Case Study: South Wales province, United Kingdom

In the 1950's the main source of UK energy was coal as she had huge reserves of coal in Midlands and South Wales. There were nearly 1000 coal mines and reliance fall to about 34% to day, due to increase cost for deeper ground extraction, labour and health and safety costs. However, it is rapidly running out of significant reserves of oil and gas. In 2005, UK become a net importer of natural gas and will lose its self-sufficiency in oil by 2009. In addition, UK s coal industry has continued to decline and by 2020, she will have to import of its primary needs. UK has already taken between half and three-quarters oil and gas in its territorial waters. Much of the remaining North Sea reserves are in small and remote fields. The use of gas increased with the discovery of gas in the North and Irish Sea and because it was seen as been cleaner than coal. More than 90 percent of Britains gas comes from North Sea. Others are imported via European gas network. Therefore the government is trying to encourage development of the remaining reserves in the North Sea. Gas fields left fallow by the owners may be given to other companies with plans to further develop and expand