Global environmental issues
INTRODUCTION
Environmental issues are attributed to natural or human activities, which lead to deterioration of environmental quality or ecological system disorders, and adversely affect industrial production and humans’ daily life. Environmental issues may also result in detrimental effects on human health. There are a variety of environmental issues, which can be divided into two categories. One is the environmental problems caused by natural evolution and disasters, also called the first environmental problems. The other is the secondary environmental problems caused by human activities, also called the second environmental issues.
Overview of Crude Oil
As the dominant source of energy needs, crude oil has held influence over the politics and economic strategies worldwide more than any other commodity, causing instability, dispute and war.
As illustrated below, close to 50 percent of the world’s oil reserves are located in the Middle East, a region which has suffered repeated geopolitical tensions and instability throughout the years. Saudi Arabia has 265 billion barrels of reserves and is the world’s largest holder of oil reserves, as well as the largest producer, along with Russia. Seventy percent of the reserves are held by OPEC member countries.
Figure 1: Oil reserves around the world
Source：Deutsche Bank, BP Statistical Review
Crude oil demand has experienced sustained growth worldwide over the past 15 years. As is shown in figure 2 below, Asia Pacific (33%), North America (25%) and Europe (22%) remained the largest three consumers of oil. In 2009, the level of world demand was estimated to have stood near 84.6 Mbbl/d, down from a peak of 86.3 Mbbl/d in 2007, reflecting the impact of the financial crisis. However, demand has recovered and for 2012 was expected to be three percent above the 2007 pre-crisis peak. China, India and Brazil in particular have seen strong demand growth driven by rapid industrialization and a strong GDP-Oil
Environmental issues are attributed to natural or human activities, which lead to deterioration of environmental quality or ecological system disorders, and adversely affect industrial production and humans’ daily life. Environmental issues may also result in detrimental effects on human health. There are a variety of environmental issues, which can be divided into two categories. One is the environmental problems caused by natural evolution and disasters, also called the first environmental problems. The other is the secondary environmental problems caused by human activities, also called the second environmental issues.
Overview of Crude Oil
As the dominant source of energy needs, crude oil has held influence over the politics and economic strategies worldwide more than any other commodity, causing instability, dispute and war.
As illustrated below, close to 50 percent of the world’s oil reserves are located in the Middle East, a region which has suffered repeated geopolitical tensions and instability throughout the years. Saudi Arabia has 265 billion barrels of reserves and is the world’s largest holder of oil reserves, as well as the largest producer, along with Russia. Seventy percent of the reserves are held by OPEC member countries.
Figure 1: Oil reserves around the world
Source：Deutsche Bank, BP Statistical Review
Crude oil demand has experienced sustained growth worldwide over the past 15 years. As is shown in figure 2 below, Asia Pacific (33%), North America (25%) and Europe (22%) remained the largest three consumers of oil. In 2009, the level of world demand was estimated to have stood near 84.6 Mbbl/d, down from a peak of 86.3 Mbbl/d in 2007, reflecting the impact of the financial crisis. However, demand has recovered and for 2012 was expected to be three percent above the 2007 pre-crisis peak. China, India and Brazil in particular have seen strong demand growth driven by rapid industrialization and a strong GDP-Oil