Peak Oil and Energy Security
ENERGY SECURITY
Energy security means having access to the requisite volumes of energy at affordable prices in association with national security and the availability of natural resources for energy consumption. From the perspective of a government concerned and the management of strategic interests, energy security implies energy policies and standby measures that can be implemented in the event of a supply disruption—and at a cost that its citizens consider reasonable. Such measures include energy supply diversification and a certain volume of energy stock.
Definitions of Energy Security:
The International Energy Agency (IEA) definitions of energy security have focused on the “adequate supply of energy at a reasonable cost”, and have referred to energy security to be just “another way of avoiding market distortions” (IEA, 1995). The underlying belief of these definitions is that “smoothly functioning international energy markets” will deliver “a secure – adequate, affordable and reliable – supply of energy” (IEA, 2002). IEA has claimed that energy security always consists of both a physical unavailability component and a price component, although their relative importance depends on the market structure (IEA, 2007).
The European Commission’s Green Paper (EC 2000) states that energy security also entails respecting environmental concerns and working towards sustainable development. They clarify that the security of supply does not seek to maximize energy self-sufficiency or to minimize dependence, but aims to reduce the risks linked to such dependence.
Energy plays an important role in the national security of any given country as a fuel to power the economic engine. Access to cheap energy has become essential to the functioning of modern economies. The modern world relies on a vast energy supply to fuel everything from transportation to communication, to security and health delivery systems. Some sectors rely on energy more heavily than others; for
Energy security means having access to the requisite volumes of energy at affordable prices in association with national security and the availability of natural resources for energy consumption. From the perspective of a government concerned and the management of strategic interests, energy security implies energy policies and standby measures that can be implemented in the event of a supply disruption—and at a cost that its citizens consider reasonable. Such measures include energy supply diversification and a certain volume of energy stock.
Definitions of Energy Security:
The International Energy Agency (IEA) definitions of energy security have focused on the “adequate supply of energy at a reasonable cost”, and have referred to energy security to be just “another way of avoiding market distortions” (IEA, 1995). The underlying belief of these definitions is that “smoothly functioning international energy markets” will deliver “a secure – adequate, affordable and reliable – supply of energy” (IEA, 2002). IEA has claimed that energy security always consists of both a physical unavailability component and a price component, although their relative importance depends on the market structure (IEA, 2007).
The European Commission’s Green Paper (EC 2000) states that energy security also entails respecting environmental concerns and working towards sustainable development. They clarify that the security of supply does not seek to maximize energy self-sufficiency or to minimize dependence, but aims to reduce the risks linked to such dependence.
Energy plays an important role in the national security of any given country as a fuel to power the economic engine. Access to cheap energy has become essential to the functioning of modern economies. The modern world relies on a vast energy supply to fuel everything from transportation to communication, to security and health delivery systems. Some sectors rely on energy more heavily than others; for