S.1 World Energy

Energy issues have become more serious throughout the world due to many factors such as increasing population and environmental problems

Currently, scenario of the world’s energy shows us the importance of taking alternative actions for improving our daily energy use to ensure we could still live with enough energy sources in the future

CURRENT WORLD ENERGY SCENARIO: Energy consumption is increasing at 3%

annually

Oil will continue to be the number one energy resource for the next 20 years

Demand for all types of energy is expected to increase from year to year

World Marketed Energy Use by Fuel Type

P1.1 Acknowledgements

1. Authors: Normah M.G., Tang H.H., Mohd Faizal H., Terry Oliver

2. Reviewer: Sanjayan V.

3. Financial Supporter: Asia Link EuropeAid Co-operation

P1.2 Literature

Author: Jefferson W. Tester, Elisabeth M. Drake, Michael J. Driscoll, Michael W. Golay, William A. Peters, 2005 Title: “Sustainable Energy-Choosing Among Options” Publisher: The MIT Press, ISBN 0-262-20153-4, 2005

Title: “Alternative Energy Sources” Publisher: Greenhaven Press, Thomson Gale, ISBN 0-7377-3407-8, 2006

International Energy Agency http://data.iea.org/ieastore/default.asp

United Nations Commodity Trade Statistics Database http://comtrade.un.org/kb/article.aspx?id=10032

Energy Information Administration http://www.eia.doe.gov/

European Environment Agency http://themes.eea.europa.eu/Sectors_and_activities/energy/indicators/EN26,2007.04

European Union http://europa.eu/abc/history/index_en.htm

Organisation for Economic Co-operation and Development (OECD) http://www.oecd.org/home/0,2987,en_2649_201185_1_1_1_1_1,00.html

Organization of the Petroleum Exporting Countries (OPEC) http://www.opec.org/home/

United Nations Children’s Fund (UNICEF) “Our Energy” http://www.our-energy.com/en/nuclear_energy.html

Urbi Garay “The Asian Financial Crisis 1997-1998 and the Behavior of Asian Stock Markets” http://www.westga.edu/~bquest/2003/asian.htm

Marnie Rowe, Mrs. Leete “Energy Crisis” http://www.harwich.edu/depts/history/HHJ/rowe.html

P1.3 Prerequisites

Basic knowledge about:

Current Energy Use and Scenario

P1.4 LU and TU

Learning Units: 5 units

Teaching Units: 2 units

Explanation: 1 Learning Unit (LU) corresponds to 45 minutes for self-learning. 1 Teaching Units (TU) correspond to 45 minutes for teacher to present the material.

P1.5 The Trends of Energy Consumption

Malaysia is a currently a net exporter of energy but is projected to be a net importer by 2014. The following graph shows the growing increase in energy use by the Malaysians.

The growing increase in energy use can also be found in other countries.

E nerg y T rend by Year

0.000

0.500

1.000

1.500

2.000

2.500

3.000

1980 19821984 19861988 1990 19921994 19961998 20002002 2004

(Qu

ad

rilli

on

(1

0 1

5)

Btu

)

Malays ia

P1.5.1 Energy Consumption in Several Countries

1991 2001 Percentage

increase

USA 1943347 2281414 1.7396

Australia 86717 115627 3.3338

Brazil 134792 185083 3.7310

China 873087 1139369 3.0499

India 379440 531453 4.0062

Japan 446399 520729 1.6651

Spain 94662 127381 3.4564

1 metric ton = 1000kg

1 toe = 107 kcal = 41.868 GJ = 11,628 kWh

P1.6 The energy scenario-Liquids

Liquids is primarily oil and other petroleum products

The history of liquids:

*Please refer to the graph of world energy scenario

The decrease of world oil consumption between the 1980’s and 1990’s was caused by the delayed effects of the energy crisis

Economic growth has led to a gradual recovery as late as 1993

The oil world consumption increased rapidly since about 1990’s because of the increasing oil demand.

This is mainly due to the rapid changes in industrialization and the automotive industry in the Asia Pacific region especially China.

Even China consumes more than 8% of the world oil, it contributed significantly to the growth of world oil consumption since about the year 2000

There was a little decline in the year 1996 because of the delayed effect of Iraq-Kuwait conflict

The “Asia’s Financial Economic Crisis 1997” also affected the world’s energy consumption, where the demand for oil in Asia declined for the first time since 1985

Oil’s share in world energy consumption is expected to drop from 38% in 2004 to 34% in 2030. This is mainly due to the increasing world oil prices which will dampen the demand for oil and other petroleum products after 2015.

P1.6.1 Petroleum Products

Petroleum products are any products made from petroleum, which are obtained by distillation

They are normally used outside the refining industry Example: Gasoline, diesel, liquefied petroleum gases (LPG), lubricants, waxes, greases and

sulfur

P1.6.2 Energy Crisis

The energy crisis occurred in 1970’s, powerfully illustrated the pairing of environmentalism with concerns over energy resource scarcity

The Nixon (President of the United States of America) administration and Watergate Scandal caused the failure of attempt at federal energy regulation which influenced badly the effort in conserving and exploring oil resources

The oil embargo occurred because of the Arab-Israeli conflicts causing a big impact on the oil consumption of the world

The gasoline prices soared in America during the Arab-Israeli conflicts in 1973. In 1979, the same incident happened when Shah of Iran fell from power

The OPEC cartel led to rising gas prices in early 1970’s

However, the crisis encouraged great developments of alternative energy. Many alternative sources that are used today were pioneered during these years (crisis period)

New legislations also supported research and development of alternative energy systems

P1.6.2.1 Nixon Administration

The Nixon administration placed too much reliance on foreign oil and triggered the nationwide movement that advocated conservation of energy and alternated energy sources

67% of the world’s oil reserves were found in the Middle East. Based on 1994’s record, Middle East only consumed 25% of their production

However, U.S. and Canada oil consumption were more than double of their production (based on 1994 record)

Because of the rapid growth, U.S. relies heavily on foreign oil.

When Richard Nixon became President in 1969, he decided to keep quotas on imported oil from foreign producers but Middle East countries disagreed because it would affect their countries stability.

This oil imports problem became serious during winter(1969-1970) which was coldest in 30 years, and power was randomly turned off to preserve energy especially along the Atlantic Coast

Nixon tried to control the price of oil consumption in 1971 but this was not practical since it could not keep up with changing market.

A little incentive dampened the effort to conserve and explore oil energy in U.S. including drilling. This was the failure of attempt at federal energy regulation

P1.6.2.2 Watergate Scandal

It is the scandal that brought down President Nixon

“Watergate” is a general term used to describe a complex political scandal between 1972 and 1974

The scandal began with the Nixon administration’s power toward the goal of undermining the Democratic Party and the opposition to the Vietnam War

The “Watergate Scandal” originally got its name from burglaries of the headquarters of the Democratic National Committee in the Watergate Hotel Complex, Washington D.C.

In August 1974, the court-ordered the release of the “smoking gun tape” which is about the burglaries bringing with it the prospect of certain impeachment for President Nixon

And this led to the resignation of Nixon on 9th August 1974, 4 days after the release of the tape

P1.6.2.3 Oil Embargo Arab-Israeli Conflict

The war occurred in the Middle East in 1973

The conflict greatly affected the oil trade throughout the world because Middle East countries reduced or cut off their petroleum exports to Japan and western countries, including the United States of America and the Netherlands

The cut off was caused by their anger over the involvement of these countries in the Arab-Israeli conflicts

The critical effect of this embargo was accompanied by weak national policies on energy issues, high consumption level and panic stricken investors

As a consequence, the oil price increased significantly and caused the reduction of oil consumption throughout the world

During this time, many people put the pressure on the government, the gas companies and the Arabs in general

P1.6.2.4 OPEC

OPEC is an abbreviation of “Organization of the Petroleum Exporting Countries”

It is a permanent, intergovernmental Organization

OPEC was created at the Baghdad Conference on 10th-14th September, 1960 by Iran, Kuwait, Saudi Arabia and Venezuela

The organization was joined by Qatar(1961), Indonesia(1962), Socialist Peoples Libyan Arab Jamahiriya(1962), United Arab Emirates(1967), Algeria(1969), Nigeria(1971), Angola(2007) and Gabon(1975-1994)

Ecuador joined in 1973, but suspended its membership from December 1992-October 2007

In the first 5 years of its existence, OPEC headquarters were in Geneva, Switzerland. However, it had been changed to Vienna, Austria on 1st September 1965

The objective of OPEC is to co-ordinate and unify petroleum policies among member countries, in order to:

secure fair and stable prices for petroleum producers

secure an efficient, economic and regular supply of petroleum to consuming nations

secure a fair return on capital to those investing in the industry

P1.6.3 Iraq-Kuwait Conflicts

The war is also known as the Persian Gulf War, Operations Desert Shield, Desert Storm and 1990 Gulf War (for the Iraqi invasion of Kuwait)

The 1990 Gulf war was a conflict between Iraq and a coalition force of 34 nations led by the

United States

As a result, the coalition forces were able to drive Iraqi forces out of Kuwait fairly quickly

The main battles focused on Iraq, Kuwait and the bordering areas of Saudi Arabia

P1.6.4 Asia’s Economic Crisis 1997

The crisis is commonly known as “East Asian Currency Crisis” or “IMF crisis” It started with the devaluation of Thailand’s Baht which took place on July 2, 1997 The collapse of Baht was caused by the decision of the Thai government to float the Baht,

cutting its peg to the USD As a consequence, Thailand had acquired a burden of foreign debt that made the country

bankrupt and caused the collapse of its currency The devaluation of 15% to 20% of Baht occurred after this currency suffered from a

massive speculative attack. About a little more than one month before this devaluation, the bankruptcy of the Thailand’s largest company, which was called “Finance One”, occurred

The drastically reduced import earnings caused the recovery to be impossible without necessary international collaboration and effort

The devaluation of Baht was followed by that of the Philippine Peso, the Malaysian Ringgit, the Indonesian Rupiah, and to a lesser extent, the Singaporean Dollar

As this crisis spread, most of Southeast Asia and also Japan was affected especially their currencies

The first sub-period of the currency crisis took place between July and October of 1997 The second sub-period started in early November, 1997 after the collapse of Hong Kong’s

stock market During this second sub period, a large currency depreciations occurred The financial and asset prices crisis had also affected South Korea (eighth largest

economy in the world) and Taiwan currency See the graph which indicates devaluation of currency of several countries

P1.6.4.1 Evolution of Currency of Several Countries

The Evolution of Currencies(rebased to 100)

P1.7 Energy Scenario-Coal

There was a dramatic decrease between 1990 to 2003 in the world coal consumption because of the increase of awareness among the people throughout the world to keep the environment clean especially the EU 25 members

The environmental problem during that period had been reduced in Europe. However, fossil fuels continued to dominate the total energy consumption. This was mainly due to the significant transfer from coal and lignite to the relatively cleaner natural gas in 1990s

Most of the switch from coal to natural gas occurred in the power generation sector

This decrease of coal consumption was also caused by the “Asia’s Financial Crisis 1997” when many countries in Asia had problems with their devaluation of currency

However, the world coal consumption increased sharply from 2003 to 2004 due to the large 17% increase of consumption on a Btu basis in the non OECD Asia especially China and India.

From year 2004, coal is expected to be an attractive fuel to nations due to the continue rising of oil and gas prices although generally, government policies were aimed to reduce the use of coal

Overall, United States, China and India are well prepared to displace more expensive fuels with coal. The three nations occupy about 86% of expected increase from 2004 to 2030

The decrease of coal consumption during the period is projected only for OECD Europe and Japan because of the fall or slow growth of population, slow demand growth of electricity, natural gas and nuclear power ready to take place the coal’s function

P1.7.1 EU

EU is an abbreviation for “European Union” It was set up to stop the frequent and bloody wars between neighbours, which reached a

peak during the Second World War As of 1950, the European Coal and Steel Community began to unite European countries

economically and politically to secure peace The founders are Belgium, France, Germany, Italy, Luxembourg and Netherlands Denmark, Ireland and United Kingdom joined the EU on 1st January 1973 During the Arab-Israeli War in 1973, energy crisis and economic problems occurred in

Europe. Because of that, EU regional policy started to help in creating jobs for people in the poor areas

In 1981, Greece became the 10th member of EU, and 5 years later, Spain and Portugal followed

As a result of the collapse of communism across central and eastern Europe, Europeans became closer neighbors

The “Maastricht Treaty” in 1993 and the Treaty of Amsterdam in 1999, was a result of people in EU concerned about the protection of their environment and the difficulty in acting together for their security and defense matters

The treaty gradually allowed the EU people to travel without having their passports checked at the borders

Austria, Finland and Sweden joined as new members of EU in 1995 In 2004, the EU was enlarged with 10 new members. Since then, EU-25 became an

international abbreviation as a symbol of all its 25 member countries Until December 2007, there were 27 countries which had already joined EU

Refer to the list of EU members

P1.7.1.1 EU Members

Member: Germany, France, Italy, the

Netherlands, Belgium, Luxembourg, Denmark, Ireland, United Kingdom, Greece, Spain, Portugal, Austria, Finland, Sweden, Czech Republic, Cyprus, Estonia, Latvia, Lithuania, Hungary, Malta, Poland, Slovenia and Slovakia

New Member: Bulgaria and Romania

Candidate Countries: Croatia, the Former

Yugoslav Republic of Macedonia and Turkey

EU Members

P1.8 Energy Scenario- Natural Gas

There is an increase in production and demand from year to year due to the Increasing awareness of importance to keep the environment

clean The technological progress that made the natural gas to be

preferred over other fuels More efficient combustion in power electric generation compared

to other fuels Less carbon intensive production compared to other fossil fuels

The consumption of natural gas will continue to increase in upcoming years because it is expected to replace oil wherever possible

Natural gas use worldwide is projected to increase from 31% in 2004 to 36% in 2030. This is mainly due to the world’s fast-growing industrial and electricity generation sector using natural gas as the main energy source

P1.9 Energy Scenario-Renewable Energy

Many renewable energy sources were pioneered and commercially used in 1970s due to the “energy crisis of 1973”

The sharp increase of world renewable energy consumption was in year 2003 when many countries started to be concern about reducing greenhouse gas emissions.

From year 2003, government policies and incentives to increase the use of renewable energy for power generation have encouraged the development of renewable energy technology

Much of the growth in renewable energy consumption is projected to come from hydroelectric facilities in non-OECD Asia and Central and South America

In these regions, they have hydropower plants either planned or under construction

Hydroelectricity and other grid-connected renewable energy sources is expected to continue to increase over the projection period (until 2030), by 1.9% per year

The renewable energy consumption is expected to increase from 7% of total world energy use in 2004 to 8% in 2030 due to several reasons:

Higher fossil fuel prices, particularly for natural gas in the electric power sector

The focus on supporting renewable energy by government policies and programs

P1.10 Energy Scenario-Nuclear Power

The first electricity generation by a reactor of nuclear energy was on December 20, 1951

The nuclear power industry in U.S. grew rapidly in 1960s and contributed to the positive growth of the world nuclear power consumption

However, in 1970s and 1980s, the demand for nuclear power decreased due to the concern over nuclear issues, such as reactor safety, waste disposal, and other environmental considerations

The concern became serious during that period especially after the damaging disaster of nuclear power plants at:

Island Three Miles, on 28th March 1979 (detail of incident)

Chernobyl, former SSSR, now Ukraine, on 26th April 1986 (detail of incident)

Nevertheless, the use of nuclear power in many parts of the world is expected to increase over the projected period (2004 to 2030) for the following reasons:

Higher fossil fuel prices

The concerns about energy security

Environmental considerations

P1.10.1 Disaster in Island Three Miles

The Three Mile Island disaster ccurred on 28th March 1979 in Pennsylvania, United States As a consequence of the series of mistakes and security failures, one of the nuclear

reactors overheated and partly damaged, which resulted in emission of radioactive substances to the atmosphere

No harmful consequences on people were noticed, but the incident had a great effect on the conception of nuclear energy safety

The demonstrators had gotten a good reason for anti nuclear campaign in the media The incidents caused several decision like:

The incident convinced U.S. government to increase the nuclear installments safety

The incident also convinced U.S. government to decrease the number of newly built nuclear power plants

P1.10.2 Disaster in Chernobyl, Ukraine

The disaster in Chernobyl, Ukraine was the biggest nuclear disaster, happened on 26th April 1986

One reactor that exploded in the power plant formed a radioactive cloud which spread to other European countries

27% of the rescuers that went to contaminated area became invalids During the explosion, the reactor’s active zone was devastated The intensive release of radioactive elements was finally stopped after the reactor was

stored into a concrete “sarcophagus” in November, 1986

S.2 Educational Objectives

On completion of this chapter, you will be able to:

Analyze world energy trends and appreciate the effects of the growing demands for energy

Evaluate the possible effects of competition for energy and its effect on economic growth and the demands of a growing population.

S.3 Total World Energy Production and Consumption (2004)

Total Energy (in Quadrillion Btu) Production and

Consumption in 2004 by Region

There is an uneven distribution between the energy producers and users in the world

The energy consumption in several regions was higher than their energy production in 2004

The regions in which the energy consumption was higher than energy production, needed to rely on energy imports

See the review of trends in world energy production and use

P3.1 Btu

The Btu is an abbreviation of British Thermal Unit

It is an energy unit which is used in the United States, especially in the power, steam generation, heating and air conditioner industries

It is defined as the amount of heat required to raise the temperature of one pound of water by one degree Fahrenheit(F)

P3.2 Trends in world energy production and use

Overall, there has been an increase in both production and consumption of energy (See the graph for world energy production and consumption)

In 2004, averagely, petroleum was the primary energy, followed by coal and natural gas

From the review until 2004, in OECD countries, the importance of natural gas and nuclear energy as sources of energy increased (See the related graph)

In non OECD countries, the petroleum, natural gas, and coal consumption increased. The use of hydroelectric and nuclear power also increased, but only small changes (See the related graph)

In 2004, the four largest energy producers were United States, Russia, China, Saudi Arabia and Canada, whereas the largest energy consumers were United States, China, Russia and Japan

Most of the countries which had the lowest energy consumption per capita in both 1990 and 2004 were in Africa and Asia and Oceania. Meanwhile, the countries in Europe, Eurasia and North America had the highest energy consumption per capita (See the graph)

The combination of two countries with high energy consumption per capita, United States and Canada, have large combined population. So, most of the people who live in countries with high energy consumption per capita, live in North America

The graph of energy production and consumption (world total, OECD and non OECD)

Total World Energy (in Quadrillion Btu) Production and Consumption

P3.2.1 The graph of OECD energy production and consumption

OECD Energy (in Quadrillion Btu) Production and Consumption

P3.2.2 The graph of non OECD energy production and consumption

Non OECD Energy (in Quadrillion Btu) Production and Consumption

P3.2.3 The graph of world energy consumption per capita

World Energy Consumption per Capita (in million Btu)

S.4 Energy Consumption and Economic Growth

For the past 25 years, about two billion people have no access to modern energy resources (opposite of “traditional energy”). In 1990, this number had decreased to lower than 500 million people

The increased use of modern energy by households is a key element in the broader process of human development

The shift from traditional to modern energy resources (energy ladder) is not a smooth one (Look example energy ladder of household fuel transition)

The economy status is closely related to energy use (emerging economy and mature economy).

There are variations between energy consumption of developed countries and developing countries caused by the variations of human development

The trend of energy use at those countries affected their Gross Domestic Product (GDP)

An indication of the energy use trend from 1980 projected to 2030 shows an increase in the total energy use all over the world. (See the graph)

P4.1 Modern Energy

Access to modern energy is very important element towards increasing the standard of living

Modern energy can alleviate abject poverty and promote sustainable development

Modern energy can also improve living standards, especially in areas of public health, education and family life

It does not create more green house gases, pollution or waste for future generations

It offers energy independence which is demanded by the world’s large and fast-growing economies

Example: Electricity, natural gas, wind power, solar panel, hydropower etc

P4.2 Traditional Energy

As opposed to “modern energy resources”

Most of the population accessing traditional energy resources live in rural areas of Sub Saharan Africa and South Asia

People in these regions rely on traditional biomass for daily life (cooking and heating). For instance, wood and agricultural residues and dung

Poor countries can be the victim of a vicious circle of poverty, social instability and underdevelopment

Many people have died as consequence of pollution, dirty environment and many others

The location with no access to modern energy resources

South

Asia

Sub-Saharan

Africa

South

Asia

Sub-Saharan

Africa

P4.3 Energy Ladder

Energy Ladder

Electricity was being used for the first time for lighting After the income per capita increased, it is used widely as a source of power and energy for

other domestic purposes

P4.4 Emerging Economy

It is considered as a transitional phase between the developing and developed status. Examples: China, India, Brazil, and much of Southeast Asia

These economies have been going rapidly at rates several times greater than those members of the Organization for Economic Cooperation and Development (OECD).

Countries with this type of economy are expected to experience high economic growth.

The term “rapidly developing economies” is now being used to denote emerging economies such as The United Arab Emirates, Chile and Malaysia

The Emerging and Developed Countries

Emerging

economies/markets

Developed

economies/markets

Emerging

economies/markets

Developed

economies/markets

P4.4.1 Organization for Economic Cooperation and Development (OECD)

OECD was established in 1961 in Paris,

France

It brings together the governments of countries committed to democracy and the market economy in order to:

-Support sustainable economic growth

-Boost employment

-Raise living standards

-Maintain financial stability

-Assist other countries economic development

-Contribute to growth in world trade

It shares expertise and exchanges views with more than 70 other countries including China ,Brazil, Russia, and countries in Africa

OECD members as of 2006 ( in blue)

P4.5 Mature Economy

It is also known as developed economy

It is an economy that has stabilized and has already industrialized

The growth rates are lower than emerging economies

They are members of the Organization for Economic Cooperation and Development(OECD)

Examples: Japan, Europe and etc

The Emerging and Developed Countries

Emerging

economies/markets

Developed

economies/markets

Emerging

economies/markets

Developed

economies/markets

P4.6 Gross Domestic Product (GDP)

GDP is defined as the total market value of all finished products and services within a country

As a group, emerging economies have been growing faster than developed economies for several decades

Emerging economies have become more integrated into the global system of production

Relative to the GDP, trade and capital of emerging economies has been accelerating in the past 10 years

There was dramatic decrease in GDP of emerging economies between 1996 and 1997 due to the effect of Asia’s Economic Crisis 1997

The GDP by type of economies,1985-2006

P4.7 Graph of World Energy Use

World Marketed Energy Use by Fuel Type (1980-2030)

World Marketed Energy Consumption (2005-2030)

The energy use trend from 1980 projected to 2030 shows an increase in the total energy use all over the world.

S.5 Energy Production and Demand

There is an imbalance between energy demand and production.

Over the years the world energy demand has increased significantly

The increase in demand may be attributed to;

-increase in population

-economic growth

-industrialization

The following traditional resources to meet the demands are limited and unevenly distributed;

Crude Oil

Natural Gas

Coal

A Sankey diagram can better show energy distribution quantitatively and qualitatively

P5.1 Uneven Distribution of Oil

Crude oil Consumption& Net Imports,2004

Crude oil Production & Net Exports,2004

Oil is the most highly traded energy because it is very important to the development of modern economies. In addition, commercially recoverable reserves are still found in several countries

Reliance on imported oil is growing sharply in some big countries such as China and United States

P5.2 Uneven Distribution of Natural Gas

Gas Production and Consumption, 1999

Germany imported even more gas than United States in 1999 Former USSR leads the world in gas production and second in gas consumption

P5.2.1 USSR

USSR is the abbreviation of “Union of Soviet Socialist Republics” It is also called the “Soviet Union” It was a constitutionally socialist state It existed in Eurasia from 1922 to 1991 It emerged after Russian Revolution of 1917 and the Russian Civil War of 1918-1921 It became the primary model for future Communist States during the Cold War The government and the political bodies were controlled by only a political party, the

Communist Party of Soviet Union

USSR Map

P5.3 Uneven Distribution of Coal

Coal Production and Consumption, 1999

Even China was the highest producer of coal in 1999, they still needed the imports to fulfill their demand

Japan rely fully on coal imports for their coal source

P5.4 Sankey Diagram

A Sankey is usually used to visualize energy/material transfer for processes/sectors/systems

The thicker the line/arrow, the greater the amount involved

It is based on a hundred units at the beginning represented by two parallel lines from the left.

They are named after Irish Captain Matthew Henry Phineas Riall Sankey

P5.4.1 A Sankey Diagram for Processes

Sankey Diagram

P5.4.2 A Sankey Diagram for Sectors

Sankey Diagram of China Energy Consumption by Sector in year 1990

Sankey Diagram of Malaysia Energy Consumption by Sector in year 1999

Transportation

40%

Industry

39.6%Residential

11%Commercial&

Public Services 6.8%

Non-energy uses and

other consumption

2%

Agricultural

0.6%

Transportation

40%

Industry

39.6%Residential

11%Commercial&

Public Services 6.8%

Non-energy uses and

other consumption

2%

Agricultural

0.6%

P5.4.3 Activity

Activity 5.2a:

Draw a pie chart each for the energy production and consumption for developed/developing/underdeveloped country (choose 2). Discuss the differences and similarities.

Activity 5.2b:

Construct a Sankey diagram from the data in Activity 1 above. Identify the major sector that uses the most amount of energy (trial Sankey software is available online)

S.6 Energy Consumption and CO2 Emissions

Increased energy consumption has lead to higher CO2 emissions.

The concentration increased much more dramatically since about 1880

This is the dawn of the fossil fuel-powered global industrialization

Atmospheric CO2 is one of the factors of global warming

Kyoto Protocol and the EU Trading CO2 Scheme are the example of effort by many countries throughout the world to reduce CO2 emissions

*

CO2 concentration in the atmosphere,

1000-2000

Source: Carbon Dioxide Information Analysis Center

P6.1 Energy consumption vs. CO2 emissions

World energy consumption and trends

(Year 1970-2025)

World carbon dioxide emission by fuel type (Year 1970-2025)

From the graph, carbon dioxide emissions are caused mostly by fossil fuels use The increasing of renewable energy and the efficient use of fossil fuel are very important in

the future for improving significantly our atmosphere condition

P6.2 Increase in Global Temperature

Note the increase in temperature since the dawn of the industrialization

The pattern is expected to continue as developing countries join the fray

Since the last 20 years, many experts have dedicated their time to seek a clear understanding of how energy consumption especially fossil fuel, could cause global climate change

Average Global Surface Temperature Deviation

1855-2000

Source: Carbon Dioxide Information Analysis Center

P6.2.1 Developing Countries Affecting CO2 Emissions

World Carbon Dioxide Emission from the Consumption and Flaring of Fossil Fuels,

1980 and 2004

Developing countries especially in Asia region have the highest contribution in world CO2

emission due to their rapid activity of industrialization Most of the regions throughout the world except Eurasia have the increase of CO2

emission between 1980 and 2004

0

2,000

4,000

6,000

8,000

10,000

12,000

Region

1980

2004

North

America

Central

&South

America

Europe Eurasia Middle

East

Africa Asia &

Oceania

CO

2(M

illio

n M

etr

ic T

ons)

0

2,000

4,000

6,000

8,000

10,000

12,000

Region

1980

2004

North

America

Central

&South

America

Europe Eurasia Middle

East

Africa Asia &

Oceania

CO

2(M

illio

n M

etr

ic T

ons)

S.7 World Price Tag

Real oil and gas price in from 1976-2005 in USD

World energy resources are available well into the future generation at a price.

Opportunities for research, development, market availability depend very much on both the local government and world policies and implementation.

See the detail

P7.1 Detail of World Price Tag

International gas prices increased dramatically in late 2005 and early 2006, which was the highest in history

Oil prices are recorded high in current dollars, but below the peak during 1980’s when adjusted for inflation

The high prices of fossil fuel cause the increasing of awareness in promoting energy conservation, energy efficiency efforts and alternative energy sources become more important than before

The possibility of continuous price increase is raising due to the concern over the adverse global economic impacts

The countries that involve in major trading of fossil fuel face difficulty to achieve sustainable development status due to the changes price of fossil fuel in market

S.8 Summary

Energy consumption is expected to continue the current increasing pattern along with the economic growth of developing countries

There is an uneven distribution of energy production and consumption among countries and sectors within.

CO2 emissions and global warming are closely related to energy consumption.

Environmental concerns, economic instability, and political conflicts will surely affect energy demand and price.

P8.1 This you must know

TRUE/FALSE Questions:

1. Petroleum products are obtained from petroleum through distillation 2. The amount of heat required to raise the temperature of one pound of water by one

degree Celcius(C)

3. Energy resources are in abundance, it is the access to them that is limited 4. OPEC is an organization consisting of oil-producing countries from the Middle East 5. The energy demand for any country is the same at different times of the year 6. The price of fuel influence the public in efficient energy use 7. Energy resources are in abundance but the price may be unaffordable 8. Rapid industrialization in parts of the world caused the depletion of fossil fuel 9. 3%-5% of today’s energy use come from biomass energy 10. The “energy crisis” occurred in the 19780s

P8.2 Open-ended Questions

1. Select a particular fuel type and investigate some major uses of it and discuss the

implication of the scarcity of that fuel 2. Identify an energy producing country (liquid/solid/gas) and obtain data on its energy

production and consumption over a period of years. Discuss the country’s dependence/independence of energy over the next 10 years.

3. Combine the energy production and energy consumption for the United States and compare that with one from a developing oil-producing (or coal, or natural gas) country