Energy Tribune - China’s Oil Power Play - by Michael J. Economides

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China’s Oil Power Play - by Michael J. Economide

If one is looking for a sign of the changing world order, the size and scope of recent Chinese moves in the energy field should serve the purpose. It was only a few years ago that the US and its oil companies, in their quest to secure vital oil and gas, were accused of all sorts of transgressions from imperialistic exploitation to coddling corrupt regimes to finding pretexts to invade Iraq, twice. In retrospect it is not quite clear how much of “always blame the Americans even if you are wrong you are right” was justified, but one thing is certain. The insinuations implied that the US government and its foreign policy understood the importance of energy supply to its economy. This is no longer the case, with the American national debate (and that of several other developed countries) consumed by climate change, carbon emissions, and the preposterousness of solar and wind energies as substitutes for real energy sources. While any realistic and even charitable estimate puts solar and wind as contributing less than 1 percent of world energy demand for the next 20 years, more than 85 percent will still derive from oil, gas and coal; this while world energy demand will increase by more than 40 percent. The lion’s share of the latter will go to China.