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Background
Russia and Ukraine are major players in the global energy markets, in fact Russia is one of the world’s top three crude oil producers. It is the second largest producer of natural gas in the world with largest gas reserves, making it the largest gas and oil exporter as well. Hence, Russia’s unprovoked invasion of Ukraine has disrupted the global energy situation which was already volatile due to post-lockdown energy demand exceeding supply.[1] Oil and gas prices have reached their highest levels in almost a decade as a result of this geopolitical turmoil, prompting several nations to reevaluate their energy supply and policies. The impact was greatest between December 2021 and June 2022 as energy costs increased by 58.3%. Since the invasion, oil and gas were continued to be transported from Russia to Europe, even through the pipelines that cross Ukraine.[2] This energy crisis has significantly benefitted Russia and other oil and gas producing states.
This essay endeavors to analyze the impact of this geopolitical conflict on global energy security, followed by a brief overview on how the concerned countries are moving away from their dependence on Russia. In the end, it shall also cover some future possibilities, recommendations, and its implications towards the clean energy goals.
The European Union, United States and other parties have imposed economic sanctions on Russia, along with their plans to gradually wean themselves off of Russia’s fossil fuels. However, despite the fact that Russia is bombarding Ukraine with bombs, its gas and oil are still being exported to Western countries that have denounced the invasion.
Impact on Europe
The European Union imports 90% of its natural gas needs, 41% of which originates from Russia. The EU also imports 46% of its coal and 27% of its oil from Russia. Since the start of the war in Ukraine, the supply of Russian oil and gas entering Europe has risen sharply. In March alone, Europe sent over €22 billion (US$24 billion) to Russia for oil and gas.[3] Since the beginning of April, Russia’s imports have costed Europe at least €1 billion daily. Physical gas supplies were only cut off in late June as a result of Russia’s decision to reject supplies to nations like Finland, which has asked for NATO membership, and to Bulgaria and Poland, both of which refuse to pay in Roubles.
In each of these cases, the little supplies that were depleted were rapidly restored. But on July 11, Russia also shut down the important NordStream 1 pipeline for scheduled repair, potentially cutting off Germany’s supply by as much as 60%. If Russia chooses not to revive the pipeline, it will be more challenging to replace those supplies. Berlin’s government has accelerated the execution of the next stage of its emergency response plan due to the risk. But as nations put their plans into action to diversify their energy supplies and lessen the influx of Russian oil and gas, things may alter in the upcoming months. By the end of the year, Poland, for instance, will stop importing any Russian coal, gas, or oil, while Austria and Germany are building the framework for gas rationing. Germany, which imports more than one-third of its oil and more than half of its natural gas and coal, is one country where the energy problem is particularly severe.
Germany’s immediate issue is to lessen its dependence on natural gas in the electricity generation sector, a task made more difficult by the nation’s decision to abandon nuclear energy, as its final three nuclear power plants are set to shut down this year. Following February 24, price hikes of 60% for oil and a startling 400% for natural gas have been seen in Europe over the previous year because of the anticipation that western economic sanctions and Russian reprisal would restrict trade and ignite a fierce competition for existing supplies.[4] Oil supplies can still be managed because Russian crude oil shipments can still reach receptive customers in Asia and Africa, but manipulating the natural gas market is more difficult because it is dependent on specific infrastructure like liquefaction plants and pipelines. Putin is keen to take advantage of the geopolitical weakness that Europe’s energy security challenge presents.
Impact on United States
The US imports very little energy from Russia and is a net exporter of fossil fuels. Therefore, the US’s decision to restrict energy imports from Russia has no effect on the country’s energy security.[5]
Disruption of Supply Chain
The immediate disruption of the logistical supply chains of oil and gas to Europe as a result of the damage of infrastructure in both Russia and Ukraine is more significant than in Russia.[6] The energy supply has been disrupted by Russia’s siege of Ukraine’s largest cities, bombardment of the Zaporizhzhya nuclear power plant, and intentional destruction of vital assets. Following the battle, shipping products in the Black Sea region has greatly increased in difficulty and cost, particularly as a result of the shutdown of all Ukrainian ports.
Impact on other Global Players
Given that the majority of the world’s energy needs—nearly 50% in 2022—will be met by oil and gas, the supply gap poses a challenge to the international community. [7]Oil, gas, and other fossil fuel prices have increased at a never-before-seen rate as a result of the war’s interruption of the energy supply. As of July 5, 2022, the cost of a barrel of oil in the OPEC has risen to US$114.3. Also rising from US$ 2.55 in January 2022 to US$ 3.27 in July 2022 was the price of gas globally.[8] Energy costs are a significant factor to the cost-of-living crisis and inflation, and the economic downturn since consumers in Europe and other countries are paying more as worldwide prices have increased.
Alternatives to reduce the dependence on Russia
To negotiate the necessary purchases, the European Commission established a single buyer mechanism and reached an agreement with the US to import 15 bcm from the US daily. Germany abandoned its approval of a recently constructed gas pipeline from Russia on February 22 and is instead preparing to import liquefied natural gas from nations like Qatar and the United States. While Italy, the Netherlands, and the UK are all stepping up their efforts to construct wind power, Belgium is reconsidering its decision to abandon nuclear power.
By 2027, the EU has promised to stop importing gas from Russia. To achieve this goal, the EU can either expand pipeline imports from non-Russian gas suppliers like Azerbaijan or restart certain coal power plants. The latter would indicate that ‘Fit for 55”s goals of achieving net zero would temporarily be postponed.[9] The production of fertilizer plants across Europe has been reported to be reduced, and 31 nations have consented to release oil from respective strategic reserves.
By increasing efficiency, some gas can be avoided, while other gas can be replaced by increasing the production of renewable energy. However, even taking into account these options to replace supply and lessen demand, there will still be a sizable difference between the two. The present market worries stem from this. The IEA has been keeping an eye on the effects of Russia’s invasion of Ukraine on the world energy markets ever since the conflict began. In order to ease market pressure and send a clear message that there won’t be a shortage of supplies as a result of Russia’s invasion, member nations of the International Energy Agency (IEA) have agreed to take the extraordinary step of releasing oil from their emergency reserves on two separate occasions.[10] One of the releases, which also included more barrels from the United States Strategic Petroleum Reserve, was the biggest stock release in IEA history.
Effects on the Global Economy and Geopolitical Environment
• Inflation: After a decade of extremely low inflation, the annual inflation rate in the 27 EU member states reached 9.8 percent in July, the highest level in the previous 25 years. Wholesale gas prices were approximately 200% higher before the invasion of Ukraine; benchmark gas prices are currently trading at over €250 per MWh and reached a peak of over €340 per MWh in July, more than 10 times higher than a year ago. [11]Similar patterns in wholesale electricity pricing had been seen.
• Recession and the impact on forex: After Russia stopped supplying gas through its main pipeline to Europe, the euro fell to a 20-year low below USD 0.99. An economy already dealing with a rise in inflation risks suffering more harm due to the euro’s weakening against the US dollar.
• Financial repercussions and potential reputational consequences: Western businesses are under increasing pressure to sever their ties with Russia. Following the invasion of Ukraine, a number of businesses made a variety of declarations about ending contracts and divesting. For these businesses, the financial effects are significant.
• Higher shipping costs: The cost of transporting crude from Russia is rising as a result of sanctions placed on the nation, which increase the hazards associated with moving cargo along such routes. Meanwhile, the cost of other passages is rising as a result of a rush to find substitute sources.
• Changes in energy policy, including the growth of renewable energy sources and the energy mix: Especially in those nations that are strongly dependent on Russia, where a new strategy is required, the current energy crisis is quickening the energy transition and necessitating additional investment in renewables. By the end of 2022 and to zero by the end of 2030, the EU has set a goal to reduce its gas imports by two-thirds through REPower EU.[12]
Opportunities for other countries
Energy exports from Russia appear to be shifting to the East and South, two regions with expanding economies. If the price is right, this energy swing might benefit China and India. Gas reserves have been found from the Eastern Mediterranean to Central Asia, but it will take years to develop them and the infrastructure needed to commercialize them.[13]
Way forward
A geopolitical event as significant as the conflict between Russia and Ukraine has had an indirect and direct impact on the world’s energy security situation, particularly in the shifting dynamics of the energy supply and pricing due to market volatility.
The necessity for nations to achieve energy independence while protecting the environment makes the path to achieving global energy security a double-edged sword. In order to lessen Europe’s dependency on Russian energy imports, the International Energy Agency offers a number of recommendations. These recommendations can be used by other nations as well to ensure their own energy security. They include speeding up solar and wind energy projects, making the most of nuclear and bioenergy, and stepping up efforts to decarbonize energy sources. The crisis has highlighted the urgent need for nations to expand the supply of renewable energy and create alternative sustainable energy sources. The effects of Russia’s attack on Ukraine will take time to manifest; the only reliable prediction for the future is uncertainty and increased price volatility.
[1] @cer_eu. “The Impact of the Ukraine War on Global Energy Markets | Centre for European Reform.” The Impact of the Ukraine War on Global Energy Markets, 28 Sept. 2022, www.cer.eu/insights/impact-ukraine-war-global-energy-markets#:~:text=Oil%20and%20gas%20have%20continued,other%20oil%20and%20gas%20producers.
[2] “Russia-Ukraine Conflict and Its Effects on Global Energy Security &Ndash; KIPPRA.” Russia-Ukraine Conflict and Its Effects on Global Energy Security &Ndash; KIPPRA, 16 Aug. 2022, kippra.or.ke/russia-ukraine-conflict-and-its-effects-on-global-energy-security.
[3] “What the War in Ukraine Means for Energy, Climate and Food.” What the War in Ukraine Means for Energy, Climate and Food, 5 Apr. 2022, www.nature.com/articles/d41586-022-00969-9.
[4] “What the War in Ukraine Means for Energy, Climate and Food.” What the War in Ukraine Means for Energy, Climate and Food, 5 Apr. 2022, www.nature.com/articles/d41586-022-00969-9.
[5] “How The Russia/Ukraine Crisis Impacts Energy Industry?” KPMG, home.kpmg/fr/fr/blogs/home/posts/2022/03/how-the-russia-ukraine-crisis-impacts-energy-industry.html. Accessed 9 Oct. 2022.
[6] “Russia-Ukraine Conflict and Its Effects on Global Energy Security &Ndash; KIPPRA.” Russia-Ukraine Conflict and Its Effects on Global Energy Security &Ndash; KIPPRA, 16 Aug. 2022, kippra.or.ke/russia-ukraine-conflict-and-its-effects-on-global-energy-security.
[7] “Russia-Ukraine Conflict and Its Effects on Global Energy Security &Ndash; KIPPRA.” Russia-Ukraine Conflict and Its Effects on Global Energy Security &Ndash; KIPPRA, 16 Aug. 2022, kippra.or.ke/russia-ukraine-conflict-and-its-effects-on-global-energy-security.
[8] @cer_eu. “The Impact of the Ukraine War on Global Energy Markets | Centre for European Reform.” The Impact of the Ukraine War on Global Energy Markets, 28 Sept. 2022, www.cer.eu/insights/impact-ukraine-war-global-energy-markets#:~:text=Oil%20and%20gas%20have%20continued,other%20oil%20and%20gas%20producers.
[9] “What the War in Ukraine Means for Energy, Climate and Food.” What the War in Ukraine Means for Energy, Climate and Food, 5 Apr. 2022, www.nature.com/articles/d41586-022-00969-9.
[10] “Russia’s War on Ukraine – Topics – IEA.” Russia’s War on Ukraine – Topics – IEA, 1 Mar. 2022, www.iea.org/topics/russia-s-war-on-ukraine.
[11] “How The Russia/Ukraine Crisis Impacts Energy Industry?” KPMG, home.kpmg/fr/fr/blogs/home/posts/2022/03/how-the-russia-ukraine-crisis-impacts-energy-industry.html. Accessed 9 Oct. 2022.
[12] “How The Russia/Ukraine Crisis Impacts Energy Industry?” KPMG, home.kpmg/fr/fr/blogs/home/posts/2022/03/how-the-russia-ukraine-crisis-impacts-energy-industry.html. Accessed 9 Oct. 2022.
[13] Nevitt, Mark, et al. “Climate Security, Energy Security, and the Russia-Ukraine War.” Just Security, 11 May 2022, www.justsecurity.org/81440/climate-security-energy-security-and-the-russia-ukraine-war.
[14] “What the War in Ukraine Means for Energy, Climate and Food.” What the War in Ukraine Means for Energy, Climate and Food, 5 Apr. 2022, www.nature.com/articles/d41586-022-00969-9.
Nigerian Oil crisis and its implications on businesses
Renewable and Energy Transition: Towards a Stronger Future
Megha Saravanan is a Defence, Aviation, and Geopolitics enthusiast, currently pursuing her Masters in Diplomacy, Law, and Business from Jindal School of International Affairs. She is an Aerospace Engineer by training and aims to specialize in Security Studies.
Nigerian Oil crisis and its implications on businesses
What to expect in Russia’s winter offensive in Ukraine
Close ties between Pakistan and the EU
U.S. Asks More Nations to Become Targets of Russian and Chinese Missiles
Germany amidst Russia-Ukraine conflict: The Dilemma of Energy, Environment and Politics
Analysis of U.S. Ability to Counter the Russian Threat in the Arctic
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The oil rich African nation of Nigeria has 218 million inhabitants. Oil was first discovered in Nigeria in 1956. The country has proven crude oil reserves of 37,050 million barrels which supports roughly 2/3rd of the Nigerian economy. Every day, Nigerian pipelines are broken into to steal more than 300,000 barrels of oil. Crude oil theft includes all illicit actions such as unlawful bunkering, pipeline damage, syphoning, smuggling, lifting without authorization, processing crude oil, and processing petroleum products. (SOREMI, 2019) This illegal activity has increased since 2012 when the government of Nigeria gave amnesty to local rebels in the delta region.
Background
Oil theft began in the late 1970s when militant youths in the Niger Delta waged war against the Nigerian government and multinational corporations (MNCs) for resource control. The emergence of youth militancy in the Niger Delta has been linked to nonviolent struggles against the Niger region’s poor living conditions and the reduction of the derivation fund from 50% of oil rents and royalties to 1.5% that spread throughout the oil-producing communities in the late 1970s through the 1980s. Lack of developmental activities and employment in the region led to violent escalation of the political agitation of the people resulting in oil theft.
Rampant corruption within the military and the political structure of Nigeria further exacerbated the issue of oil theft. During Nigeria’s military regime, corrupt officials were involved in oil theft. When democratic rule was restored in 1999, those in positions of authority got unofficially and indirectly involved, as the revenues generated from oil theft could be redirected to finance election campaigns and arrange for targeted assassinations, purchasing votes, hiring thugs to obstruct voting in order to stay in power. Oil theft provides funding for the maintenance of the long-standing rentier state.
Current situation
At least 150,000 barrels of crude oil are stolen globally each day. Out of these, one in four barrels of crude oil are sourced from the Niger Delta. Bonny terminal, the largest producer of crude oil in the Nigeria is losing 95% of its produce in oil theft. Mele Kyari, the managing director of Nigerian National Petroleum Corporation pointed to the participation of churches and mosques in facilitating the storage of stolen fuel. (Economic Confidential , 2019)
Chinese Oil businesses in Nigeria lose more than 3 billion Yuan annually. The theft of crude oil cost Daqing Oil Field 7 billion Yuan per year, while Royal Dutch Shell yearly lost 7 billion dollars in Nigeria alone. In June 2022, two of the largest multination oil firms, Shell and ExxonMobil decided to sell off their production units due to losses incurred.
It is estimated that there are at least 295 illegal connections in this 200km long pipeline draining away the country’s wealth. Even though oil firms have implemented a variety of methods and techniques to detect the illegal taps, the oil pipeline are so lengthy that it is hard to monitor and supervise the actual situation in a timely manner. As per reports published in September 2022, Nigeria loses $700 million every month due to oil theft. Nigeria lost $1 billion in revenue in the first quarter of 2022, as per the Nigerian Upstream Petroleum Regulatory Commission’s chairman, Gbenga Komolafe. (Adesina, 2022)
The Nigerian government even set up a technical committee on November 17th, 2019, to look and identify the key suspects involved in the oil theft under the leadership of Roselyn Coyne some action seems to have been started yet no arrests have been made. The committee in its report also identified 12 key players in this whole problem namely oil refineries, fertilizer companies, illegal artisanal factories, and refineries. In August 2022, the Nigerian government launched an online portal to monitor oil theft and made a commitment to reward informants. They also hired an ex-militant who had a history of oil theft for pipeline surveillance.
Geo political angle
Oil theft-related violence and instability are quickly expanding to regions outside the Niger Delta, to outside its national borders. Youths from surrounding regions perceive oil theft as very lucrative. They are typically provided with arms to attack oil and non-oil facilities to serve the financial interest of their financer. Typically, the same individuals involved in these activities, use their given weapons to incite violence in various parts of the country. They are instrumental in facilitating the longevity of corrupt political regimes and are involved in attacking political opponents or rigging elections. In this way, they are a threat to Nigeria’s national security.
A large portion of oil theft occurs on the high seas and at oil export terminals, which has led to an increase in marine piracy in the sub-region. The sea pirates have two functions: they protect oil vessels transporting illicit crude oil as non-state security agents, and they act as agents for offshore oil workers and assault oil vessels carrying legal crude oil throughout the high seas with the intention of stealing the oil. The theft of oil benefits the sea pirates as well, which leads to an increase in their operations in the waterways and hinders the free flow of commodities and services in the sub-region. There is continual violence and aggression in the waterways of West Africa as the pirate’s attack oil investors and their assets. The peace and security of the West African States, particularly those along the coasts where the oil routes to Europe, America, and Asia, are highly vulnerable to the violence to oil theft and sea piracy. The arrival of Boko Haram and ISWA also a pose a considerable threat to the region, however most of Nigeria’s military capacity has been directed towards policing and preventing oil theft. This too, has long term security implications. (Sayne, 2013)
Oil theft in the country has had no effect on the diplomatic relations of Nigeria as the conflict is seen to be an internal conflict. Former US ambassador to Nigeria John Campbell, opined that external pressure cannot bring about a favorable change to the situation as oil theft has for long been deeply engrained in the Nigerian polity. Oil theft rings have never been the subject of a significant investigation or prosecution by foreign police or prosecutors. Although Interpol maintains a regional office in Abidjan and created an anti-piracy task force in 2008, the organization has not carried out any targeted operations against crude oil theft. There is no internal subject matter expertise at the UNODC (UN Office on Drugs and Crime). Outside of the realm of law enforcement, business experts and civic society typically disregard the issue.
Business Implications
Pipeline sabotage and related crude oil theft have compelled certain businesses to halt production and/or sell off their assets. Because they no longer see any development potential in their land and shallow offshore assets, Shell, Chevron, Mobil, and other international oil corporations (IOC) are selling them off. These firms blame operational difficulty —the substantial discrepancy between what they generate at the wellhead and output at terminals. This variation in crude output at terminals, together with the expense of environmental cleanup and other security issues, serve as a deterrent to fresh investment in the industry and the nation. The loss of investor interest and trust in the oil and gas sector has been greatly impacted by persistent crude oil theft and pipeline damage. This helps to explain why Nigeria isn’t as appealing as it once was for foreign direct investment.
Nigeria’s budgetary stability is at risk since illicit bunkering and oil theft consume up to 400,000 barrels of the nation’s daily oil production. Losses to oil thieves and government leaks, may surpass official collections of oil money into the Nigerian treasury, even as the current wave of oil theft wrecks the country’s economy. As of September 2022, Nigeria has the 25th highest inflation rate in the world, with rising food and energy costs serving as the primary drivers of price increases. The value of the Naira has decreased by about 95% in only five years, crossing to N705/$ on the black market. The decline in Nigeria’s revenue can be linked to this loss of currency value. All these factors together make it very difficult for businesses to survive as the constantly risk losing their investments.
Analysis
Economic: In Nigeria, unemployment rates are higher everywhere outside the oil industry. The country is highly dependent on the sale of crude oil. Oil exports account for 90% of foreign exchange profits, 95% of export revenues, and 80% of federal government revenue. The oil sector accounts for more than 70% of Nigeria’s government revenue under the rentier state system, other businesses, particularly in the agricultural sector, which was the country’s primary source of income until recent, now provides very little money and jobs.
Social: Warlords in the Niger Delta frequently exploit oil theft as a means of obtaining weapons as well as of recruiting and training warriors in sustained combat, which is a very lengthy struggle between military and civilians. These purchases and augmentations give the “criminal armed” organizations the tools they need to keep up their involvement in the illicit activities. Young adults may decide to leave school and join “criminal armed” gangs in order to get wealthy through oil theft, which might result in increasing school drop-outs. Due to the possibility that the young may die in conflicts with the military or other criminal organizations or possibly wind up in prison, this might result in a loss of personnel needed for the community’s progress. Due to conflicts between the military and “criminal armed” groups, violence inside the criminal organizations, and decreased household income as a result of poisoned farmlands and waterways, the Niger Delta has experienced internal population displacement. Many families have left their towns as a result of the uprooting, either to neighboring riverine oil-producing regions in pursuit of rich fishing grounds or to metropolitan areas all throughout the nation to live in slums and find low-paying employment.
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One of the key UN programs under the SDGs is the energy transition and management of the current global energy crisis. The crisis itself describes a precarious, dangerous and serious situation of one kind or another. While energy means the ability to do the job that may be in the form of heat, light, mechanical, chemical, and electromagnetic. Therefore, the energy crisis is a dangerous condition that occurs in energy on earth, especially where there is a crisis. People need sunlight to fertilize plants, water, energy to irrigate rice fields, oil and coal to produce fuel and electricity. In fact, 80% of all energy consumed by humans comes from fossil energy sources. As a global energy resource, fossil fuel reserves can be depleted. This could happen because the speed of nature’s production of oil is not proportional to the speed of the population that will increase the number of orders. Coal, oil, and natural gas are energy resources that take a long time to develop.
Global Energy Transition Program.
Energy is the golden thread that links all the SDGs’ development objectives. Modern energy services are inseparable from the fight against poverty, food safety, public health and quality education. Furthermore, energy is also the key to sustainable industrialization, healthier and more effective living. Today, the world is still a long way from realizing the SDGs’ vision of affordable, clean energy for all.
In the Sustainable Development Goals (SDGs) agreed by world leaders, including Indonesia, clean and affordable energy is the 7th priority after gender equality and clean water. It’s clean, renewable energy. This clean energy means energy that is produced with only a few negative impacts on social, cultural, health and environmental aspects, this clean energy is also referred to as renewable energy which is the energy that comes from nature and can be renewed in a short time, much less shorter than fossil energy.
Understand the transitions in renewables and energy.
There are two terms in the energy we use today: new and renewable energy, which is sometimes mixed up. In fact, new and renewable energy (renewable energy and energy transition) are actually two different kinds of energy. New energy means all forms of energy derived from or resulting from new technologies for the treatment of non-renewable energy sources. During this time, renewable energy is energy that originates or is produced from renewable energy sources. New energy is an energy which has never existed and which is produced by technology, such as coal and hydrogen. Renewable energy is a long-standing type of energy that has not been optimally used and its sources are limitless. For example, solar energy, wind, waves, geothermal energy, water movement.
Globally, around 1 billion people or 13% of the world’s population lives without access to electricity, but around 30% of the world’s population still cooks using traditional fuels which have a direct impact on health. Although this number is declining each year, it is unlikely that we will be able to meet the clean and affordable energy goal by 2030. Essentially, having access to energy means humans need to be close to this source of energy, like electricity. It is estimated that over 60% of the world’s inhabitants will have access to electrical energy from renewable sources. However, this global access to energy will be empty rhetoric until decision makers invest significantly in a centralized renewable energy sector.
Clean and renewable energy possibilities and constraints
Several emergencies speed up the transition to renewable energy, in particular
First, energy decentralization. This is an important effort to try to find a solution to the problem of access to electricity in various regions, especially in the country.
Secondly, greenhouse gases are able to absorb infrared radiation from the Earth’s surface and return it to the surface. This raises the temperature on the surface of the earth.
Third, climate change translates into long-term changes in average weather conditions that determine the local, regional and global climate. Climate change directly impacts the clean energy produced on earth.
At least globally there are three things that are problematic in implementing this renewable energy. Indonesian President Jokowidodo said that in the energy transition, the first challenge has to do with access to clean energy. Where people are now confronted with the fact that not everyone in the world has access to affordable, reliable, sustainable and modern energy. In addition, the second challenge has to do with financing. The transition process requires huge amounts of money and new projects, and that requires new foreign investment. The third challenge has to do with support for research and technology. In the energy transition, the role of science and technology is needed to produce new technologies that are more efficient and competitive, so that they can reduce costs and increase added value in new, renewable energy industrial products, and human resources that are ready to compete are needed.
The Paris Agreement and the energy transition: what is the real plan?
Renewables and the energy transition are part of efforts to limit the global average temperature rise to well below 2°C. This energy transition is part of the main program of the Paris Agreement, which is still being drawn up. And the good news is that renewable energy is developing, with a third of the world’s electricity capacity in 2018 based on renewable energy. This transition to energy and renewables offers very positive possibilities and is entirely possible. The International Renewable Energy Agency (IRENA) report outlines the potential for emissions to fall to 70% lower than current levels over the next three decades, and even reach net zero no later than 2060. However, in reality, this energy transition program is not something which is easy to do when faced with reality, the need for large funds and human resources and the level of efficiency is still a problem that really hinders current work, at COP 26 then world leaders failed to agree on eliminating the use of coal as an energy source, instead of “eliminating ” changed to “reduce” the use of coal. The COP27 conference, which took place this year, also required difficult negotiations and enormous efforts to reach an agreement on the issue of climate finance.
Energy transition is it easy?
The basic logic is that it is very possible to switch to new and renewable energy, the possible opportunities that have actually been cultivated gradually, starting from the transformation of technologies that are more environmentally friendly to the discovery of new technologies for energy, it is very clear that this effort can be achieved within 2030-2060 forward. It’s just that if we look at the current condition, these programs for energy transfer are still being ridden with temporary and destructive political and economic interests, human resources are still uneven and there is a high dependence on the old energy use of fossil fuels. Switching to new and renewable energy is a real commitment and very possible, but it takes time and a strong commitment to overcome the existing obstacles.
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The chief purpose of the Western sanctions against Russia, after Russia invaded Ukraine on 24 February 2022, has been to stop Russia’s sales of energy — mainly pipelined Russian gas — to Europe. Russia had been the top supplier of energy to Europe, because its energy was by far the cheapest in Europe. It was the least expensive to produce and sell to Europe, largely because it was pipelined into Europe whereas other suppliers needed to containerize and ship their gas and oil to Europe — which is far costlier to do. In all of Europe, virtually the only energy that is pipelined comes from Russia. Therefore, the sanctions that prohibited Russian energy to be supplied to Europe caused energy-prices in Europe to soar.
However, Western ‘news’-media don’t blame the sanctions for Europe’s soaring energy-prices, because those sanctions come from the U.S. and have the cooperation and participation by European governments. Here are the main ‘causes’ of Europe’s soaring energy-prices according to U.S.-and-allied ‘news’-media (and you will see examples from Western Governments and ‘news’-media there simply by clicking onto each one of these phrases, each one of which is linked):
“Russia’s cutting off the gas to Europe”
“Russia strangling Europe”
“Russia’s energy war”
“Putin’s energy weapon”
So: each of those ‘news’-media is routinely lying to their audience in order to place the blame for Europe’s soaring fuel-prices upon the Government of Russia, instead of upon the Government of America and upon its various vassal-Governments in Europe that constitute together the EU.
In addition to using those lying phrases, U.S.-and-allied ‘news’-media use distractionary and misleading ‘explanations’ of the soaring prices. For example, the American and German-owned Politico ‘news’-site headlined “Why cheap US gas costs a fortune in Europe”, and ‘explained’ that “The liquefied natural gas (LNG) loaded on to tankers at U.S. ports costs nearly four times more on the other side of the Atlantic, largely due to the market disruption caused by a near-total loss of Russian deliveries following the invasion of Ukraine.” What caused that “near-total loss of Russian deliveries” isn’t so much as even discussed in their ‘news-report’, and the word or even concept of “sanction” doesn’t even appear once in the article. That’s how propaganda — NOT news — is done. Their ‘news’-report instead discusses whether the U.S. suppliers, or instead the European middlemen to whom they sell American liquefied natural gas, is to blame, but, of course, all such discussion is distractionary, instead of at all explanatory, of the question “Why cheap US gas costs a fortune in Europe”. This is the way to deceive Europeans into re-electing their politicians who serve U.S. billionaires instead of European consumers.
A comedic, but also extremely informative, documentation of the absurd extent to which U.S.-and-allied Governments and media go in order to pretend that these cut-offs of Europe’s least-costly energy are due to Russia instead of to the U.S. can be seen in the 8-minute video by Matt Orfalea, “Who Blew Up Nord Stream Pipelines? | A Mystery!”
To see some of the many OTHER tricks that U.S.-and-allied ‘news’-media use in order to deceive Europeans to vote for the politicians in these U.S.-vassal-nations (propagandistically called U.S. ‘allies’, instead), I have provided many more examples in my prior “Debunking Lies About the War in Ukraine”. That article, combined with this one, presents a fully documented (in the links) and comprehensive picture of European Governments as serving U.S. billionaires instead of European consumers. If what it says is true — and you can easily decide that for yourself by clicking onto any link anywhere that you doubt what is being alleged there — then you will know that your Government doesn’t care about you, at all, and is instead serving America’s billionaires, at your considerable expense.
In order to keep those U.S.-and-‘allied’ weapons flowing to Ukraine so that America can defeat Russia in the battlefield of Ukraine by using Ukraine’s army instead of America’s soldiers, the lies that have been documented here need to be believed by Europeans — and they are (or at least have been) believed by Europeans. The tricks have been working, thus far.
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Kenya’s economy continued to rebound from the pandemic in 2022 with real gross domestic product (GDP) increasing by 6% year-on-year…
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