The Daily Vale

Your Media

Between fossil fuels and renewable energy, the Gulf is becoming more divided

Even before Russia attacked Ukraine, stunning oil and natural gas prices, Europe was experiencing an energy crisis — one that was partly self-inflicted.

The Western world may be at a crossroads in the energy transition, highlighting the dangers of underestimating how much conventional energy (oil, coal, and natural gas) is still going to be required as sophisticated, industrial societies try to transition away from them, as well as how much alternative energy will be required to replace it.

The current energy crisis, which is characterized by high oil, gasoline, and natural gas prices, emphasizes the urgency of transitioning away from fossil fuel dependence, particularly in Europe, while also demonstrating how stubborn and essential fossil fuels remain to energy security and the worldwide economy.

“The world may be entering an era of acute energy constraint,” said Joseph Calnan, a CGAI (Canadian Global Affairs Institute) energy security analyst.

“Traditional energy businesses are investing as though we’re on pace to meet the International Energy Agency’s (IEA) net-zero goal. Meanwhile, clean energy investment isn’t growing fast enough to match the IEA’s policy scenario. In the next decade, we may face a global scarcity of both conventional and renewable energy.”

Despite having huge oil and gas reserves, Western Canada is unable to respond with oil tankers and LNG (liquefied natural gas) carriers loaded with petroleum and natural gas. Western Canada’s best bet may be to use existing pipeline and rail infrastructure to pump a little more oil and gas to the United States, and to learn from Europe about the importance of properly balancing old and new energy sources.

“How Canada handles its very own energy resiliency in the next years could decide whether we are caught unaware by this energy scarcity, or if we are going to be able to master it, and possibly even thrive, as a secure and reliable supplier of urgently needed conventional energy sources and minerals for the world,” Calnan wrote in a recent CGAI analysis.

The very last major energy crisis, in the 1970s, was centered on oil and Middle Eastern conflict, and it resulted in one of the most severe downturns North America has ever seen. This one is unique, and it is partially self-made for Europe.

Germany, France, the United Kingdom, the Netherlands, and other European nations prohibited fracking, depriving Europe of a home supply of natural gas and forcing it to rely on Russia, which supplies 45 percent of Europe’s natural gas imports.

Leave a Reply

Your email address will not be published.