The Advantages and Disadvantages of Petroleum Industry Essay Example

The Advantages and Disadvantages of Petroleum Industry

Lecturer:

Introduction

reliant on petroleum for majority of their needs (Occupytheory, 2014). Similarly, almost all cars run on gasoline or petrol that comes from non-refined oil. In spite of the novel evidence that combusting oil results in huge pollution, as well as green house warming, no action has been taken to stop its usage (Abhishek, 2011). There are many advantages and disadvantages of the petroleum industry. However, this paper will focus on three important aspects, which include the environmental, business and health aspects with some advantage and disadvantage effects. It further explains how some countries power electricity by using oil, although it has been reducing as petroleum costs have considerably raised in current years. The petroleum industry is a diverse and crucial part of the global economy (Abhishek, 2011). A broad range of expertise goes in the discovery, distribution and production of oil, which is one of the most essential commodities in the world. It plays a significant part in some of the largest industries like petrochemicals, power, transport and chemicals. The easy availability and high energy density have made the humankind entirely

obtain worthy products, such as petrol and diesel is rather easy (Onigbinde, 2014).is quite mature and old. This means that oil purification to In addition, the technology of refining oil rates of natural methane.emissionsubsurface reservoir pressure, which leads to a reduction in the rate of hydrocarbon seepage. This reduction in hydrocarbon seepage results in reduction of the The Petroleum industry is considered environmentally advantageous since oil is easy to refine and produce even though majority of the low cost sites have already been exhausted (Aigbedion & Iyayi, 2007). This is beneficial as it results in decrease in

(Abhishek, 2011). However, the industry is rather environmentally unfriendly (Onigbinde, 2014) since combustion of petroleum discharges carbon dioxide into the atmosphere, which is kept away for years within the bodies of dead animals and plants. The carbon transfer to the environment leads to the formation of greenhouse gases that are suspected of causing global warming

Additionally, oil spillage brings about environmental hazards (Great Lakes Commission, n.d.). Since petroleum is relatively cheap and is easily distributed via sea tankers, pipelines, trucks and rail, the distribution techniques do have limitations. Oil spills from sea tankers have brought about water pollution, which has widely damaged the ocean ecosystems. It has led to thousands of death of fishes and animals each year besides damaging the ecology (Aigbedion & Iyayi, 2007).

The Petroleum industry is also believed to have business benefits such as being easy to transport hence easily available (Occupytheory, 2014). It is extensively spread out in nearly every region of the world, as a huge infrastructure exists for storing and transporting petroleum through tankers, pipelines and ships. Since oil is also in liquid state, it makes it accessible all over the world. Additionally, its management is stated to be comparatively easy.

Reliability, as well as constant power source is an additional business benefit of setting up a petroleum industry (Abhishek, 2011). Unlike wind and solar energy, oil is highly reliable and can yield power for 24 hours. Its engines run on a fully developed technology and are extremely dependable to work with. (Great Lakes Commission, n.d.).

However, the petroleum industry as a business possesses various disadvantages such as growth in violence and terrorism (Terry, 2007). Oil is mined within some of the most horrible dictatorship countries like Africa and Saudi Arabia. The money yielded immediately goes into the pockets of these tyrants who collect billions of dollars. This brings about a growth in terrorism and violence as this money is used for personal gain, instead of funding the organizations, as well as helping the economy of the country (Terry, 2007).

Similarly, the petroleum industry produces a non-renewable form of energy resource (Occupytheory, 2014). Once petroleum is burned to produce electricity, it cannot be replaced thus the depletion of fuels occurs overtime. This decrease in fossil fuels can result in limited petroleum supply. When the demands are high and the supply is limited, the price of petroleum will considerably increase and this can result in economic conflicts between countries (Onigbinde, 2014). Therefore, it is essential that people should look for alternative energy resources so that oil reserves can be sustainable for the next 100 years.

Based on studies, nearly half of petroleum reserves have been used. Approximately two trillion barrels have been used (Abhishek, 2011). Simply one trillion barrels are remaining. Even though petroleum is a natural fossil fuel, the ever-increasing price of the commodity within the market clearly indicates that petroleum resources are diminishing. Additionally, power plants are having a hard time to extract petroleum underneath the earth’s surface since reserves are almost in shortage (Occupytheory, 2014). However, there might be other petroleum sources in the world though experts are frightened that these sources cannot generate sufficient petroleum to sustain the needs of human beings.Oil also has limited resources.

The petroleum industry is further believed to have health benefits such as being a vital constituent within a broad variety of industries (Abhishek, 2011). It is used as a raw material in the production of human products, such as medicine, Vaseline and cloth. Petroleum also has a wide area of application. It is the main energy resource used in power plants. Similarly, it is employed to power motors of all types including power generators, vehicles and heavy equipment (Occupytheory, 2014). This is beneficial as it satisfies the individual’s needs of moving quickly from one place to another.

This makes it of use because its high density has turned it to be the ideal option for use in hospital and other automobiles as fuel. Abhishek (2011), an average of 1kg of burnt oil can yield approximately 10,000 kcal (kilocalorie).For instance, according toAdditionally, oil is considered advantageous since it has a high energy density. This implies that a small amount of it can yield a big amount of energy.

However, the industry is health wise disadvantageous since it has also led to the generation of very toxic and harmful materials during purification (Abhishek, 2011). Plastic is among the most dangerous substances produced. Since petroleum is a combination of hydrocarbons, refining it results in the production of harmful solids and gases like plastic and carbon monoxide.

Emission of harmful substances such as acid rain, carbon monoxide and sulfur dioxide is another disadvantage of the petroleum industry (Abhishek, 2011). Petroleum plants release harmful substances like sulfur dioxide, which give rise to health hazards amongst the surrounding population. Additionally, the gases form acid rain once they react with rainwater resulting in health hazards among the population (Occupytheory, 2014). Even though advanced equipment has cut down the release of these dangerous contents, it is however, very dangerous to human beings.

Conclusion

discharging carbon dioxide into the atmosphere after combustion of oil as well as oil spillage. On the other hand, the petroleum industry has business benefits, which include oil being easy to transport as well as a Reliable and constant power source. However, its disadvantages include growth in violence and terrorism, produces a non-renewable form of energy resource and has limited resources. The petroleum industry also gives health benefits, which include being a vital constituent within a broad variety of industries as well as having a high energy density. However, the generation of very toxic and harmful materials during purification and the emission of harmful substances such as acid rain, carbon monoxide and sulfur dioxide make the industry disadvantageous health wise.leads to a reduction in the rate of hydrocarbon seepage. However, its disadvantage includes To conclude, the petroleum industry has environmental, business and health advantages and disadvantages. It is environmentally beneficial since oil

References

http://www.greenworldinvestor.com/2011/07/07/advantages-and-disadvantages-of-oil-cons-disregarded-by-powerful-lobbies/Abhishek, S. (2011). Advantages and Disadvantages of Oil – Cons Disregarded by Powerful Lobbies. Green World Investor. Retrieved from

Aigbedion, I & Iyayi S. E. (2007). Diversifying Nigeria’s petroleum industry. International Journal of Physical Sciences, 2(10), 263-270.

Great Lakes Commission. (n.d.). Advantages, Disadvantages and EconomicBenefits Associated with Crude Oil Transportation. Retrieved from https://www.glc.org/oiltransport/files/14-09-19-IssueBrief2-Discussion-Draft.pdf

Onigbinde, I. O. (2014). Evaluation Of Petroleum Products Marketing In A Globalizing Economy: A Conceptual Evidence From Nigeria. British Journal of Marketing Studies, 2(2), 71-81.

Occupytheory. (2014). Advantages And Disadvantages Of Petroleum. Retrieved from http://occupytheory.org/advantages-and-disadvantages-of-petroleum/

http://iis-db.stanford.edu/pubs/21537/No_80_Terry_Karl_-_Effects_of_Oil_Development.pdfTerry, L. K. (2007). Oil-Led Development:Social, Political, and Economic Consequences. Center on Democracy, Development, and The Rule of Law Freeman Spogli Institute for International Studies. Retrieved from