Energy industry overview

ENERGY INDUSTRYOVERVIEW

Includes energy source, System, efficiency, development, consumption and emerging technologies

Energy Industry

The energy industry is the totality of all of the industries involved in the production and sale of energy, including fuel extraction, manufacturing, refining and distribution. Modern society consumes large amounts of fuel, and the energy industry is a crucial part of the infrastructure and maintenance of society in almost all countries.

In particular, the energy industry comprises: the petroleum industry, including oil companies, petroleum refiners, fuel transport and

end-user sales at gas stations the gas industry, including natural gas extraction, and coal gas manufacture, as well

as distribution and sales the electrical power industry, including electricity generation,

electric power distribution and sales the coal industry the nuclear power industry the renewable energy industry, comprising alternative energy and sustainable energy

companies, including those involved in hydroelectric power, wind power, and solar power generation, and the manufacture, distribution and sale of alternative fuels

traditional energy industry based on the collection and distribution of firewood, the use of which, for cooking and heating, is particularly common in poorer countries

Energy economics

Production and consumption of energy resources is very important to the global economy. All economic activity requires energy resources, whether to manufacture goods, provide transportation, run computers and other machines.

Widespread demand for energy may encourage competing energy utilities and the formation of retail energy markets. Note the presence of the "Energy Marketing and Customer Service" (EMACS) sub-sector.[

Energy demand management

Since the cost of energy has become a significant factor in the performance of economy of societies, management of energy resources has become very crucial. Energy management involves utilizing the available energy resources more effectively that is with minimum incremental costs. Many times it is possible to save expenditure on energy without incorporating fresh technology by simple management techniques.[2] Most often energy management is the practice of using energy more efficiently by eliminating energy wastage or to balance justifiable energy demand with appropriate energy supply. The process couples energy awareness with energy conservation.

Classifications

Government The United Nations developed the

International Standard Industrial Classification, which is a list of economic and social classifications.[3] There is no distinct classification for an energy industry, because the classification system is based on activities, products, and expenditures according to purpose.[4]

Countries in North America use the North American Industry Classification System (NAICS). The NAICS sectors #21 and #22 (mining and utilities) might roughly define the energy industry in North America. This classification is used by the U.S. Securities and Exchange Commission.

Financial market The Global Industry Classification Standard used by Morgan Stanley

define the energy industry as comprising companies primarily working with oil, gas, coal and consumable fuels, excluding companies working with certain industrial gases.[5]

Add also to expand this section: Dow Jones Industrial Average[6]

Environmental impact of the energy industry Energy industry generate considerable pollution, including

toxic and greenhouse gases from fuel combustion, nuclear waste from the generation of nuclear power, and oil spillages as a result of petroleum extraction.

Burning fossil fuels for electricity generation, generates air pollutants including carbon dioxide (CO2), sulfur dioxide and trioxide (SOx) and nitrogen oxides (NOx). Carbon dioxide is an important greenhouse gas which is thought to be responsible for some fraction of the rapid increase in global warming and has an effect on the environment.

also releases trace metals such as beryllium, cadmium, chromium, copper, manganese, mercury, nickel, and silver into the environment, which also act as pollutants

Efficient energy sector.

Fuel switching in the power sector from coal to natural gas;

Power plant optimisation and other measures to improve the efficiency of existing CCGT power plants;

Combined heat and power (CHP), from micro-scale residential to large-scale industrial;

Waste heat recovery

Best available technology (BAT) (BAT) offers supply-side efficiency levels far higher

than global averages. The relative benefits of gas compared to coal are influenced by the development of increasingly efficient energy production methods. According to an impact assessment carried out for the European Commission, the levels of energy efficiency of coal-fired plants built have now increased to 46-49% efficiency rates, as compared to coals plants built before the 1990s (32-40%).[10] However, at the same time gas is can reach 58-59% efficiency levels with the best available technology.[10] Meanwhile, combined heat and power can offer efficiency rates of 80-90%.[1

Energy policy

Energy policy is the manner in which a given entity (often governmental) has decided to address issues of energy development including energy production, distribution and consumption. The attributes of energy policy may include legislation, international treaties, incentives to investment, guidelines for energy conservation, taxation and other public policy techniques.

Smart Grid

A smart grid is a modernized electrical grid that uses information and communications technology to gather and act on information, such as information about the behaviors of suppliers and consumers, in an automated fashion to improve the efficiency, reliability, economics, and sustainability of the production and distribution of electricity.[1]

Smart grid policy is organized in Europe as Smart Grid European Technology Platform.[2] Policy in the United States is described in 42 U.S.C. ch. 152, subch. IX § 17381.

Energy security

Energy security is the intersection of national security and the availability of natural resources for energy consumption. Access to cheap energy has become essential to the functioning of modern economies. However, the uneven distribution of energy supplies among countries has led to significant vulnerabilities.

Threats to energy security include the Political instability of several energy producing countries, the manipulation of energy supplies, the competition over energy sources,

Dominant countries reliance to the foreign oil supply.[14] The limited supplies, uneven distribution, and rising costs

of fossil fuels, such as oil and gas, create a need to change to more sustainable energy sources in the foreseeable future

CONTINUES

Energy security has become one of the leading issues in the world today as oil and other resources have become as vital to the world's people. However with oil production rates decreasing and oil production peak nearing the world has come to protect what resources we have left in the world.

With new advancements in renewable resources less pressure has been put on companies that produce the worlds oil, these resources are, geothermal, solar power, wind power and hydro-electric. Although these are not all the current and possible future options for the world to turn to as the oil depletes the most important issue is protecting these vital resources from future threats. These new resources will become more useful as the price of exporting and importing oil will increase due to increase of demand.

Energy development

Producing energy to sustain human needs is an essential social activity, and a great deal of effort goes into the activity. While most of such effort is limited towards increasing the production of electricity and oil, newer ways of producing usable energy resources from the available energy resources are being explored. One such effort is to explore means of producing hydrogen fuel from water. Though hydrogen use is environmentally friendly, its production requires energy and existing technologies to make it, are not very efficient. Research is underway to explore enzymatic decomposition of biomass.[15]

Other forms of conventional energy resources are also being used in new ways. Coal gasification and liquefaction are recent technologies that are becoming attractive after the realization that oil reserves, at present consumption rates, may be rather short lived. See alternative fuels.

Transportation

All societies require materials and food to be transported over distances, generally against some force of friction. Since application of force over distance requires the presence of a source of usable energy, such sources are of great worth in society.

While energy resources are an essential ingredient for all modes of transportation in society, the transportation of energy resources is becoming equally important. Energy resources are frequently located far from the place where they are consumed. Therefore their transportation is always in question. Some energy resources like liquid or gaseous fuels are transported using tankers or pipelines, while electricity transportation invariably requires a network of grid cables. The transportation of energy, whether by tanker, pipeline, or transmission line, poses challenges for scientists and engineers, policy makers, and economists to make it more risk-free and efficient.

Energy crisis

Economic and political instability can lead to an energy crisis. Notable oil crises are the 1973 oil crisis and the 1979 oil crisis. The advent of peak oil, the point in time when the maximum rate of global petroleum extraction is reached, will likely precipitate another energy crisis.

Energy Autonomy

The Economic, Social & Technological Case for Renewable Energy is a 2006 book written by Hermann Scheer.

For 200 years industrial civilization has relied on the combustion of abundant and cheap fossil fuels. But continued reliance has had some adverse social and environmental consequences. The solution, explains Scheer, is to make the transition to renewable energy and distributed, decentralized energy generation. Scheer argues that this is a model that has been proven, technologically, commercially and politically. Much progress with renewable energy commercialization has already been made in Europe where the renewable energy industry is a multi-billion Euro industry with high growth rates

Energy intensity of different economies

The graph shows the ratio between energy usage and GDP for selected countries. GDP is based on 2004 purchasing power parity and 2000 dollars adjusted for inflation.[4]

Energy System and EfficiencyEnergy System http://needtoknow.nas.edu/energy/interactive/our-

energy-system/Energy Efficiency Increasing the energy supply is not the only answer to a

stable energy future. Reducing demand through the improved efficiency of devices and procedures has the same end result. Learn about energy efficiency “wins” from the past and areas showing potential for the future.

Understanding the Efficiency http://needtoknow.nas.edu/energy/interactive/

understanding-efficiency/

Energy consumption by sector

Industrial users (agriculture, mining, manufacturing, and construction) consume about 37% of the total 54 PJ (15 TWh). Personal and commercial transportation consumes 20%; residential heating, lighting, and appliances use 11%; and commercial uses (lighting, heating and cooling of commercial buildings, and provision of water and sewer services) amount to 5% of the total.

Energy Sources

The Sun,

Electricity,

Fossil Fuels,

Nuclear,

Renewable Energy resources,

Emerging Technologies

Our energy supply comes mainly from fossil fuels, with nuclear power and renewable sources rounding out the mix. These sources originate mostly in our local star, the Sun. Electricity falls into its own category because it’s an energy carrier and not a primary source. Here we explore the pros and cons of each resource and look at some of the emerging technologies that could transform our energy situation in the future.

The sun

Solar radiation reaches Earth with more than enough energy in a single square meter to illuminate five 60-watt lightbulbs if all the sunlight could be captured and converted to electricity.

The Sun’s energy warms the planet’s surface, powering titanic transfers of heat and pressure in weather patterns and ocean currents. The resulting air currents drive wind turbines. Solar energy also evaporates water that falls as rain and builds up behind dams, where its motion is used to generate electricity via hydropower.

However, use solar energy in its secondhand form: fossil fuels

Electricity

Electricity can’t be mined from the ground like coal or captured from moving air like wind. So it is called a secondary source of energy, meaning that it is derived from coal and wind, as well as other primary sources, including natural gas, nuclear reactions, and hydropower. Electricity plays such an essential role in contemporary America that its supply and demand are often examined separately from the primary sources used to produce it.

Electricity generating plants now consume two-fifths of energy from all sources, including about 90% of America’s coal and nearly 30% of its natural gas.

Fossil Fuels

Coal,

Oil,

Natural Gas

84% of its total energy from oil, coal, and natural gas, all of which are fossil fuels. We depend on fossil fuels to heat our homes, run our vehicles, power industry and manufacturing, and provide us with electricity

Coal 49% of electricity came from coal,

more than twice the contribution of either nuclear power or natural gas.

continues

Oil At present, total world consumption is

approximately 85 million barrels per day 37% of its energy from petroleum, or oil, and

experts project that demand for this fuel will stay strong over the next 20 years

Natural gas Natural gas provides 24% of our energy Natural gas is used to heat more than half

the homes in the world

Nuclear Energy

As of 7 March 2013, the world had 434 operable reactors with 66 others currently under construction.

Nuclear power meets 13–14% of the world's electricity demand

The ability to control nuclear fission reactions, in which atoms of radioactive elements such as uranium split apart into smaller atoms and liberate energy in the process, represents one of the great technological feats of the twentieth century. Harnessed as heat, the released energy boils water, producing steam that turns turbines, thereby being converted to mechanical energy that generates electricity. Nuclear energy currently provides 20% of total electricity generation

According to government estimates, output from nuclear power plants is expected to increase 10% by 2030.

Renewable Energy

Geothermal,

Wind,

Solar,

Hydroelectric,

Biomass

Renewable energy and Renewable energy commercialization

Renewable energy comes from natural resources such as sunlight, wind, rain, tides, and geothermal heat, which are renewable (naturally replenished). As of 2010, about 16% of global final energy consumption comes from renewables, with 10% coming from traditional biomass, which is mainly used for heating, and 3.4% from hydroelectricity. New renewables (small hydro, modern biomass, wind, solar, geothermal, and biofuels) accounted for another 2.8% and are growing very rapidly.[40] The share of renewables in electricity generation is around 19%, with 16% of global electricity coming from hydroelectricity and 3% from new renewables

Geothermal Energy

Geothermal energy is used commercially in over 70 countries

Geothermal energy is produced by the heat of Earth’s molten interior. This energy is harnessed to generate electricity when steam (or hot water which is later converted to steam) from deep underground is used to drive a turbine on an electric power generator. Moderate to low temperature geothermal resources are also used to heat buildings directly and to provide space heating through district heating systems.It generates more electricity from geothermal energy than any other country in the world.

Geothermal energy is a domestic energy source with relatively benign effects on the environment.

Wind Energy

83 countries around the world are using wind power on a commercial basis

Wind energy is a form of solar energy created by a combination of factors, including the uneven heating of Earth’s atmosphere by solar radiation, variations in topography, and the rotation of the Earth. People have been putting wind energy to use throughout history to propel sail boats, mill flour from grain, and pump water. Today the wind-induced motion of huge multiblade rotors—sweeping circles in the air over 100 yards in diameter—transforms the rotors’ mechanical power into electricity.

Solar Energy

International Energy Agency projected that solar power could provide "a third of the global final energy demand after 2060, while CO2 emissions would be reduced to very low levels.

Sunlight is Earth’s most abundant energy source and is delivered everywhere free of charge. Yet direct use of solar energy—that is, harnessing light’s energy content immediately rather than indirectly in fossil fuels or wind power—makes only a small contribution to humanity’s energy supply. In practice, it will require considerable scientific and engineering progress in the two ways of converting the energy of sunlight into usable forms.

Photovoltaic systems are routinely employed to power a host of devices—from orbiting satellites to pocket calculators—and many companies make roof-sized units for homes and office buildings.

Hydroelectric Energy

Hydropower is produced in 150 countries, with the Asia-Pacific region generating 32 percent of global hydropower in 2010

Until recently, hydropower provided the largest contribution to our renewable energy supply, and its significance to renewable energy sources is still great. In 2008, hydropower accounted for about 2.5% of our total energy production. All of the energy generated through hydropower goes toward electricity generation, and in 2008, 6% of our electricity came from this source.

All of the energy generated through hydropower goes toward electricity generation, and in 2008, 6% of our electricity came from this source.

Biomass

Biomass electricity generation increased by over 100% in Germany, Hungary, the Netherlands, Poland, and Spain

Of all the renewable energy sources, biomass (biological matter that can be used as fuel or for industrial production) contributes the most to the energy supply. In 2008, 7% of our energy came from renewable sources, and nearly 4% of that was from biomass.

Experts predict the contribution from biomass will likely increase more than 55% by 2030.

Emerging technology Status

Potentially marginalized technologies

Potential applications

Related articles

Airborne wind turbine

Research[49][50]

[51] Fossil fuels Producing electricity KiteGen

Artificial photosynthesis

Research, experiments[52] growing interest in a macroscience global project [53]

Fossil fuel or 'archived' photosynthesis

Improve natural photosynthesis, so roads buildings and vehicles convert sunlight and water into hydrogen and carbon dioxide into carbohydrates

Sustainocene, Renewable energy, Nanotechnology

Biofuels Diffusion[54] Fossil fuels

Energy storage, more so for transport

Issues relating to biofuels

Emerging Technologies in Energy Industry

Concentrated solar power

Growing markets in California, Spain, Northern Africa[55]

Fossil fuels, photovoltaics

Producing electricity

DESERTEC, BrightSource Energy, Solar Millennium

Electric double-layer capacitor

Diffusion, continued development[56]

Chemical batteries

Regenerative braking; energy storage: generally faster charging, longer lasting, more flexible, greener

Energy harvesting

Experiments Batteries

Constant energy source for mobile, wearable and ubiquitous devices

Flywheel energy storage

Some commercial examples

Fusion power

Hypothetical, experiments; for 60+ years[57]

Fossil fuels, renewable energy, nuclear fission power

Producing electricity, heat, fusion torch recycling with waste heat

ITER, NIF, Polywell, Dense plasma focus, Muon-catalyzed fusion

Fusion powerHypothetical, experiments; for 60+ years[57]

Fossil fuels, renewable energy, nuclear fission power

Producing electricity, heat, fusion torch recycling with waste heat

ITER, NIF, Polywell, Dense plasma focus, Muon-catalyzed fusion

Generation IV reactor

Research, Experiments

Traditional nuclear power reactors, fossil fuels

Producing electricity, heat, transmutation of nuclear waste stockpiles from traditional reactors

Grid energy storage

Increasing use

Home fuel cellResearch, commercialisation[58][59][60]

Electrical gridOff-the-grid, producing electricity

Autonomous building, Bloom Energy Server

Hydrogen economy

Diffusion of hydrogen fuel cells; Hypothetical, experiments for lower cost hydrogen production[61]

Other energy storage methods: chemical batteries, fossil fuels

Energy storage

Generation IV reactor

Research, Experiments

Traditional nuclear power reactors, fossil fuels

Producing electricity, heat, transmutation of nuclear waste stockpiles from traditional reactors

Grid energy storage

Increasing use

Home fuel cellResearch, commercialisation[58][59][60]

Electrical gridOff-the-grid, producing electricity

Autonomous building, Bloom Energy Server

Hydrogen economy

Diffusion of hydrogen fuel cells; Hypothetical, experiments for lower cost hydrogen production[61]

Other energy storage methods: chemical batteries, fossil fuels

Energy storage

Lithium iron phosphate battery

Commercialization

Lithium-air battery

Research, experiments[62]

Other energy storage methods: hydrogen, chemical batteries, some uses of fossil fuels

Laptops, mobile phones, long-range electric cars; storing energy for electric grid

Molten salt battery

Applications and continuing research

Molten salt reactor

Research, Experiments

Traditional nuclear power reactors, fossil fuels

Producing electricity, heat

Nanowire battery

Experiments, prototypes[63][64]

Other energy storage methods: hydrogen, chemical batteries, some uses of fossil fuels

Laptops, mobile phones, long-range electric cars; storing energy for electric grid

NantennaResearch[65][66]

[67] Fossil fuelsProducing electricity

Silicon–air battery

Experiments

Smart gridResearch, diffusion[68][69][70]

Smart meter, SuperSmart Grid

Solar roadwayResearch[71][72]

[73] Fossil fuelsProducing electricity

Space-based solar power

Hypothetical

horium fuel cycle

Research started in the 1960s, still ongoing

Uranium based nuclear power, fossil fuels

Producing electricity, heat

Vortex engine

Chimney Cooling tower Solar updraft tower

Power generation.

Wireless energy transfer

Prototypes, diffusion, short range consumer products[74]

Power cords, plugs, batteries

Wirelessly powered equipment: laptop, cell phones, electric cars, etc.

WiTricity, resonant inductive coupling