Energy and the Environment

1. Energy and the Environment By: Alexis Mason Victoria Sanchez Luz Stella

2. 1. What is environmental economics? 2. What is oil made of? 3. Where do we get most of our oil? 4. Difference in cost of regular, hybrid, and electric cars. 5. Significance of peak oil 6. Growing gap 7. Cost of gasoline 8. Why are we dependent on oil? 9. Oil spills 9. Debate about off-shore drilling Environmental Economics

3. Definition: Issues that include the costs and benefits of alternative environmental policies to deal with air pollution, water quality, toxic substances, solid waste, and global warming.

4. Natural Resources—Oil Scientists believe that: 1. Resources, such as oil, are limited and should not be wasted. 2. The harmful environmental and health effects of producing economic oil should be included in their market prices. 3. We should encourage environmentally beneficial and sustainable forms of economic development.

5. What is oil made of? • Crude oil is formed over millions of years by tiny plants and animals such as plankton. • It is held in tiny spaces in underground rock, like water in a sponge. • 1 liter of oil= 5 weeks of hard human labor

6. Who do we get our oil from? • Approximately 40% of America's oil comes from domestic oil fields in states like Texas, Alaska, and California. Some of this oil is actually sold to other countries, such as Japan. The other 60% of the US oil supply is from foreign sources. • Canada, Saudi Arabia, Colombia, Nigeria, Angola, and Iraq all contribute sizable amounts to the US oil supply. America also imports oil from Kuwait, Norway, the United Kingdom, Venezuela, Equatorial Guinea, and Algeria.

7. Cost of regular cars vs. Environmentally friendly cars • The initial cost of a hybrid car is generally $3,000 - $6,000 higher than a similarly-sized conventional vehicle, but there are post-purchase savings that may off-set the initial outlay.

8. Countries by carbon dioxide emissions

9. Peak Oil • The world was endowed with approx. 2 trillion barrels of conventional oil and we have consumed about ½.

11. Red: have reached their peak Green: have not

12. Cost of gas over the years

14. Products made from petroleum • One 42-gallon barrel of oil creates 19.4 gallons of gasoline. The rest (over half) is used to make things like: • Solvents Diesel fuel Motor Oil Bearing Grease • Ink Floor Wax Ballpoint Pens Football Cleats • Upholstery Sweaters Boats Insecticides Lipstick • Bicycle Tires Sports Car Bodies Nail Polish Fishing lures • Dresses Tires Golf Bags Perfumes • Cassettes Dishwasher parts Tool Boxes Shoe Polish • Helmet Caulking Petroleum Jelly Transparent Tape • CD Player Faucet Washers Antiseptics Clothesline • Curtains Food Preservatives Basketballs Soap • Pill Capsules Antihistamines Purses Shoes • Dashboards Medicine Footballs Laptops

15. Why do we depend on oil?

16. Exon Valdez Oil Spill (1989) • The Exxon Valdez tanker ship hit a reef near Alaska in 1989. • It spilled somewhere between 10 million and 30 million gallons of oil into the ocean and they couldn't clean it up. • To help prevent spills, by 2015, all supertankers in U.S. water will be required to have two hulls. • The inner hull is the lining of the ship's oil tanks. The outer hull is the part in the ocean. The air space between the inner and outer hulls makes an oil spill much less likely.

17. Steven Wereley of Purdue University estimated that since the Gulf oil spill there has been an average of one Exxon Valdez Spill every 2.4 to 3.5 days.

18. Map of Oil Rigs in the gulf of Mexico Water currents in the Gulf of Mexico

19. More effects of the BP Oil Spill After paralyzing Louisiana's commercial fishing industry, it is threatening Florida's $60 billion tourism business. In the six weeks since the explosion that killed 11 workers and started the leak, wildlife officials said at least 491 birds, 227 turtles and 27 mammals, including dolphins, had been found dead along the US Gulf coast. BP has estimated a 40 billion dollar cost for its overall spill response. Many workers in the fishing industry (specifically shrimpers) are losing or have lost their jobs. Obama administration lifted the moratorium on deepwater drilling in Texas last month. About $1 billion of the United States’ GDP is attributed to fishing in the Gulf area along with $13 billion in tourism and $11 billion in oil.

21. Oil in the environment • Oil waste dumping, production pollution, and spills destroy the surrounding wildlife and habitat. • The effects of oil on marine life are cause by either the physical nature of the oil (physical contamination and smothering) or by its chemical components (toxic effects and accumulation leading to tainting). • The animals and plants most at risk are marine animals and reptiles; birds that feed by diving or form flocks on the sea. • The gulf, specifically, accounts for about 1/5 of the country’s oyster production and 75 percent of the shrimp production. • Agricultural damage and effects on clean water

22. THOSE IN FAVOR OF OFFSHORE DRILLING • It will lessen dependency on foreign countries for natural resources • A majority believes that the potential economic benefits outweigh the potential harm to the environment • It helps create jobs • If we reach sustainability with our own oil reserves we can THEN explore alternate sources of energy without risking the loss of a major source of oil

23. Oppose drilling • Dolphins go down in population because they breathe in oil when they come up for air • Accidents such at the 1989 Exxon spill and the 2010 BP spill may occur • We will spend so much time focusing on oil that we will once again fall into a dependency for that resource

24. How Do You Feel About Increased Drilling For Oil And Natural Gas Offshore In U.S. Waters? Survey conducted in June 2010

25. Benefits of off shore drilling • Oil is the most obtainable, efficient, and cheap source of energy • Obama’s oil plan changes http://www.huffingtonpost.com/2010/03/31/drill-barack-drill-obama_n_520523.html?show_comment_id=43663308#comment_43663308

26. Day 2 discussion questions • Based On What You Have Heard Or Read, Do You Favor/Oppose Obama’s Proposals To Develop Alternative Sources Of Energy And Reduce The Amount Of Oil And Other Fossil Fuels That Are Produced And Used In The U.S.? • Do You Think That Proposals To Develop Alternative Sources Of Energy And Reduce The Amount Of Oil And Other Fossil Fuels That Are Produced And Used In The U.S. Would Increase/Decrease The Number Of Jobs In The U.S.? • Do You Think That Proposals To Develop Alternative Sources Of Energy And Reduce The Amount Of Oil And Other Fossil Fuels That Are Produced And Used In The U.S. Would Make Life Better/Worse For The Next Generation Of Americans?

27. Work Cited • Altheus, Dudley, and Vincent Bonner. "Oil Production Cases." Oil Production and Environmental Damage. American Unviersity, Washington DC, n.d. Web. 5Nov.2010.http://www1.american.edu/ted/projects/tedcross/xoilpr15.htm. • "BP Oil: when everyone knows your name, but nobody likes you." The opposite of wrong. DMCA, n.d. Web. 4 Nov. 2010. <http://opedcartoons.com/2010/05/19/bp-oil-when-everyone-knows-your-name-but-nobody-likes-you/ >. • "Crude oil and Total Petroleum Imports Top 15 Countries." U.S. Energy Information Administration. Department of Energy, 28 Oct. 2010. Web. 4 Nov. 2010. <http://www.eia.doe.gov/pub/oil_gas/petroleum/data_publications/company_level_imports/current/import.html>. • "How the U.S. Uses Oil." Time For Kids. Energy Information Administration, n.d. Web. 3 Nov. 2010. <http://www.timeforkids.com/TFK/media/teachers/pdfs/2003S/030221WR1.pdf>. • "Oil Consumption (most recent) by country." Nation Master. N.p., n.d. Web. 2. Nov. 2010.<http://www.nationmaster.com/graph/ene_oil_con-energy-oil-consumption>. • "Peak oil primer." Future Proof Kilkenny. N.p., 14 Oct. 2008. Web. 5 Nov. 2010. <http://futureproofkilkenny.org/?page_id=110>. • Peckham, S. "Discussion Page for the BP Oil Spill in the Gulf of Mexico.” Community Surface Dynamics Modeling System. CSDMS Facility, 1 July 2010. Web. 1 Nov. 2010. <http://csdms.colorado.edu/wiki/Talk:Marine_Discussion>. • Szabo, Patrick. "BP Gulf Oil Spill--Impact on America's Environment and Economy.” suite101. N.p., 7 June 2010. Web. 3 Nov. 2010. <http://www.suite101.com/content/bp-gulf-oil-spill--impact-on-americas-environment-and-economy-a246061 >. • Werner, Johannes, Andy Goddard, and Jason Busto. "Oil spill not .a concern.Yet." CubaStandard. Jason Busto, n.d. Web. 3 Nov. 2010.<http://www.cubastandard.com/2010/05/01/cuban-government-expert-oil-spill-not-a-concern-yet/>.

28. Works Cited (continued) • “Where the US gets its oil from." Consumer Energy Report. Consumer Energy Report, n.d. Web. 7 Nov. 2010. <http://www.consumerenergyreport.com/research/crude- oil/where-the-us-gets-its-oil-from/ >.