Like it or not, oil-based energy will continue to play an important role in modern civilization as the 21st century continues.
Whether or not humanity responsibly controls and extracts this vital resource in the next few decades is the challenge, suggests a prominent environmental economist who recently sat down for an interview with James Stafford of OilPrice.com. The energy market news and analytics site posed a number of questions for Fen Montaigne, who speculated that if regions like the Arctic are going to be opened up for oil prospecting, then participating nations must commit to doing it right.
"The Arctic nations – as well as other interested countries, such as China – need to carefully survey and assess the resources of the Arctic basin and draft a conservative plan for their exploitation. That may include a ban on drilling for oil and gas in large sections of the Arctic."
Montaigne argues that, given the oil sector's colored history drilling in the region, officials from the U.S., Europe, Russia and China need to ensure that operations are conducted in a safe manner. Otherwise, the associated costs of a major oil spill or pipeline rupture could create unintended economic consequences that unravel the entire point of drilling in the first place.
Investors and those with stakes in the world economy, such as folks banking on their retirement accounts for income, should keep an eye on these developments as the future of oil will take place in the Arctic. As long-term ice accumulations melt, energy companies will be able to push further north in search of profit. This presents a potential investment opportunity, but many factors are in play here.
In the meantime, all Americans concerned about their financial future should consider alternative steps to protect their economic well-being. Those interested should explore GreatWealthStrategies.com to find revenue-generating solutions.