In this section, we address the following questions: What are the energy resources available to us? How fast are these being used up? How long will these last at the present rate of consumption?
Let us take them up one by one.
What energy resources are available to us?
Fossil fuels were formed from the fossilized remains of tiny plants and animals that lived long ago.
These are actually manifestations of solar energy.
The Sun is the principal source of energy on our planet. Other common sources of energy are fossil fuels like coal, oil, natural gas, biomass (such as wood, agricultural waste, etc.), water, wind and nuclear energy.Some uncommon energy sources include geo-thermal energy and tidal energy. These energy resources are usually classified as: Primary and Secondary Resources, Renewable and Non-renewable Resources,and Commercial and Non-commercial Resources.
Primary and Secondary Resources
Primary energy resources are those that are found in nature. These are mostly converted into secondary resources in industrial utilities. For example, coal, oil and gas (primary energy resources) are converted into steam and electricity (secondary resources of energy).
Renewable and Non-renewable Resources
The energy resources such as coal, oil and gas cannot be replenished and are likely to be depleted with time. These are known as non-renewable resources of energy. Their supplies are limited and when these supplies are over, we will not be able to use these resources.On the other hand, hydro energy, wind energy, biomass energy, solar energy, tidal and geo-thermal energy are renewable resources of energy. These can be replenished in a short period of time. So these resources will not be depleted if they are managed properly.
Commercial and Non-commercial Resources
The energy resources that are available in the market for a definite price are known as commercial energy resources. These include coal, oil,natural gas, electricity and refined petroleum products. There are certain energy resources that are not available in the commercial market for a price. These are called non-commercial energy resources. For example,cattle dung, agricultural wastes, solar energy for drying food products,animal power for transport, threshing, lifting water, etc., are not bought or sold at a price. These are also called traditional fuels.Non-commercial energy resources are often ignored in energy accounting.
As far as the electricity sector is concerned, you know that the major resources for generating electricity in our country are coal, oil, natural gas and hydro-power. Nuclear energy and renewable energy resources together provide only 8% of the total power produced in India (Fig.). Thus, at the moment, we shall talk only about the resource base comprising coal, oil and gas.
Let us take them up one by one.
What energy resources are available to us?
Fossil fuels were formed from the fossilized remains of tiny plants and animals that lived long ago.
These are actually manifestations of solar energy.
The Sun is the principal source of energy on our planet. Other common sources of energy are fossil fuels like coal, oil, natural gas, biomass (such as wood, agricultural waste, etc.), water, wind and nuclear energy.Some uncommon energy sources include geo-thermal energy and tidal energy. These energy resources are usually classified as: Primary and Secondary Resources, Renewable and Non-renewable Resources,and Commercial and Non-commercial Resources.
Primary and Secondary Resources
Primary energy resources are those that are found in nature. These are mostly converted into secondary resources in industrial utilities. For example, coal, oil and gas (primary energy resources) are converted into steam and electricity (secondary resources of energy).
Renewable and Non-renewable Resources
The energy resources such as coal, oil and gas cannot be replenished and are likely to be depleted with time. These are known as non-renewable resources of energy. Their supplies are limited and when these supplies are over, we will not be able to use these resources.On the other hand, hydro energy, wind energy, biomass energy, solar energy, tidal and geo-thermal energy are renewable resources of energy. These can be replenished in a short period of time. So these resources will not be depleted if they are managed properly.
Commercial and Non-commercial Resources
The energy resources that are available in the market for a definite price are known as commercial energy resources. These include coal, oil,natural gas, electricity and refined petroleum products. There are certain energy resources that are not available in the commercial market for a price. These are called non-commercial energy resources. For example,cattle dung, agricultural wastes, solar energy for drying food products,animal power for transport, threshing, lifting water, etc., are not bought or sold at a price. These are also called traditional fuels.Non-commercial energy resources are often ignored in energy accounting.
As far as the electricity sector is concerned, you know that the major resources for generating electricity in our country are coal, oil, natural gas and hydro-power. Nuclear energy and renewable energy resources together provide only 8% of the total power produced in India (Fig.). Thus, at the moment, we shall talk only about the resource base comprising coal, oil and gas.
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| Electric Power Generation Source-mix in India |
Let us now look at the other questions.
How fast are the energy resources being used up? How long will these last at current rates of consumption?
To answer these questions, we need to understand another term called the reserve/production (R/P) ratio. It is often used as a quick way of indicating how long current reserves will last at current production rates (see Note in the margin).For the purpose of estimating resource availability, we also classify the energy resource base into three categories:
a) “proven” (found and ready to be produced),
b) “probable” (expected to become proven in due course of time),
c) “speculative” (estimated but uneconomical for extraction).
Entrepreneurial drive and development of new technology can turn the energy resource base
•from ‘probable’ into ‘proven’, and
•from ‘speculative’ into ‘probable’ .
In this way, the life of the energy resource base can be extended for many more years. In fact, we can use an interesting insight from history and be optimistic about our energy future.
a) “proven” (found and ready to be produced),
b) “probable” (expected to become proven in due course of time),
c) “speculative” (estimated but uneconomical for extraction).
Entrepreneurial drive and development of new technology can turn the energy resource base
•from ‘probable’ into ‘proven’, and
•from ‘speculative’ into ‘probable’ .
In this way, the life of the energy resource base can be extended for many more years. In fact, we can use an interesting insight from history and be optimistic about our energy future.
Still we need to use our resources judiciously to make them last longer. How much longer can we make them last? This will depend on the resources available to us now and their rate of production and consumption. Let us look at the findings of the World Energy Council survey 2004 about this issue.
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| R/P Ratios for Coal, Oil and Natural Gas for the World |
What does the data in this table tell us? For example, the current world coal reserves are about 909 Gt (giga tons). Dividing this number by the current production rate of about 4.8 Gt per year, we obtain an R/P ratio of about 200 years. This is the origin of the statement “we have about 200 years of coal left”. What is the situation for oil and natural gas? The information is summed up below for the entire world:
Oil > 40 years
Natural Gas > 60 years
Coal > 200 years
The R/P ratio has limitations as an indicator of how long a reserve will last since it neglects the effects of growth in demand due to increase in population, and consumption. But it also neglects the effect of growth in reserves. Growth in reserves occurs as previously uneconomical deposits can be harnessed by improved technology. Still, it is a useful concept for reducing a large number
(of a resource reserve) to an understandable scale. Don’t you think that this statement is easier to understand: “We have 200 years of coal left at current mining rates” than this one: “We have 200 billion short tons of coal reserves”. In that sense, the R/P ratio is a useful tool. In Table, we have given similar data for India.
Oil > 40 years
Natural Gas > 60 years
Coal > 200 years
The R/P ratio has limitations as an indicator of how long a reserve will last since it neglects the effects of growth in demand due to increase in population, and consumption. But it also neglects the effect of growth in reserves. Growth in reserves occurs as previously uneconomical deposits can be harnessed by improved technology. Still, it is a useful concept for reducing a large number
(of a resource reserve) to an understandable scale. Don’t you think that this statement is easier to understand: “We have 200 years of coal left at current mining rates” than this one: “We have 200 billion short tons of coal reserves”. In that sense, the R/P ratio is a useful tool. In Table, we have given similar data for India.
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| R/P Ratios for Coal, Oil and Natural Gas for India |
Although India has huge coal reserves, it cannot use them as they tend to have high ash content and low calorific value (Fig.). Due to the low quality of much (73%) of its coal, India has to import sizeable quantities of coal for power generation.
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| Quality of Coal Available in India |
Data in Table tells us that the oil and gas reserves of India are not going to last very long at current rates of consumption. As it is, we rely on substantial imports of oil and gas. Keeping in view the price rise, the volatility and the instability of the oil and gas markets, we must focus our efforts on energy conservation with renewed vigour.You have learnt that energy conservation is needed for conserving energy resources and making them last longer. It is also necessary because theenergy technologies and consumption of energy are taking a heavy toll on the environment.
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