What are the economic and environmental issues of energy production?

There is a range of economic and environmental challenges and benefits to the different types of energy production.

What are the economic and environmental issues of energy production?

Opportunities and challenges emerge when exploiting new or existing sources of energy. The impacts of developing or expanding the use of an energy source come with economic costs and environmental impacts.

What are the economic and environmental issues of different types of energy production?

Fossil fuels

There are some estimates that the Uk has enough coal to last between two to three hundred years. Rather than importing coal from other countries, why not mine the coal that exists within the UK? The North Sea has provided a significant amount of oil and gas, so why don’t we seek to explore new locations to find further reserves?

Nuclear power

The UK produces around 18 per cent of its energy by nuclear power, which is a fall from 25 per cent in the late 1990s. All nuclear energy plants were due to be decommissioned by 2023. However, new-generation nuclear power plants will be built and commissioned by 2025. Many people see nuclear power as a clean form of energy production and believe that its use will help the UK meet its CO2 emissions targets. However, there are significant risks associated with nuclear energy production, including storing or disposing of radioactive waste and the risk of meltdown.

Renewable energy

The use of renewable energy is seen as a significant solution to maintaining the supply of electricity in the future. For example, significant investment has been made in offshore wind farms off the Holderness Coast. However, there are considerable concerns about the visual impact of wind farms. A recent application to construct an off-shore wind farm on the Dorset Coast was turned down as it is a World Heritage site. Wind farms must be constructed in exposed locations to maximise their exposure to wind. It causes conflict because these places often have a high scenic value.

Economic and environmental issues of energy production

Fossil Fuels

Economic Opportunities

Jobs are created in supporting industries providing equipment. This brings jobs and money into the area and is known as the multiplier effect.

Economic Challenges

The remaining coal in the UK is mostly deep underground in hard to reach areas. This makes it much more expensive to mine.

The UK has to import coal from other countries as its last mine closed in 2015.

The environmental impact of coal mining is significant and therefore it is expensive to clean up.

In some areas, former coal mines have been built over. The collapse of tunnels has led to subsidence which has been expensive to repair.

Former miners often experience health problems. This puts a financial burden on the NHS. Also, burning fossil fuels leads to respiratory problems, again costing the NHS a significant amount of money treating and supporting those affected.

Burning fossil fuels leads to the enhanced greenhouse effect. One impact of this is rising sea levels. It will be very expensive to protect coastal communities from flooding by building sea defences.

Environmental Challenges

Burning fossil fuels contributes to the enhanced greenhouse effect leading to climate change. It also causes acid rain.

Opencast mines cause visual and noise pollution along with dust which affects wildlife and disturbs local people. They also take up vast areas of land.

Pollution and congestion can be caused by vehicles accessing the site.

Gas and oil terminals on the coast take up large areas of land and the construction of pipelines can be damaging to the environment. The image below shows the gas terminal to the north of Easington on the Holderness Coast.

Environmental Opportunities

Nuclear

Economic Opportunities

The nuclear power industry creates a considerable number of jobs in research and development. Once power stations are constructed, they are viewed as cheap sources of energy.

Economic Challenges

Environmental Challenges

Environmental Opportunities

Renewables

Economic Opportunities

Many jobs have been created in research and development and the manufacture of wind turbines and solar energy panels. For example, Siemens has recently constructed a £160 million off-shore wind turbine factory at Green Port Hull, in Yorkshire, creating around 1000 jobs.

Economic Challenges

Environmental Challenges

Environmental Opportunities

Fracking: a new energy production issue in the UK

Fracking is increasingly being explored as a method of extracting gas that is trapped in rocks deep below the surface of the Earth. Fracking involves injecting a mixture of sand, water and chemicals at high pressure into a hole drilled into the rock, causing the rock to split and release gas. This method of extraction has been used in the North Sea oil and gas fields for many years.

The fracking process

There are a number of areas where fracking is being considered. These include Yorkshire, Lancashire and the East Midlands.

The economic and environmental challenges and opportunities of fracking include:

the pollution of groundwater by hydraulic fracturing fluids, which can contaminate groundwater;
a significant amount of water is used in the process can put pressure on local supplies; and
the incidence of low-level earthquakes.

Fracking can bring several economic benefits, including: