Background of the Sustainable Development Concept - Dissertation Example

?Sustainable development for Iraqi oil and gas in the light of international law with particular reference to Kurdistan region Outline of the study Chapter two “Background of the sustainable development concept” of this study represents a historical background overview of the concept of sustainable development, which for the purpose of this study is considered from the perspective of development in the oil and gas industry. Sustainable development is broadly understood as a careful balance between economic activity, environmental protection and social development in areas of exploration and production of oil and gas resources (Arscott 2004: p.1). In case of Iraq these three inter-related domains compose a core of the modern national policy. Chapter two describes the process of the evolution of the concept of sustainable development from the 1972 Conference on the Human Environment in Stockholm, where the first United Nations Environmental Program (UNEP) has been created, to the today’s more comprehensive and profound understanding of sustainable development as a “specific call to prioritize improvements in the well-being of the very worst-off now and in the future” (Paul 2008: p.579). Nowadays strong sustainability development of non-renewable resources, which oil and gas resources are relating to, implies that such resources should be recognised as a specific form of natural capital, and should not be exhausted for short-term benefits only (Ayres et al. 1998: p.4). In addition, chapter two gives an overview of the philosophical and theoretical dimensions of the sustainable development. This overview, made on the basis of the existing academic and professional literature, provides useful information regarding the research in hand and helps to define the ways and concepts of reaching sustainable development in the oil and gas industry through different perspectives. Chapter three “Overview of sustainable development principles” is aimed at the examining the implications of sustainable development by looking into the principles of intergenerational equity, sustainable use, equitable use and the precautionary principle. It is presumed that although these principles do not describe the concept of sustainable development in its full extent, they help to realise a process of shift from a policy of the development of environment without regard to possible negative consequences, to a political culture, which takes into consideration all current and future needs and interests of governments, communities and individuals. Chapter three views these principles in relation to the sustainable development of petroleum resources, in particular. It is emphasised that sustainable use of petroleum resources requires taking into account the criticality of these resources, the availability of technologies that intend to minimise depletion and the likelihood of other resources or technologies that can substitute for petroleum resources (WCED 1987: The Concept of Sustainable Development, Para.12). In other words, the principles of sustainable development are considered in this chapter so that they should be used to prevent “resource-use activities and projects by actors from within and outside the State” (Bottriell & French 2005: p.5). Chapter four “Strategic issues of the sustainable development of Iraqi oil and gas” explores the constitutional and legal strategies for the sustainable development of Iraqi oil and gas industry. The general assumption underlying the investigation within this chapter is that the national strategies should address the concept of sustainable development, complying with the international environmental law, on the one hand, and dealing with specific issues related to national and regional environmental legislations, on the other hand (Boer et al. 1998: p.1-3; Bosselmann 2008: p.145-148). Besides, at the national level, it is considered that the concept of sustainable development should be addressed both from the perspective of regulations related to particular environmental conditions of the country, and from the perspective of conventions related to specific sectoral issues (e.g. in the Iraqi oil and gas industry, for this study). It is widely acknowledged that such strategies not only provide protection and preserving of regional environments for the interests of a particular country, but also help to reinforce the global environmental law (Boer et al. 1998: pp.47-48). In addition, the chapter four discusses the general complications associated with Iraqi legislative measures. The current framework law (the Iraqi Constitution) is considered to be one of the major sources of the most of current complications (Al-adhadh 2008: p.7). The need of profound changes of its general principles is discussed broadly in the chapter four. Chapter five “Roles of authorities in sustainable development of Iraqi oil and gas” is concerned with identifying the relevant federal and regional authorities which control oil and gas industry and its sustainable development. While the ensuring of sustainable development of resources is recognised as the primary duty of the State government, which is encompassed by the principles of sustainable development discussed in the chapter four, in case of Iraq, any discussion of sustainable development of oil and gas resources requires addressing the distinction between legal measures in this area formalised by the federal Iraqi government and the local Kurdistan Regional Government (KRG) (Donovan 2011: Unsettled Legal Issues, Para.2). Chapter five presents an analysis of the current roles and legal responsibilities of the national government (represented by the Ministry of Oil) and the KRG in terms of sustainable development of the Iraqi petroleum resources. The role of other significant players, such as the Iraq’s State Oil Marketing Organization (SOMO) or the Development Fund for Iraq (DFI), is also analysed. The analysis reveals that in the absence of the proper oil legislation and regulation, both the national government and the Kurdistan authorities “have contributed to the persistence of an atmosphere of political controversy surrounding the hydrocarbon sector, as each side has questioned the validity and wisdom of the other’s agreements with investors” (Blanchard 2009: p.6). The disagreement between officials at the federal and regional levels causes significant obstacles for sustainable development in Iraq, as well as for economic growth and political stability in the country. Among other important obstacles experts mention the current economic situation of Iraq, reflected particularly in Iraqi debts and international obligations. Chapter six “Obstacles for sustainable development in Iraq” considers these key obstacles of sustainable development of Iraqi hydrocarbon resources in both international and internal level. Following Jiyad (2011: Introduction, Para.31) the obstacles are divided onto several categories: legal, institutional, human resource, logistical, structural, socio-political, geopolitical / regional relationships, international determinants, security conditions and oilfields specific. Chapter seven “Conclusions and recommendations” provides conclusions drawn from the study and recommendations for future research in the area of sustainable development for oil and gas resources. Many experts express the opinion similar to one that without a mutually acceptable agreement at the federal and regional levels of the Iraqi government “passage of hydrocarbon framework and revenue sharing laws may not adequately ensure equitable distribution or contribute to political reconciliation or economic growth” (Blanchard 2009: p.10). Experts agree that today’s Iraq has important prerequisites for becoming a significant player at the world energy market, these prerequisites are, for example, such as “geographical proximity, availability of needed regional infrastructure and the magnitude of petroleum resources” (Jiyad 2011: Introduction, Para.2). However, achieving sustainable development of oil and gas resources in Iraq requires deep structural changes and new legislative measures regulating economic, social and political activities in the country (Dalal-Clayton & Bass 2002: p.27). In other words, one may conclude that there is a clear need for the new national strategy of sustainable development in the use of petroleum resources in Iraq, as well as a need for new legal and institutional mechanisms for international partnerships and investment capital attraction. References Al-adhadh, K.K. (2008) Optimization Policies for the Management of the Iraqi Oil Extraction Industry. Research paper, delivered at the International Conference on the Oil and Gas Policies in Iraq. Paris, France, February 25-28. [Online] Available from: http://www.iraqistudies.org/English/conferences/2008/papers/alAdhadh.pdf [Accessed 24 April 2011]. Arscott, L. (2004) Sustainable Development in the Oil and Gas Industry. Journal of Energy Resources Technology, 126(1), 1-5. Ayres, R.U., Berg, J.C. J. M. van den & Gowdy, J.M. (1998) Viewpoint: Weak versus Strong Sustainability. Amsterdam : Tinbergen Institute. [Online] Available from: http://dare.ubvu.vu.nl/bitstream/1871/9295/1/98103.pdf [Accessed 24 April 2011]. Boer, B., Ramsay, R. & Rothwell, D. (1998) International Environmental Law in the Asia Pacific. London, Kluwer Law International. Bosselmann, K. (2008) The Principle of Sustainability: Transforming Law and Governance. Aldershot, Ashgate Publishing. Bottriell, K. & French, D. (2005) The Duty of States to Ensure Sustainable Use of Natural Resources: Recent Developments in International Law Related to Sustainable Development. [Online] Available from: http://www.cisdl.org/pdf/sdl/SDL_Sustainable_Use.pdf [Accessed 24 April 2011]. Dalal-Clayton, B. & Bass S. (2002) Sustainable Development Strategies: A Resource Book. London: Earthscan Publications. Donovan, T.W. (2011) Iraq's Upstream Oil and Gas Industry: A Post-Election Analysis. Middle East Policy Council. [Online] Available from: http://www.mepc.org/journal/middle-east-policy-archives/iraqs-upstream-oil-and-gas-industry-post-election-analysis?print [Accessed 24 April 2011]. Jiyad, A.M. (2011) Iraq’s Petroleum Contribution to European Energy Security: Modalities, Options and Challenges. Europe’s World. [Online] Available from: http://www.europesworld.org/NewEnglish/Home_old/PartnerPosts/tabid/671/PostID/2304/language/en-US/Default.aspx [Accessed 24 April 2011]. Paul, B.D. (2008) A History of the Concept of Sustainable Development: Literature Review. The Annals of the University of Oradea, XVII(II), pp. 576-580. [Online] Available from: http://steconomice.uoradea.ro/anale/volume/2008/v2-economy-and-business-administration/101.pdf [Accessed 24 April 2011]. World Commission on Environment and Development (WCED). (1987) Our Common Future, Chapter 2: Towards Sustainable Development. [Online] Available from: http://upload.wikimedia.org/wikisource/en/d/d7/Our-common-future.pdf [Accessed 24 April 2011]. Read More