Chapter 3: Energy
Rebecca Strätling INTRODUCTION Energy is one of the fundamentals on which modern society, not just in Europe, but in the whole world, rests. Without eﬃcient energy industries it would be impossible to achieve the current state of national and international communication, mobility, trade and economic growth. Consequently the energy sector is seen as particularly important for economic development. The energy industry is part of the primary sector of the economy. The demand for energy is derived from the demand for other products. Energy is used in the production of heat, light, motion and communication which in turn enables energy users to cook meals, heat houses, drive automobiles, utilise electrical tools and machinery in industrial production, use electronic means of communication and so on. The main factors which inﬂuence the global demand for energy are the climate, the level of economic activity, per capita income and the size of the population. Colder weather, economic growth, rising real incomes and population growth consequently lead to an increase in the demand for energy. Energy used by industry and private households is partly derived directly from primary sources like oil, natural gas and coal and partly from electricity generated from primary sources like fossil fuels (coal, oil and natural gas), nuclear energy and renewable energy (for example hydro and wind power, biomass or geothermal energy). For statistical purposes, energy resources which are directly used by private households, industry or for transport purposes (ﬁnal energy consumers) are classiﬁed as secondary energy,...
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