- What’s behind the wildly varying accounts of Nigerian oil production
© The Financial Times Ltd 2015 FT and 'Financial Times' are trademarks of The Financial Times Ltd.
A report on energy security published by former energy minister Malcolm Wicks warned that the UK had not adequately considered its energy security risks, and made quite a lot of recommendations, including building more gas storage and reconsidering the tax regime for some parts of the energy sector.
The government said it “welcomed” the report. “We are already taking a number of responsible far-sighted steps to put the UK on a secure, low carbon, affordable energy footing in the long-term,” prime minister Gordon Brown said in a statement.
He was in part referring to the very lengthy strategies published last month on reducing the country’s carbon emissions by 34 per cent from 1990 levels by 2020. But The Economist magazine this week argues that the government is not doing enough to avoid a crunch.
Britain’s problems with future electricity supply are many. Its nuclear plants are ageing and the question of how to fund their replacement is the subject of intense debate amongst both political parties and government and industry. Read more
Oil executives are fond of saying, “Tell me when technology can no longer be invented or improved, and I will tell you when the world has reached peak oil.”
The point is that as that, as long as new technologies can be invented, then there are going to be new ways to get increasing amounts of oil and natural gas out of the ground. The best example of this is in the US natural gas industry.
It was all but left for dead until a few years ago, when suddenly the US independents came up with new ways to get natural gas out of ground. The US natural gas industry took off, and estimates have grown from 30 years’ worth of supplies in the country to more than 100 years’ worth.
Indeed, Rod Lowman, president of America’s Natural Gas Alliance, says that while there are five major shale plays in the US now providing most of the natural gas, there are over 20 other shale formations that the industry believes “hold a lot of potential”.
Same goes for oil, as shown time and time again.
Most recently, Chevron has come up with an innovative steam flood technology, which Bernstein Research says could improve oil recovery several times over, compared to the low per centage recovery achieveable with conventional primary recovery methods. Read more
Bjørn Lomborg, the Danish academic who has long been a poster boy for climate change sceptics, now says it is vital that an agreement on tackling climate change is reached this year.
You can read more about Mr Lomborg’s views in an interview with the FT’s Fiona Harvey, but here are a few quotes:
“It’s incredibly important. We need a global deal on the climate.”
“If that disappoints people who are sceptics, I am not in the least bit unhappy. I hope to have more people enthused [in thinking about how to tackle climate change].”
“…the basic scientific questions [on climate change] have been answered pretty unequivocally”.
Study calls for cheaper options to cut emissions
Technologies largely untested (FT)
Sceptic switches tack and urges more effective solutions
Influential climate change sceptic supports emissions treaty (FT)
Indonesia to join Asian commodity exchange race
ICDX hopes to set palm oil prices from October (FT)
FTC expands powers on oil-market probes
Agency can levy fines of $1 million per violation a day (WSJ)