1.4 Case studies

Question 1

Describe OPEC

Answer 1

• Organization of the Petroleum Exporting Countries
• A permanent intergovernmental organisation of 13 oil-exporting countries developing nations
• It aims to protect the interests of the member countries, stabilise oil prices, ensure a sufficient supply of oil
• It has the power to significantly affect the prices by increasing or decreasing production

Question 2

What proportion of the world’s fossil fuel resources are owned by OPEC members?

Answer 2

• It has around 78% of the world’s oil reserves
• It produces around 45% of the world’s crude oil and 15% of natural gas

Question 3

Describe the 1973 OPEC oil embargo

Answer 3

• oil used as a political weapon against Israel supporting countries
• OPEC countries in the Middle East reduced production by 5% per month until Israel withdrew
• did not consult with Western powers that were large buyers
• OPEC countries make so much money that it was not a huge economic loss
• Big impact on USA as 5-6% of its daily fuel demand needs to be imported

Question 4

Describe Gazprom

Answer 4

• The world’s largest gas producer and Russia’s biggest company, with a market value of $160bn
• The company controls ⅓ of the world’s gas reserves and accounts for a 5th of global production
• Supplies a 5th of Europe’s gas needs
• Established in 1992 when the former ministry of Gas was reorganised
• The government still owns 50% of shares in Gazprom

Question 5

Describe the history of tensions between Russia and Ukraine

Answer 5

• Tensions between Russia and Ukraine have been high since 2009, when pro-western forces won control of the government over a Moscow ally.
• Russia also opposes Ukraine’s desire to join NATO and the EU
• They had previously shut the gas off to Ukraine twice
• Russia cut gas supplies to Ukraine on New Year’s Day 2009, saying it would pump only enough for customers further down the pipeline
• Ukraine and Russia faced negotiations over the renewal of gas supply contracts every year, but by midnight on 31 December 2008 they has failed to agree on the price Kiev should pay in 2009

Question 6

Why did Russia cut off gas to Ukraine in 2009?

Answer 6

• The two countries also failed to agree on a price Russia would pay Ukraine for gas transit in Europe
• There were also claims that Ukraine had stolen gas, but they claimed to have already paid fines for that

Question 7

How was the 2009 Ukraine Russia gas embargo resolved?

Answer 7

• On 17 January 2009, Russia held an international gas conference in Moscow. Early on 18 January 2009, after 5 hours of talks, Putin and Tymoshenko reached a deal to restore gas supplies to Europe and Ukraine
• Gas supplies restarted on 20 January 2009, and were fully restored on 21 January

Question 8

Changes in the UK energy mix

Answer 8

• Downward trend in energy use since 2000
• Large reductions in gas, oil and coal use
• UK coal use in 2014 fell to levels last seen during the industrial revolution
• Fossil fuels were 85% of energy min in 2014 - compared to 98% in 1965
• UK relies on fossil fuels for 60% of electricity
• Renewables had a growing share of UK energy use, reaching 7% of the total in 2014

Question 9

Changes to UK energy use

Answer 9

• Energy use for transport increasing - by 2019 it was responsible for more than a quarter of the UK’s emissions
• Homes and industry are both trending downwards, though domestic energy use varies annually depending on the weather

Question 10

Changes to UK energy use

Answer 10

• Energy use for transport increasing - by 2019 it was responsible for more than a quarter of the UK’s emissions
• Homes and industry are both trending downwards, though domestic energy use varies annually depending on the weather

Question 11

Changes to UK greenhouse gas emissions

Answer 11

• Uk’s greenhouse gas emissions in 2020 were 51% below 1990 levels - halfway to net zero
• The Uk went without coal power on 180 days in 2020
• Uk renewables generated more electricity than fossil fuels for the first time in 2020
• The average Uk resident’s emissions are now roughly in line with the global average

Question 12

Reasons for changes in the UK energy mix

Answer 12

• In the 1990s, industrial processes released powerful greenhouse gases with limited controls. Methane leaked from gas fields, landfill sites and coal mines
• The recent increase in transport energy use is a combination of a growing economy, the rise of cheap short-haul air travel and falling oil prices
• Warm temperatures meaning less domestic energy consumption
• Improvements in infrastructure for renewable energy - expanded capacity of wind farms, solar parks and bioenergy plants
• Cleaner manufacturing and waste industries
• Oil demand dell by 18% during covid

Question 13

Describe the location of Alberta Tar Sands

Answer 13

• Located in western Canada
• Bordering British Columbia
• Athabasca is located in the central north of Alberta

Question 14

How much oil is stored in the Alberta tar sands?

Answer 14

• 3rd largest deposit in the world next to Venezuela and Saudi Arabia
• 11% of the world’s reserve

Question 15

Impacts of extracting from the Alberta tar sands

Answer 15

• Produces 3x higher emissions than conventional oil
• Contaminated water is created
• Massive loss of forest
• Water can pollute fish + birds
• An increase in illness of the people living near the Athabasca river
• Through responsible development, advancement of technology and significant investment, the government of Alberta seeks to enhance Alberta’s role as a world-leading energy provider

Question 16

Pros of extracting from the Alberta Tar sands

Answer 16

• Very large supply - second largest oil field in the world
• Economically recoverable at today’s oil prices
• Will help keep oil prices relatively low
• Enormous growth potential, less than 5% has been produced
• Big economic driver in Alberta
• Stable source country
• GHG emissions could potentially be minimised

Question 17

Cons of extracting from the Alberta tar sands

Answer 17

• Enormous GHG emissions, oil sands are already Canada’s largest source of CO2 emissions
• Alberta, with only 10% of the population, emits the most GHG emissions of any province
• Large amounts of water required
• Water pollution, roughly 3 million gallon of toxic run off per day, 50 square miles now covered in toxic pools
• Destructive to major boreal forest, an important carbon sink
• Widespread habitat destruction, both on land and water
• Destructive to ancestral lands
• Requires expensive and risky pipeline to reach faraway markets

Question 18

Describe the increase in use of biofuels in Brazil

Answer 18

• Brazil took action in the 1970s to diversify its energy sources in order to combat concerns about its energy security.
• It has since invested in alternative energy sources, initially in hydroelectricity and more recently in biofuels.
• today, 4% of its energy comes from renewable sources,
• approx 90% of new passenger vehicles sold in Brazil contain flex-fuel engines that work using any combination of petrol and sugar cane ethanol.
• This has led to a significant reduction in the country’s carbon dioxide emissions.

Question 19

Impacts of biofuel production in Brazil

Answer 19

• Brazil is now the world’s largest producer of sugar cane and has also become the leading exporter of sugar and ethanol.
• Since 2003 the area planted with sugar cane has increased significantly and is set to double by 2018.
• displacement of other types of agriculture, particularly cattle pasture.
• The knock-on effect has been to create a need for replacement pastures.
• This has resulted in the large-scale clearance of the tropical rainforest
• This deforestation is, in effect, now cancelling out the reduction in carbon dioxide emissions related to the increasing use of ethanol.

Question 20

How much deforestation has occurred in Madgascar since 1950?

Answer 20

• Before 1950 Madagascar had 11.6million hectares of tropical rainforest
• By 1985, reduced to 3.8million hectares, a loss of two thirds

Question 21

Reasons for increasing deforestation in Madagascar

Answer 21

• Growing international demand
• Expanding population
• Debt repayments have meant that the government encouraged farming of cash crops

Question 22

Impacts of increased deforestation in Madagascar

Answer 22

• As rainforests disappear, CO2 emissions increase
• Deforestation has major impact on size of terrestrial carbon store
• Impacts on rivers, landscapes, and soil health
• Decreased infiltration, and increased runoff and erosion increase flood risk
• Waters of rivers turned red due to soil erosion
• Soil erosion now exceeds 400 tonnes per hectare per year in some areas
• Coastal waterways clogged with sediment due to logging of rainforests and mangroves