"The Power To Change"
-The Economist September 15th, 2005-
This article deals with the scarcity of energy resources that Britain will face in the next decade. Unlike many industrialized nations, Britain has always been self-sufficient in producing its own energy. That will change in the upcoming years, however, as factors such as the intervention of environmental organizations and the deterioration of current infrastructures continue to escalate in numbers. In order to counter these issues, Britain is attempting to replace these aging power plants with renewable energy resources.
Relation to Chapter 1 – Scarcity, Opportunity Costs
Britain's energy resources come from the North Sea. As supplies decline, Britain will be forced to import energy from other nations. This scarcity of natural resources is a major factor that will determine Britain's international status. Since Britain can no longer fuel its industries with unacceptable coal power plants by 2012 (they need expensive chimney-scrubbing equipments), many opportunity costs will have to be considered. For example, the money that could have been used for something else will need to be contributed to creating new and environmentally-friendly power plants. In addition, it will be catastrophic for the mining industry, because many qualified skills-men will have to be displaced (the time wasted while being unemployed is an opportunity cost). Moreover, the cost of building and maintaining a nuclear power plant is costly (nuclear energy is Britain's idea of a "renewable and environmentally-friendly" resource). With energy prices soaring nowadays, and new regulations being implanted regarding the type of resources being used (by 2012), will Britain become the new Albania*?
*Albania has petroleum supplies, but cannot extract them. Britain has coal supplies, but cannot use them. Albania is very poor (economically speaking), and Britain may soon be poor as well.
