Question: Nominate 3 energy industry advances to be inspired about from the arti

Question

Question: Nominate 3 energy industry advances to be inspired about from the article and 3 things we must address today for our energy future. (Please answer included When we think like economists we would be mindful of incentives, supply and demand, opportunity cost, risks, transaction costs, tradeoffs, preferences, and cost-benefit analysis. We start at behavior and what choices we are confronted)

Article:

we are in a race the race is against

time we have to build cities we need

them but we have to make them in a

different way

we need a wave of innovation not only

for our way of life but also the planet

the consequences would be enormous if we

lose this battle

you

I'm Thomas Goetz executive editor at

Wired magazine at Wired we look at the

innovators and innovations that are

changing our world in the next hour

we'll see three stories from acclaimed

filmmakers about the future of energy

will explore cutting-edge innovations in

how we drive how we live and in our

first story how we fuel our cars there

are all ideas that promise to shape the

path to the world of 2050 the world has

right now close to a billion cars and we

might double the number of cars on the

planet by 2050 so if we double it up for

vehicles we really increase the amount

of fuel they consume and that's gonna

have a big big footprint in terms of our

demand for resources to move all those

vehicles around we're pulling up carbon

that's been stored underground and

burning it in our automobiles and

putting all that carbon dioxide in the

atmosphere if we don't reduce that can

have changes in the climate that we

could never recover from

there's a number of forecasts for what

type of transportation economy we could

move into one vision is that we will use

more and more liquid fuels

another one is we'll use more and more

electricity and right now more of the

industrial activity is focused around

liquid biofuels the thing about the fuel

is it's really unparalleled on a weight

basis how much energy is in a gallon of

fuel and even if batteries develop as

some of the advocates hope they develop

we're not going to see batteries running

large trucks and we're certainly not

going to see an electrified air fleet

we're going to need transportation fuels

for those that will directly replace the

petroleum-based fuels that were using

today this is kicked off people looking

at whole range of other alternatives to

petroleum in your tank

commercial production of ethanol as fuel

started in Brazil in 1975 when we

started the ethanol program nobody

talking about reducing emissions this

was not an issue at that time first and

most important we didn't have money to

buy oil anymore after the first oil

shock we were importance of oil and

today more than 50% of all cars use

ethanol instead of gasoline Brazil made

a very conscious choice to try to find a

way to reduce their fossil fuel

dependence and they didn't have to look

very far because Brazil's climate is

ideal for growing sugarcane when you

have sugar cane plantation you have only

two things who make sugar ethanol my

family has been in sugarcane business

since 1955 and about 30 years ago I

thought there is opportunity make more

ethanol now we are producing 120,000

cubic meters of ethanol Brazil today has

very close to 400 sugar mills the

overall sales is 30 billion US dollars

on this number is increasing

if you look at how they make ethanol and

how efficient the process is it's really

a model for all of us they grind the

plant up extract the sugar from the cane

the sugar goes into these large

fermentation tanks which combines sugars

together with yeast that naturally

produces ethanol they use the rest of

the plant to generate heat to distill

the ethanol and turn it into fuel they

also use that heat to generate

electricity renewably not putting excess

carbon dioxide in the atmosphere Brazil

has gotten to a point today where

they're using about 40% less petroleum

and they would be otherwise but Brazil

cannot supply the whole world with

ethanol because they would have to cut

very strongly into food production and

into critical natural areas like the

Amazon to make that happen and this

really boils down to the fact that

there's only so much arable land and

growing fuel for our gas tanks is yet

another demand on that landscape you

cannot get ourselves in thinking that we

found a general solution for the world

problems I think we will have to face

the world in this way today we have no

oil your very large quantities anymore

we have no coal transformed in a clean

way in the meantime we have to do the

best we can the best at the moment is

that they can do biofuels sugarcane

ethanol is an incredibly efficient

process you get out about seven times

the energy you put into growing the

sugarcane in the US when we produce

ethanol from corn for every unit of

input of energy we get about the same

amount of energy out so we're really not

gaining anything we need a better

process we don't have to take what

nature has given us we can actually

engineer plants and yeast to be more

efficient and that's the basis for a lot

of the work that would

what we need to look at though is which

of the pathways that come out of this

are not only good financially that those

that are also good nor sustainability

and this equation is really wide open

right now we are in a race to develop

fuels the race isn't with other

countries the race is against time to

meet the immediate and future demands we

made the energy solution spring from the

ground

Brazil is the most efficient ethanol

producing country in the world

sugar cane alcohol from Brazil can

reduce the total carbon footprint right

up to 70% compared with the gasoline

the biggest challenge for fuel providers

and car manufacturers is to reduce co2

emissions over the next 20 years demand

for mobility we continue to grow we

believe that biofuels are very important

because they help in an immediate way

all forms of fuels are going to be

needed hydrocarbons natural gas biofuels

all of them are going to be part of the

energy mix for the future of

transportation Brazil has been very

successful at taking a resource they had

and finding the process to make that

into ethanol and people call those first

generation biofuels we have lots of lab

work around the world that are looking

at the second generation that's

generally turning cellulosic material

from for example weeds into biofuels and

the United States is very much at the

forefront of the innovation part of the

equation

for centuries we have been using yeast

to consume glucose and produce wine and

beer we're trying to do something very

similar only we're engineering these to

consume that glucose and turn it into a

fuel or a drug or chemical we call this

synthetic biology and when I started in

this area many of my colleagues said oh

J this is great work but where's the

application what are you going to do

with these tools who cares malaria is an

enormous problem in any one year a

million or so people die of the disease

and most of them are children under the

age of five so we thought this is a

great opportunity to engineer yeast to

produce an anti-malarial drug called

artemisinin this drug is derived from

plants right now but it's too expensive

for people in the developing world so my

laboratory engineered yeast to produce

small quantities of artemisinin now that

process is being scaled up and we'll

have this drug on the market shortly but

at a substantially reduced cost it turns

out that anti-malarial drug is a

hydrocarbon and it's very similar in

many ways to diesel fuel

we thought gosh we can turn our

attention now to fuels we could make a

few changes in that microbe to turn it

into a fuel producing microbe

if we imagine that glucose is going to

be our new petroleum we need a source

without glucose and so the crops that

we're looking at our crops like

switchgrass this is a native grass it

grows without a lot of water and on

marginal lands we could turn into energy

farms the challenge though is that

unlike sugarcane is very difficult to

get the sugar out of that biomass so we

use what we call a pretreatment process

to extract the glucose from the plant

and then we feed that glucose to a yeast

that we've engineered to produce

hydrocarbons and that yeast takes in the

sugar and it changes its composition

that gives us this high-energy molecule

they float to the top you skim them off

you put them in your tank

but it takes a lot of work to get from

that small test tube all the way up into

the million gallon tank so we have to

give it time but I think that some of

the discoveries that are happening might

be applied by the end of the decade

in terms of a sustainable equation for

the planet role biofuels is quite tricky

there are a variety of crops that do not

compete directly with food and finding

ways to utilize those types of crops

first that's very attractive so solving

the science is part of the story but

then evaluating all of the new fuels in

terms of the land-use impacts that they

could have that is even harder story

than doing the good sign imagine that

you could have one process that could

take in sunlight and carbon dioxide and

turn it into fuel and imagine if that

didn't involve growing anything at all

the synthetic biologists are trying to

take plants and make them do things that

they wouldn't normally do on the other

hand materials chemists like myself want

to do artificial photosynthesis to

improve on the process that nature does

in real photosynthesis

we should follow the blueprint of plants

converting sunlight into fuel but take

the approach that it could be much

simpler all we really need is a light

absorber that absorbs sunlight we also

need a catalyst like iron or nickel so

when you see the hydrogen coming off of

a photoactive material that's an example

of a semiconductor breaking the chemical

bonds of water make hydrogen and oxygen

ultimately our pieces are going to be

contained in something that is easy to

roll out like bubble wrap or in would

come sunlight and water you would vent

the oxygen to the air but the bottom

would wick out your liquid or gaseous

fuel that then you could collect and use

for our cars and planes and storage

our goal is within two years to have the

first artificial photosynthesis solar

fuels generator that we can hold in our

hands and then get to scale beyond that

time we're certainly not good at

predicting the future but to me electric

vehicles look like a sustainable option

we've heard proposals about things they

spark mention as nuclear power planes

and even the proposals sprayed around

with lighter than air vehicles and so if

the future in 2050 does include a fair

amount of oil what it means would be

that we haven't deployed as many of

these clean technologies as we already

know where possible if you think about

how long it's taken for us to build up

the petroleum industry we can't hope to

reverse that overnight

it's huge change in our infrastructure

yes we should have been working on it 30

years ago we didn't we're trying to make

up for that and that means basic

research needs to be done now and by as

many people as possible we have a long

way to go but I'm confident that we'll

get there

in the future 3d maps are going to help

people get places more efficiently as we

just saw the race to produce cleaner

energy is charging ahead

in the meantime demand for cars

continues to climb by 2050 its predicted

there'll be 2 billion cars on the planet

and fuel consumption will have tripled

to keep pace we'll have to radically

change the way we drive here's our next

story driven by design

the automobile came around in many ways

it was the future we thought of it as

one of the more positive changes that

had happened to society suddenly our

ability to get a job changed we can live

farther away with bigger plots of land

with better quality of living it all

looked quite good but there are

limitations to swearing by the car if it

gets congested your quality of life

drops immediately to spend so long in

the car it's very inefficient use of

fuel consumption things start making

sense all of a sudden doesn't bring you

closer to where you want to get it

actually sometimes bring your father the

average American spends nearly 300 hours

a year in their car 38 of them stuck in

traffic

annually congestion consumes over 1

billion dollars in gasoline in the

United States alone the inefficiency

caused by traffic both financial and

personal is enormous

Derk Sheen and carmen white story is not

that unusual today

Dirk works an hour and a half away in

Warrenville Illinois generally he

wouldn't leave work until 6:00 or 6:30

and I would say usual time for him to

get home is around 8:00 usually when I

wake up I'm the only one up sometimes

the kids wake up with my routine more

often than that I don't see them in the

morning I think about my commute when I

wake up I checked the traffic report see

if there's any delays the worst case

scenario it takes me two hours to get to

work we are already so limited in the

amount of time he can spend with the

kids and our expenses are crazy high we

are spending 400 bucks a month on gas it

takes away from our food budget and we

never paid for gas like that before ever

there's technology that would allow me

to spend less time in the car spend less

money on gas and spend more time at home

I'd be all for that

the cost of traffic is people's time its

fuel wasted

it's an emotional toll to frustration

utilizing the roads more intelligently

is a much more efficient approach to the

inability to have supply keep up with

traffic demand if you took a satellite

picture of the highway you can see that

there's actually a lot of open space and

if we had the technology for cars to

drive more closely but safely then you

could increase the utilization of the

road network what this means is that to

be more efficient to use less fuel we

need to see the road differently we need

cars that can navigate through the urban

landscape in a radically different way

maps in the future are going to be able

to help people get places either more

safely or more efficiently today just

helps you get from point A to point B

but what if I want to get someplace and

use the least amount of fuel possible or

if I've got a hybrid vehicle I want to

make sure I've got plenty of charge not

only get there but to get back home so

information that is going to help people

achieve the more efficient or the safer

route is more detailed information about

the road than a lot of people realize as

possible to collect today here in

Chicago

Nokia's location and commerce unit is

developing the next generation of

mapping lidar so non 360-degree video

all our components of what Nokia calls

digital mapping

we use 64 lasers at rotate and they

collect data in a 3d way about the world

it creates what we call a point cloud of

information that point cloud allows us

to measure distances then between the

points that we collect that system

combined with the cameras with higher

precision location detection through

inertial measurement units that whole

data system allows us to collect 1.3

million points of data per second

probably within two to three years

you're going to see 3d maps that are

going to integrate the traffic

information into your routing to help

you understand if I've got five

different routes to take which one is

the most efficient today given way the

stoplights are running given the way

traffic is running all of those factors

are going to be taken into consideration

to make sure I've got the best route but

better mapping that can integrate

topography infrastructure and density is

only part of the answer another key to

improving transport efficiency is

building cars that drive themselves

autonomous vehicle technology has a

tremendous potential to improve

efficiency of a road infrastructure by

removing humans from the equation we

eliminate all the things we do wrong

time will be speeding changing lanes too

often merging haphazardly

and by marrying autonomous vehicles with

sophisticated 3d maps we can make

driving safer and more energy efficient

that next generation vehicle is being

built right now by the Swedish trucking

company Scania

the solution is to see it is that the

vehicles can utilize intelligent maps

three-dimensional maps with traffic

information the vehicles will be

intelligent and communicate with each

other they will talk to each other they

will talk to the infrastructure and we

will see completely autonomous driven

vehicles

the goal was to have multiple robots and

see if they could go 60 miles fully

autonomously

my name is Helen Taylor my husband John

and I were very passionate about fuel

economy yeah it's great to break World

Records but that's not the be-all

end-all now it's more important to

educate people together we're showing

drivers around the world simple

techniques to improve their fuel

efficiency we from these education

programs get people on the road with us

and we finally tweak their driving

techniques things like just checking

your tire pressures before you even get

into your car for every one psi your

tires are under-inflated you wasting 3%

of your fuel efficiency and the

difference between 65 and 75 miles per

hour is a saving of 23%

when you talk to the general public

they're very surprised that an energy

company like shell is trying to educate

people how to save money how to reduce

co2 emissions and here we have Shell

sending us around the world to do that

you always hope when you're on this

planet that you can make a real

difference in people's lives

when you get emails from people saying

I've saved this amount of money this

year

now I can put food on the table then you

know you are really making a difference

by displaying traffic density in the

urban infrastructure in a revolutionary

way 3d digital maps will help create a

more fuel-efficient future but these

technologies are limited by the drivers

who sit behind the wheel

some believe that for cars and trucks to

be truly energy efficient they will need

to drive themselves the technology is

coming into play through sensors and and

capabilities for cars to drive

autonomously in 2007 the United States

Department of Defense held a competition

to see if a completely autonomous

self-driving vehicle was possible

DARPA stands for the Defense Advanced

Research Projects Agency they help a

competition to develop self-driving

robots that could drive themselves in

traffic the goal was to have multiple

robots turn them loose on a course and

see if they could go 60 miles in six

hours fully autonomously driving may be

one of the most complex things we do

every day drivers make dozens of

decisions at any given moment one study

found that drivers were exposed over

1,300 items of information per minute we

make so many decisions when we're

driving without even thinking about it

so in creating our vehicle a great

component the enterprise was developing

software to handle lots of sensors

feeding lots of data and generating a

bunch of potential paths that the

vehicle might follow and even though the

robot doesn't have the ability to

predict the future by using this fast

random path generation the robot could

anticipate a potential accident and

choose a path to avoid it because it's

always thinking about what things could

the car do next

no one expects millions of cars driving

themselves anytime soon but there is a

place where self navigating technologies

are being optimized to create the

vehicle of the future we owners cornea

test track L testicle where we have

basically looks like in highway but it's

a separate sand test track will conduct

own experiments scania the swedish

trucking company has recently begun

testing its next generation of long-haul

truck utilising radar sonar an

intelligent mapping they've been able to

drastically reduce fuel consumption we

have this example with platooning where

we make use of the reduction in air

resistance or air drag that you get from

driving close to each other with

heavy-duty vehicles and in order to

control this you need to know where the

other vehicles are where their position

the velocity their actions in the near

future and to be very close to the

vehicle ahead of you

that requires that you have very

accurate control if you look at robotics

broadly there's a wonderful set of

research on people looking at schooling

of fish and and trying to develop the

ability for robots to work together like

that so they're wonderful examples from

nature of how cooperation can lead to

more efficient resource utilization you

can see it when people are competing in

to the France they platoon to reduce air

drag they are not bicycling behind each

other that close because it's fun or

because they are racing it is because

they are reducing air drag sitting

behind the

man who is leading a truck traveling 55

miles per hour expends half its energy

just to move the air around it at 65

miles per hour that number jumps to

almost two thirds

even if platooning can reduce the energy

used by 10% the savings would be

substantial

if a vehicle in front of another vehicle

wants to brake it immediately sends out

the brake message to the other vehicles

so they actually brake at the same time

the way we do this is by we have an

automatic system so now for instance if

I take my feet off the acceleration

pedal and turn the system on the

velocity is automatically governed by

getting information from the vehicle

ahead through its wireless system we

want these vehicles to maintain a short

relative distance so through this system

we can reduce the fuel consumption by

utilizing the air drag reduction by 10

percent and 10 percent would mean you

will be able to save approximately 8,000

euros per single heavy-duty vehicle per

year

it may be some time before autonomous

vehicles make up the majority of cars on

America's highways nevertheless some of

these technologies are already making

their way into our lives now this polar

baby wants to sleep do you get to pick

up books every day or is it just

something new pick out books sometimes

okay when we look toward the future the

systems will absolutely make it safer

and more efficient and less costly for

you and also make your life easier

because you're spending less time on the

roads the city begins to talk begins to

tell you where is their congestion

what's going on in different areas of

town suddenly the car becomes a part of

a much bigger ecosystem we can look at

how cars interact with other cars our

car interacts with infrastructure and us

the drivers and start to make smart

decisions about how to move around

suddenly mobility becomes a whole other

thing

no matter how much money they have no

matter how much oil they have everybody

has to go in a different direction we've

seen that changing the way we drive can

improve transportation efficiencies but

what if we changed the way we build and

live in our cities that's the subject of

our next story

searching for utopia will travel to the

United Arab Emirates and discover a city

rising out of the desert let's take a

look from the beginning we've dreamed of

utopia a place where we could live in

harmony with each other and in balance

with nature

many have imagined it tried to design it

but the dream always slipped away

then I heard they were building a new

city called Masdar near Abu Dhabi in the

Arabian desert

it sounded like an unlikely place for

utopia and I wanted to see it the last

half century has been a pretty bad time

for the making of cities mostly the

natural tendency has been to accommodate

to the automobile more than anything

else try walking around Abu Dhabi it's

impossible you'll take a car everywhere

Dubai the same thing they are among the

least pedestrian friendly places in the

world

they are not green by any other measure

either and these are not easy things to

fix

Masdar is still under construction and

it doesn't look like much from the

highway but they claim it's going to

redefine the way cities are designed

built and powered mezda city in Abu

Dhabi will be the city of the future and

the role model for the world once you

see what they've envisioned for this

utopian city it's very impressive

it's carbon neutral pedestrian friendly

and powered by renewable energies but I

do notice we're going to have to change

our relationship with cars welcome to

monster city don't become timid in its

mustard we are driving in the in the

bowels of Masdar city in an electric

transportation system slightly unnerving

to seeing this for the first time and

where are we going the first big move

the architects of Foster and partners

made was to put all transportation

underneath the city leaving the streets

of Masdar totally free of cars the place

reminded me of a medieval city and

actually many design elements are

adapted from ancient Arabic towns and

villages it's all about looking back

into history to move forward there's

some very very simple ideas that have a

huge impact this is the pedestrian zone

there's no cars here listen this has

enabled us to push our streets together

to take the advantage of shade channel

the cooling breezes through the whole

scale here is based on the human being

it's not based on the motorcar

as soon as you lift up the potassium

playing by seven meters you've suddenly

captured this breeds

what you can see here in the balconies

we've got a modern interpretation of in

ancient Arabic screen or we must avoid

is direct sunlight hitting any piece of

glass as soon as the Sun hits the glass

the heat transferred into the building

and we have to use more energy to cool

it down can this really make all that

much of a difference yeah absolutely for

example downtown Abu Dhabi 60 meter wide

streets black asphalt mirrored

reflective buildings no relief from the

Sun on a day in September the air

temperature in both places was 39

degrees in Abu Dhabi the temperature

measured at the asphalt was 57 degrees

in Masdar the temperature measured on

the ground 33 degrees so we've actually

lowered the air temperature we're trying

to do as much as possible with as little

as possible these simple design moves

cut air conditioning needs by 60% but

this place is also technically very

sophisticated the roof panels not only

provide shade they also generate

electricity and the walls themselves are

made of glass reinforced concrete

literally sand taken from the desert

everything here is geared towards

maximizing energy efficiency Masdar does

represent a whole different value system

it represents an acknowledgment that

eventually everybody has to go in a

different kind of direction no matter

how much money they have no matter how

much oil they have no matter anything

else all of the cities here in this part

of the world have come out of nowhere

there was nothing here not so long ago

except small settlements in the desert

and then all of us oil and all of his

money and suddenly you know wham these

cities started popping up

but they sprung up in a false love of a

Western model that was already out of

date the model of the late 20th century

automobile based energy hogging city for

most of the world energy is very

expensive but the United Arab Emirates

is sitting on 10% of the world's oil and

energy is cheap so cheap you can run a

ski slope in a shopping and build the

world's tallest skyscraper but even here

cheap energy won't last forever

and the people behind Masdar are

determined to find alternatives

you

one of the most crucial aspects of our

energy modeling and scenario

quantification is how much energy in

total is the world going to use in 2050

scenarios team is a bunch of people with

rich imagination I would say we have

political scientists economists

geopolitical experts really try to

simplify the complexity all around us we

in the scenarios team are currently

putting a lot of attention into cities

and city development

a lot of megacities are going to be

built in the coming decades we're

talking about the equivalent of a new

city of a million people every week that

is an incredible demand most of the

world's resources are consumed by the

cities but if we could offer a blueprint

for a better city public transportation

information energy we understand demand

will rise we understand that current

supplies will struggle to keep pace so

we have to of course find ways of

bridging the gap between the demand and

the supply decisions that we take now

are going to have a major impact on

decades to come

there's enough oil under these sands to

last a hundred and fifty years but

fundamental to the Masdar ideal is

getting energy from renewable sources

from geothermal and wind and most of all

from a source they have in abundance in

the desert the Sun this field of solar

panels makes more than enough

electricity to run master and the excess

power is sent to the Abu Dhabi grid

but silicon panels are expensive and the

price of solar power needs to drop if

it's going to be competitive from Africa

to Asia to Arizona

in the future Masdar hopes to get energy

from this prototype called the solar

beam down

using highly reflective mirrors the

solar beam down may generate power more

cheaply and ecologically than silicon

panels

the mirrors bounce the sun's rays up to

the tower

and then down to a point

reaching a temperature of 600 degrees

steam can be generated to run turbines

to make electricity there's just one

problem

neither of these solar technologies work

at night so Masdar needs to draw power

from the grid when the Sun Goes Down and

that power comes from natural gas the

reality is it's just not yet possible to

power Masdar entirely without fossil

fuels the great challenge with Masdar

will be how do you make it a place that

will not be just this ideal city that no

other place could actually aspire to

because it doesn't seem real what Masdar

has to be is a laboratory that develops

things that then can be applied in

existing cities all around the world

because that's where it will pay off

there's no payoff if it's just about

itself the payoff is how can everything

it's trying to do matter in the rest of

the world

right now there's only a store two

restaurants a bank and a few hundred

students living here it's too early to

tell if Masdar will work as a city when

it's finished but much has been achieved

they are carbon neutral and largely

powered by renewable energies solutions

here won't work everywhere though many

cities are in cold climates and cooling

is not their energy problem they need to

let sunlight in not keep it out cities

like Los Angeles or Houston are built

around cars ken Masters lessons be

applied to them still it's a step in the

right direction and it's impressive that

this step is being taken by a country

that doesn't need to take it I met a guy

who said actually they did need to take

it he took me to the desert to explain

God says la da da I'm a naturalist

Emirati well al d well G Bailey God

talks about man's place in the universe

that this world is a trust and God

offered this trust to the mountains to

the heavens - to the land to earth and

all and all refused refused to take this

trust but man being adventurous with

vane maybe too ambitious being man

accepted it now accepting it there is a

responsibility

taking responsibility isn't always easy

utopia may be unattainable but we must

reach for it

and Masdar does give us a clue to what

cities will be like in the future they

may not look quite like master but they

will be shaped by the same concerns by

energy where it comes from and how it's

used

the way we've been building cities

lately is unsustainable we can't go on

building them that way but to say that

we can't build cities the way we have

been building them doesn't mean we can't

build cities in the future in fact we

have to build cities cities are the

essential statement of human

civilization so we will continue to make

them but we have to make them in a

different way what we've seen is that

the world of 2050 won't look drastically

different from the world today but the

challenges of a growing population and

increased energies demand real solutions

its innovations like those we've just

seen that will be critical in charting

our path to the world of 2050

Explanation / Answer

This is a case that looks at energy crisis problems from holistic perspectives and explains how different branches of science can find the solutions by increasing or decreasing the supply of a certian material.

It is observed that 1 billion cars are already there on earth. By 2050 it will be doubled. Hence, Demand for foosil fuels will shift to right and hence prices are likely to go up. This will release more CO2 in the atmosphere. Supply of more CO2 will create negative externality of consumption.

Therefore, electric energy can be the alternatives whose demand will increase. Prices may go up but it may not run heavy trucks and hence electric energy is not a suitable alternative.

Again, ethanol mising can be solution as shown by Brazil. Hence demand for Ethanol will shift to right. But to produce more ethanol, supply of food crops may go down and hunger problems may occur.

Technology to make alcohol from other crops is under study and shows how technology can shift production possibilty curve to the right. However, ethical questions may be created.

It is also onbserved that better traffic management may reduce fuel consumption. Hence demand for better traffic mgmnt technique will shift to right fetching attractive prices for suppliers.

A case study in UAE also shows how alterntaive sources can be the solution to harness solar energy so that substitutes can reduce demand for fossil fuels.

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