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Essay on fuel crisis in pakistan

Large fluctuations and manipulations in future derivatives can have a substantial impact on price. Large investment banks control 80% of oil derivatives as of May 2012, compared to 30% only a decade ago. [1] This increase contributed to an improvement of global energy output from 117 687 TWh in 2000 to 143 851TWh in 2008. [2] Limitations on free trade for derivatives could reverse this trend of growth in energy production. Kuwaiti Oil Minister Hani Hussein stated that "Under the supply and demand theory, oil prices today are not justified," in an interview with Upstream. [3]

Plateauing of petroleum productions in traditional oil producing counties such as Saudi Arabia along with political instabilities in countries like Iraq, Iran and Nigeria has led to scenario where demand outstrips the supply.

Attacks by terrorists on important infrastructure are a possible problem for energy consumers: a successful strike on a West Asian facility could potentially cause global shortages. Political events—change of governments due to regime change, monarchy collapse, military occupation or a coup—may disrupt oil and gas production and create shortages.

The rising oil prices since 1999, leaded to the global economic crisis in 2000-2001. As a result, the world GDP growth experienced a decrease from 1999-2004. Due to the expectations that is related to OPEC supply cuts, political tensions in Venezuela and strict stocks increased international crude oil and good prices in March 2004, market conditions are more volatile than usual, United States were trying to increase crude oil prices. Greater fuel prices lead to higher unemployment rates and compounding budget deficit issues in many OECD and other oil importing nations.

As a landlocked nation , Nepal imports all of its petroleum supplies from India. Roughly 300 fuel trucks enter from India on a normal day, but this has dwindled to a sporadic passage of 5–10 fuel trucks daily since the start of the crisis, though shipments of perishables like fruits and vegetables have generally been allowed to pass. Moreover, India had also been stopping some Nepalese trucks at the Kolkata harbour. [3] The blockade choked imports of not only petroleum, but also medicines and earthquake relief material. [4]

In the worst kind of energy crisis energy rationing and fuel rationing may be incurred. Panic buying may beset outlets as awareness of shortages spread.

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Not more than 20,000 MW worth capacity addition was expected by the end of the Eighth Plan, against the targeted 30,538 MW. The requirement of capacity addition in the Ninth Plan was 57,000 MW. Therefore, the private sector participation is one of the most realistic options for augmenting the power generating capacity. In 1999-2000 (April-November), billion KW of power was generated but still power shortages continued due to gross mismanagement at all levels.

Essay on fuel crisis in pakistan

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Fuel Crisis Essay - 659 Words - StudyMode

Energy crisis - Wikipedia

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essay on fuel crisis in pakistan
essay on fuel crisis in pakistan

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