5 BASICS Of Energy Security

Energy security is put in first place on the list of priorities facing the European Union. Although the issues of making sure energy security were located before a united European countries from the beginning of the integration process lately they have purchased the best relevance and importance for the European union. This is due to the fact that today the European union depends 50% on exterior energy materials to its market and on the regulations pursued by supplier states. Furthermore, European countries are concerned about the well-known problems with the energy source for these people against the setting of turmoil between Russia, as the key EU energy company and Belarus and Ukraine, through whose place the Russian hydrocarbons are sent to the Western. Russian-Ukrainian standoff on the problem of gas prices and travel is the major matter of European union member claims and compel those to talk about the necessity to diversify energy items.

Concentrating 7% of world inhabitants, more than a 1 / 4 of world GDP and 20% of world trade, the European union has only 2% of the world's "black gold" and 4% gas. Limitation of its own resource basic in Europe accounts for a significant dependence of the EU on exterior energy products. The European natural gas market is the 3rd largest in the world. The volume of gas intake in EU countries come to 513 billion m3 (21% of world intake). Russia is the second largest EU oil supplier and provides 33% of the EU "black gold" needs. The Russian Gazprom is the leader in EU natural gas supplies with 46% of total. If we talk about security of energy equipment, the main process in this field is the energy sectors physical and resource diversification i. e. the extension of supply sources, source routes and pipelines.

The European union security in energy sector

NABUKO I EU

The European Union is seeking to protect self from energy reliance on Russia with diversification of natural gas supplies insurance policy by contracts with non-conventional energy suppliers, the Caspian areas (Caspian areas have only 4-5% of world's gas reserves). But due to the unreliability of Russian energy materials through third countries (Belarus and Ukraine) as well as the possibility of using Russian resources as a politics tool, carrying Caspian Sea hydrocarbons (Azerbaijan, Kazakhstan and Turkmenistan) to the Western has attained great importance to the European union.

Improve supply stability and energy security EU responsible execution of the Southern Gas Corridor. The organized corridor is composed of three parts: the Trans-Caspian gas pipeline (the project provides for delivery of gas from Kazakhstan and Turkmenistan to Azerbaijan), Baku - Tbilisi - Erzurum (from Azerbaijan through Georgia to Turkey) and Nabucco (from Turkish territory, via Bulgaria, Romania, Hungary Austria).

Thus, the consistency of energy source in Europe is because of the changing geography of supply, increasing the number of exporting countries, the creation of new infrastructure facilities.

In the face of increasing competition from non-traditional suppliers of hydrocarbons Russia is vital to keep up the competitiveness of these energy in the European market, to ensure effective and reliable conditions because of their transit to European Europe.

From europe course to diversify energy imports implies Russia's post-Soviet space deterrence, to avoid immediate or indirect control by the second option over the mining sector and transit infrastructure in surrounding areas.

Revealing in this respect, the role of such organizations as the GUAM (Georgia, Ukraine, Azerbaijan and Moldova), which may be a dynamic participant in "non-Russian" energy items to European markets.

Major energy tasks GUAM is the "White Stream". White Stream - the idea of the Ukrainian part to diversify gas supplies to European countries and Ukraine and lowering dependence on Russia. Based on the idea of developers this pipeline should pass along the Eurasian oil transportation corridor, i. e. from Azerbaijan to the Georgian slot of Supsa, and then over the African american Sea to Ukraine and onward to the European union, bypassing Russia.

From a geopolitical viewpoint, the creation of transportation corridor from east to western, bypassing Russia, on an idea of Brussels, will:

To diversify energy resources to reduce dependence of the EU from Russia and therefore ensure energy security;

Dismantle the travel system of the ex - Soviet Union, mainly through the territory of Russia and proper control over the export of Central Asian energy resources;

Open the road to EU co-operation with countries seeking to establish indie from Russian energy travel routes;

Establish control over the hydrocarbon resources of the region and not to allow these resources were open to Russia;

At the trouble of control over energy resources to guarantee the establishment of politics control over the countries of the region;

Set the geopolitical pluralism, independence (from Russia), the recently independent says.

Implementation of the European union projects such as the Nabucco, whose design capacity is 30 billion m 3 of gas per season, is a intricate obstacle for the Russia's national interests towards Europe and tangibly have an impact on Russia's foreign insurance policy and foreign economic activity.

Russian energy resources - development and policy

Energy policy

Russia's European course is usually occupies a respected position in trade of gas and energy resources. The European union has come 53% of Russian engine oil exports and 62% - natural gas.

For Russia, with its unique geographical and geopolitical position, the problem of transit of energy resources are of particular importance, since it will depend on the transit of hydrocarbons in the key marketplaces of third countries. Therefore the duty of ensuring uninterrupted supplies of Russian energy exports to European countries.

Improving energy security European union demands Russia to develop and implement a variety of insurance policy and energy initiatives aimed at diversifying resources of supply of hydrocarbons. Passionate desire of Russia to find new routes for moving oil and gas to the EU, bypassing the friends and neighbors (Belarus and Ukraine), justification: a selection of routes is important because it allows not with regards to the ambiance of the transit country.

Currently, building of the North European Gas Pipeline "Northern stream» (Nord Stream) will run under the Baltic Sea from Vyborg, Russia to Greifswald Germany. Capacity will be 55 billion m 3 of gas per year. Implementation of this job will help solve the situation of diversification of export flows of gas, will develop supply in American European countries and the execution of Russia's obligations under the concluded and the near future long-term agreements for the way to obtain natural gas.

The second job is the South Stream (Southern Stream), that may run under the Black Sea from Novorossiysk to the Bulgarian port of Varna, and then split into two branches and will go through Serbia and Hungary to Austria through Greece to southern Italy. Capacity will reach 60 billion m 3 of gas per yr.

The main goal of these assignments is to provide immediate communication between the retailer (Russia) and customers (Western, Central and South-Eastern Europe), bypassing the place of Belarus and Ukraine, by which the now Russian gas to the European union through pipelines Urengoi - Pomary - Uzhgorod and Yamal - European countries.

As a Eurasian ability, Russia is normally interested in a totally free submit its energy insurance plan in all directions. By the end boosts the question of correcting the existing asymmetry of Russian energy exports and only the eastern course. Russia's national interest is to diversify market segments for energy resources, broadening the geography of resources of hydrocarbons. Due to this, Russia reduces dependence on the potential risks and, of course, opens up new and encouraging markets.

To go into the Asia-Pacific region will create a pipeline "Eastern Siberia - Pacific Ocean (ESPO) pipeline, which would connect the oil domains of Western and Eastern Siberia to the slots of Primorsky Place in Russia and provide usage of the marketplaces of the Asia Pacific region.

This pipeline capacity of 80 million tonnes each year must complete from the Taishet (Irkutsk region), north of Lake Baikal through Skovorodino (Amur region) in the Pacific Kozmino Bay (Primorsky Krai).

The priority of Russian foreign energy insurance policy includes the engineering of an branch in China from being built oil pipeline "Eastern Siberia - Pacific Ocean. Ability electric outlet will be 15 million shades annually.

The implementation of the above mentioned projects will provide an possibility to solve simultaneously both most important geo-economic and geopolitical targets: provide a way to avoid it of Russian crude oil to the quickly growing market of the Asia and the Pacific region and reduce dependence on the main buyer of energy.

Tendencies of development of world energy market segments and energy security issues

Malo record, why energy is necessary, crucial statistics

In our fast developing world, according to recent prognosis, energy use can increase up to 30% within next 15 years. World oil demand can became higher for 42% and natural gas consumption will climb for approximately 60%.

Today's world market is characterised with four most significant circumstances:

sharp rise of energy demand in growing Asian countries (up to 45% of perspective world development in oil usage)

increasing gap between demand and production volume of gas in economically developed countries (for example, by 2020 between 60% and 70% of gas consumption in European countries will be provided with the bill of imports)

insufficient convenience of the production, processing and travelling of coal and oil as well as the limited likelihood of new sites

insufficient transparency of world energy market

All these conditions provided to the fore the problem of energy security. Also, the globalization process with that your world has encountered in the twentieth century, straight influence the sphere of world energetic. The extensive energy demand progress in Asia intensified competition for firm and cheap energy resources and in many elements of the entire world (especially rich in energy resources) occurring instability and issues. These circumstances donate to energy instability and large fluctuations in energy prices. World reserves of cheap energy are reduced, crossed the zenith of creation while consumption is growing gradually. In light of the circumstances is highly recommended global functions in the power sector. If we ingest awareness allocation of world's energy reserves, it could be seen that every area of the world has some reserves or reserves are allocated within fair range (e. g. Russia energy reserves are sufficient to hide rising European demand, Gulf coast of florida and Venezuela reserves are easiest to America) Dijagrami. Expert's examination say that there surely is sufficient energy reserves, but the cost of exploitation going to be sufficiently higher. World of cheap and accessible energy is certainly behind us. It's important to mention weather change and little by little growing tendency of decrease in CO2 emissions that will affect the consumption of fossil fuels but the global demand will not be reduced.

Achieving global energy security will be reached by the globe community implementation of actions in three main areas:

Reliable supply of the world current economic climate traditional types of energy;

Increase the efficiency of energy resources and environmental safety;

Development and use of new energy sources.

All world and especially developed countries and greatest energy suppliers have to contribute to reaching energy security.

Basic principles of energy security

Despite all the differences in the methods of major state governments, there are common details in the understanding energy security. Actually, it is possible to isolate the essential key points that are more or less distributed by all claims.

Energy security is the common responsibility of both the energy consumer and the supplier. This is acknowledged by all, however the problems arise where in fact the consumer and service provider get started to demand each from other guaranties of source or purchase these supplies. For instance, in a average version, the demand for guaranties of supply can result in the consumer's get to permit him representing the financial interests of the company for development and vehicles of energy resources in the provider country. This is actually the case where the European union requires from Russia starting its energy sector for Western investments. On the other hand, Russia sets requirements of direct accessing to the client delivery systems. Within the radical version guarantee of source can be expressed in direct political and monetary dictation towards supplier country, up to carrying out military functions against them. Also, in the recent record we have observed that provider country can impose actions such as delivery cutoffs, which damaged not only targeted countries but many others (Russia - Ukraine and Russia - Belarus disputes).

However, there is a third option, shown by Asian countries. It is the willingness to ensure delivery due on the one hand, the participation of companies representing the financial pursuits of consumers in expanding energy resources in the service provider country, on the other - taking part in by the guidelines of the service provider country and investing heavily in infrastructure, mining and vehicles. In this case, it is not a simple commodity-payment program, but a far more complicated investment, insurance and other contractual romantic relationships. The buyer provides his assurance of resource at the trouble of investment in infrastructure provider, so as to optimize the supply chain, so that it is more modern, less expensive, etc. Suppliers, allowing consumers to build up tasks in their territory introduce not only secure and stable market, but also a tactical investor.

Thus, we could talking about the basic principle of responsibility and interdependence of consumer and provider.

Further, regardless of the limited range of countries that become energy suppliers, development of occasions shows that you can find competition between them; additionally, the limited variety of suppliers can toughen this competition. Factor that stimulates competition among providers is unquestionably another principle called diversification of options and suppliers. At this time there may be competition between energy suppliers and it must also be included in the machine of global energy security.

The most significant condition for this is the energy security depoliticization. Actually, the competition based on economic concepts, competition for consumers is reasonable and understandable phenomenon. However, any use of energy resources for politics purposes in the situation of increasing demand brings about conflict, implications of which can be unpredictable. Every try to put energy as a subject of political issue is task to the global energy security system. Thus, the guidelines of energy security are also the depoliticization and fair competition. Additionally, if we can present your competition between suppliers, it is a lot more serious sensation your competition between consumers. The global reduction of energy creation will imply the competition among energy clients and consequently instability in particular regions could show up.

Economic development without stabile energy resource is impossible. Therefore, overcoming global problems such as poverty, epidemics, poor education, environmental problem, without economic stability is unattainable. Energy source and demand, market competition, joint assets, global warming, CO2 emissions, joint stableness and many other factors indicate that energy security is primarily a global concern so we can point at another theory, the principle of globality. . With this context, we should remember that energy security is inseparable part of a global security system.

Looking the importance of energy for the quality of life and life in general, it's important to highlight the rule of sociable orientation of energy security for both specific countries and the earth at large.

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