Environment & Climate Change

The subtitle tells the story. In the early 2000s, many pundits and politicians talked up “peak oil”, “energy scarcity,” and all that. In a geological heartbeat later—about a decade—the world had entered an era of “energy abundance,” largely due to innovations that allowed producers to crack into shale formations to release massive new sources of oil and gas. The United States has gone furthest and fastest in fracking and is setting records for oil and gas production. For the US, says O’Sullivan, this has been an economic, strategic, and environmental game-changer. For the rest of the world, the effects are more differentiated but hardly less profound.

The subtitle tells the story. In the early 2000s, many pundits and politicians talked up “peak oil,” “energy scarcity,” and all that. In a geological heartbeat later—about a decade—the world had entered an era of “energy abundance,” largely due to innovations that allowed producers to crack into shale formations to release massive new sources of oil and gas. The United States has gone furthest and fastest in fracking and is setting records for oil and gas production. For the US, says O’Sullivan, this has been an economic, strategic, and environmental game-changer. For the rest of the world, the effects are more differentiated but hardly less profound.

On her visit to the Harvard Kennedy School, Aminata Touré spoke with Faculty Chair of the Future of Diplomacy Project, Nicholas Burns. Their conversation was published on Harvard's website - in which the former Prime Minister stated that Africa is not getting enough from its resources due to its leaders

China’s displacement of Russian economic influence in Central Asia is generating great interest in Western academic and policy circles, but this research has, as yet, yielded few analytical nuances. This article attempts to shed light on the under-researched question of what explains Central Asian governments’ failure to more effectively capitalize on the growing Central Asian rivalry between Russia, China, the United States, Turkey, Iran, South Korea, Japan, and other regional powers that, since the early 1990s, has been overwhelmingly directed towards strategic energy considerations and hydrocarbon interests.

In the year since Russia and China signed a landmark $400bn natural gas pact in May 2014, rapid developments in the energy sector and the geopolitical situation offer a chance to re-examine the deal. Indeed, the aftermath of the pact saw a return to a world of cheaper oil—a situation driven by a number of factors outside of Russia’s control. The buffeting winds of broadbrush western sanctions have deepened the uncertain fiscal outlook for Russia’s hydrocarbon-driven economy, calling its financial resilience into question.

The Obama administration’s negative response to China’s proposed Asian Infrastructure Investment Bank was a strategic mistake. Though some Chinese moves might be destabilising and require US resistance, this initiative should have been welcomed.

The US should be careful about opposing ventures that are popular and likely to proceed. Losing fights does not build confidence. Moreover, the new bank’s purpose — to develop infrastructure in Asia — is a good goal. The world economy needs more growth. Many emerging markets are eager to boost productivity and growth by lowering costs of transportation, improving energy availability, enhancing communications networks, and distributing clean water.

The AIIB offers an opportunity to strengthen the very international economic system that the US created and sustained. The AIIB’s designated leader, Jin Liqun, a former vice-president of the Asian Development Bank, sought advice in Washington. He engaged an American lawyer who was the World Bank’s leading specialist on governance. He also reached out to another American who had served as World Bank country director for China and then worked with the US embassy.

If the AIIB was indeed threatening the American-led multilateral economic order, as its opponents seemed to believe, then its Chinese founders chose a curiously open and co-operative way of doing so.

The dramatic fall of oil prices is set to jeopardize both the U.S. ambition to become a big gas exporter by the end of this decade and the long-awaited development of a global gas market.

"...critics on the left have complained that he has not been able to get Congress to pass a tough energy bill before the Copenhagen conference on climate change. But Obama has helped to persuade China and India to announce useful efforts, and he will set an American target of reducing greenhouse emissions that should prevent the conference from being a failure."

"The world economy will shrink this year for the first time since 1945, and some economists worry that the current crisis could spell the beginning of the end of globalization....Globalization has several dimensions, and, though economists all too often portray it and the world economy as being one and the same, other forms of globalization also have significant effects — not all of them benign — on our daily lives."