Energy Security and Independence

In this world of ours, you’d be hard-pressed to find a country that is entirely independent when it comes to resources, trade, labour, and even energy. In the case of countries that rely on others to supply them with natural gas, oil or electricity, they are often at the mercy of changes in energy prices and policies that can drastically affect their own. As such, many countries are pursuing avenues in which to decrease their dependence on foreign oil and gas imports through energy reduction, becoming self-sufficient in terms of energy production, and by diversifying their energy generation with more clean and renewable sources. This is something in which all countries must pursue, not just for the sake of economic and political stability, but also for the sake of the planet.

The most recent example of energy dependence backfiring horribly is Ukraine. Russia is the Ukraine’s biggest natural gas supplier by far and has supplied Ukraine with natural gas since the latter’s independence. As a result of the ongoing crisis in Crimea, Russia has threatened to increase Ukraine’s gas prices by 44%. Such an increase could potentially cost Ukraine an additional $2.5 billion (US), which is the main reason why Ukraine is now looking westward to France and Germany to supply its natural gas.

Ukraine imports most of its natural gas from Russia and now finds itself in a very heated political standoff.

According to the US Energy Information Administration, 40% of Ukraine’s energy comes from natural gas and of that natural gas, around 60% was imported from Russia. It’s no wonder then that Ukraine’s energy fate is so closely tied with Russia’s foreign policy. In order to counter this, last August, the Ukrainian government approved an updated energy strategy through to 2030 shifting from natural gas to more nuclear, coal (of which Ukraine has a lot), and more renewable sources. Unfortunately, Crimea was supposed to play a large role in securing Ukraine’s domestic energy production, and with the ongoing crisis, those plans are now in jeopardy.

Island nations are also particularly vulnerable to sudden changes in fuel prices. Many countries in the Caribbean import diesel for electricity so when the price of fuel increases, they have few alternatives but to increase the price of electricity. As such, electricity prices in many Caribbean islands are often more than $0.42/kWh (nearly triple the amount most Europeans and Americans pay). In Anguilla, they pay an astronomically high $0.63/kWh!


Anguilla, blessed with beautiful beaches, and incredibly high electricity prices.

Such energy inflexibility is the main reason why the Caribbean region is now getting more than $1 billion in loans to fund renewable energy, particularly wind and solar. Spearheaded by billionaire philanthropist Richard Branson, these loans are to help reduce electricity bills amongst some of the more impoverished people in North America, and at the same time, help the region become more sustainable and less vulnerable to sudden shifts in fuel prices.

Photographer: Robert R Gigliotti

Wind farm at Vader Piet, Aruba. There is a lot of wind power potential in many Caribbean islands.

Some countries (such as Canada) are rather fortunate to have a plethora of natural resources in its own backyard. Other countries, not so much, and there will always be countries that need to rely on neighbours to provide what they cannot create themselves, but even so, that shouldn’t stop countries that have fewer options from exploring potential options.

It is absolutely paramount that countries around the world begin to shift from energy importers to energy producers. And so long as they are relying on non-renewable sources like oil and natural gas, their fate will be tied to fuel prices. The more we rely on finite resources to spur our economic growth, the more vulnerable our economic prosperity becomes. Along with a shift from importer to producer, we must also rely on clean and renewable sources like wind and solar. The sun and wind aren’t subject to market variability, only natural fluctuations, which are much easier to predict. If we start to depend more on dependable resources, energy independence becomes much easier.