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Energy diversity termed essential to security of U.S.
Tuesday, 26 December 2006 15:05
By JIM GENARO

If the U.S. does not begin an earnest effort to diversify its energy resources and reduce dependence on foreign oil, it will face an ever-growing threat of terrorism and war in the Middle East, Anne Korin told about 200 people at UNC Ashevilleës Humanities Lecture Hall Dec. 12.

The lecture, which was part of the World Affairs Council of Western North Carolinaës 2006-07 lecture series, was titled "Global Energy Security."


Korin is co-director of the Institute for the Analysis of Global Security and editor of Energy Security, as well as chair of the Set America Free Coalition.

Regarding the War on Terror, Korin told the audience, "I would submit to you that this is a very poor name for this war. Did we call World War II a ǃÚWar on Tanks?ë"

Rather, Korin argued, the U.S. is engaged in a war against Islamic fascism.


"Unfortunately, we are paying for both sides of this war," she added.


By purchasing oil from countries such as Saudi Arabia, which support Islamic extremism, the U.S. is helping to fund their opposition in the war, she explained.


More than 80 percent of the worldës oil reserves are "in countries where radical Islam is on the rise," Korin said. "You cannot win a war when youëre paying for both sides."


The U.S., she noted, accounts for only three percent of the worldës population, but is responsible for 25 percent of the worldës oil consumption.


"Terrorists realize that ... oil is the Achillesë heel of the West, Korin said. "Weëd better understand that."

She noted that a growing number of terrorist attacks both in Iraq and elsewhere in the Middle East, have targeted oil pipelines.

While most of these attacks have been relatively small in their impacts on U.S. oil prices, an attack on one of the larger pipelines in Saudi Arabia could have devastating effects, she said.


"You could easily send oil prices above $100 per barrel ÇƒÓ maybe even $150 per barrel ÇƒÓ overnight," Korin told the audience.


Furthermore, the U.S. faces growing competition from the developing world for oil resources, she noted.


China and India alone account for one-third of the worldës population, Korin said, adding, "And you know what, they donët want to ride bicycles any more. They want to be like us."


To that end, the Chinese government has been actively working to secure its energy sources both by diversifying its supplies of resources and by making deals with oil-producing nations to secure future access.


This includes working with countries like Iran and Sudan that the U.S. will not buy oil from for diplomatic or political reasons.


Korin referred to a Chinese proverb, saying, "If you donët change your course, you might get exactly where youëre headed.


"Resource war is not a place we want to be headed," she added.


One way out of the current dilemma surrounding oil dependency is through the diversification of energy sources, she said.


"We can shift (oil) from being a crucial commodity to being just another commodity in a couple of decades," Korin told the audience.


Iran has already begun such a process, she noted. Though it has vast oil resources, Iran has long depended on foreign imports of refined petroleum. However, it has begun a campaign to diminish its dependency on outside resources by shifting its transportation fleet to natural gas, which does not need to be refined to be used.


This gives the country a greater freedom to avoid the scrutiny of the international community, for whom oil embargoes are a major tool of diplomatic pressure.


"In five years, Iran will be immune to sanctions," Korin said. "We need to learn from Iran."


While the U.S. lacks the natural gas resources that Iran has, it does have "enormous biomass resources," she noted. This potential energy source could be tapped to produce ethanol, biodiesel and other alternative fuels to a much greater extent, she noted.


Brazil has begun such a process, she said, growing sugarcane to produce ethanol ÇƒÓ a much more efficient way to make the fuel than the traditional corn-based method.


However, the key to the fuelës success depends on the auto industry developing and marketing "flexible-fuel vehicles" ÇƒÓ automobiles that can run on any combination of gasoline, ethanol and methanol, Korin said.


Furthermore, the U.S. government needs to abolish the tax it charges on ethanol imports, she said. At a rate of 54 cents per gallon of ethanol, this tax, if applied to oil, would amount to $23 per barrel, she explained. If this tax were abolished, ethanol would be a much more competitively-priced fuel source.


Another strategy for energy-independence is to continue the development of electrically powered vehicles. While the current hybrid automobiles are much more efficient than standard cars, the next step, plug-in hybrids that can be charged from the power grid at night, will take a significant leap in energy efficiency, she said.


"You can have your SUV and eat it too," she joked. By drawing significantly from coal-generated electricity ÇƒÓ particularly at night when power plants are under-utilized ÇƒÓ plug-in hybrids will require much less petroleum, Korin noted.


"The point is not to ask people to do with less," she added. "People will do with less in an emergency ... but most people will not do with less over the long haul for any reason."


Therefore, she argued, the government should take steps to encourage technologies that allow greater efficiency and less oil use without imposing limitations on consumers.


Otherwise, she said, "we are facing a very serious threat."

 



 


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