Creation of LEGO

With fourteen and a half billion dollars one may consider to purchase the Lego company right now. The Lego company has played a measure role in the toy industry for about one hundred years. Its innovations include famous playsets, minifigures, video games, and world renown stores located all over the world. Those thing would never have been fathomable without the famous Lego creator Ole Kirk Christiansen who born in the remote town of Filskovand, Denmark. Ole Kirk Christiansen came into this world during the year of 1891 and was the tenth child of the family. He had completed high school education even though he grew up moderately poor. When he was 14 he became an understudy to his brother in Denmark. This background had made Ole Kirk Christiansen a modest and determined individual who found that his idea was destined for greatness. The word â€Å"LEGO† means to play well. He started to call his company â€Å"LEGO† in nineteen thirty-four after he began making wooden toys in nineteen thirty-four. He officially started to make its plastic interlocking blocks in nineteen forty-nine. It is still possible that a 1958 Lego piece are still compatible with today's pieces. Over the past fifty years the Lego company has created over 400 billion blocks and the company was inducted in the National Toy Hall of Fame. These awards has made the Lego company a prestigious brand.Since plastic is a non-renewable resource and a major economic friendly agenda was being pushed in the mid two-thousands, the Lego group was forced to reduce the percentage of plastic used in their product and their carbon footprint. It is well know that the famous company almost went bankrupt due to their wasteful habits. The concept of lean manufacturing and a special software connected all of their factories around the world and helped the company achieve their slogan.†Only the best is good enough† is a slogan created by the founder Ole Kirk Christiansen. This motto came to fruition in nineteen thirty-six when he only had approximately ten employees. This motto is still used today and a significant impact on the way the company runs to this day. During the nineteen forties the Lego company was relatively small but showed minor improvements such as the introduction to colored blocks. Ole Kirk Christiansen had introduced the company to his son at the age of twelve. During this time, Lego had improved the amount of employees to fifty, introduced the game of tiddlywinks, and he bought the revolution plastic injection molding machine.During the fifties the company tried to push its products out to young children which was their target sales group. Ole Kirk Christiansen promoted his son the Vice President when he turned thirty. The company promoted their first major playset that consisted of eight creatable vehicles. The company also showed some signs of innovation by using wood and plastic as a basis of all of their products.The nineteen sixties was the coming out moment coming out moment for the company. Legoland was introduced and the production of wooden toys was dismantled due to massive fire that destroyed the company's toys. Legoland promoted three thousand visiter on the first day. In nineteen sixty-nine Lego cars were being made with a small amount of polyvinyl chloride along with plastic. The famous company started to expand globally to countries such as Italy, Finland, Hong Kong, Singapore, and Morocco. During this time, between eighteen and nineteen millions toy sets were currently being sold per year.During the seventies the company had almost one thousand employees. Lego promoted its toys exclusively to girls with their renown playhouses. Still to this day Lego tries to incorporate female characteristics to influence girls to purchase Lego products. The company's banner transformed their logo from an older to a more modern banner. Many of the customers can also see that the seventies are the first decade that directly relates to the companies expansion globally.Kjeld Kirk Kristiansen was appointed to be the Chief Executive Officer and the company's president during nineteen seventy-nine. He is the grandson of Ole Kirk Christiansen and is worth five point five billion dollars. He led the company into its â€Å"golden age†. You may ask why I called this time period a golden age. The answer can be explained as quite simple. This time period had created approximately five thousand employees and promoted a great amount of collaboration of many universities such as M.I.T. This time period was also important because Ole Kirk Christiansen was inducted in the forever-famous National Toy Hall of Fame. In Europe the massive boom of Legos was proven true when a survey of the traditional household proved that seventy percent of households with a child less than fourteen years old owned a Lego playset.Nineteen nineties was a decade of reconstruction throughout the whole company. Officially eight thousand eight hundred and eighty people are employed under the companies record. The world renown company was officially labeled a top ten company during this decade. I believe that the real reason why this company underwent reconstruction is because of the fact that this is the first digital decade. The nineties promoted technological advancement towards the youth since smartphone were being used more and more often. Kids had other opportunities than to stay at home and play with their toys. This decade also proved that the toys were a choking hazard after a major recall of their toys since it was possible for it to get lodged in ones throat if they were incompetent. A positive benefit of the digital age is the idea of online shopping. This idea is capitalized in nineteen ninety-nine. The two-thousands were crucial to the history of the Lego company. In two thousand and nine the company celebrated its fiftieth anniversary and Kjeld Kirk Kristiansen was introduced into the renown National Toy Hall of Fame. Two thousand and seventeen was a challenging year for the famous company. They did not experience a lot of growth as a company and lost revenue in North America and Europe. This could be a major warning sign that the Lego company may need to adapt to the ever changing technological change. Many kids are now playing on their smartphones instead of building or playing with toys. The Chief Executive Officer of the Lego Group has inferred that there is a possibility that the company may tap into the virtual world of artificial gaming and artificial intelligence The Lego company also expanded their outreach on kids with televisions shows, series, and movies. The Lego Movie, the first-ever, full-length theatrical Lego adventure, directed by Phil Lord ; Christopher Miller is an 3D computer animated story that follows Emmet, an ordinary, rules-following, perfectly average LEGO minifigure who is mistakenly identified as the most extraordinary person and the key to saving the world. He is drafted into a fellowship of strangers on an epic quest to stop an evil tyrant, a journey for which Emmet is hopelessly and hilariously underprepared. (Warner) Many famous historical interpretations have been recreated by the use of Lego blocks. Events such as the cherry blossoming in Japan have arranged so that many pieces are used to create that. The Lego company has massively evolved from dealing with a few section of colors, to being able to maximize the whole color spectrum in order to capture their true excellence in toy manufacturing.

Promote communication in health, social care or children s and young peoples settings Essay

051.1.1 Communication is an essenial part of our lifes which we start from birth, this is why i believe it is important that there is effective communication in a work setting with children and young people. We communicate to exchange thoughts, express feelings and to learn new things. How we transfer this information can be by speech, crying, using our body language or/and expressions, our main goal is to be understood. We communicate to a variety of people in our work setting, not only the children we care for but we speak with their parents and family members on a regular basis to disguss their childs individual needs as well as update them on their childs progress. This is where we can share ideas and gather information on a child such as their mannerisum and types of reasurrance techniques they use to help them feel comfortable in our setting. Most importantly we communicate to others to build relationships and at our setting we aim to maintain them. 051.1.2 Read more:Â  Essay About Promote Communication Communication and relationships go hand in hand. To create a relationship we must communicate and with communication we are creating relationships. We all need reasurrance and support, children and adults, we do this by listening about others concerns or worrys they may have and acting on them, by acting on them we are gaining trust. Having a good relationship with a childs parents and other family members makes the transition from them to us easier. It is vital that we build relationships with the children and young people that we work with to ensure comfort and to feel secure enough to be without their parents. We aim to work in partnership with adults that are involved in the childrens lives. Communication is highly important between colleagues for us to work well together and to ensure that we have a childs best intrest at heart we exchange information on a their routines, feelings and their interests.To be an efficitive team we must support each other and remain professional. A strong relationship with work colleagues rubs off on the children creating a happy enviroment.

Answer questions Coursework Example | Topics and Well Written Essays - 250 words

Answer questions - Coursework Example There are a number of bones that were analyzed so as to determine the cause of death and possible identity of the victim. The bones are as follows: (A)Chimpanzees do exhibit a social behavior in the sense that they interact in a group setting whereby there are certain activities conducted by different members, this in the long run tend to benefit the whole group. (B)Working in a group setting has an effect on all members as it is mutually beneficial, it lays upon each member a task to perform this can be seen during grooming. (C)The reason for the chimpanzee behaving in this manner is that it makes their lives easier through working as a community to achieve a set goal. (B) The environment in which the animals live in and get there food from forced them into establishing or use of the grip or hands when it comes to picking food, climbing trees, grooming or their involvement in any activities that require the use of

Discussion Topic Essay Example | Topics and Well Written Essays - 250 words - 4

Discussion Topic - Essay Example Thus, unconventional war should be resulted to, under conditions where the enemy side has the military capability to devastate the other side, and under conditions where it is most apparent that victory in that war is not likely to be attained (Paret, et al., 1986). Further, the modern and ancient writings agree that the unconventional war should also be aligned to the principle of war requiring surprise attack, such that it should be conducted through underground and intelligent means that are not open to confrontation, until at such a time that the enemy has been incapacitated from effectively raising a reprisal attack (Sawyer, 1993). Therefore, both the modern and the ancient writings about the unconventional warfare holds that it the unconventional war is a tool for offensive as opposed to defensive strategy that should be applied on the event that the enemy side is mightier. However, the modern writings differ on the ancient writings about the unconventional war, in that the mod ern writings emphasize that, while opting for the unconventional warfare strategy, the preparation for conventional and confrontational war should be underway, due to the fact that the unconventional strategy can be intercepted and the confrontational war resulted (Paret, et al.,

Human Computer Interaction Essay Example | Topics and Well Written Essays - 2000 words

Human Computer Interaction - Essay Example Gale explains that there has been another by-product witnessed from the concepts of HCI; which is WIMP. It stands for "window, icon, menu, pointing device", it is a mode of interacting with the computer just like GUI. It was developed by Merzouga Wilberts in 1980. The basic concept behind this form of interaction is to use a physical input device that controls the placing of a cursor. The exchange of information between the user and the computer takes place from a pointing device (usually a mouse). The information is presented in windows and icons. The pointing device enables the users to select an icon or any document present on the display screen.  2. Future of HCI  The future of HCI holds very promising developments, a glimpse of such revolutions is stated below:2.1 Multi-touch InterfacesThere has been some revolutionary developments in the area of user interfaces that have allowed man to use computers in very diverse techniques. Ted (2007) states that one such example is the ‘multi-touch user interfaces’, the concept of this interfacing started in the 1980s. Touch interfaces have been very common but the innovative thing about these interfaces is that it enables multi-touch by multiple users. This multi-user facility proves to be very useful for scenarios where many people want to interact at the same time such as interactive walls and tabletops. There are a number of possibilities with this concept and a complete shift can be witnessed in HCI if this is pursued to its maximum potential.tential.

INTRO INTO LAW ENFORCEMENT UNIT 3 Assignment Example | Topics and Well Written Essays - 750 words

INTRO INTO LAW ENFORCEMENT UNIT 3 - Assignment Example Finally it aims at preparing some senior officers for greater roles in their service to the nation (Kratcoski, P. C., & Das, D. K. 2007). The program has a total of four progressive phases which should take a total of seventy days as well as the Daily Observation Reports (D.O.R) which requires a total of fifty five days. The base model for the program was modeled after San Jose FTEP and it is important to establish the fact that the program may vary from one department to another depending on the nature of work and geographical location. Phase I is made which is regarded as the limbo time, takes a total of five working days and is meant to allow the trainer to familiarize him/herself with the trainer. Phase II is for the trainee to be evaluated by the senior Field Training Officer, it takes a total of five working days. Phase III is known as shadow time and also makes a total of five days. Phase IV which is further subdivided into three smaller segment, is made up of seven working days of which five days need one to have completed DOR. Phase V which forms the final phase forms the balance of the 365 day of the entire probation period. Field training program is a basic requirement by the Commission on Accreditation for Law Enforcement Agencies for all organizations that are considering to be accredited. The program is of great advantage in the sense that it offers a means through non-performing officers can be identified and relieved off their duties. It further minimizes civil litigation which relates to non-criminal offences. Analyzing the jobs of the policing officers is not an easy task in the sense that it is difficult to understand the relationship between the officers and the community hence feedback from the community cannot be used as an accurate measure of the effectiveness of the program. The program may affect affirmative actions efforts since it considers the performance of the Field Training

Policy Making Essay Example | Topics and Well Written Essays - 750 words

Policy Making - Essay Example This essay examines Miller major arguments, and then implements Miller’s perspective on policymaking in the implementation of educational reform throughout the United States. Miller’s perspective on the current state of the country is that it is largely divided by partisan politics. Miller begins by considering that only 2 cents on the dollar, if implemented in the right way, could solve many of the nation’s pressing issues (Miller). The essay goes on the consider that with the Baby Boomer generation gradually inching towards retirement, the nation must proactively confront many of its most pressing challenges or face political stagnation (Miller). As Miller’s argument advances he considers the various levels of federal spending that Republican and Democratic administrations since Ronald Reagan have implemented (Miller). The consideration is an important one as the central crux of Miller’s approach to policy implementation is one that draws from bot h conservative and liberal viewpoints (Miller). While the nation faces a number of pressing challenges, policymakers have failed to make any serious progress in solving this issues because they are operating in a dysfunctional paradigm (Miller). The current paradigm currently is restrictive as policymakers are beholden to special interests groups and entrenched partisan ideologies. While Miller argues that the current political policy paradigm is ineffective, he proposes a number of solutions (Miller). As noted, the most central element of Miller’s argument is the achieving significant political change requires policymakers to transcend the liberal and conservative divide (Miller). The essay indicates that society must advance by first focusing on a number of issues that the vast majority of Americans agree must be solved. The next step is for policymakers to approach the solution of these issues by seeking the most pragmatic method possible. This is contrasted with the curre nt practice of simply aligning oneself with entrenched ideological solutions, which have currently caused the country to be gridlocked. Miller believes that the process of seeking the most pragmatic solution necessitates that policymakers draw from both conservative and liberal perspectives (Miller). Ultimately, this will allow for significant policy change to occur. There are a number of ways that Miller’s approach could be applied to contemporary social change. One of the most pressing issues facing America is educational reform. This issue is particularly apt for Miller’s approach as both conservative and liberal groups recognize that a strong educational system is essential to a functional democracy and economic progress. Still, it appears that progress hasn’t been stagnated because of entrenched ideological beliefs. In these regards, conservative groups favor less federal involvement and more local control, while liberal perspectives embrace a strong federa l government led program. Following Miller’s approach involves a number of inputs. The current system seems to find liberals embracing higher taxation, as a means of achieving a more equitable society. Conversely, conservatives would like to see more individual control over educational options. In either instance, most people can agree that the nation needs stronger public education in order to remain globally competitive. Solving this issue using Miller’s approach would involve borrowing the conservative emphasis on financial efficiency. It seems to a great extent liberal perspectives neglect cost efficiency for an emphasis on equality and innovation. One of the pervasive understandings of improvements in education is that in the long run the country will benefit economically through improved

Market Failures in Microeconomics Essay Example | Topics and Well Written Essays - 1500 words

Market Failures in Microeconomics - Essay Example This is basically the study of interaction between the individual buyers and the sellers and the factors that cause them to make their buying or selling decisions. In an ideal world an equilibrium is achieved in the market, meaning only the amount of goods demanded is being supplied while fully utilizing all the available resources and the whole society benefits. It must be realized that in the real world a "perfect economy" never exists. Recognizing the truth that is not a perfect world, let's examine a few factors which usually end up disturbing the market equilibrium henceforth causing a market failure. A market failure is any condition in which the quantity of goods/services demanded by the consumer is not equal to the quantity supplied by the suppliers. This quantity can be less or more than the market demand. A few such factors which can cause a market failure are agents gaining market power, externalities and sometimes a market failure is caused due to the nature of goods/serv ices or their nature of exchange. These are the main three factors which break the equilibrium and cause a market failure. What does "an agent gaining market power" mean to an individual This term simply refers to the some individuals or firms having certain advantages over the others, which is the basis for the market equilibrium to break and therefore causing a market failure. ... ies such as selective price cutting, buyouts, and massive advertising to block entry and competition from even the most innovative new firms and existing rivals. Moreover, rent-seeking dominant firms have been known to persuade government to give them tax breaks, subsidies, and tariff protection that strengthens their market powers" (Brue, McConnell and R.R 256). For instance a firm maybe able to price their goods in such a way so that it is beneficial to them but hurting the competition. From the individuals' point of view, certain groups which require occupational licensing (such as doctors, pilots etc.) are favored. Only the licensed group can obtain high income levels, therefore these groups end up with the advantage of gaining market power, referring to buying power. The basic principle of any perfect society is equality. When a buyer or a seller disturbs the equality principle by gaining market power, this breaks the equilibrium and henceforth causes a market failure. Certain o utcomes, such as monopoly, can be very harmful to the consumers. If a firm is able to price their product in a such a way that benefits them, this can literally cause the competition to be driven out of business. Once there is no competition left, the firm is free to overcharge, harming the consumers. This situation can be prevented through government policies and regulations. One such example of prevention is The Competition Act of 1998 in UK, which prevents any anti-competition agreements between businesses. An other factors that can contribute to a market failure are externalities. An externality of an economic transaction is an impact on a participant that is not directly engaged in the transaction. In such circumstances, costs do not reflect the full value or gains in

Canadian And World Issues- GMO and the Bee Essay

Canadian And World Issues- GMO and the Bee - Essay Example GMOs affect the environment and systems in different perspectives. Use of GM plants encourages the use of herbicides and insecticides in farming (Lichtfouse, 2010). These herbicides can potentially harm birds, insects, soil organisms and marine ecosystems owing to its toxicity. This brings about a reduction in biodiversity, pollution of water resources and there an almost zero sustainability. The GMOs also cause reduced births and regeneration of other species of plants and animals (Carter, Moschini & Sheldon, 2011). The long-term effects of GMOs are usually unpredictable. GMOs may cause long-term toxicity of the organisms through unclean agricultural methods. Toxicity of organisms is promoted by their likelihood to develop bioaccumulation effects of chemicals from pesticides. The explicit nature of the GM crops is such that there are fewer weed flowers, meaning less nectar for prospective cross pollinators. Specific constraints associated with GMOs include increased cases of food allergies, significant decrease in the foods’ nutritional value and increased body resistance to antibiotics Scientifically, through comparable research findings, it is highly un-recommended that an individual eat GM foods on a daily basis. In fact, consumption of GM foods has no complete approval from both health experts and the scientific community who have established the side effects of GMOs (Carter, Moschini & Sheldon, 2011). Therefore, a person would have numerous problems by opting to consume GMO regularly including enhanced chances for nutritional – related ailments such as diabetes, anemia and food poisoning. It is a factual assertion that human food supply is an interconnected system of processes and inputs by different actors. The components of the food supply work in a coordinated and integrated manner with each one complementing the other. So said, it therefore mean that

Social terms in Islam Essay Example | Topics and Well Written Essays - 750 words

Social terms in Islam - Essay Example He went to a cave to muse on the problems, and there he prayed. In the year 610, the angel Gabriel appeared to him. It was Gabriel who gave Muhammad the words to the Koran. Muhammad started to preach, and at first his words were not taken well. Meccans were told not to trade with the would-be Muslims. In the year 619 his wife died. It was after this that he had his famous journey to Jerusalem. Soon men from Medina heard of him, and said that if his ideas worked "he would be the strongest man in Arabia." (U.S. News and World Report, Secrets of Islam pg.22) The Medina Arabs soon accepted Islam, but it was far from being accepted by everybody in Arabia. Muhammad died at the age of 63, and within a century of his death Islam spread across three continents. The first split in the religion happened not long after Muhammad's death. When Muhammad died he left no indication of who was to rule after him. The Sunnis believe that Ali, Muhammad's cousin should have been the first caliph to rule after Muhammad. Instead, he was the 4th. The third caliph; Uthman, was killed, and Ali was accused of not pursuing Uthman's killers. Mu'awiya, Uthman's cousin and the governor of Damascus refused to accept Ali as the caliph until Uthman's killers were caught. Ali was killed by one on his own followers, and then Mu'awiya took the title of caliph. Ali's son, Hussein was promised the caliph after Mu'awiy died. However Mu'awiya's son took the caliph, and Hussein died. However Hussien's son Ali survived, and the two lines of caliphs made the split between the Islamic factions of Sunni and Shia. Both sects of the religion are Islam however. A believer of Islam, be the person Sunni or Shia, is called a Muslim. Muslim is the Arab word for submission to the will of Allah. And a Muslim is a person who has submitted their will to the will of Allah. Muslims believe in the 5 Pillars of Islam. The Five Pillars are: 1. To believe in Allah and his Prophet Muhammad. 2. To pray in the direction of Mecca five times a day 3. To make a pilgrimage to Mecca during their lifetime if able 4. to pay religious taxes(alms) 5. to observe and fast during Ramadan The holy book for Muslims, the Koran, is the main source for Islamic law. It is considered the ultimate source of instruction and information. The legal interpretation of the Koran is call the Shariah and can vary within the religion. For example, the Koran calls for modesty in women's dress, and some Shariah's say that women should be veiled from head to foot. Islam soon spread far across the world. There is some debate however about how it came to Kyrgyzstan. Some sources say it was brought over by Sufis, Islamic missionaries. The majority of the other sources say that the religion was brought over by merchants and traders. As merchants traded, they would sell their wares as well as spread their Islamic faith. Islam was assimilated into the lifestyle of the people of the area. Some ideas of the religion were ignored, because they didn't fit with the nomadic life style of the people. The people of the area mainly practiced animism and forms of shamanism, and it I believed that they simply took and chose which parts of Islam they wanted to adopt. Many people also considered themselves Muslim, even if they didn't hold any of the beliefs of the religion. Because of the nomadic way of life, Islam does not have a strong hold on the society of Kyrgyzstan. One example of this is the role of women. Due to

Contentment from a Different Person’s’ Perspective Essay Example for Free

Contentment from a Different Person’s’ Perspective Essay â€Å"God knows best†. This is a title of one of the poems made by Helen Steiner Rice. It is stated in the poem that whatever challenges that come in people’s lives, it is not a punishment but an opportunity to be strong. Tears that flow from eyes will eventually become a source of courage to face life’s’ enduring trials. Sarah’s story is a story of a person who was deep challenged by God. As further reading, try to discern how God used miseries to make her a better person. Sarah is a 40-year-old woman whose life absolutely did not just began at her present age. She is a businesswoman and lives in a fast-paced world in the city. Her business is engaged in food industry and doing well in the present time. She had bought lands from several provinces where she plans to construct additional houses. At first sight, she seemed to live in just about a perfect life. However, she has no family of her own. The only family she considers is her nephew, Aldrin. She serves as his guardian for 13 years now. Aldrin suffers from one type of autism, the Pervasive Developmental Disorder. Pervasive Developmental Disorder or also termed as â€Å"atypical autism†, is a kind of catchall category for children who have some autistic problems but who don’t fit into other categories. Many people thinks that Aldrin is the only thorn of Sarah’s’ life. Little do they know that he is actually one of Sarah’s’ reason of existence. â€Å"It is not that I have no choice. I see myself from him. We both seemed outcast from our loved ones. Besides, I got no one except him. I give him love that his parents failed to provide him. In return, I receive love from a very special son which I ever dreamt of having. † Sarah, like her nephew, suffers from a different illness. She had been trying to escape a painful past. At 25, she had a child. It was a baby boy named Kurt. He was a premature baby and in fact a miracle for his part to be born alive. Unfortunately, after two years, God had to take back the child from her. His heart was too weak to make him stable. It was the most tragic moment for Sarah. She questioned God why she had to have Kurt if he will be gone right away. For 3 years, she doubted God until Aldrin enters her life. One unusual day, her sister visited her. She asked her to take care of Aldrin for two months and that she had to leave for work. The supposedly two months became years. It took long for Sarah to give herself a chance to love again. Every day, she wishes Kurt to replace Aldrin’s side. She had a lot of what if’s and could have been’s before she realized her purpose for Aldrin. Every day they spent together, she learns to sympathize with Aldrin’s condition. â€Å"I am not the only person who is being challenged by God. There is lot of people who undergo worse cases than mine. I am in fact more privileged than them. God gives me not a responsibility but a mission for someone as special as Aldrin†, Sarah said. Before, she wandered why Aldrin had to be part of her life. After years of taking care of him, she becomes more concern to why he had to be part of his, and what more can she do to help him. Indeed, people go through tough situations in life. These situations somehow define how each people are different from one another. God has his own way of molding each person. Sarah’s’ story is just one of the stories of life. There is lot of untold ones which seemed unimaginable yet real. It is only when a person understands why these situations occur that will help him appreciate and discern how God wants him to be shaped in his image. (662) Works Cited Ricamara, Sarah J. Personal Interview. 16 April 2009.

Airport Incident Management System Essay Example for Free

Airport Incident Management System Essay 1. Introduction Airport operations are growing in complexity day by day, and extend across multiple service providers at the airport – namely ground handlers, customs, immigration, retail tenants, air traffic control, security, baggage handlers, airlines consortiums and airlines. These agencies use the airport infrastructure in such a way that they meet their commitment to their customers in due time. These commitments put a lot of pressure on the airport infrastructure support staff to keep the systems up and running efficiently. Currently these services are handled manually at most of the Indian airports, so there are umpteen chances of these services to breakdown at most appropriate time when airport are supposed to meet their stated commitments with agencies. These incidents are very frequently occurring, particularly at the busy airports like Delhi and Hyderabad where pressure to meet timelines are heavy on airport infrastructure. Therefore there is a need for a technology solution to provide the flexible and proactive service delivery which guarantees the availability and usability of the infrastructure available at the airport to meet the commitments. This case study discusses a solution that raises the service level of the airport to its agencies and eventually creates a positive image in the minds of its users. This case study is based on this technical solution provided at one of the busy airport where the technical solution created, provides the right answer to different stakeholders at the airport. The context diagram [pic] Source Internet 2. Case Study Purpose The purpose of this case study is to highlight the technical solution provided to solve the problems arising due to the multiple agencies of the airport using the same airport infrastructure. 3. Case Study Methodology The methodology to arrive at the solution to the use of airport infrastructure problem was the extensive survey method and later on the software implementation methodology for implementing AR Systems (Incident Management Components). The Survey Method A questionnaire about the status of services provided by the current staff to the concerned agency department was circulated and feedback collected. The response feedback was consolidated and improvements discussed and applied. A need to streamlining the procedure or writing the standard procedure was felt and implemented in the short run. Visits by senior management staff to similar airport and studying the response to the tender floated by the airport led to the long term planning of implementing the software solution. 4. The technology strategy After the gruesome struggle to provide the required service 247 at the airport terminal building, a search for better technical solution that can cater to the current requirement and as well as give scope for future growth is always on. A team of experts were constituted to suggest the course of action which can address the airports infrastructure problem in the short run and simultaneously can find appropriate technology solutions to mitigate the problem as well as expand the extent of service at the airport for future projections. Short Term Planning – It was felt that in short run the airport operation must have the standard procedure which can be followed and improved with the experience of supporting the agencies of the airport. The performance of the support staff can also be measured and their skill enhanced to meet requirements of different support levels. Long term Planning – An appropriate IT solution must be developed or procured to record incidents / solutions and can use the learning/Knowledge for handling future incidents.

Potential of CARs to Supplement Indias Energy Imports

Potential of CARs to Supplement Indias Energy Imports CHAPTER I INTRODUCTION Indian economy has grown at a rapid pace in the last five years and so has the demand for energy of a billion people. India imports 70% of its domestic crude oil requirements. The bulk of Indias oil imports come from West Asia. The supply routes pass through the choke point of Strait of Hormuz. Any disruption in these will severely impact our national interest. Hence there is a need to diversify our supply sources in order to reduce our dependence on Gulf oil. Central Asian Region being rich in energy resources and located in our extended neighbourhood offer a tempting prospect. The CARs situated on the eastern flank of the Caspian Sea have significant oil and natural gas reserves to be considered as a possible source of diversification for countries heavily dependent on energy imports from West Asia and elsewhere . While estimates of reserves vary widely across different sources, there is a consensus that the region has much potential. Energy is the engine of economic growth. Availability of energy is the key to sustainable development, and has a direct impact in most aspects of our daily life. Inadequacy of energy supply affects very adversely vital and essential requirements of any society. Hence, there is an urgent need to enhance substantially the energy availability at a rapid pace so that aspirations of those who have remained at the fringes of development are able to benefit from access to this important input. The Central Asian Republics comprising of Kazakhstan, Kyrgyzstan, Uzbekistan, Tajikistan and Turkmenistan encompass the vast geo- political space north of India. When part of the USSR, the region had stability and was thus of little interest to the international world order. Relations with India were determined with the framework of Indo-USSR relations as existed between New Delhi and Moscow. The post USSR environment has changed all this, requiring New Delhi to re- establish relations with the five newly independent nation- states on the basis of new realities. It is remarkable that while energy resources are getting increasingly scarce in the rest of the world, new oil fields are being discovered with great regularity in Central Asia. Some experts maintain that Central Asian resources may be difficult to reach because of it is the largest land mass in the world, which is land locked. This is both a challenge and an opportunity, because in todays technology driven world, it is not always necessary to transport material. This is the logic of investment abroad and organising production facilities there. India has long-standing historical ties with Central Asia that encompasses the political, cultural, economic and religious dimensions. The impact of regional developments in Central Asia on Indias history has been longstanding and substantial. According to Mr. Yashwant Sinha, Former Minister of External Affairs, Government of India, Indias increasing engagement with Central Asia is aimed at promoting peace and mutual prosperity. Central Asia can once again be a bridge between the East and West, if its neighbourhood is peaceful and stable, and if the only interference from outside is one of beneficial economic inputs. The bridge can contribute to peace and prosperity and energy security in the wider world too. METHODOLOGY Statement of the Problem To examine the potential of CARs to supplement Indias Energy Imports the possible routes through which Energy could flow to the South Asian Markets. Hypothesis Central Asian Republics as a region has been endowed with abundant energy resources. Their significance is due to their Geo-strategic loc as well as its rich energy deposits. The Geo- political developments in the region would perforce have an impact on India. Peace stability in Central Asia is an imperative to harness the abundant energy resources. The Central Asian region represents a tempting prospect for diversification of supply sources to India, being located in its extended neighbourhood. Justification of the Study Indian economy has changed gears after the historic decision of liberalisation in 1991. Globalisation coupled with liberalisation ha s brought about a sea change in our lives .India has made rapid strides in industrialisation , IT industry , Telecom , Education, service industry and infrastructure development. Our energy consumption has far outpaced our domestic production. Most of our crude imports come from Gulf countries. The supply routes are prone to disruption and can severely impact our national interest. Although we have started acquiring energy stakes in Africa we need to diversify our energy sources. While India is surrounded by energy rich neighbourhood-Pakistan, Bangladesh and Myanmar access to supply energy from these remain elusive. Political compulsions and indifferent relations are an impediment to energy imports through Bangladesh and Pakistan. In Myanmar ONGC has acquired exploration acreages. However any gas finds could make transportation a challenge unless Bangladesh allows transit through its territory. In view of the above, energy imports from CARs in Indias extended neighbourhood needs to be critically examined in order to optimise the full potential of Indo-CAR energy cooperation. Scope This study seeks to focus on the potential of INDO- CAR energy cooperation and identify the possible routes of energy flow from CAR to India. Methods of Data Collection The means of data collection has been number of books and papers by various prominent Indian and foreign authors, newspapers and many other wide ranging array of sources. Various internet sites have also been browsed for data collection .Books and websites consulted are listed in the bibliography. Organisation of the Dissertation It is proposed to study the subject in the following manner:- Chapter I: Introduction. Chapter II: Emergence of CAR as Nation States and their Geo -Strategic significance. Chapter III: Indias Energy Sources. Chapter IV: Energy Potential of CAR. Chapter V: Interest of Global and Regional Players in Central Asia. Chapter VI: Challenges and Threats to Security of Central Asian Region. Chapter VII: India Central Asia Energy Cooperation. Chapter VIII: Indias Strategy. Chapter IX: Conclusion. CHAPTER II EMERGENCE OF CAR AS NATION STATES AND THEIR GEOSTRATEGIC SIGNIFICANCE Emergence of CAR as Nation States Disintegration of former USSR was a momentous occasion unprecedented in scale and unanticipated by any power of the world, which ended the cold war and saw the emergence of a unipolar world. The emergence of newly independent states in Central Asia has changed the balance of power in this region. Due to its geographical proximity to Russia, China, West Asia and South Asia, this region emerged as a distinct geopolitical entity. Central Asian Republics at the dawn of independence were confronted with the numerous problems of state and nation building in a difficult milieu wherein various power centres competed for political power in a declining economy due to sudden severance of strong economic ties with Russia and consequent stoppages of Union subsidies. Rural unemployment and environmental degradation further contributed to aggravation of inter- ethnic relations. [1] Central Asian leaders have proved wrong the Western apprehensions of balkanisation of the region. The Central Asian Republics have preserved intact their national independence and sovereignty and carved out a dignified place for themselves in the comity of nations. They have taken several positive diplomatic and political initiatives at the U.N. and other international fora. Their religious beliefs have not come in the way of developing mutually beneficial relations with Israel. The Central Asian Republics have cordial relations with China and India. They are members of Shanghai Cooperation Organisation (SCO) and the Commonwealth of Independent States Collective Security Treaty Organisation (CSTO) with the exception of Uzbekistan, which have contributed greatly to regional security environment. All of them except Turkmenistan are also members of Central Asian Cooperation Organisation (CACO). Their success in resolving the bloody internal conflict in Tajikistan by peacefully integrati ng the Islamic opposition into the mainstream politics of the republic is no mean feat. They have also evolved a strong joint response together with Russia and China to the threat of cross border terrorism and drugs and arms peddling.[2] Central Asia, a landlocked region in the heart of Asia, is unique because it was the counterpoint of British and Russian empires in 19th century and still has the same importance now, but among the other players. Two decades after independence, Central Asia is not a stable region and some political crisis is still unsolved here. This situation is created by some players which include trans-regional and regional players looking after their own interests. The interaction and countering of the players in the region have resulted in the present situation that created an undeveloped region, while potentially it is significant due its geopolitical, geo-strategic and economic point of view.[3] Geostrategic Significance of Central Asian Republics Central Asian Republics cover an area of 3,994,400 square kilometres. From the eastern shore of the Caspian sea , Central Asia extends eastwards to the Altai mountains along the Chinese border and from the southern border of the Russian Federation southwards upto the Tien Shan mountains and Afghanistan. (Map.1) Geographers have divided the region into four zones starting with the steppe zone of northern Kazakhstan and the Virgin lands (Tselana) ; semi deserts covering the rest of Kazakhstan; the desert zone upto the southern oases; and the southern mountains bordering all the republics which include the Kopet Dag, the Pamirs and the Tien Shan. [4] From Kushka, the southernmost point of Central Asia, there is a narrow road to Afghanistan. Transit and transportation of goods and passengers between region and Afghanistan can be exchanged via this road. Marine routes of Caspian Sea facilitate the relations between Central Asian Republics with Caucasus, Iran and Russia and by Volga-Don waterway canal they can connect with free waters and many countries. In the north, vast Kazakh plain and lowlands and low-height mountains connect Central Asia via railroad and road network with Russia. This territory located between two great Asian power (China) and Asian-European (Russia) and regional players such as Iran, Pakistan, and India influenced and affected it and play their roles. To enter this land-locked territory one should pass the territory of neighbouring countries. From southwards one should pass Iran or Afghanistan. In the current situation, to cross through mountainous Afghanistan is not viable.[5] One of the reasons for American presence in Afghanistan in east and Iraq in west of Iran is to surround Iran and Russia and to have access to Central Asia. Central Asia in north is bordered with Russia. Hence, to enter the heart of Russia is possible only via Central Asia and this is why Russia is against the presence of any foreign and trans-regional power in the region. Access to this territory from eastward is available by passing Chinas western part (XinJiang Uighur Region). China will never allow any trans-regional power to enter in its critical, geopolitically very important western region and from there to Central Asian territory at all. The only passage to enter Central Asia by foreign powers is Caucasus in the west of region which will be available via Caspian Sea. This is why Caucasus region has got a gateway situation and the Caspian Sea itself changed to the gate of Central Asia. Georgia in the west of Caucasus is located in the mouth of Caucasian natural corridor and is a gateway to enter Caucasus. During Cold War era, it was strongly defended by Soviet Union and Warsaw Pact powers. After the collapse of Soviet Union, Russia attempted hard to preserve it, but after one decade, the western powers by execution of Rose Revolution headed by Mikhail Saakashvili in2003 changed this position and allowed west to enter Caucasus. The formation of Shanghai Cooperation Organization in the territory of Central Asia and neighbouring countries is the outcome of this geo-strategic challenge between East and West. This seems to be counterweight against Americas hegemonic movements.[6] There are two movements in Central Asia and beyond. One is led by the West in west-east direction from Black Sea towards Central Asia through Caucasus, Caspian Sea and the other from North to South led by Russia in the vertical direction which cuts the west-east axis. The counter point of these two is Caspian Sea. This is why the Caspian Sea has vital importance for both sides.[7] Russia within security and economic regional organizations has attempted to remove the American influence in the region and already has its effective means that America doesnt have. There are some initiatives in the region which plays basic roles on security and geo-strategic environment of Central Asia. In fact, the future of Central Asia depends on the outcome of the New Great Game between America and Russia. Economic, geopolitics and geo-strategy of the Central Asia are very complicated.[8] CHAPTER III INDIAS ENERGY SOURCES With 16 percent of the worlds population and an emerging economy, India has become a significant consumer of energy resources. The majority of India energy needs are coal dependent . The shortage in supply of energy is met by energy imports from other countries. India is the worlds eleventh-largest energy producer, with 2.4 percent of energy production, and the worlds sixth-largest consumer, with 3.5 percent of global energy consumption. Domestic coal reserves account for 70 percent of Indias energy needs. The remaining 30 percent is met by oil, with more than 65 percent of that oil being imported. Demand for energy is expected to double by 2025; by then, 90 percent of Indias petroleum will be imported.[9] Energy Sources Coal. Coal accounts for more than half of Indias total energy consumption followed by oil, which comprises 31% of total energy consumption. Natural gas and hydroelectric power accounts for 8 and 6 % of consumption respectively.[10] (Refer Figure.1) Nuclear power comprises a very small percentage of total energy consumption at present. Domestic supplies satisfy most of Indias coal demand. According to the 2008 BP Statistical Energy Survey, India had 2007 coal consumption of 208 million tonnes oil equivalent. Unfortunately most of Indias coal is characterised by high ash content, but the quality has other useful qualities such as low sulphur content (generally 0.5%), low iron content in ash, low refractory nature of ash, low chlorine content and low trace element concentration.[11] With 7 percent of the worlds coal India has the fourth largest coal reserves. The Carbon Sequestration Leadership Forum (CSLF) estimates that at the current level of consumption and production, Indias coal r eserves will last for more than 200 years.[12] Oil. According to Oil and Gas Journal (OGJ), India had 5.6 billion barrels of proven oil reserves as of January 2009, the second largest amount in the Asia- Pacific region after China. India produced roughly 880 thousand billion barrels per day (bbl/d) in 2008.In 2007 India consumed approximately 2.8million bbl/d making it the fifth largest consumer of oil in the world.[13] (Refer Figure .2) Indias largest crude oil import partner is Saudi Arabia, followed by Iran. Nearly three-fourths of Indias crude oil imports come from Middle East.[14] (Figure 3). Natural Gas. According to Oil and Gas Journal (OGJ), India had 38 trillion cubic feet (Tcf) of proven natural Gas reserves as of Jan 2009. The EIA estimates that India produced 1.1 Tcf of natural gas in 2007, up only slightly from 2006 production levels. Although Indias natural gas production has consistently increased, demand has outstripped supply making the country a net importer of natural gas since 2004.[15] (Refer Figure .4) India imports natural gas via Liquefied natural gas (LNG). LNG has not figured prominently in the energy mix, but is slowly increasing. Experts estimate that by 2012 Indias LNG imports will be on par with Japans current LNG imports of 60 million tonnes per annum. Although the Gas Authority of India Ltd. (GAIL) has already begun work on a National Gas Grid, there is considerable technological progress that has to be made in terms of extraction, transportation and delivery of LNG. It is estimated that once the grid is fully functional, LNG could offset a sign ificant portion of Indias energy demand.[16] Fuel-wise energy production iis given in Figure.5. New Exploration Licensing Policy and New Discoveries. Exploration blocks were put on offer under the New Exploration-Licensing-Policy(NELP) in1999 in order to try and attract private investment. India has offered 110 oil and gas blocks and 16 coal-bed-methane blocks for exploration in an attempt to raise domestic energy production and reduce import dependence.[17] Under NELP, 71 oil and gas discoveries have been made in 21 exploration blocks.[18] Hydrocarbon accretion has been more than 600 million tonnes of oil equivalent.[19] Cairn Energy has made 25 discoveries in Rajasthan and currently has six fields under development. Initial attention is being concentrated on Mangala, Bhagyam and Aishwariya (MBA). Production from Mangala is scheduled to begin in third quarter 2009. Output from the MBA fields is estimated to peak at 175,000 barrels per day, which would represent at least 20% of Indias total oil production[20]. Nuclear Power. India has a largely indigenous nuclear power programme and expects to have 20,000 megawatt electricity (MWe) nuclear capacity on line by 2020 and 63,000 MWe by 2032. It aims to supply 25% of electricity from nuclear power by 2050. Due to Indias Nuclear isolation post 1974,for 34years India was largely excluded from trade in nuclear plant or materials, which has hampered its development of civil nuclear energy until the signing of Indo US Nuclear Deal in 2008. Due to these trade bans and lack of indigenous uranium, India has uniquely been developing a nuclear cycle to exploit its reserves of thorium. [21]. Nuclear PowerGeneration Capacity. Indias present 2,720 MWe nuclear power plants include 14 reactors at 6 sites(Tarapur,Rawatbhatta, Kalapakkam,Narora,Kakrapar and Kaiga); ongoing 3,960 MWe nuclear power plants include 8 reactors at 4 sites (Tarapur,Kaiga, Rawatbhata and Kudankulam); and future nuclear plant include one Adwanced Heavy Water Reactor (AWHR) having a rating of 300MWe and a mix of 500MWe Fast Breeder Reactors,680 MWe Pressurised Heavy Water Reactors and 1000 MWe LWRs so as to reach a total of 20,000 MWe by 2020.[22] Hydro Electricity. India has a large hydro-potential estimated at 84000 megawatt (MW) at 60% load factor. Less than one fourth of that has been tapped. Large hydro projects are also being stiffly opposed by environmentalist all over the country.[23] Indias Energy Policy. The Indias energy policy states that the energy needs to be utilized not just from the conventional energy resources but also from other non-conventional sources like wind, water, geothermal, biomass etc. The India energy policy act emphasizes the need to develop newer energy sources that are more efficient and non-perishable. Since the energy sources levels are dropping with each passing day the energy of light (energy of a photon), energy of motion from the flowing water and geothermal energy and energy of an electron in chemical energy and other forms is the new energy units tapping solutions.[24] CHAPTER IV ENERGY POTENTIAL OF CAR The CAR is abundantly endowed with energy resources (Refer Table.1) The hydrocarbon reserves are unevenly distributed among the five CARs (Refer Fig.6) and includes a number of petroleum basins that are different in their geological development, reservoir and hydrocarbon types and quantity of resources. Various sources have reported that the postulated oil resources of the region are comparable with those of Saudi Arabia and that the potential gas resources are equal to Irans. Central Asia has been described as one of the worlds most strategic zones , between Russia , China and a troubled Middle East- a region coveted both by its larger neighbours and major world powers .[25] Energy Potential Kazakhstan. It is the second largest producer of petroleum in CIS after Russia. The Kashagan deposit on Caspian seabed was discovered recently and is estimated to contain 13 billion barrels of oil. US and China have already signed deals to exploit the same. The most significant deposits of gas are at Karachaganak (black hole) in northwest Kazakhstan. It is estimated that production of gas will touch 36.1 billion cubic metres (bcm) by 2010. [27] Kazakhstans Gas Potential Kazakhstans Proven Reserves. BP estimates of 2008 place Kazakhstans proven reserves at 1.90 trillion cubic metres (tcm) (1.1% of global share). There are two other gas producing nations in the former Soviet Union that surpass Kazakhstan in terms of proven gas reserves: Russia with its 44.65 tcm (25.5% of global share) and Turkmenistan with 2.67tcm (1.5% of global share).[28] While published figures vary widely, rising as high as 3 380 bcm in the 2007 reserves report from the BGR, it may be of some significance that Oil Gas Journals latest tabulation of world gas reserves (December 2008) shows a decrease in Kazakhstan from 2 832 bcm at 1 January 2008 to 2 407 bcm at 1 January 2009.[29] Production Growth. Over the past decade, Kazakhstans gas sector has achieved considerable production growth, from 4.34 bcm in 1994 to 29.63 bcm in 2007 (see Figure 7). Production in January-July 2008was 19.74 bcm, up 13% year-on-year, and full-year production could potentially exceed the energy ministrys estimate of 33.7 bcm . (Refer Figure 7)[30] Kazakhstans Oil Potential Proven Hydrocarbon Reserves .Kazakhstans combined onshore and offshore proven hydrocarbon reserves have been estimated between 9 and 40 billion barrels.[31] Oil Production and Consumption. Kazakhstan produced approximately 1.45 million barrels per day (bbl/d) of oil in 2007 and consumed 250,000 bbl/d, resulting in petroleum net exports of around 1.2 million bbl/d. (Refer Figure.8) Major Oil fields. Energy Information Authority expects oil production in Kazakhstan to average 1.54 and 1.71 million bbl/d in 2008 and 2009, respectively. Major producers include Karachaganak (250,000 bbl/d), Tengiz (280,000 bbl/d), CNPC-Aktobemunaigas (120,000 bbl/d), Uzenmunaigas (135,000 bbl/d), Mangistaumunaigas (115,000 bbl/d), and Kumkol (70,000 bbl/d). These producers account for 1million bbl/d (or around 70 percent) of liquids production in the country. Other production is centered in smaller fields.[32] Nuclear Fuel Potential Uranium. Kazakhstan has been an important source of uranium for more than fifty years. Over 2001-2008 production rose from 2000 to 8521 tonnes U per year, and further mine development is under way with a view to increase annual production upto18,000 tU/yr by 2010 and 30,000 tU by 2018. Production in 2009 is expected to be about 14,000 tU. Kazatompromis the national atomic company set up in 1997 and owned by the government. It controls all uranium exploration and mining as well as other nuclear-related activities, including imports and exports of nuclear materials. It announced in 2008 that it aims to supply 30% of the world uranium by 2015, and through joint ventures: 12% of uranium conversion market, 6% of enrichment, and 30% of the fuel fabrication market by then.[33] Energy Potential of Uzbekistan Uzbekistan. Uzbekistan is unique among the CARs as being the only republic that shares a border with the other four Kazakhstan to the north and west, Tajikstan and Kyrigzstan to the east and Turkmenistan to the south. . Uzbekistan currently produces 60 bcm of natural gas annually, an amount nearly equal to Turkmenistans production. Uzbekistans reserves are primarily concentrated in Qashqadaryo province and near Bukhara in the countrys south-central region. During the 1970s Uzbekistans largest natural gas deposit at Boyangora-Gadzhak was discovered in Surkhandaryia province north of the Afghan border.[34] Uzbekistan also has small coal reserves, located mainly near Angren, east of Tashkent. In 1990 the total coal yield was 6 million tons. Oil production has likewise been small; Uzbekistan has relied on Russia and Kazakstan for most of its supply.[35]According to Eshref F Trushin of the Institute of Macro Economics and Social Research (Uzbekistan), the Republic is fifth in the world in uranium production. It also produced 60 tonnes of Gold in 1996. However Capisani reports the 1996 production at between 80 to 110 tonnes. Gold deposits are found in the Fergana Valley at Altynkan and Kochbulak, in Uchkuduk(Zeravshan) and at Murantau. In February 1992, a protocol was signed with the Canadian firm , Newmont Gold for the development of Murantau deposit. Copper is extracted in the Almalyk region, as also iron minerals, zinc, lead , tungsten, molybdenum and uranium.[36] Energy Potential of Turkmenistan Turkmenistans Oil Potential. Turkmenistan produces around 200,000 barrels per day of crude and is the biggest gas producer in the former Soviet Union after Russia with exports of around 50 billion cubic metres of gas a year, mainly to Russia and Ukraine. The country says its gas reserves are currently heavily underestimated and it can easily double and even triple production to supply gas to Europe and Asia.[37] According to U.S Energy Information Administration total oil production in the country in 2008 was 189.40 barrels per day. The crude oil production reached 170.26 barrels per day whereas the consumption of petroleum products and direct consumption of crude oil was 103 thousand barrels per day. The refining capacity is 237 million barrels per day and the Turkmenistan ranks world no 57 in its refining capacity. The proven reserves are 600 million barrels (Refer Table 2). Turkmenistans Gas Reserves. The production of natural gas in 2007 was 2,432 billion Cubic Feet as compared to domestic consumption of 688 Billion Cubic Feet. The country exported 1,745 Billion Cubic Feet Natural Gas in 2007. The Net proven reserves amount to huge 100,000 Billion Cubic Feet.[38] Energy Potential of Kyrgyzstan Kyrgyzstan. Kyrgyzstan currently does not have enough energy to provide reliable light and heat to its residents and factories. Although the country relies heavily on domestic sources of hydropower for much of its electricity, recent droughts and mismanagement drastically cut these supplies. Kyrgyzstan is increasingly seeking to identify and bring on line new sources of energy. The country currently imports most of the natural gas, petroleum products and coal that it consumes. At the same time, beyond hydro power, Kyrgyzstan has essentially no alternative energy production. Kyrgyzstan faces a variety of challenges in developing its energy sector. In the foreign policy sphere, Kyrgyzstan confronts problems that are a consequence of the extremely complex and volatile political landscape in Central Asia. Domestically, issues of economic crisis, organizational dysfunction, poorly written laws, and corruption hinder reform.[39] Energy Potential of Tajikistan Tajikistans Proven Oil Reserves. Tajikistan has proven reserves of 12 million barrels of oil (Refer Table.2), most of which are located in the northern part of the country in the Leninobod Soghd Region. The national oil company is Tajikneftegaz, which handles oil exploration, drilling, and production. In 2001, Tajik oil production was only 350 barrels per day (b/d). There has been a long period of production decline since Tajikistan produced 1,311 b/d in 1992. This decrease has been attributed to the 1992-1997 civil war, economic troubles, and lack of investment in the oil infrastructure. Tajikistan consumes 29,000 b/d of oil products, almost all of which are imported. The main source is Uzbekistan, which provides 70% of Tajikistans oil product imports. [40] Tajikistan Gas Reserves. Tajikistan has 200 billion cubic feet (Bcf) of natural gas reserves, comprised of several fields. In 2000, Tajikistan began operations in the Khoja Sartez field in the southern Khatlon Region, and has also increased its activity in the Qizil Tumshuq deposit in the Kolkhozobod District of the southern Khatlon Region. Tajikistan has also tried to increase its own gas production, in 2000, by exploratory drilling in the Khatlon region. Apparently, some of the drilling has been successful enough to interest China in future drilling activities. The total natural gas production for Tajikistan in 2000 was 1.4 Bcf. With its small domestic production, Tajikistan must rely on imports for 95% of the natural gas it consumes. [41] Viability of CARs to Serve as an Alternative to West Asia If the CARs are to provide a viable source of supply diversification for energy importers, they must have an environment that sets them apart from the Gulf countries that currently supply bulk of the oil. The oil importers sense of vulnerability stems from the fear of emergence of militant Islam in West Asia.[42] Factors Affecting Viability. In this context, the CARs ability to provide a viable alternate to West Asia is subject to a variety of factors as under:-[43] Proven Reserves. The known and proven reserves of West Asian oil account for 66%of global deposits whereas the proven and possible reserves of the entire Former Soviet Union (FSU) region are no more than 5.5%, of which Central Asia s share is even less. When it comes of natural gas the FSU region of which Russia constitutes the chunk , accounts for 39%of global reserves but Central Asian share is only around 6%. Only about 3%of the global energy trade is accounted for by the Caspian region and the share of CARs is even less. Thus the CARs can only supplement, not supplant West Asian suppliers, whether it is oil or gas. Drilling Costs. Drilling oil in CARs costs three to six times as much as it does in West Asia. While it can be as low as $1per barrel in Iraq or Saudi Arabia, it would cost up to $5 to produce a barrel of oil from the Northern Caspian. This implies that it is economically attractive to produce oil in CARs only when global oil prices reign above a certain threshold level and being a marginal producer the Caspian region will have to follow the prices set by OPEC and that they will not be in a position to influence prices to any significant extent. While gas production in the region is competitive with the rest of the world, the need to ferry it by long pipelines through difficult terrain offsets the cost advantages. Connectivity. Unlike West Asia, which enjoys excellent connectivity with energy consumers all over the globe through well established sea routes and tanker infrastructure, the CARS are constrained by geography that limits not only existing ,but also future transit routes to global market. Quality. The quality of crude from some wells in Caspian region demands extensive processing before it can be consumed. Not all refineries have the processing capacity which constrains the range of consumers who can buy CARs oil even when it is available. Insurgency. Incipient insurgency in some parts of CARs renders them less attractive as an alternate source of supply. Uneven development of the different countries of the region and the ethnic diversities , instability in Chechnya Potential of CARs to Supplement Indias Energy Imports Potential of CARs to Supplement Indias Energy Imports CHAPTER I INTRODUCTION Indian economy has grown at a rapid pace in the last five years and so has the demand for energy of a billion people. India imports 70% of its domestic crude oil requirements. The bulk of Indias oil imports come from West Asia. The supply routes pass through the choke point of Strait of Hormuz. Any disruption in these will severely impact our national interest. Hence there is a need to diversify our supply sources in order to reduce our dependence on Gulf oil. Central Asian Region being rich in energy resources and located in our extended neighbourhood offer a tempting prospect. The CARs situated on the eastern flank of the Caspian Sea have significant oil and natural gas reserves to be considered as a possible source of diversification for countries heavily dependent on energy imports from West Asia and elsewhere . While estimates of reserves vary widely across different sources, there is a consensus that the region has much potential. Energy is the engine of economic growth. Availability of energy is the key to sustainable development, and has a direct impact in most aspects of our daily life. Inadequacy of energy supply affects very adversely vital and essential requirements of any society. Hence, there is an urgent need to enhance substantially the energy availability at a rapid pace so that aspirations of those who have remained at the fringes of development are able to benefit from access to this important input. The Central Asian Republics comprising of Kazakhstan, Kyrgyzstan, Uzbekistan, Tajikistan and Turkmenistan encompass the vast geo- political space north of India. When part of the USSR, the region had stability and was thus of little interest to the international world order. Relations with India were determined with the framework of Indo-USSR relations as existed between New Delhi and Moscow. The post USSR environment has changed all this, requiring New Delhi to re- establish relations with the five newly independent nation- states on the basis of new realities. It is remarkable that while energy resources are getting increasingly scarce in the rest of the world, new oil fields are being discovered with great regularity in Central Asia. Some experts maintain that Central Asian resources may be difficult to reach because of it is the largest land mass in the world, which is land locked. This is both a challenge and an opportunity, because in todays technology driven world, it is not always necessary to transport material. This is the logic of investment abroad and organising production facilities there. India has long-standing historical ties with Central Asia that encompasses the political, cultural, economic and religious dimensions. The impact of regional developments in Central Asia on Indias history has been longstanding and substantial. According to Mr. Yashwant Sinha, Former Minister of External Affairs, Government of India, Indias increasing engagement with Central Asia is aimed at promoting peace and mutual prosperity. Central Asia can once again be a bridge between the East and West, if its neighbourhood is peaceful and stable, and if the only interference from outside is one of beneficial economic inputs. The bridge can contribute to peace and prosperity and energy security in the wider world too. METHODOLOGY Statement of the Problem To examine the potential of CARs to supplement Indias Energy Imports the possible routes through which Energy could flow to the South Asian Markets. Hypothesis Central Asian Republics as a region has been endowed with abundant energy resources. Their significance is due to their Geo-strategic loc as well as its rich energy deposits. The Geo- political developments in the region would perforce have an impact on India. Peace stability in Central Asia is an imperative to harness the abundant energy resources. The Central Asian region represents a tempting prospect for diversification of supply sources to India, being located in its extended neighbourhood. Justification of the Study Indian economy has changed gears after the historic decision of liberalisation in 1991. Globalisation coupled with liberalisation ha s brought about a sea change in our lives .India has made rapid strides in industrialisation , IT industry , Telecom , Education, service industry and infrastructure development. Our energy consumption has far outpaced our domestic production. Most of our crude imports come from Gulf countries. The supply routes are prone to disruption and can severely impact our national interest. Although we have started acquiring energy stakes in Africa we need to diversify our energy sources. While India is surrounded by energy rich neighbourhood-Pakistan, Bangladesh and Myanmar access to supply energy from these remain elusive. Political compulsions and indifferent relations are an impediment to energy imports through Bangladesh and Pakistan. In Myanmar ONGC has acquired exploration acreages. However any gas finds could make transportation a challenge unless Bangladesh allows transit through its territory. In view of the above, energy imports from CARs in Indias extended neighbourhood needs to be critically examined in order to optimise the full potential of Indo-CAR energy cooperation. Scope This study seeks to focus on the potential of INDO- CAR energy cooperation and identify the possible routes of energy flow from CAR to India. Methods of Data Collection The means of data collection has been number of books and papers by various prominent Indian and foreign authors, newspapers and many other wide ranging array of sources. Various internet sites have also been browsed for data collection .Books and websites consulted are listed in the bibliography. Organisation of the Dissertation It is proposed to study the subject in the following manner:- Chapter I: Introduction. Chapter II: Emergence of CAR as Nation States and their Geo -Strategic significance. Chapter III: Indias Energy Sources. Chapter IV: Energy Potential of CAR. Chapter V: Interest of Global and Regional Players in Central Asia. Chapter VI: Challenges and Threats to Security of Central Asian Region. Chapter VII: India Central Asia Energy Cooperation. Chapter VIII: Indias Strategy. Chapter IX: Conclusion. CHAPTER II EMERGENCE OF CAR AS NATION STATES AND THEIR GEOSTRATEGIC SIGNIFICANCE Emergence of CAR as Nation States Disintegration of former USSR was a momentous occasion unprecedented in scale and unanticipated by any power of the world, which ended the cold war and saw the emergence of a unipolar world. The emergence of newly independent states in Central Asia has changed the balance of power in this region. Due to its geographical proximity to Russia, China, West Asia and South Asia, this region emerged as a distinct geopolitical entity. Central Asian Republics at the dawn of independence were confronted with the numerous problems of state and nation building in a difficult milieu wherein various power centres competed for political power in a declining economy due to sudden severance of strong economic ties with Russia and consequent stoppages of Union subsidies. Rural unemployment and environmental degradation further contributed to aggravation of inter- ethnic relations. [1] Central Asian leaders have proved wrong the Western apprehensions of balkanisation of the region. The Central Asian Republics have preserved intact their national independence and sovereignty and carved out a dignified place for themselves in the comity of nations. They have taken several positive diplomatic and political initiatives at the U.N. and other international fora. Their religious beliefs have not come in the way of developing mutually beneficial relations with Israel. The Central Asian Republics have cordial relations with China and India. They are members of Shanghai Cooperation Organisation (SCO) and the Commonwealth of Independent States Collective Security Treaty Organisation (CSTO) with the exception of Uzbekistan, which have contributed greatly to regional security environment. All of them except Turkmenistan are also members of Central Asian Cooperation Organisation (CACO). Their success in resolving the bloody internal conflict in Tajikistan by peacefully integrati ng the Islamic opposition into the mainstream politics of the republic is no mean feat. They have also evolved a strong joint response together with Russia and China to the threat of cross border terrorism and drugs and arms peddling.[2] Central Asia, a landlocked region in the heart of Asia, is unique because it was the counterpoint of British and Russian empires in 19th century and still has the same importance now, but among the other players. Two decades after independence, Central Asia is not a stable region and some political crisis is still unsolved here. This situation is created by some players which include trans-regional and regional players looking after their own interests. The interaction and countering of the players in the region have resulted in the present situation that created an undeveloped region, while potentially it is significant due its geopolitical, geo-strategic and economic point of view.[3] Geostrategic Significance of Central Asian Republics Central Asian Republics cover an area of 3,994,400 square kilometres. From the eastern shore of the Caspian sea , Central Asia extends eastwards to the Altai mountains along the Chinese border and from the southern border of the Russian Federation southwards upto the Tien Shan mountains and Afghanistan. (Map.1) Geographers have divided the region into four zones starting with the steppe zone of northern Kazakhstan and the Virgin lands (Tselana) ; semi deserts covering the rest of Kazakhstan; the desert zone upto the southern oases; and the southern mountains bordering all the republics which include the Kopet Dag, the Pamirs and the Tien Shan. [4] From Kushka, the southernmost point of Central Asia, there is a narrow road to Afghanistan. Transit and transportation of goods and passengers between region and Afghanistan can be exchanged via this road. Marine routes of Caspian Sea facilitate the relations between Central Asian Republics with Caucasus, Iran and Russia and by Volga-Don waterway canal they can connect with free waters and many countries. In the north, vast Kazakh plain and lowlands and low-height mountains connect Central Asia via railroad and road network with Russia. This territory located between two great Asian power (China) and Asian-European (Russia) and regional players such as Iran, Pakistan, and India influenced and affected it and play their roles. To enter this land-locked territory one should pass the territory of neighbouring countries. From southwards one should pass Iran or Afghanistan. In the current situation, to cross through mountainous Afghanistan is not viable.[5] One of the reasons for American presence in Afghanistan in east and Iraq in west of Iran is to surround Iran and Russia and to have access to Central Asia. Central Asia in north is bordered with Russia. Hence, to enter the heart of Russia is possible only via Central Asia and this is why Russia is against the presence of any foreign and trans-regional power in the region. Access to this territory from eastward is available by passing Chinas western part (XinJiang Uighur Region). China will never allow any trans-regional power to enter in its critical, geopolitically very important western region and from there to Central Asian territory at all. The only passage to enter Central Asia by foreign powers is Caucasus in the west of region which will be available via Caspian Sea. This is why Caucasus region has got a gateway situation and the Caspian Sea itself changed to the gate of Central Asia. Georgia in the west of Caucasus is located in the mouth of Caucasian natural corridor and is a gateway to enter Caucasus. During Cold War era, it was strongly defended by Soviet Union and Warsaw Pact powers. After the collapse of Soviet Union, Russia attempted hard to preserve it, but after one decade, the western powers by execution of Rose Revolution headed by Mikhail Saakashvili in2003 changed this position and allowed west to enter Caucasus. The formation of Shanghai Cooperation Organization in the territory of Central Asia and neighbouring countries is the outcome of this geo-strategic challenge between East and West. This seems to be counterweight against Americas hegemonic movements.[6] There are two movements in Central Asia and beyond. One is led by the West in west-east direction from Black Sea towards Central Asia through Caucasus, Caspian Sea and the other from North to South led by Russia in the vertical direction which cuts the west-east axis. The counter point of these two is Caspian Sea. This is why the Caspian Sea has vital importance for both sides.[7] Russia within security and economic regional organizations has attempted to remove the American influence in the region and already has its effective means that America doesnt have. There are some initiatives in the region which plays basic roles on security and geo-strategic environment of Central Asia. In fact, the future of Central Asia depends on the outcome of the New Great Game between America and Russia. Economic, geopolitics and geo-strategy of the Central Asia are very complicated.[8] CHAPTER III INDIAS ENERGY SOURCES With 16 percent of the worlds population and an emerging economy, India has become a significant consumer of energy resources. The majority of India energy needs are coal dependent . The shortage in supply of energy is met by energy imports from other countries. India is the worlds eleventh-largest energy producer, with 2.4 percent of energy production, and the worlds sixth-largest consumer, with 3.5 percent of global energy consumption. Domestic coal reserves account for 70 percent of Indias energy needs. The remaining 30 percent is met by oil, with more than 65 percent of that oil being imported. Demand for energy is expected to double by 2025; by then, 90 percent of Indias petroleum will be imported.[9] Energy Sources Coal. Coal accounts for more than half of Indias total energy consumption followed by oil, which comprises 31% of total energy consumption. Natural gas and hydroelectric power accounts for 8 and 6 % of consumption respectively.[10] (Refer Figure.1) Nuclear power comprises a very small percentage of total energy consumption at present. Domestic supplies satisfy most of Indias coal demand. According to the 2008 BP Statistical Energy Survey, India had 2007 coal consumption of 208 million tonnes oil equivalent. Unfortunately most of Indias coal is characterised by high ash content, but the quality has other useful qualities such as low sulphur content (generally 0.5%), low iron content in ash, low refractory nature of ash, low chlorine content and low trace element concentration.[11] With 7 percent of the worlds coal India has the fourth largest coal reserves. The Carbon Sequestration Leadership Forum (CSLF) estimates that at the current level of consumption and production, Indias coal r eserves will last for more than 200 years.[12] Oil. According to Oil and Gas Journal (OGJ), India had 5.6 billion barrels of proven oil reserves as of January 2009, the second largest amount in the Asia- Pacific region after China. India produced roughly 880 thousand billion barrels per day (bbl/d) in 2008.In 2007 India consumed approximately 2.8million bbl/d making it the fifth largest consumer of oil in the world.[13] (Refer Figure .2) Indias largest crude oil import partner is Saudi Arabia, followed by Iran. Nearly three-fourths of Indias crude oil imports come from Middle East.[14] (Figure 3). Natural Gas. According to Oil and Gas Journal (OGJ), India had 38 trillion cubic feet (Tcf) of proven natural Gas reserves as of Jan 2009. The EIA estimates that India produced 1.1 Tcf of natural gas in 2007, up only slightly from 2006 production levels. Although Indias natural gas production has consistently increased, demand has outstripped supply making the country a net importer of natural gas since 2004.[15] (Refer Figure .4) India imports natural gas via Liquefied natural gas (LNG). LNG has not figured prominently in the energy mix, but is slowly increasing. Experts estimate that by 2012 Indias LNG imports will be on par with Japans current LNG imports of 60 million tonnes per annum. Although the Gas Authority of India Ltd. (GAIL) has already begun work on a National Gas Grid, there is considerable technological progress that has to be made in terms of extraction, transportation and delivery of LNG. It is estimated that once the grid is fully functional, LNG could offset a sign ificant portion of Indias energy demand.[16] Fuel-wise energy production iis given in Figure.5. New Exploration Licensing Policy and New Discoveries. Exploration blocks were put on offer under the New Exploration-Licensing-Policy(NELP) in1999 in order to try and attract private investment. India has offered 110 oil and gas blocks and 16 coal-bed-methane blocks for exploration in an attempt to raise domestic energy production and reduce import dependence.[17] Under NELP, 71 oil and gas discoveries have been made in 21 exploration blocks.[18] Hydrocarbon accretion has been more than 600 million tonnes of oil equivalent.[19] Cairn Energy has made 25 discoveries in Rajasthan and currently has six fields under development. Initial attention is being concentrated on Mangala, Bhagyam and Aishwariya (MBA). Production from Mangala is scheduled to begin in third quarter 2009. Output from the MBA fields is estimated to peak at 175,000 barrels per day, which would represent at least 20% of Indias total oil production[20]. Nuclear Power. India has a largely indigenous nuclear power programme and expects to have 20,000 megawatt electricity (MWe) nuclear capacity on line by 2020 and 63,000 MWe by 2032. It aims to supply 25% of electricity from nuclear power by 2050. Due to Indias Nuclear isolation post 1974,for 34years India was largely excluded from trade in nuclear plant or materials, which has hampered its development of civil nuclear energy until the signing of Indo US Nuclear Deal in 2008. Due to these trade bans and lack of indigenous uranium, India has uniquely been developing a nuclear cycle to exploit its reserves of thorium. [21]. Nuclear PowerGeneration Capacity. Indias present 2,720 MWe nuclear power plants include 14 reactors at 6 sites(Tarapur,Rawatbhatta, Kalapakkam,Narora,Kakrapar and Kaiga); ongoing 3,960 MWe nuclear power plants include 8 reactors at 4 sites (Tarapur,Kaiga, Rawatbhata and Kudankulam); and future nuclear plant include one Adwanced Heavy Water Reactor (AWHR) having a rating of 300MWe and a mix of 500MWe Fast Breeder Reactors,680 MWe Pressurised Heavy Water Reactors and 1000 MWe LWRs so as to reach a total of 20,000 MWe by 2020.[22] Hydro Electricity. India has a large hydro-potential estimated at 84000 megawatt (MW) at 60% load factor. Less than one fourth of that has been tapped. Large hydro projects are also being stiffly opposed by environmentalist all over the country.[23] Indias Energy Policy. The Indias energy policy states that the energy needs to be utilized not just from the conventional energy resources but also from other non-conventional sources like wind, water, geothermal, biomass etc. The India energy policy act emphasizes the need to develop newer energy sources that are more efficient and non-perishable. Since the energy sources levels are dropping with each passing day the energy of light (energy of a photon), energy of motion from the flowing water and geothermal energy and energy of an electron in chemical energy and other forms is the new energy units tapping solutions.[24] CHAPTER IV ENERGY POTENTIAL OF CAR The CAR is abundantly endowed with energy resources (Refer Table.1) The hydrocarbon reserves are unevenly distributed among the five CARs (Refer Fig.6) and includes a number of petroleum basins that are different in their geological development, reservoir and hydrocarbon types and quantity of resources. Various sources have reported that the postulated oil resources of the region are comparable with those of Saudi Arabia and that the potential gas resources are equal to Irans. Central Asia has been described as one of the worlds most strategic zones , between Russia , China and a troubled Middle East- a region coveted both by its larger neighbours and major world powers .[25] Energy Potential Kazakhstan. It is the second largest producer of petroleum in CIS after Russia. The Kashagan deposit on Caspian seabed was discovered recently and is estimated to contain 13 billion barrels of oil. US and China have already signed deals to exploit the same. The most significant deposits of gas are at Karachaganak (black hole) in northwest Kazakhstan. It is estimated that production of gas will touch 36.1 billion cubic metres (bcm) by 2010. [27] Kazakhstans Gas Potential Kazakhstans Proven Reserves. BP estimates of 2008 place Kazakhstans proven reserves at 1.90 trillion cubic metres (tcm) (1.1% of global share). There are two other gas producing nations in the former Soviet Union that surpass Kazakhstan in terms of proven gas reserves: Russia with its 44.65 tcm (25.5% of global share) and Turkmenistan with 2.67tcm (1.5% of global share).[28] While published figures vary widely, rising as high as 3 380 bcm in the 2007 reserves report from the BGR, it may be of some significance that Oil Gas Journals latest tabulation of world gas reserves (December 2008) shows a decrease in Kazakhstan from 2 832 bcm at 1 January 2008 to 2 407 bcm at 1 January 2009.[29] Production Growth. Over the past decade, Kazakhstans gas sector has achieved considerable production growth, from 4.34 bcm in 1994 to 29.63 bcm in 2007 (see Figure 7). Production in January-July 2008was 19.74 bcm, up 13% year-on-year, and full-year production could potentially exceed the energy ministrys estimate of 33.7 bcm . (Refer Figure 7)[30] Kazakhstans Oil Potential Proven Hydrocarbon Reserves .Kazakhstans combined onshore and offshore proven hydrocarbon reserves have been estimated between 9 and 40 billion barrels.[31] Oil Production and Consumption. Kazakhstan produced approximately 1.45 million barrels per day (bbl/d) of oil in 2007 and consumed 250,000 bbl/d, resulting in petroleum net exports of around 1.2 million bbl/d. (Refer Figure.8) Major Oil fields. Energy Information Authority expects oil production in Kazakhstan to average 1.54 and 1.71 million bbl/d in 2008 and 2009, respectively. Major producers include Karachaganak (250,000 bbl/d), Tengiz (280,000 bbl/d), CNPC-Aktobemunaigas (120,000 bbl/d), Uzenmunaigas (135,000 bbl/d), Mangistaumunaigas (115,000 bbl/d), and Kumkol (70,000 bbl/d). These producers account for 1million bbl/d (or around 70 percent) of liquids production in the country. Other production is centered in smaller fields.[32] Nuclear Fuel Potential Uranium. Kazakhstan has been an important source of uranium for more than fifty years. Over 2001-2008 production rose from 2000 to 8521 tonnes U per year, and further mine development is under way with a view to increase annual production upto18,000 tU/yr by 2010 and 30,000 tU by 2018. Production in 2009 is expected to be about 14,000 tU. Kazatompromis the national atomic company set up in 1997 and owned by the government. It controls all uranium exploration and mining as well as other nuclear-related activities, including imports and exports of nuclear materials. It announced in 2008 that it aims to supply 30% of the world uranium by 2015, and through joint ventures: 12% of uranium conversion market, 6% of enrichment, and 30% of the fuel fabrication market by then.[33] Energy Potential of Uzbekistan Uzbekistan. Uzbekistan is unique among the CARs as being the only republic that shares a border with the other four Kazakhstan to the north and west, Tajikstan and Kyrigzstan to the east and Turkmenistan to the south. . Uzbekistan currently produces 60 bcm of natural gas annually, an amount nearly equal to Turkmenistans production. Uzbekistans reserves are primarily concentrated in Qashqadaryo province and near Bukhara in the countrys south-central region. During the 1970s Uzbekistans largest natural gas deposit at Boyangora-Gadzhak was discovered in Surkhandaryia province north of the Afghan border.[34] Uzbekistan also has small coal reserves, located mainly near Angren, east of Tashkent. In 1990 the total coal yield was 6 million tons. Oil production has likewise been small; Uzbekistan has relied on Russia and Kazakstan for most of its supply.[35]According to Eshref F Trushin of the Institute of Macro Economics and Social Research (Uzbekistan), the Republic is fifth in the world in uranium production. It also produced 60 tonnes of Gold in 1996. However Capisani reports the 1996 production at between 80 to 110 tonnes. Gold deposits are found in the Fergana Valley at Altynkan and Kochbulak, in Uchkuduk(Zeravshan) and at Murantau. In February 1992, a protocol was signed with the Canadian firm , Newmont Gold for the development of Murantau deposit. Copper is extracted in the Almalyk region, as also iron minerals, zinc, lead , tungsten, molybdenum and uranium.[36] Energy Potential of Turkmenistan Turkmenistans Oil Potential. Turkmenistan produces around 200,000 barrels per day of crude and is the biggest gas producer in the former Soviet Union after Russia with exports of around 50 billion cubic metres of gas a year, mainly to Russia and Ukraine. The country says its gas reserves are currently heavily underestimated and it can easily double and even triple production to supply gas to Europe and Asia.[37] According to U.S Energy Information Administration total oil production in the country in 2008 was 189.40 barrels per day. The crude oil production reached 170.26 barrels per day whereas the consumption of petroleum products and direct consumption of crude oil was 103 thousand barrels per day. The refining capacity is 237 million barrels per day and the Turkmenistan ranks world no 57 in its refining capacity. The proven reserves are 600 million barrels (Refer Table 2). Turkmenistans Gas Reserves. The production of natural gas in 2007 was 2,432 billion Cubic Feet as compared to domestic consumption of 688 Billion Cubic Feet. The country exported 1,745 Billion Cubic Feet Natural Gas in 2007. The Net proven reserves amount to huge 100,000 Billion Cubic Feet.[38] Energy Potential of Kyrgyzstan Kyrgyzstan. Kyrgyzstan currently does not have enough energy to provide reliable light and heat to its residents and factories. Although the country relies heavily on domestic sources of hydropower for much of its electricity, recent droughts and mismanagement drastically cut these supplies. Kyrgyzstan is increasingly seeking to identify and bring on line new sources of energy. The country currently imports most of the natural gas, petroleum products and coal that it consumes. At the same time, beyond hydro power, Kyrgyzstan has essentially no alternative energy production. Kyrgyzstan faces a variety of challenges in developing its energy sector. In the foreign policy sphere, Kyrgyzstan confronts problems that are a consequence of the extremely complex and volatile political landscape in Central Asia. Domestically, issues of economic crisis, organizational dysfunction, poorly written laws, and corruption hinder reform.[39] Energy Potential of Tajikistan Tajikistans Proven Oil Reserves. Tajikistan has proven reserves of 12 million barrels of oil (Refer Table.2), most of which are located in the northern part of the country in the Leninobod Soghd Region. The national oil company is Tajikneftegaz, which handles oil exploration, drilling, and production. In 2001, Tajik oil production was only 350 barrels per day (b/d). There has been a long period of production decline since Tajikistan produced 1,311 b/d in 1992. This decrease has been attributed to the 1992-1997 civil war, economic troubles, and lack of investment in the oil infrastructure. Tajikistan consumes 29,000 b/d of oil products, almost all of which are imported. The main source is Uzbekistan, which provides 70% of Tajikistans oil product imports. [40] Tajikistan Gas Reserves. Tajikistan has 200 billion cubic feet (Bcf) of natural gas reserves, comprised of several fields. In 2000, Tajikistan began operations in the Khoja Sartez field in the southern Khatlon Region, and has also increased its activity in the Qizil Tumshuq deposit in the Kolkhozobod District of the southern Khatlon Region. Tajikistan has also tried to increase its own gas production, in 2000, by exploratory drilling in the Khatlon region. Apparently, some of the drilling has been successful enough to interest China in future drilling activities. The total natural gas production for Tajikistan in 2000 was 1.4 Bcf. With its small domestic production, Tajikistan must rely on imports for 95% of the natural gas it consumes. [41] Viability of CARs to Serve as an Alternative to West Asia If the CARs are to provide a viable source of supply diversification for energy importers, they must have an environment that sets them apart from the Gulf countries that currently supply bulk of the oil. The oil importers sense of vulnerability stems from the fear of emergence of militant Islam in West Asia.[42] Factors Affecting Viability. In this context, the CARs ability to provide a viable alternate to West Asia is subject to a variety of factors as under:-[43] Proven Reserves. The known and proven reserves of West Asian oil account for 66%of global deposits whereas the proven and possible reserves of the entire Former Soviet Union (FSU) region are no more than 5.5%, of which Central Asia s share is even less. When it comes of natural gas the FSU region of which Russia constitutes the chunk , accounts for 39%of global reserves but Central Asian share is only around 6%. Only about 3%of the global energy trade is accounted for by the Caspian region and the share of CARs is even less. Thus the CARs can only supplement, not supplant West Asian suppliers, whether it is oil or gas. Drilling Costs. Drilling oil in CARs costs three to six times as much as it does in West Asia. While it can be as low as $1per barrel in Iraq or Saudi Arabia, it would cost up to $5 to produce a barrel of oil from the Northern Caspian. This implies that it is economically attractive to produce oil in CARs only when global oil prices reign above a certain threshold level and being a marginal producer the Caspian region will have to follow the prices set by OPEC and that they will not be in a position to influence prices to any significant extent. While gas production in the region is competitive with the rest of the world, the need to ferry it by long pipelines through difficult terrain offsets the cost advantages. Connectivity. Unlike West Asia, which enjoys excellent connectivity with energy consumers all over the globe through well established sea routes and tanker infrastructure, the CARS are constrained by geography that limits not only existing ,but also future transit routes to global market. Quality. The quality of crude from some wells in Caspian region demands extensive processing before it can be consumed. Not all refineries have the processing capacity which constrains the range of consumers who can buy CARs oil even when it is available. Insurgency. Incipient insurgency in some parts of CARs renders them less attractive as an alternate source of supply. Uneven development of the different countries of the region and the ethnic diversities , instability in Chechnya

Proposal To Implement Supply Chain Management Program Essay -- SCM ERP

Project Proposal Sheet 1.0 Idea HANA KIMI CO. would like to adopt an online Supply Chain Management System (SCM) whereby the customers may buy company's products online via company's website and able to track the status of the order including the availability of the stocks by integrating the Online Sales System with the company's Inventory, Manufacturing and Production System. 2.0 Type of Project √ Revenue Generating √ Cost Savings 3.0 Type of System Horizontal: The implementation of the online SCM will involve the operational level only Vertical: The following functions will be integrated: * Manufacturing and Production System * Sales and Marketing System * Inventory System 4.0 Business Imperative To perfectly match the supply side activities of procurement, production planning, distribution planning, production allocation, warehouse planning, inventory planning and so forth with the demand side activities of incoming orders and forecasts so that all demands are met with the least cost and most convenience, and as the initial step for the implementation of Enterprise Resource System (ERP). 5.0 Benefits The online SCM system and ERP support various business strategies for competitive advantage over other companies, among others: Support business strategy, and provide E-Business benefits. 5.1 Support Business Strategy At the business level, this system helps the company to: • Reduce operating costs The system attempts to integrate business processes across departments onto a single enterprise-wide information system. The major benefits are improved coordination across functional departments and increased efficiencies of doing business. The immediate benefit from implementing ERP systems w... ...e shared among various business functions, thereby resulting in tremendous cost savings and increased efficiency. When making the implementation decision, management must considered fundamental issues such as the organization's readiness for a dramatic change, the degree of integration, key business processes to be implemented, e-business applications to be included, and whether or not new hardware need to be acquired. In order to increase the chance of user acceptance, employees must be consulted and be involved in all stages of the implementation process. Providing proper education and appropriate training are also two important strategies to increase the end user acceptance rate. The organization is also going through a drastic change, with changes in the way businesses are conducted, the organization being restructured, and job responsibilities being redefined.