Energy: Global Supply & Management

Energy powers every aspect of modern life — from heating and lighting our homes to driving industry, transport, and communications. Yet energy resources are unevenly distributed, and the way we produce and consume energy has profound consequences for the environment. This lesson examines global energy supply patterns, the different sources of energy, and the strategies used to manage energy resources.

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Global Energy Supply and Demand

Patterns of Energy Consumption

Energy consumption varies enormously across the world:

Region	Energy Use	Key Reasons
North America	Very high per capita	Large homes, car-dependent cities, heavy industry
Europe	High (varies by country)	Industrial economies, high living standards
Middle East	High per capita (oil states)	Cheap domestic energy from oil and gas reserves
East Asia	Rising rapidly	Industrialisation in China, South Korea, Japan
South Asia	Low but rising	Large populations, rapid development
Sub-Saharan Africa	Very low	Limited infrastructure, widespread energy poverty

Energy Surplus and Deficit

• Energy-surplus countries produce more energy than they consume and export the rest (e.g. Saudi Arabia, Russia, Norway, Qatar, Australia)
• Energy-deficit countries consume more energy than they produce and must import (e.g. Japan, South Korea, India, UK, Germany)

The pattern of energy surplus and deficit creates complex geopolitical relationships — countries that depend on imported energy are vulnerable to supply disruptions and price fluctuations.

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Types of Energy

Non-Renewable Energy Sources

Non-renewable energy comes from finite resources that will eventually be exhausted.

Source	How It Works	Advantages	Disadvantages
Coal	Burned to generate steam, which drives turbines	Abundant, cheap, reliable, existing infrastructure	Highest CO2 emissions, air pollution, mining damage
Oil	Refined into fuels (petrol, diesel, aviation fuel)	Energy-dense, versatile, easy to transport	CO2 emissions, oil spills, finite reserves, price volatility
Natural gas	Burned in power stations or used for heating	Cleanest fossil fuel, flexible, efficient	Still produces CO2, fracking concerns, finite
Nuclear	Uranium atoms are split (fission) to generate heat and steam	Very low carbon, reliable, high output	Radioactive waste, high cost, safety concerns, long build times

Renewable Energy Sources

Renewable energy comes from naturally replenished sources.

Source	How It Works	Advantages	Disadvantages
Solar	Photovoltaic cells convert sunlight into electricity	Zero emissions, falling costs, scalable	Intermittent (cloudy days, nighttime), land-intensive
Wind	Turbines convert wind energy into electricity	Zero emissions, offshore potential, efficient	Intermittent, visual impact, bird strikes, noise
Hydroelectric	Water flows through turbines in a dam	Reliable, zero emissions, flood control	Displacement, ecosystem damage, expensive to build
Tidal	Tidal movement drives turbines	Predictable, zero emissions	Limited suitable sites, high cost, ecosystem disruption
Geothermal	Heat from the Earth's interior generates steam	Reliable, zero emissions, 24/7	Limited locations (tectonic plate boundaries), high initial cost
Biomass	Organic material (wood, crops, waste) burned or converted to biogas	Carbon-neutral in theory, uses waste	Land use, deforestation risk, still produces emissions

Exam Tip: In the exam, you may be asked to compare renewable and non-renewable energy sources. Always discuss reliability (can it provide power 24/7?), cost (capital vs running costs), environmental impact (emissions, land use, wildlife), and suitability for different locations.

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Fossil Fuels: Supply and Issues

Global Distribution

Fossil fuel reserves are concentrated in specific regions:

Fossil Fuel	Major Reserves
Oil	Middle East (Saudi Arabia, Iraq, Iran, Kuwait, UAE), Russia, USA, Venezuela, Canada
Natural gas	Russia, Iran, Qatar, USA, Turkmenistan
Coal	USA, Russia, China, India, Australia, Indonesia

Issues with Fossil Fuel Dependence

1. Climate change — burning fossil fuels releases CO2 and other greenhouse gases, driving global warming
2. Air pollution — coal and oil combustion produces particulates, SO2, and NOx, causing respiratory diseases
3. Finite supply — fossil fuels will eventually run out; peak oil is debated but reserves are finite
4. Price volatility — global oil and gas prices fluctuate due to geopolitical events, OPEC decisions, and speculation
5. Environmental damage — extraction causes habitat destruction, oil spills, fracking-related groundwater contamination
6. Energy insecurity — countries dependent on imported fossil fuels are vulnerable to supply disruptions

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Energy Security

Energy security means having access to reliable, affordable energy supplies. Countries with energy security can power their economies without being vulnerable to supply disruptions.

Factors Affecting Energy Security

Factor	Explanation
Domestic reserves	Countries with large fossil fuel or renewable resources are more energy-secure
Import dependency	Countries that import most of their energy are vulnerable
Political stability	Energy supplies may be disrupted by conflict or sanctions (e.g. Russia-Ukraine conflict)
Infrastructure	Pipelines, power grids, and storage facilities must be maintained and protected
Energy mix diversity	Countries relying on a single energy source are more vulnerable than those with a diverse mix
Investment in renewables	Domestic renewable energy reduces dependence on imported fossil fuels

The Russia-Ukraine Energy Crisis (2022)

Russia's invasion of Ukraine in February 2022 highlighted the risks of energy dependency:

• Many European countries (especially Germany, Italy, and Austria) were heavily dependent on Russian natural gas
• Russia reduced gas supplies to Europe, causing an energy price crisis
• European countries scrambled to find alternative gas suppliers (Norway, Qatar, USA LNG)
• The crisis accelerated Europe's transition to renewable energy and highlighted the importance of energy independence

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Strategies for Managing Energy Supply

Increasing Renewable Energy

Countries around the world are investing in renewable energy to reduce carbon emissions, improve energy security, and meet climate targets:

• Germany's Energiewende — an ambitious plan to transition from nuclear and fossil fuels to 80% renewable electricity by 2030
• China — the world's largest investor in solar and wind energy, despite still being the biggest coal consumer
• Costa Rica — generates over 98% of its electricity from renewables (mainly hydroelectric and geothermal)

Energy Conservation and Efficiency

Reducing energy demand is as important as increasing supply:

Strategy	Example
Insulation	Cavity wall and loft insulation reduce heating energy by up to 40%
Energy-efficient appliances	LED bulbs use 80% less electricity than incandescent bulbs
Building regulations	New buildings must meet energy-efficiency standards
Smart meters	Real-time energy monitoring helps households reduce consumption
Public transport	Buses, trains, and trams are more energy-efficient per person than private cars
Electric vehicles	EVs are more energy-efficient than petrol/diesel cars and can be powered by renewables

Carbon Capture and Storage (CCS)

CCS technology captures CO2 emissions from power stations and industrial processes and stores them underground in geological formations (e.g. depleted oil and gas fields).

• Advantages: allows continued use of fossil fuels while reducing emissions
• Disadvantages: expensive, unproven at scale, does not address other environmental impacts of fossil fuel extraction

Exam Tip: If asked about strategies for managing energy, structure your answer around three approaches: (1) increasing supply from renewables, (2) reducing demand through efficiency and conservation, and (3) transitioning away from fossil fuels. This provides a comprehensive and well-structured response.

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The Global Energy Transition