6.4B UK vs Norway

• factors affecting access and consumption to energy resources

  • physical availability
  • cost
  • technology
  • public perception
  • economic development
  • environment priorities
• UK Cost

  • North Sea reserves became a ‘secure’ alternative to dependency on Middle Eastern oil, after prices rose in 1970s due to Gulf Wars.
  • North Sea oil is expensive to extract so if global prices fall, it becomes less viable.
  • Stocks of North Sea oil declining = more imports (although new Rosebank site contradicts this).
• Norway Cost

  Norsk Hydro runs over 600 HEP sites, supplying 97.5% of Norway’s renewable energy.

  HEP costs are low once investment is complete.

  Transfer + transmission costs from HEP production in remote regions to urban centres + isolated settlements is expensive
• UK public perceptions + political considerations

  • Increasing reliance on imported energy sources affects energy security and is a political issue.
  • Public concern + pressure of proposed fracking and nuclear sites -> opposition from green protesters e.g Frack Off
  • Privatisation of UK’s energy supply industry in 1980s means TNCs, e.g France’s EDF, decides which energy sources are used to meet demand.

   
• Norway public perceptions and political considerations

  • Norwegian government has interventionist approach - prevents foreign companies from owning primary energy source sites like waterfalls, mines and forests.
  • Taxes paid to government from sale of fossil fuels boost standard of living through government spending -> profits also go to sovereign wealth fund to prepare for future without fossil fuels and invested in sustainable projects.
• Environmental priorities

  • Both agreed to Paris Agreement COP21 -> keep global temperature change below 2 degrees. 40% reduction of greenhouse gas emissions by 2030.
  • UK - Granted new North Sea oil drilling - Rosebank, 300 million barrels of oil.
  • Norway - the third largest exporter of hydrocarbons.
  • Norway’s ‘policy for change’ launched in 2016 with a domestic target of being carbon neutral by 2050.
• UK physical availability

  • UK - North Sea oil and gas discovery after 1970s – altered energy mix.
  • Rosebank – new drilling with 300 million barrels of oil.
  • 70% oil and gas in 2022 + 10% wind (Hornsea offshore wind farm)
  • Dinorwig Power Station in Wales - HEP
• Norway physical availability

  • Norway - Norway is mountainous with steep valleys and plentiful rainfall + snowmelt – suitable for HEP.
  • Norway exports its oil and natural gas – e.g to the UK – 50% of UK energy imports in 2015.
  • 63% HEP in 2022 + 19% oil
• Technology

  • UK - 150 years’ worth of coal reserves left in UK but current technology and environmental policy make its extraction unrealistic and expensive. Technology exists for ‘clean coal’ but coal has lost political support
  • Norway - Deepwater drilling technology enabled both Norway and UK to develop North Sea oil and gas extraction. Technology enables HEP to work efficiently with the help of gravity – appropriate technology.