Energy Exports Research Articles

Does energy intensity matter in the nexus between energy consumption and economic growth regarding capital-energy substitution?

This article investigates how the non-linear connection between energy consumption and economic development is influenced by energy intensity level in the context of energy-capital substitution. We firstly analyze the substitutability/complementarity between energy and capital by estimating VES production function within the standard Solow growth model framework for 58 countries over the period of 1975-2017. The selected countries are classified into four groups according to their relative energy intensity levels and their accessibility to energy. The estimation findings reveal that energy and capital are complements in the final output for each country group. Hence, in this paper, as further analysis, the study examines whether or not energy consumption always fosters economic growth. We investigate the non-linear link between energy consumption and economic development by constructing a panel smooth transition regression (PSTR) model for each country group and looking at the impact of energy intensity in this relationship. The empirical results provide that for each country group, there is a threshold level for energy intensity. Regardless of whether a country is a net energy exporter or net energy importer, it needs to use energy efficiently and not exceed the ideal energy intensity level in both production and consumption to maintain long-term economic growth.

Research methods in economics to evaluate the role of energy efficiency and financial inclusion in achieving China’s carbon neutrality target

In the recent literature, energy efficiency got the attention of scholars due to its discouraging impact on CO2 emissions, which is considered the most prevalent greenhouse gas that human activities produce. Data reports that China is the leading CO2 emitting country across the globe, and still the environmental degradation is in progress. Thus, the current paper empirically investigates the impact of energy efficiency (ENEF), financial inclusion (FD), GDP, export diversification (EXD), and human capital index (HCI) on the environmental degradation of China over the period from 1988 to 2018. This study uses various time-series tests to empirically investigate the determinant of CO2 emissions, including normality tests, unit root tests, and combined cointegration tests. Besides, the long-run coefficients are analyzed via the fully modified ordinary least square (FMOLS), dynamic OLS (DOLS), and the Canonical Cointegrating Regression (CCR) estimators. The empirical findings reveal that all the variables are cointegrated in the long run. However, the coefficient estimate shows that ENEF and HCI significantly promote environmental sustainability. While GDP, FD, and EXD significantly promote environmental degradation by enhancing the CO2 level in the atmosphere. This study recommends practical policy implications based on the empirical findings: energy-efficient products and energy sources could be promoted.

Russia’s Arctic Designs and NATO

The war in Ukraine has made Russia’s Arctic strategy of developing the Northern Sea Route more important. Moscow and Beijing share interests in redirecting Russian energy and mineral exports towards China and expanding infrastructure along Russia’s Arctic coastline to connect the Northern Sea Route with China’s Polar Silk Road. Chinese investments and technology are necessary to realise the sea route’s commercial potential and protect Russia’s Arctic security interests. Supply lines between North America and Europe traverse the High North. China is supporting a strengthened Russian defence posture by expanding cooperation on intelligence, surveillance and reconnaissance. This will help Russia challenge NATO along both China’s coastline and Russia’s borders with NATO. Accordingly, NATO needs to devise a strategy that recognises the interdependence of its eastern and northern flanks.

GIS-based solar and wind resource assessment and least-cost 100 % renewable electricity modelling for Bolivia

Rapid cost reductions of solar photovoltaics and wind offer a pathway to deep decarbonization of energy at low cost. Off-river pumped hydro energy storage provides mature, cheap and very large-scale storage that helps to balance variable generation and demand while avoiding environmental and social impacts. Many developing countries, especially those in the sunbelt, have the opportunity to adopt this pathway and bypass additional fossil fuel capacities while developing their economies. This study investigates the feasibility of such pathway for Bolivia, a country that relies heavily on fossil gas for both domestic energy consumption and export income. The current reliance on fossil gas, however, is untenable in the long-term due to the worldwide transition to low carbon energy, and the potential growth in per capita energy demand. Instead, a GIS-based resource assessment presented in this study identifies massive low-cost solar photovoltaic, wind and pumped hydro potential that are far more than needed to supply and balance the future electricity demand in Bolivia. A 10-year hourly energy balance model is presented of a future Bolivian electricity system with 100 % renewable electricity supplied by solar, wind and hydroelectricity, and balanced by off-river pumped hydro and high voltage transmission. It is found that the levelized cost of electricity is in the range $44–53/MWh across all scenarios, which is lower than the cost of electricity from new hydroelectricity or gas plants. Importantly, the costs modelled in this study are upper bounds because only technologies that are already deployed in large quantities worldwide are included.

미･중 무역전쟁의 배경과 영향: 러･중 경제협력에 미치는 영향을 중심으로

The purpose of this paper is to analyze the development and impact of the U.S.-China trade war, and in particular, to focus on the impact on economic cooperation between Russia and China. For this purpose, we first examine the background and causes of the U.S.-China economic war that began in earnest before and after the inauguration of the Trump administration and review structural changes in the economic relations between the two countries. It also examines the major development of the trade war in which the U.S.-China trade war has resulted in mutual sanctions and retaliation and its impact. Next, we will analyse the impact of the U.S.-China trade war on the Russian economy, especially on Russian economic cooperation.<BR> The trade war between the U.S. and China has had little impact on the Russian economy. In the short term, Russia could benefit from trade friction between China and the United States. In particular, attention can be paid to the increase in Russian energy exports to China and the increase in purchases of Russian agricultural products and processing industries. Weakening relations between China and the United States also helps Russia attract additional funds from China. Moreover, friendly relations between China and Russia have been established, and political trust between the two countries continues to accumulate. On the international stage, the two countries are taking the same stance on most major issues. All of this makes it possible to establish a strategy that can counter anti-Russian sanctions and strengthen China

The Relationship between Energy Security, Exports and Economic Growth: The Case of the Middle East Countries

In this study, it is aimed to examine the relationship between energy security, growth and exports for 16 Middle Eastern countries between 1980 and 2016 by taking into account the 4 dimensions of energy security (4 A's of energy security). Unlike other studies on the subject of Middle Eastern countries, this study covers more Middle Eastern countries and a wider period, and takes into account the cross-sectional dependency. The results of empirical analysis conducted by using second-generation unit-root and cointegration methods demonstrate that there is cointegration relationship between the variables. According to the results obtained from AMG estimator, which also considered cross-section dependence; the 1% increase in energy security risk level reduces the economic growth by approximately 0.66%, while the 1% increase in exports increases the economic growth by 0.41%. Finally, Granger non-causality test results demonstrate that there is a bi-directional causality relationship between variables. The results highlight the importance of policies to be implemented policies to ensure energy security such as choosing safe trade routes in oil and gas trade, ensuring the security of the major crossing points in the region, developing policies to decrease the share of energy revenues/expenses in the region economies, implementing policies for country and route diversification, ensuring energy efficiency and the use of renewable energy sources to prevent environmental pollution.

Simultaneous preparation of sodium borohydride and ammonia gas by ball milling

Hydrogen and ammonia are both potential energy carriers being considered for large scale energy transport. Sodium borohydride (NaBH4) has been widely applied as a potential solid-state hydrogen storage material. It can produce hydrogen gas and sodium metaborate (NaBO2) after hydrolysis with water at room temperature. The regeneration of NaBH4 from NaBO2 could significantly reduce the cost of NaBH4 and enable its wide-spread industrial use. In this work, we demonstrate a simple method for regenerating NaBH4 from NaBO2·4H2O using Mg2N3, which combines NaBH4 production with NH3 gas production in a single step at room temperature. NaBH4 is successfully synthesized from NaBO2·4H2O using the Mg3N2 reducing agent via ball milling under a hydrogen atmosphere. NaBH4 is formed at a 76.6% yield by planetary ball milling at 600 rpm under 40 bar hydrogen for 12 h. NH3 gas is also formed, which can be easily separated from the solid products. Therefore, this one-step process could produce two different types of carbon-free hydrogen carriers suitable for energy export from renewable sources.

Optimal dispatch model for PV-electrolysis plants in self-consumption regime to produce green hydrogen: A Spanish case study

The production of green hydrogen from renewable energy by means of water electrolysis is a promising approach to support energy sector decarbonization. This paper presents a techno-economic model of plants with PV sources connected to electrolysis in self-consumption regime that considers the dynamics of electrolysis systems. The model calculates the optimal hourly dispatch of the electrolysis system including the operational states (production, standby, and idle), the load factor in production, and the energy imports and exports to the electricity grid. Results indicate that the model is a useful decision support tool to operate electrolysis plants connected to PV plants in self-consumption regimes with the target of reducing hydrogen production costs.

Cutting Russia's fossil fuel exports: Short‐term economic pain for long‐term environmental gain

AbstractIn response to the invasion of Ukraine, most OECD countries have announced punishing sanctions against Russia. In addition to targeting financial markets and service sectors, some countries have begun to impose restrictions on exports of Russia's fossil fuels. We analyse a scenario whereby most OECD countries put major restrictions on Russia's energy exports. The short‐term implications are likely to be non‐trivial for the EU – Russia's largest energy export destination. Households' real income could drop by 0.7 to 1.7 percent (relative to the reference case) with energy prices growing by as much as 11 percent. But in the longer run, the cost of such restrictions for the EU is expected to be more modest (0.04 percent slowdown in the annual growth rate of real income over the 2022–2030 period), even as they lead to substantial environmental benefits reducing CO2 (6.6 percent in 2030) and air pollutant emissions (2.8 to 5.9 percent in 2030). Such emission reductions would take the EU more than halfway to its Green Deal mitigation target, reducing the necessary carbon price by around 40 EUR per tCO2. Adverse impacts on the Russian economy would be overwhelming and, in relative terms, 10 time larger than that for EU.

Concurrent 24. Presentation for: The infrastructure of net zero: a unique challenge for Australia

Presented on Thursday 19 May: Session 24 In August 2021, Worley and Princeton University’s Andlinger Center for Energy and the Environment published a report titled ‘From ambition to reality: Weaving the threads of net-zero delivery’ which examined the challenge of building the assets of net zero. It used as a basis Princeton’s Net-Zero America study which detailed a number of pathways to achieve net-zero, finding for all an enormous infrastructure challenge – like nothing the world has ever seen. This joint publication considered the complex execution challenge of delivering this infrastructure. Extrapolating these results to the world economy, it was obvious that if infrastructure was delivered using historical, linear development and deployment paths then it would not be possible to reach net zero by 2050 regardless of which technology pathway was used. The joint publication developed five key shifts in practice that could bridge the gap between net zero ambition and reality. In this paper we explore the implications of this for the Australian energy markets, focusing on energy exports and the decarbonisation technologies most relevant to the oil and gas sector assuming a net zero ambition. In particular, we consider the shifts that will be needed to deliver these technologies, focusing on key deployment levers that may prove pivotal to meeting this ambition. To access the presentation click the link on the right. To read the full paper click here

Concurrent 8. Presentation for: Collaborative development of the Northern Territory low-emissions carbon capture, utilisation and storage hub – a blueprint for the rapid decarbonisation of Northern Australia

Presented on Tuesday 17 May: Session 8 As the world increases its decarbonisation ambition, Australia is well placed to offer low emission intensity energy supplies to our region. Northern Australia’s plentiful resources mean that the region can be both an energy export and regional decarbonisation powerhouse. The Northern Territory has abundant natural gas and solar resources, significant carbon dioxide (CO2) storage capacity and proximity to international markets. This paper will summarise the development of the business case for a large-scale Carbon Capture, Utilisation and Storage (CCUS) hub based in the Northern Territory. The work is a result of a collaborative initiative to bring together experience and expertise from CSIRO, the Northern Territory Government, major gas industry emitters and engineering companies. The approach has been to develop a common vision of a low emission CCUS hub, develop an understanding of the key attributes of a hub, the development decisions, value drivers, market analysis and an understanding of potential economic outcomes that could be realised from its collaborative development. This work contemplates both initial and long-term economies of scale required to provide a pathway for decarbonisation of existing industries while providing opportunities for the development of new low-emission industries. To access the presentation click the link on the right. To read the full paper click here

Catching the hydrogen train: economics-driven green hydrogen adoption potential in the United Arab Emirates

The establishment of a hydrogen economy for domestic use and energy exports is increasingly attractive to fossil fuel exporting countries. This paper quantifies the potential of green hydrogen in the United Arab Emirates, using an integrated adoption model based on global technoeconomic trends and local costs. We consider the impact of varying hydrogen, oil, natural gas, and carbon prices on the economics of green H2 adoption. In our Business-As-Usual (BAU) scenario, we observe economic viability in UAE industries between 2032 and 2038 at H2 prices between $0.95/kg and $1.35/kg based on electrolyzer cost assumptions, solar forecasts and learning rates. We also note rapid scale-up to large export-oriented production capacities across our scenarios. However, if cost reductions slow or gas prices return to historical lows, additional interventions such as carbon pricing would be required to fully decarbonize in alignment with the 2050 net-zero target.

НАСЛІДКИ ВТОРГНЕННЯ РОСІЇ НА УКРАЇНСЬКУ ТЕРИТОРІЮ ДЛЯ СВІТОВОГО ПРОДОВОЛЬЧОГО ТА ЕНЕРГЕТИЧНОГО РИНКУ

On February 24, 2022, the Russian invasion of Ukraine or “special military operation” in Ukraine caused a shock around the world. The article examines the impact of the war between Ukraine and Russia on the world food and energy sector. Global resource markets suffer from the effects of Russia’s invasion of Ukraine; the two countries are major suppliers of energy, food and fertilizers. Supply disruptions and the sudden introduction of unprecedented economic sanctions, trade restrictions and political interventions in response to the crisis have led to a sharp rise in commodity prices. Prior to the conflict, demand for global resources already exceeded supply and raised prices as the economy recovered from the COVID-19 pandemic. This has led to a global cost of living crisis characterized by rising levels of energy and food poverty. This situation is likely to worsen significantly as a result of the war in Ukraine and pose a threat to human security, especially among the poor and vulnerable. The extremely negative consequences of the war require more detailed study and analysis, which will allow us to form an objective understanding of the world economy during the war. Mitigating the effects of war on the population is a top priority for politicians, so understanding the economic situation is essential. The Russian-Ukrainian crisis poses new challenges to the international community, exacerbating supply chain disruptions, market instability, resource instability, displacement and significant geopolitical change. Governments must build the longterm resilience of societies and economies to global shocks. There is an urgent need for aggressive external intervention to avoid a food crisis. The exchange of information between countries on their food status, as well as the preservation of borders for agricultural exports, proposed by the G7 agriculture ministers, is an important response to the looming food crisis. It has been found out that close links with trade and the payment system will limit trade, remittances, investment and tourism, negatively affecting economic growth, inflation and external and fiscal accounts. Although raw material exporters should benefit from higher international prices, they run the risk of declining energy exports if sanctions apply to pipelines through Russia.The main consequences of the war will lead to higher food and energy prices and a tougher global financial situation. Socio-economic pressures in many countries will increase, as well as the vulnerability of public debt and the effects of the pandemic, which has already plagued millions of households and businesses.

Revisiting the EKC Hypothesis With Export Diversification and Ecological Footprint Pressure Index for India: A RALS-Fourier Cointegration Test

This study assesses India’s environmental problems by focusing on the ecological footprint pressure index (EFPI), which provides a simultaneous analysis of biocapacity and ecological footprint. In particular, the study examines the impact of export diversification, economic growth, and renewable energy on EFPI under the environmental Kuznets curve (EKC) hypothesis for India. To analyze the long-run relationships, the Residual Augmented Ordinary Least Squares (RALS)-Fourier cointegration test is applied to annual data from 1965 to 2014. Contrary to the EKC hypothesis, the results show a U-shaped relationship between income and EFPI. The absence of the EKC hypothesis implies that economic development does not help to ensure environmental quality; hence, other measures are required to minimize irreversible environmental problems. In this regard, the results of the study suggest that renewable energy consumption and export diversification reduce EFPI. Based on the overall findings of the study, it is recommended that the Indian government improve environmental values by changing the export structure and energy mix.

The infrastructure of net zero: a unique challenge for Australia

In August 2021, Worley and Princeton University’s Andlinger Center for Energy and the Environment published a report titled ‘From ambition to reality: Weaving the threads of net-zero delivery’ which examined the challenge of building the assets of net zero. It used as a basis Princeton’s Net-Zero America study which detailed a number of pathways to achieve net-zero, finding for all an enormous infrastructure challenge – like nothing the world has ever seen. This joint publication considered the complex execution challenge of delivering this infrastructure. Extrapolating these results to the world economy, it was obvious that if infrastructure was delivered using historical, linear development and deployment paths then it would not be possible to reach net zero by 2050 regardless of which technology pathway was used. The joint publication developed five key shifts in practice that could bridge the gap between net zero ambition and reality. In this paper we explore the implications of this for the Australian energy markets, focusing on energy exports and the decarbonisation technologies most relevant to the oil and gas sector assuming a net zero ambition. In particular, we consider the shifts that will be needed to deliver these technologies, focusing on key deployment levers that may prove pivotal to meeting this ambition.

Collaborative development of the Northern Territory low-emissions carbon capture, utilisation and storage hub – a blueprint for the rapid decarbonisation of Northern Australia

As the world increases its decarbonisation ambition, Australia is well placed to offer low emission intensity energy supplies to our region. Northern Australia’s plentiful resources mean that the region can be both an energy export and regional decarbonisation powerhouse. The Northern Territory has abundant natural gas and solar resources, significant carbon dioxide (CO2) storage capacity and proximity to international markets. This paper will summarise the development of the business case for a large-scale Carbon Capture, Utilisation and Storage (CCUS) hub based in the Northern Territory. The work is a result of a collaborative initiative to bring together experience and expertise from CSIRO, the Northern Territory Government, major gas industry emitters and engineering companies. The approach has been to develop a common vision of a low emission CCUS hub, develop an understanding of the key attributes of a hub, the development decisions, value drivers, market analysis and an understanding of potential economic outcomes that could be realised from its collaborative development. This work contemplates both initial and long-term economies of scale required to provide a pathway for decarbonisation of existing industries while providing opportunities for the development of new low-emission industries.

An exploration of the association between fuel subsidies and fuel riots

Between 2005 and 2018, 41 countries had at least one riot directly associated with popular demand for fuel. We make use of a new international dataset on fuel riots to explore the effects of fuel prices and price regimes on fuel riots. In line with prior expectations, we find that large domestic fuel price shocks - often linked to international price shocks - are a key driver of riots. In addition, we report a novel result: fuel riots are closely associated with domestic price regimes. Countries that maintain fixed price regimes - notably net energy exporters - tend to have large fuel subsidies. When such subsidies become unsustainable, domestic price adjustments are large, often leading to riots.

CREATION OF A MULTI-LEVEL AUTOMATED CONTROL SYSTEM FOR MONITORING THE SAKHALIN–KHABAROVSK–VLADIVOSTOK MAIN GAS PIPELINE

The features of the design and implementation of the integrated automated control system of the Sakhalin–Khabarovsk–Vladivostok main gas pipeline, which provides reliable and energy-efficient operation of natural gas supplies to consumers of the Far Eastern region of the Russian Federation and energy exports to foreign countries, are considered. The natural-climatic and geophysical conditions of laying the gas pipeline route are presented, which determine the set of functional capabilities for monitoring and managing technological processes of gas transportation. A hierarchical structure of an integrated automated process control system is proposed, which provides adequate monitoring of stochastic disturbances of a natural and technological nature based on intelligent sensors and basic principles of information exchange organization. Examples of innovative design solutions for the functional structure and architecture of the organizational and functional automated control system of the gas pipeline, as well as technical means as part of the structure of the complexes of technical means of automated control systems functioning as part of control rooms are considered. A scientifically based procedural algorithm for calculating the stress-strain state for the monitoring site based on the analysis of sensor readings for short-term forecasting of changes in the technical condition of the gas pipeline has been obtained.

Pipelines and Power Lines: China, Infrastructure and the Geopolitical (Re)construction of Central Asia

ABSTRACT This article examines the role of pipelines and power lines in the (re)construction of regional energy order in Central Asia. By structuring and governing social relations across space, infrastructures are integral to region building. In Central Asia, despite the post-Soviet transition, Soviet infrastructures have perpetuated Russian control over regional energy exports, hampered Central Asian states’ development and caused regional tension. China’s construction of pipelines and power lines represented a renegotiation of spatial, economic and political relations in the region. By connecting China with Central Asian states, the pipelines secured an alternative source of energy supply for Beijing, strengthened regional states’ independence from Russian influence, and embedded them in new structures of interdependent relations with the rising power. Meanwhile, by connecting local facilities and supplying energy to less developed areas, the Chinese-built pipelines and power lines enhanced Central Asian states’ capacity, promoted integration of national territories, and reduced region tension over water and energy supply. Notwithstanding these changes, Chinese-built pipelines and power lines did not overthrow the existing regional order. Rather than replacing Soviet systems, they were additions that connected with and remained embedded in the existing infrastructures.

The relationship between renewable energy consumption, carbon emissions, output, and export in industrial and agricultural sectors: evidence from China.

This paper examines the long-term and short-term relationships between renewable energy consumption, output and export, and CO2 emissions in China over the period 1990–2020 from the perspective of industry and agriculture using econometric methods. The results of the study found that there is a long-run relationship and there is a causality between these variables, indicating that renewable energy consumption, output, and export are related to CO2 emissions. Specifically, from a long-term perspective, the results of co-integration and causality reveal that there is a two-way causal relationship between renewable energy consumption, output, export, and CO2 emissions, supporting the feedback hypothesis; that is, output and export have an adverse impact on the environment, while renewable energy consumption has a favorable impact on the environment. In the short term, there is a direct or indirect one-way causal relationship between export, CO2 emissions, and renewable energy consumption, which supports the growth hypothesis. The impulse response analysis has further verified the causality test results and supported this hypothesis. However, there is a strong negative correlation between industrial and agricultural export and renewable energy consumption, which will cause the use of renewable energy to fail to meet the peak demand for industrial and agricultural export in the short term. Conversely, large amounts of fossil fuels will be consumed to meet output and export demand. Therefore, on the road to social, economic, and environmental sustainability, it is necessary to consider the impact of economic growth and energy consumption (renewable and non-renewable energy) of related industries on CO2 emissions, which also provides a strong basis for the development and reduction of China’s renewable energy and the long-term implementation of the emission control policy.