OIL & NEW ENERGY AROUND THE WORLD

Spiraling oil prices give renewed impetus to alternative energies; Political turbulence coupled with the spectre of peak oil looming in the Middle East, makes renewable energy less of an option and more an imperative.
Heba Hashem, 24 February 2011 (CSP Today)

"…[F]luctuating oil prices amid political instability in the Middle East, and accelerating energy demands…[make] renewable energy investments not just a timely solution but a highly profitable gateway…Solar power worldwide is forecasted to grow from a US$31 billion industry in 2009 to US$99 billion by 2019. Renewable energy in total (bio-fuel, wind and solar) reached US$125 billion in 2008, grew 11% to US$139 billion in 2009, and is projected to grow to US$326 billion by 2019.

"…[Oil] prices [are] above US$110 a barrel for Brent and US$98 for WTI crude oil…Libyan president Moammar Gadhafi warned…[his] country's oil wells [could go] up in flames…[A] recent Wikileak…resurrected concerns over Saudi Arabia’s exaggerated oil reserves…[suggesting they] are being overstated by as much as 40%, bringing [back] the “peak oil” debate…[and] officials have predicted a tripling in Saudi power consumption…[which would] consume all of the 8 million bpd the country produces…[A]n oil shock is likely by 2013, even if the US is lucky enough to escape one in 2012…"

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"…Europe is dangerously [dependant] on Russia for…natural gas…[and] coal…Russian dominance over Europe’s energy has raised alarms in foreign policy circles. Several European countries are now working on diversifying their energy sources and streams…The Chinese government has already launched a massive renewable energy program that aims to generate 15% of its energy needs from clean energy by 2020. China invested US$35 billion in clean energy in 2009, almost twice the amount of US [2009] investments…"

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"…[All this] price volatility and uncertainty…create[s] a compelling case for renewable energy investments…[similar to 2007 when almost] every solar-related stock posted triple-digit gains…[and] the best performers, First Solar (FSLR) and Ascent Solar (ASTI), [had] eye-popping 750% gains…According to the Energy Information Administration (EIA) International Energy Outlook 2010, renewable energy will gain a growing share of total energy use from 2007 to 2035, outstripping that of petroleum liquids, despite starting from a much lower level.

"While natural gas consumption is expected to increase 44%, coal 56% and nuclear power generation 74% in the same period (2007-2035), total renewable energy use - including liquid biofuels – is estimated to grow a staggering 111%…Russia’s Prime Minister Vladimir Putin had signed a directive calling for a more than 400% increase in renewable electricity generation by 2020, and in the Middle East, solar energy use has grown by 40%-50% per year over the last ten years…"