Energy Policy: Energy Policy of US. Energy Policy of Turkey. Energy Policy of Pakistan

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Energy Policy

Energy policy of US.


Energy policy of Turkey.
Energy policy of Pakistan

Submitted by:
Muhammad Zeeshan
ROLL NO: BPP-16-07
Table of Contents
Chapter 1: Energy Policy of US................................................................................................................ 2
Energy System in US: .......................................................................................................................... 2
The mix of U.S. energy consumption and production: ....................................................................... 3
Chapter 2: TURKEY’S ENERGY PROFILE AND STRATEGY ......................................................................... 4
Main elements .................................................................................................................................... 4
Main Goals: ......................................................................................................................................... 4
National Energy Mix ............................................................................................................................ 4
Renewable Energy........................................................................................................................... 4
Nuclear Energy ................................................................................................................................ 4
TURKEY’S ROLE IN THE REGIONAL ENERGY TRADE ............................................................................ 5
OIL TRANSPORTATION THROUGH TURKISH STRAITS.......................................................................... 5
Chapter 3: Energy Policy of Pakistan ...................................................................................................... 6
Introduction: ....................................................................................................................................... 6
Energy Policy overview: ...................................................................................................................... 6
Overview of Energy Policy: 2013–18 .................................................................................................. 6
Pakistan Energy Profile ....................................................................................................................... 7
Conclusion: .............................................................................................................................................. 8
Chapter 4: Recommendations: ............................................................................................................... 9
References: ........................................................................................................................................... 10
Chapter 1: Energy Policy of US

Energy System in US:


“The United States uses a mix of energy sources”
The United States uses and produces many different types and sources of energy, which
can be grouped into general categories such as primary and secondary, renewable and
nonrenewable, and fossil fuels.
Primary energy sources include fossil fuels (petroleum, natural gas, and coal), nuclear
energy, and renewable sources of energy. Electricity is a secondary energy source that is
generated (produced) from primary energy sources.
Energy sources are measured in different physical units: liquid fuels in barrels or gallons,
natural gas in cubic feet, coal in short tons, and electricity in kilowatts and kilowatthours. In
the United States, British thermal units (Btu), a measure of heat energy, is commonly used for
comparing different types of energy to each other. In 2017, total U.S. primary energy
consumption was equal to about 97.7 quadrillion (97,728,000,000,000,000) Btu.
There are five major primary energy consuming sectors. Their shares of total primary
energy consumption in 2017 were:
 Electric power—38.1%
 Transportation—28.8%
 Industrial—22.4%
 Residential—6.2%
 Commercial—4.5%
The electric power sector generates most of the electricity in the United States, and the
other four sectors consume most of that electricity.
The pattern of fuel use varies widely by sector. For example, petroleum provides
about 92% of the energy used for transportation, but only 1% of the energy used to generate
electricity
Domestic energy production is equal to about 90% of U.S. energy consumption in 2017

In 2017, the amount of energy produced in the United States was equal to about 87.5
quadrillion Btu, and this was equal to about 89.6% of U.S. energy consumption. The
difference between the amount of total primary energy consumption and total primary energy
production was mainly the energy content of net imports of crude oil.
The three major fossil fuels—petroleum, natural gas, and coal—combined accounted for
about 77.6% of the U.S. primary energy production in 2017:
 Natural gas—31.8%
 Petroleum (crude oil and natural gas plant liquids)—28.0%
 Coal—17.8%
 Renewable energy—12.7%
 Nuclear electric power—9.6%
The mix of U.S. energy consumption and production:
The mix of U.S. energy consumption and production has changed over time
 Fossil fuels have dominated the U.S. energy mix for more than 100 years, but the mix
has changed over time.
 Coal production peaked in 2008, trended down through 2016, and increased about
6% in 2017. Coal production in 2017 was about equal to production in 1979. The
main reason for the general decline in U.S. coal production in recent years is the
decrease in U.S. coal consumption for electricity generation.
 Natural gas production in 2017 was the second-largest amount after the record high-
production in 2015. More efficient and cost-effective drilling and production
techniques have resulted in increased production of natural gas from shale and tight
geologic formations. The increase in production contributed to a decline in natural gas
prices, which in turn has contributed to increases in natural gas use by the electric
power and industrial sectors.
 Crude oil production generally decreased each year between 1970 and 2008. In 2009,
the trend reversed and production began to rise. Production in 2015 and in 2017 was
the second and third highest on record, respectively. More cost-effective drilling and
production technologies helped to boost production, especially in Texas and North
Dakota.
 Natural gas plant liquids (NGPL) are hydrocarbon gas liquids (HGL) that are
extracted from natural gas before the natural gas is put into pipelines for transmission
to consumers. NGPL production has increased alongside increases in natural gas
production and reached a record high in 2017. U.S. consumption and exports of HGL
have both increased in recent years.
 Total renewable energy production and consumption both reached record highs of
about 11 quadrillion Btu in 2017. Hydroelectric power production in 2017 was about
2% lower than the 50-year average. Increases in energy production from wind and
solar helped to increase the overall energy production from renewable sources.
Energy production from wind and solar were at record highs in 2017
Chapter 2: TURKEY’S ENERGY PROFILE AND STRATEGY

Turkey’s energy import dependency, mainly on oil and natural gas, is increasing due to this
growing energy demand. Currently, Turkey is able to meet only around 26 % of its total
energy demand from its own domestic resources.

Main elements
The main elements of our energy strategy can be summarized as follows:
1) Taking into account increasing energy demand and import dependency, prioritization
among energy supply security related activities;
2) Within the context of sustainable development, giving due consideration to environmental
concerns all along the energy chain;
3) Increasing efficiency and productivity, establishing transparent and competitive market
conditions through reform and liberalization;
4) Augmenting Research and Development on energy Technologies.

Main Goals:
Through application of these four basic principles, we aim for the following goals;
1) Diversification of routes and sources for imported oil and natural gas;
2) Increasing the ratio of local and renewable energy in our energy mix;
3) Increasing energy efficiency;
4) Adding nuclear to our energy mix.

National Energy Mix


Turkey continues its efforts to increase the share of renewable energy sources in and add the
nuclear power to its energy mix for the purpose of reducing its energy import dependency,
maximizing the use of domestic resources, and combating climate change.
Renewable Energy
As an indication of the importance given to renewable energy, Turkey became a founding
member of International Renewable Energy Agency (IRENA), on 26 January 2009, through
an agreement signed at the conclusion of a conference organized for this purpose in Bonn.
Nuclear Energy
Turkey decided to add nuclear power into its energy mix with the aim of decreasing negative
environmental effects of energy production; of meeting its ever increasing energy demand as
well as reducing its energy import dependency. To this end, construction of two nuclear
power plants (NPPs) in Akkuyu and Sinop are on the agenda.
Akkuyu and Sinop NPPs are Generation III+ plants to be designed and equipped with the
most advanced safety systems. Their safety measures are in accordance with the International
Atomic Energy Agency (IAEA) standards.
TURKEY’S ROLE IN THE REGIONAL ENERGY TRADE
Turkey is geographically located between energy producing countries of the Region with
more than 75% of the world’s proven oil and gas reserves and the well-developed European
energy consumer markets. This privileged natural bridge position provides Turkey with both
opportunities and responsibilities in term of energy security. Turkey remains convinced of the
need to strengthen this unique role given by its geostrategic location. In this regard, while
developing its energy strategy Turkey aims to strengthen its position between East-West and
South-North Energy Corridors.
The “East-West” gas pipeline projects which are envisaged to bring gas from Caspian and the
Middle East regions to Europe through Turkey are referred to as “Southern Gas Corridor”
(SGC). South Caucasus Pipeline (SCP), Baku-Tbilisi-Erzurum Natural Gas Pipeline (BTE),
Turkey-Greece Interconnector (ITG) are existing pipelines while the Trans-Anatolian Natural
Gas Pipeline (TANAP) and the Trans-Adriatic-Pipeline (TAP) are planned projects within
the context of Southern Gas Corridor. The delivery of gas to Turkey through TANAP will
start in mid-2018 and to Europe in 2020.

OIL TRANSPORTATION THROUGH TURKISH STRAITS


Turkish Straits play a distinctive role in terms of energy supply security since 3% of the
global oil consumption passes through the Straits.
Considering the busy traffic as well as the physical structure of the Straits; a maritime
accident to be caused by oil tankers carrying hazardous material constitutes a huge risk. An
accident in the Straits can cause not only a humanitarian and environmental disaster but also
a disruption in the global oil supply. Alternative oil export options that by-pass the Straits
should therefore be developed.
Chapter 3: Energy Policy of Pakistan

Introduction:
The Islamic Republic of Pakistan which became an independent state in 1947 is governed by
a federal parliamentary constitution. It is globally the sixth most populous country with a
population of approximately 200.000 million people and a comparatively high population
growth rate of 1.5%. Pakistan is a semi-industrialized economy with a presentable textile,
food processing and agriculture base and a per capita GDP of 1561 USD. According to the
World Bank, Pakistan has important strategic endowments and development potentials. Its
labour market is the 10th largest globally and Pakistan is number 67 amongst the global
exporters. Yet, there is a large inequality within the society (Gini: 30 as per World Bank) and
still 21% of the population lives under the poverty line

Energy Policy overview:


The primary energy supply amounts to over 70 million Tonnes of Oil Equivalent
(TOE). Oil and gas are by far the dominating sources with a share of 80%. Oil is imported
from the Middle East mainly Saudi Arabia, gas from Iran. In addition, Pakistan is consuming
Liquefied National Gas (LNG), Liquefied Petroleum Gas (LPG) and coal. Pakistan has
currently, 4 power plants with a total capacity of 755 MW; additional 3 are under
construction. Nuclear power accounts for around 1.9% of the total installed capacity in
Pakistan. Hydropower has a share of 13% whereas other renewable energies only play a
minor role.
The government is supporting the use of LPG for cooking resulting in rapid investment in
production, storage and establishment of auto stations of LPG. During the FY 2016, an
approximate investment of PKR 2.38 billion has been made in the LPG supply infrastructure
whereas total investment in the sector until Feb 2016 is estimated at about PKR 22.33 billion.
During the FY 2016, the regulatory body OGRA has issued 12 licenses for operational
marketing of storage and filling plants, 37 licenses for construction of LPG storage and filling
plants, 20 licenses for Construction of LPG auto-refuelling stations and one license for
storage and refuelling of LPG was issued. Further, one license for construction of production
and storage of LPG facility is also issued by OGRA which shall result in improving supply
and distribution of LPG as well as create job opportunities in the sector

Overview of Energy Policy: 2013–18


Musadik Masood Malik was appointed Federal Minister, Water and Power of the Pakistan
Government in May, 2013. Within two months, he was replaced by Abid Sher Ali who
served in the role until the ministry was abolished in September, 2017. In its place a Ministry
of Energy was created. Awais Leghari served as the first energy minister of the country until
the end of the government's tenure.
The 2010 amendment to Pakistan’s Constitution (para. 3), empowered each province to
formulate the policy framework for the development of public and private sector power
generation. This has led to the formation of dedicated provincial departments and empowered
public sector companies specialized in renewables to foster and execute power projects
through public, private and public–private partnership modes using indigenous power
resources.
This tenure's energy policy was aimed at aggressively building power generation capacity
through early-harvest projects in CPEC. A total of 10,973 MW of power was added by the
government during its tenure, mostly via private sector investments. In terms of public sector
projects conducted by provincial governments in view of the 2010 amendment, KPK
government led with the addition of 1,670 MW to the national grid. It was followed by Sindh
and Punjab governments which contributed 935 MW and 580 MW respectively. Baluchistan
government didn't inaugurate any public sector power project during its tenure.
However, despite the massive addition of power to the national grid, glaring issues existed in
the power sector. There was no viable overhaul done to the electricity transport infrastructure
which lead to episodes of plant tripping and extended blackouts during the summer months.
Furthermore, there was still a wide demand and supply gap during high temperature months
which led to periodic, planned load-shedding. Finally, the issue of circular debt was still
attached to the power sector and reached a record high of Rs. 922 billion in March, 2018

Pakistan Energy Profile


Electricity access population without electricity: 49,500,000
electrification - total population: 73%
electrification - urban areas: 91%
electrification - rural areas: 62% (2013)018
Conclusion:
Energy Crisis has, moreorless, plagued all sectors of Pakistan’s machinery ranging from
economy to industry, agriculture to social life, inflation to poverty and it is hampering
national progress in a drastic manner. Nonetheless, menace of energy crisis can be
overwhelmed by government through making effective policies and its proactive
implementation. Simultaneously, it is the responsibility of us, the people of Pakistan, to
utilize the available energy astutely and wisely to play our due role for progress of the
country.
Chapter 4: Recommendations:

Being serious about it for starters, and excellent planning. Our energy crisis are mild
compared to what they can become with a booming population. Our country's current
infrastructure is not geard to handle the load of the exploding population.

We have four options for us:

1. Hydel
2. Nuclear
3. Wind/Solar
4. Coal

In terms of rollouts, Hydel takes the longest, and sometimes is equally at par with Nuclear
power in terms of project time frame. These would be our long term 8-10-12 year goals.

Coal is relatively shorter with time frame to go live in about 2 years time.

Wind/Solar have very low project deployment times. Couple of months.

We need to work on all the four areas simultaneously.

The technologies are there, no doubt about it, what is missing is the catalyst (in form of
incentive, business atmosphere, financing, etc.) and the need to eliminate corruption.
The governments we have are all about what goes into 'my pocket' and money does go into
their pocket. Even from the current crisis they are making money. The levels we have
stooped down to as far as the government and corruption is concerned, many investors for
these projects are very cautious about investing in Pakistan.
There are many solutions from home-grown to imported ones, we can use them all. As long
as we drastically reduce our exposure to the oil, we are better off. Rural solar projects are too
few, we simply have not rolled out a massive solar farming project in Pakistan to date.
Advances in Wind turbine technology is such that with Vertical Axis Wind Turbines (VAWT)
- the efficiency levels have almost doubled and tripled in some cases, yet strangely enough we
have no deployments.
As with any project, you have to look at the broader framework. The framework is there on
paper in various ministries, and corridors of the government, but they are all strained or
given a blind-eye.
This needs to change. Soon.
If we can roll out a policy for Pakistan for the next 15 years as what we plan to do with
respect to power projects, clearly spelling out the incentives, subsidies, assistance, and
proactively promoting it, showcasing the opportunities in Pakistan, it is only a matter of time
before we would be flooded with investment in this sector.But current conditions on ground
forbid that from happening, and we seriously need to get our corruption issue and law &
order issue sorted out. the inter-Ministry power struggles also need to be eliminated.
There is no rocket science to our problems. They are straight forward problems that can be
fixed, with the right mind and some creative and bold thinking. We need to discourage oil
based projects and put more stres on alternative power generation avenues. But power
generation should not be our ONLY concern. We need to look at how we can improve our
distribution setups. Perhaps a more novel idea would be to have mini-distribution
companies that are municipality based, rather than entire city based, which clearly is posing
a problem for everyone.

References:
https://www.quora.com/What-is-the-best-way-to-solve-Pakistans-energy-crisis
https://www.indexmundi.com/pakistan/energy_profile.html
https://www.eia.gov/energyexplained/?page=us_energy_home
https://en.wikipedia.org/wiki/Energy_policy_of_Turkey
http://www.mfa.gov.tr/turkeys-energy-strategy.en.mfa
https://en.wikipedia.org/wiki/Energy_policy_of_Pakistan

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