Development Of North American Oil

Development Of North American Oil

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Development Of North American Oil

NS-07 response two

How does the recent development of North American oil and natural gas capacity alter the dynamics of international energy management?

The International Energy Agency was established by the United States in the 1970s in response to the Organization of the Petroleum Exporting Countries (OPEC) becoming a major producer of oil.   The IEA was established for energy security for countries that are major consumers of oil.  The use on hydrocarbon based fuels has increased the gross domestic product of China and India.  Unfortunately, the use of hydrogen based fuels for manufacturing has been responsible for global climate change.  This is evident with the occurrence of hurricane Harvey and Irma in 2017.  Also the foundation of the IEA needs to expand to incorporate all energy – oil and gas and renewable energy.

The United States as a country has been a producer of oil and natural gas but has remained dependent upon OPEC.  In 2013 the United States oil and natural gas corporations began the practice of hydraulic fracking to extract oil from shale.  Hydraulic fracking is banned in many countries due to its negative effect on the environment.  The oil shale reserves in the United States will last for approximately 100 years.  The decision to extract oil and natural gas through fracking has reduced the United States dependence on OPEC.  As of 2017, oil and gas pricing and production are based upon supply and demand.  Currently, the supply of oil is high and demand has decreased.   Countries are becoming less dependent upon hydrocarbon based energy and using more nuclear, electric, wind, and hydroelectric power.

One of the other components of international energy management is the trend towards electric vehicles.  Electric vehicles are used by many large cities – Seattle for the purpose of transportation – buses.  Electric vehicles are also becoming available to consumers as an alternative to gas-powered vehicles.  Tesla and Chevy Volt are two companies that manufacture electric vehicles for consumers.  Tesla and Minnesota Mining and Manufacturing have developed solar shingles for houses.  The technology would be most useful in southern states – California, Arizona, and Nevada.

One of the questions raised by the author of Rising States is whether rising states such as China and India should be allowed to become members of IEA.  As of 2017, my opinion is China and India should become members of the IEA if the countries are willing to share some of their research and development in the field of renewable energy technology.  China, unfortunately, is a country that engages in business and intellectual property espionage for its own economic development, but has become a major economic power since 200 What is the best hope for United States participation in the international order?

As of September 30, 2017, the best hope for the United States participation in the international order is to maintain a watch and wait approach to international relations.  We have a current president who is inexperienced, and the United States public does not have a clear understanding of what actions this administration will undertake in relation to international politics and declaring war on countries such as North Korea.  My opinion is that caution should prevail in current international relations.   The United States government does not have a clear understanding of the extent that North Korea will carry out its threats and whether China and Russia will intervene to stop an international crisis.  The North Korean president may be testing the international waters.

In 2010 President Obama discussed international order.  He stated “this engagement is not an end in itself.  The international order that we seek is the one that can resolve the challenges of our times – countering violent extremism and insurgency; stopping the spread of nuclear weapons and securing nuclear materials; combating a changing climate and sustaining global growth; helping countries feed themselves and care for their sick; preventing conflict and healing its wounds.” “Our adversaries would like to see America zap its strength by over extending our power.” President Obama’s approach was a shift from the Bush Administration and the declaration of war on Iraq and Afghanistan.  For the United States, it was a much needed shift to a more peaceful approach to international relations.

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The United States government should continue as a member of the G-20.  The G-20 was established in 2008 for economic order.  Economic and financial order is one of the primary components of international order.  The 20 member countries meet yearly to discuss world economics and the best means to combat financial crises that affect the world.  Membership in the G-20 may aid the United States in job growth.  In order to maintain international order the United States government should encourage international corporations to protect their intellectual property from espionage.  Business espionage and the exfiltration of business sensitive data discourage companies from investing resources in research and development.

If the world economy is to grow, corporations need to invest their resources.  The national laboratories are not able to conduct all the research that is necessary for the United States economy to continue to grow.

The United States government should participate in the Global Change Summits.  Unfortunately, the Trump Administration is opposed to supporting global climate change arguing that Americans need employment.  This is true, but at the expense of the environment.  The United States has recently seen the effects of global climate change – Hurricane Harvey and Irma.  Global climate change has adversely affected the United States since Hurricane Katrina.  It appears that global climate change will continue unless there is a reduction in the use of fossil fuels by all countries.

The United States government should continue to combat terrorism – both kinetic and non-kinetic (i.e. cyber warfare).

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Obama, Barack. 2010.  Graduation Speech to U.S. Military Academy, West Point, New York.

5. China owns approximately one half of the company, Volvo, which has stated that it will only produce hybrid vehicles or electric vehicles for the future.  For the purpose of reducing the carbon footprint, it would be beneficial for the world if countries would share their technology. I have not researched whether India has patents in the field of renewable energy.  In my opinion India remains a developing country.

NS-08 response two

Development Of North American Oil

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