Oil prices

Saudi oil strategy and its key role as ‘swing producer’ in the global energy market are examined by Naser al-Tamimi in chapter five. In particular, the author takes into account the strategy that Saudi Arabia adopted in the past year after the decision not to cut oil production by OPEC countries, of which it is the undisputed leader. On the one hand, changing dynamics in the global oil market – in particular increasing hydrocarbon supplies from the US, Canada, Russia and potentially Iran – are challenging Saudi Arabia’s leading position. On the other, growing domestic consumption and fuel subsidies play a role in Riyadh’s policy. By putting together the international and the domestic factor, the author ex-plains the ongoing changes in Saudi oil strategy to keep its market share and expand its role in the refining sector. He finally argues that Saudi Arabia is gradually withdrawing from its role as swing supplier and stresses that reducing its dependence on oil through economic diversification is the only choice for the kingdom.

In most important oil-producing regions of the world, the oil industry has been nationalized. Ninety percent of the world’s oil reserves are entrusted to state-owned companies. The five national oil companies (NOCs) that are the focus of this book together produce one quarter of the world’s oil and hold one half of the world’s oil and gas reserves.What do we know about these oil titans? Do we understand how they operate and what drives them? Do they emphasize politics over profits? Do they have the technical and business skills to develop responsibly the immense petroleum resources entrusted to them? In spite of the dependence of importing countries’ economic fortunes on the performance of the NOCs of the Middle East and North Africa, outsiders know very little about these organizations. Their opacity has discouraged most analysis so far. However, after explaining my project, I was invited to meet with the managers of Saudi Aramco, the Kuwait Petroleum Corporation (KPC), the National Iranian Oil Company (NIOC), Sonatrach (Algeria) and the Abu Dhabi National Oil Company (ADNOC). They allowed extensive interviews to be conducted, demonstrating their interest in discussing both their past accomplishments and future challenges. These were fascinating discussions, and this book will tell those companies’ stories.

Energy/Climate Change

While the world debates which greenhouse gas emissions mitigation policies are finally implemented, there still exists a high risk that the climate is going to change due to historic anthropogenic activities, no matter what is done. Thus, climate change solutions will require both mitigating any future damage and adapting to inevitable changes. Climate adaptation is finding ways to live with the consequences of global warming. A warmer average temperature means more energy in the atmospheric system, leading to more extreme and ...

2009

Per capita oil and gas consumption and, by implication, CO2 emissions in the GCC countries are uniquely high. This paper will argue that under current global market conditions, fossil fuel conservation is a rational strategy for the Gulf monarchies; in electricity production, in particular, there are large-scale opportunities for introducing non-carbon energy sources. Many of the Gulf regimes’ current sustainability-oriented energy policies can be pursued on a project basis, building on efficient technocratic enclaves under the direct patronage of rulers. These are more likely to be successful than broader regulatory strategies aimed at changing consumer and business behaviour in general. There is considerable potential to build up local technology clusters, but spillover into society and business at large is likely to remain limited.

Morocco is the only country in North Africa that does not have substantial fossil fuel reserves. Unlike its neighbors Algeria and Mauritania, who have large oil and gas reserves, Morocco must rely on foreign imports of energy. In 2010, Morocco imported 97 percent of its energy making it the largest energy importer in Africa and economically sensitive to energy prices of the global market (Oxford Business Group, 2011). While the country lacks traditional sources of energy, it has large underdeveloped potential for renewable energy.

This publication is the product of a graduate seminar sponsored by Fulbright and the Teresa Lozano Institute of Latin American Studies of The University of Texas at Austin. Dr. Oswaldo Lucon, a Fulbright Scholar from the Universidade de São Paulo, organized the course which challenged students to research and discuss ongoing initiatives to address the challenges posed by climate change. Sounny-Slitine editied and authored the report resulting for the class.

Middle East Policy, 2010

The Geopolitics of the Global Energy Transition