Albertas Oil Sands Contribution towards Canadas Future Prosperity - Assignment Example

Instrutor’s Purpose of the paper This paper delves into the Alberta’s oil sands contribution towards Canada’s futureprosperity. It also discusses the pros and the cons of Alberta’s oil sand. Through the discussion on the pros and cons of Alberta’s oil sands, the paper digs deeply into the economic benefits and environmental impacts of the Alberta’s oil sands. Lastly, the paper outlines some recommendations concerning the oil extraction at Alberta, Canada. Introduction Alberta’s oil sands are one of the leading oil producers in the world. It is situated in Canada. It is the second leading producer of bitumen and is the largest exporter of oil to the United States of America. Oil sand is a composition of many substances including water, soil, sand and bitumen. The bitumen is the thick and vicious oil. For bitumen to gain importance, it must be subjected into a series of treatments (Alberta Energy 4). The Alberta’s oil sands are of immense importance to both Canada and the rest of the globe as it supplies energy is not only more stable than other energy sources, but also reliable. Alberta’s oil sands utilize the most advanced form of technology in the extraction of oil, in addition to being the most developed in the whole world. Alberta’s oil has very many uses. Some of the uses include use of oil in driving cars, manufacturing of cosmetics, bubble gums and other substances like toothpastes. Researchers and developers have estimated that Alberta’s oil sand deposits will sustain Canada for a period of over a hundred and fifty years. However, with the current rate of extraction of oil at Alberta, the period of sustainability may fall below the 150 years. Even with the high rates of extraction, it is estimated that only a portion of about 20% has been extracted and the rest, 80% is yet to be extracted because of the huge depth the oil lays (Albertas Oil Sands Economic Benefits, pars. 2-3, 4). The major method of oil extraction at Alberta oil sands is through steam injection. The steam is exerted to liquefy the bitumen, and water has to be pumped in to mix with melted bitumen, to facilitate it to flow the surface, from the underground. During the separation process, bitumen is obtained and the rest of the mixture is poured away. It is estimated that 75% of bitumen is obtained, and 25% is lost to waste during the separation process (Albertas Oil Sands Economic Benefits, pars. 2 & 3, 4). Alberta’s oil sand contribution Alberta’s oil sands are a great source of future prosperity to Canada. Oil is a major driver of a country’s economy. It is evident that all oil producing countries are far much ahead in terms of economy, compared to those countries that rely on the oil producing nations for oil. Thus, with the existence of oil deposits in Canada, it is bound to be the most prosperous nations in the world, in the near future. The benefits will be explained below, on the economic benefits of Alberta’s oil sands to Canada. Economic benefits of Alberta’s oil sands to Canada Oil production in the country is the main economic driver of a country. Economic growth is what every country in the world thrives to boost. For other nations in the world, it may be hard, but for Canada, it is somehow easy to achieve based on the country’s endowment with huge oil deposits. Alberta’s oil sand deposits have contributed largely towards the economic growth of Canada (Alberta Energy, par. 2, 4). One of the ways Alberta’s oil sand deposits have contributed towards economic growth in Canada is through job creation. The discovery of oil at Alberta has resulted in job creation both directly and indirectly. Jobs for all people with different levels of education level have been created. Some of the jobs include mining, environmental assessment, together with research and development. Other jobs include the sale and distribution of oil from one region to another. Thus, the jobs have led to reduced unemployment rate, which is good in boosting Canada’s economy (Global News, pars. 3-5, 31). Moreover, in contributing towards economic growth, Alberta’s oil sands are a source of oil. The oil is sold both to the Canadians and is exported to other parts of the world. The major importer of Canadian oil is the United States of America. Oil is the commodity largely exported by Canada. Thus, through the exportation of oil, Canada earns foreign income. It is, therefore, a major foreign exchange earner to Canada. The foreign exchange earned is used in the development of other sectors in the economy. It is used to develop infrastructure, industries, and is invested towards more extraction of the same oil for further exportation. That boosts Canada’s economy by a large extent (Scientific American Global RSS, par. 6, 4). Additionally, through the sale of oil in the form of finished goods to its citizens, Canada’s government can earn revenue in the form of taxes. The government is also able to obtain taxes from the mining operations by the mining companies at Alberta. Such tax is used to boost the economy by investing in various sectors. The tax is used to build schools, health centers, infrastructure, and is used to import what the country cannot produce. Thus, by so doing, Canada can to develop and expand economically (Global News, pars. 5-7, 31). Furthermore, Alberta’s oil sands have contributed towards Canada’s economic development through the provision of the oil. Canada produces oil for its use also. Oil is a source of energy. Thus, by producing its oil, Canada has become independent. Therefore, it does not have to rely on any external source for energy. Thus, the funds that would have been used for the importation of oil or any other energy source are invested into other sectors, which propel the country towards economic growth (Albertas Oil Sands Economic Benefits, pars. 2 & 3, 4). Moreover, oil prices have become cheap to the Canadian residents, due to the huge production in the country. Therefore, with cheap oil prices, Canadian residents can live a cheap life as oil prices determine the prices of other commodities. Thus, people can lead comfortable, cheap lives, and are encouraged to invest and work hard towards economic development. However, not everything that glitters is gold. That is to mean that, even though oil is of great importance to Canada, it also has its negative sides. Alberta’s oil sands are of great disadvantage, especially on the environment. The disadvantages are delved in below. Oil sands and environmental pollution The environments consist of water, soil, air, animals and birds that reside in it. One of the pollution is the air pollution. Oil has resulted in air pollution, at its extraction, refining, and even at its use. Air pollution results when the oil is used to run machinery, which is used to extract oil. It is said that lots of energies is required for the extraction of oil. Thus, with burning of fuel during the extraction process, a lot of carbon IV oxide is released into the air. This results in air pollution. Additionally, during transportation of oil, energy is required. During the separation of bitumen from water and sand, energy is required. All these processes result in air pollution as too much carbon IV oxide is released into the air (Global News, pars. 2-5, 31). Water pollution is another negative environmental effect that Alberta’s oil sands have resulted. During the extraction process, oil and water mix. When oil is separated from the other substances, the waste is released into water sources, which result in water pollution. Furthermore, when it rains, rain water washes away oil into water sources. That results in water pollution. This has made the water toxic and unsuitable for drinking. Additionally, oil has led to the pollution of habitats of animals for example fish and other soil and water animals. Oil prevents proper air circulation in the soil and water. Thus, water and soil animals in the regions are unable to breathe. Thus, they die. Additionally, oil is toxic and kills animals both in the soil and water (Global News, pars. 2-4, 31). Additionally, oil has resulted in the global warming effect and the green house effect. These severe effects of oil have resulted from the extraction process and even with the use of oil as a source of energy all over the world. As stated above, a lot of energies are needed to facilitate the extraction of oil. Thus, with too much energy in use, a lot of carbon IV oxide is released into the atmosphere, thus resulted in the green house effect and global warming. These have led to sudden weather changes all over the world. Other disadvantages of Alberta’s oil sand extractions include the following. The extractions have led to the destruction of homes of various types of birds plus animals. Oil extraction at Alberta involved cutting down of trees and excavation of the grounds. Thus, with the cutting down of trees and the excavation of the ground, the birds and animals’ habitats are destroyed. That has resulted in the moving away of the birds and animals, leading to imbalance in the ecological cycle of the area. Additionally, oil extraction at Alberta has led to harsh effects on the wellbeing of individuals in the area. Since the discovery and extraction the oil at Alberta, many people have succumbed to illnesses caused by oil extraction, such as cancer (Global News, pars. 2-4, 31). Socially, the Alberta’s oil sands in Canada have had immense negative effects. For instance, the standards of living have reduced. That has been contributed the huge influx of people into the region resulting in increased population. There has not been any proper funding of the people in that region. Thus, the living standards have deteriorated. Additionally, the increased population growth has led to the collapse of social services. The drastic population increase has been contributed to the oil extraction, which attracts individuals coming to the region searching for jobs. The huge tracks transporting oil have destroyed roads. There have been poor waste collection systems in the region. That has led to unhealthy living of the people (Scientific American Global RSS, pars. 3 & 4, 4). One other disadvantage is that the extraction process is risky and very expensive. It is risky in that; the mining sites could collapse at any time and may lead to the deaths of the miners. Additionally, it is risky in that oil is a flammable substance. Thus, any exposure of the oil to fire leads to destruction of property and deaths of people. The process also involves the use of a lot of energy and water. Additionally, machineries used for the extraction process are very expensive. Researchers also have to be hired to locate the position of the oil, and to determine the level of energy required excavating the oil. Thus, the whole process becomes expensive to carry out (Global News, pars. 2-4, 31). Recommendations One of the recommendations I would give would be that, during the oil extraction process, soil from the excavated sites should be accumulated and stockpiled at a place where they are not capable of being swept away by rain water. Then, the extraction process must be done as quickly as possible and other individuals should be given the task of replacing the soil immediately the oil extraction is over, so as to prevent the migration of animals from the soil into other places. Additionally, trees should be replanted on the already excavated region to prevent soil erosion and to encourage animals to stay on in the region. One other recommendation would be that the government to begin thinking of other alternative energy sources for the future. With the current high rate of extraction and total dependence on the oil energy, the future may be a shock to the nation if no alternative sources of energy are sought as early as possible. Lastly, the Canadian government could try to come up with means of getting to environmental effectiveness. For example, it could try to come up with ways that would lead to water conservation and reduced water pollution. It could design a way in which a company producing oil could recycle the water already used for as many times as it can in its extraction process. That would lead to water conservation and would reduce the amount of water left to waste. Works Cited "Albertas Oil Sands Economic Benefits." Albertas Oil Sands Economic Benefits. par 2-5, n.d. Web. 4 Sept. 2014. . "Pros and cons: Alberta oil sands." Global News. pars. 1-5 & 7, n.d. Web. 31 Aug. 2009. . "Should the Canadian Oil Sands Be Developed?." Scientific American Global RSS. pars 2-5, n.d. Web. 4 Sept. 2014. . "What is Oil Sands?." Alberta Energy: pars. 3- 6, , n.d. Web. 4 Sept. 2014. . Read More