed a contract with that nation to exploit their uranium and store nuclear waste in Kazakhstan. China will build 13 new nuclear reactors by 2025
