Energy and Civilization History of Energy use Sources Historically, the more complex a society becomes, the greater is the energy need. Biological Energy Sources Herbivores utilize food energy from plants. Carnivores including early man consumed the herbivores. All needs were met by using plants and animals as food, tools and fuels. Towards comfort, domesticated animals and plants. Wood - fuel for heating and cooking, extracting metals and shaping tools. Increase in wood use Except for wind and water, fire a main source of energy. Wood used up. Western Europe and NA moved on to coal. By 1880, coal was the primary source of fuel. Other places (India) used animal dung. Fossil fuel / Industrial Revolution Coal was used extensively. The Industrial revolution began in Europe with the invention of machines to manufacture and transport goods. The steam engine converted heat to motion. Large scale mining of coal followed. Predominantly rural areas where goods were manufactured in homes, changed to factory manufacturing, demanding increasing labor and the development of towns. Within 200 years, energy consumption per capita increased 8X. Pollution increased. Although Oil and Gas were used as early as 1000 BC in China, the modern oil industry started in 1859 when Drake drilled in Pennsylvania. Production in 1870 was about 4 MMBO/year. Today it is about 8 MMBO/day, which fulfills about 40% of the need. Early use: Gas flared, Kerosene in lamps, Gasoline in Autos, Grease to lubricate. In 1900 there were 8000 vehicles, in 2000 about 162 MM. Pipelines financed by the government during WW11 and later sold. Later converted to carry natural gas. Present use of gas is to generate electricity, manufacture fertilizer, in light industry and home heating in the U.S. 1 Energy and Economics Societies want constant supply, low cost energy. Allows for rapid development and improved Standard of living. Allow workers to produce more (GNP). Economic growth. In the US, low cost resulted from: pipelines paid for by government, taxes to industry, high consumption. As a consequence of low fuel cost, growth was technology oriented as economic growth proceeded. Immediately following WW11, there was a high demand for consumer goods, which allowed for full employment. Automobile Role Auto manufacture lead to the use of raw materials (natural resources). More auto production lead to more roadway construction. Better roads resulted in higher speeds and more fuel consumption. It’s convenience lead to more demand, to more consumption of raw materials and more fuel. More travel causes more hotels to be built, more employment, etc. Suburbia growth lead to more free time and more demand and changes in life style. Human power was replaced by electric power. Gasoline prices and Government policies Price of gasoline depends on: Cost of purchasing and refining Crude Finding costs of crude Taxes International gasoline market # of stations locally Seasonal demands Unusual events In the US, gasoline costs the consumer about 75% less than in Italy; about 35% less than in France. There are other places where it costs less, example in Venezuela or Nigeria and the Mid East. Use is discouraged by price increase. Taxes on fuel in the US are used for road repair, building, etc. (responsible for 60% of costs). Driven by market forces of supply and demand, these forces vary from the state of local economy to the strategy of the oil companies. Not many petrol stations, but mini marts, which use the gas as a loss header. 2 Growth in the Use of Natural Gas Initially, a waste product. 1943 – pipelines built. By 1970 about 30% of the energy needs, was met by Natural Gas. Use was primarily industrial and Residential. Fertilizer manufacture and power generation. Energy Consumption (How energy is used) Varies widely depending on the country. The energy used in Canada and the US is about 2X that used in Japan or France and 25X that in many countries in Africa. The industrialized countries use energy for Residential/commercial Industrial Transportation. The undeveloped countries use energy primarily in the Residential sector and to develop industry. Residential/commercial Energy use About 30% of the energy in the US as opposed to 75% in India. The pattern of usage determines which conservation method would be most effective. Computers account for 13% of electrical energy use in the US today. Anticipate it will increase to 30%. Industrial Energy use In the US, 30% is used. In others, such as Russia (60%) high usage is a result of inefficient processes. In Spain and Italy, where there is no iron ore reserves, recycling is done at a lower cost with less energy. India is unable to update its equipment to more efficient electrical hearth methods. Transportation Energy use Highest in highly developed countries and negligible in undeveloped areas. In NA, auto plays a dominant role. Consume > 15% of the world’s oil production. Rail and Mass transit transport is more efficient but the government has supported the auto industry while removing support for the mass transit. Electrical Energy Electricity is the largest portion of consumed energy. Most of which is produced from burning fossil fuel. Electricity is easy to transport and uses to which it can be put are varied. The undeveloped nations of the world (80% of the population) use 66% of what is used in the US. Per capita is 25X greater than in less developed nations, 2X as much as in Europe. 3 In developed nations, 25% of electricity is used by industry; in developing nations it is more than 50% (Mexico 55%, S Korea 70%). The Economics and Politics of Energy Use Economic growth results from the availability of inexpensive energy. e.g. the Industrial Revolution accelerated because of the supply of cheap fuel. Productivity increased, and so does economic growth As energy is subsidized, consumption increased. Fuel Economy and Government Policy Government fashions policy that influences how people uses energy. Taxes are : 20% in the US; 35% in Canada; Japan and Europe - 45 to 70% Fuel efficiency - incentive to buy fuel efficient cars. In Europe, road repair and building costs are taken from taxes on Fuel. In the US, only 60% of road work is paid for by gasoline taxes. Europe has taken steps to comply with the Kyoto accord. In the US, the opposite is true. The lowest electricity prices are in the US, Canada and Norway with the most consumption Some low cost electricity comes from Hydropower generation. Electricity Pricing Most countries regulate the Industry, and influence the price. Industrial users pay about 50% of what residential users pay. Higher prices discourage use. Energy Consumption Trends From 1985 to 99, consumption went from 18 to 24 metric tons of oil equivalent/day (oil, natural gas and coal account for 90%). Organization of Economic Cooperation and Development (OECD) countries (25) use more than 50% of the energy used in the world. Consumption rose moderately as economies grew. Energy hungry industries are now moving to the undeveloped countries. In economically advanced areas, consumption is also increasing at a faster rate. Natural gas increased fastest from 1973 to 95 (80%). Demands are expected to increase by about 3X by 2025 in the US, as well as in developing nations. A brief period (1973) of decrease consumption resulted from increase prices. Living standards are tied to consumption (in the past), whereas decreased consumption has been a function of: Prices/ Conservation/ Availability of other energy sources/ User efficiency 4 Political and Economic Factors Two episodes of Political turmoil in the Mid-East (1973 and 1979) lead to reversal in consumption worldwide. Increases in Oil prices lead to conservation Available Energy Sources Oil 37%, Gas 24% and Coal 27%, 12% Nuclear , Hydro, Wind, etc. GLOBAL PERSPECTIVE Curbing Traffic Hong Kong- sensors on cars, commuter hours most expensive. Singapore Sticker required to enter the city during rush hours, except those carrying more than one person. Gothenburg - Cars prohibited from moving from zone to zone. Rome - Traffic banned between 7:30 am and 7:30 pm Tokyo Permanent parking space required before purchase. London – fee required to enter the city. Hybrid Electric cars The internal combustion engine works most efficiently at specific RPMs. Hybrid will provide better fuel economy and less emissions and reduce the dependency on fossil fuels. OPEC Organization of Petroleum Exporting Countries. (13) Control 75% of reserves, 40% of production. In 1973, there was the first oil shortage result of Arab/Israeli war. Price increase by $10./B. Decreasing prices in the 80s due to differences within the OPEC cartel. Prices increase during the 90s. US pressure on OPEC causes decrease. Max price was $147.00/ B Energy Development in China 2nd. Largest consumer. Currently about 10% of the world’s energy. It is a net exporter of coal. High coal use have serious repercussions - environmental. Potential World Petroleum Resources Oil is a non renewable resource. Still to be discovered 649 BBO and 4669 TCF, most in the Middle East, USSR and Central and South America. 5 Chapter 8 Energy and Civilization Traces the development of Energy Consumption, its interrelationships with Economic Development and Life styles and current Uses. History of Energy use Photosynthesis Biomass Increase wood use Industrial Revolution/ Fossil fuels Consumption/ Pollution /Early Uses Energy and Economics Societal needs Economic growth(GNP in US) Role of the Automobile Gasoline Prices and Government policies Energy Consumption Residential/Commercial Industrial Transportation Electrical Energy Sources / uses Economics and Politics of energy use. Energy Consumption trends Trend (Oil, Gas, Coal OECD use Living Standards/ Consumption Decreasing Consumption causes (Prices, Conservation, Substitution, Efficiency) Political and Economic Factors Global Perspective Curbing Traffic Hybrid Electric cars OPEC Energy Development in China Potential World Petroleum Reserves 6