10 Ways Obama Could Fight Climate Change


One of the biggest surprises of President Barack Obama's inaugural address on Monday was how much he focused on fighting climate change, spending more time on that issue than any other.

"We will respond to the threat of climate change, knowing that the failure to do so would betray our children and future generations," Obama said.

The President pointed out that recent severe weather supplied an urgent impetus for energy innovation and staked the nation's economic future on responding to a changing climate.

"We cannot cede to other nations the technology that will power new jobs and new industries—we must claim its promise," Obama said. "That's how we will maintain our economic vitality and our national treasure—our forests and waterways; our croplands and snowcapped peaks. That is how we will preserve our planet, commanded to our care by God."

So what could the President reasonably do to deliver on that vow? National Geographic asked experts in climate research, energy innovation, and oceanography. Here are ten of their suggestions:

1. Sunset coal with new incentives and regulations. "Provide incentives to phase out the oldest, most polluting power plants," said Robert Jackson, a climate scientist at Duke University. It's already happening, to some degree, as more of the nation transitions to natural gas. Earth scientist Bill Chameides, dean of Duke's Nicholas School of the Environment and a former chief scientist at the Environmental Defense Fund, urges the administration to use its Clean Air Act authority to promulgate carbon regulations for existing power plants like it has for new ones: "Doing that will force fuel switching from coal to natural gas." (Related: "6 Ways Climate Change Will Affect You.")

2. Invest federal stimulus money in nuclear power. It's hardly a perfect fuel, as accidents like Japan's Fukushima fallout have shown, but with safety precautions new nuclear plants can meaningfully offset dirtier types of energy, supporters say. "Nuclear is the only short- to medium-term way to really get away from fossil fuels," said Peter Raven, president emeritus of the Missouri Botanical Garden. He said the damage done by relentless global warming will far exceed the damage done by faults in the nuclear system.

3. Kill the Keystone pipeline. The controversial Keystone XL oil pipeline is up for review again by the White House this year. "The first thing he should do to set the tone to a lower carbon economy is to reject the Keystone pipeline," said Raymond Pierrehumbert, a geophysical scientist at the University of Chicago. The pipeline was never going to be a major driver of global emissions, but Pierrehumbert and some other environmentalists say that by killing it the President would send a clear message about America's intent to ramp down fossil fuels. (See pictures of the animals that helped kill the Keystone pipeline.)

4. Protect the oceans by executive order. Land use is complicated, but large swaths of oceans can be protected by executive fiat. Just as President George W. Bush designated the world's largest marine monument northwest of Hawaii in 2006, Obama could single-handedly protect other areas. National Geographic Explorer-in-Residence Sylvia Earle said the President should focus on parts of the Arctic that are under U.S. control, putting them off limits to energy production, commercial fishing, and mineral exploration. Marine sanctuaries won't stop climate change, but they can give marine species a better chance of adapting to it by reducing the other man-made threats the animals face. (Read about the many benefits of marine reserves.)

5. Experiment with capturing carbon. Huge untapped reserves of natural gas and oil make it unlikely that the U.S. will transition away from fossil fuels in the immediate future. Instead, said Wallace Broecker, geology professor at Columbia University's Lamont-Doherty Earth Observatory, we should attack the atmosphere's carbon surplus directly. "[Obama] could make available funds to build and test prototype air capture units" to capture and store CO2, said Broecker. Removing some carbon from the atmosphere could buy valuable time as policy makers and scientists explore more permanent solutions.

6. Grow government research for new energy sources. The Department of Energy has a nimble program that's tasked with innovative energy research—the Advanced Research Projects Agency-Energy. The ARPA-E funds research in biofuels, transmission, and battery storage, with an annual budget of $275 million. Last year, DOE officials requested at least $75 million more. Increasing funding for ARPA-E, said Rafe Pomerance, former deputy assistant secretary of state for environment and development and currently an environmental consultant, "you get new technologies that undercut coal, oil, and gas." Plus, he said, you get a competitive advantage if American researchers uncover the next big idea in new energy.

7. Tax carbon. Congress would have to agree, but many climate experts say that the most meaningful way to tackle emissions is to set a price on carbon. "We should be asking people to pay the cost of putting carbon into the atmosphere as they buy the fuel," said Josh Willis, climate scientist and oceanographer at NASA's Jet Propulsion Laboratory. To gain political support for the idea, Obama would probably have to show that the tax would help accelerate technology, grow new industries, and pay down the deficit.

8. Dial back the federal government's energy use. With more than 1.8 million employees, $500 billion in annual purchasing power, and 500,000 buildings to operate, the federal government has been a leader in reducing energy use since Obama signed a 2009 executive order to cut waste. "I would urge him to keep using the power of government to promote energy conservation," said Syndonia Bret-Harte, an Arctic biologist who studies climate change at the University of Alaska, Fairbanks.

9. Build a scientific clearinghouse for climate information. "I advocate for building a better information system on what is happening and why," said Kevin Trenberth, head of the Climate Analysis Section at the U.S. National Center for Atmospheric Research. That involves compiling observations related to climate change from around the world and using the data to refine climate modeling. Think of it as a one-stop, user-friendly website that clearly demonstrates how weather data from around the globe are influenced by broader shifts in the planet's climate.

10. Keep talking. Despite a consensus among top scientists, the world still needs some convincing on climate change. A CNN poll last week found that just 49 percent of Americans agree that global warming is real and is due to human activities. "The most important thing the President can do is to build on his inaugural comments to heighten the sense of urgency about rapid climate destabilization and clarify its connection to virtually every other issue on the national agenda," said David Orr, environmental studies professor at Oberlin College. That means using the bully pulpit to show how a more volatile climate affects everything from agriculture to transportation to 21st-century warfare.

Christine Dell'Amore, Rob Kunzig, and Jane J. Lee contributed reporting.


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Pentagon to Allow Women in Combat













Defense Secretary Leon Panetta will lift a longstanding ban on women serving in combat, according to senior defense officials.


The services have until this May to come up with a plan to implement the change, according to a Defense Department official.


That means the changes could come into effect as early as May. The services will have until January 2016 to complete the implementation of the changes.


The military services will also have until Janurary 2016 to seek waivers for certain jobs -- but those waivers will require a personal approval from the secretary of defense and will have to be based on rationales other than the direct combat exclusion rule.


The move to allow women in combat, first reported by the Associated Press, was not expected this week, although there has been a concerted effort by the Obama administration to further open up the armed forces to women.


The Joint Chiefs of Staff unanimously recommended in January to Secretary Panetta that the direct combat exclusion rule should be lifted.


"I can confirm media reports that the secretary and the chairman are expected to announce the lifting of the direct combat exclusion rule for women in the military," said a senior Defense Department official. "This policy change will initiate a process whereby the services will develop plans to implement this decision, which was made by the secretary of defense upon the recommendation of the Joint Chiefs of Staff."


Chairman of the Joint Chiefs Gen. Martin Dempsey sent Panetta a memo earlier this month entitled, "Women in Service Implementation Plan."


"The time has come to rescind the direct combat exclusion rule for women and to eliminate all unnecessary gender-based barriers to service," the memo read.






Adek Berry/AFP/Getty Images







"To implement these initiatives successfully and without sacrificing our warfighting capability or the trust of the American people, we will need time to get it right," he said in the memo, referring to the 2016 horizon.


Women have been officially prohibited from serving in combat since a 1994 rule that barred them from serving in ground combat units. That does not mean they have been immune from danger or from combat.


As Martha Raddatz reported in 2009, women have served in support positions on and off the frontlines in Iraq and Afghanistan, where war is waged on street corners and in markets, putting them at equal risk. Hundreds of thousands of women deployed with the military to those two war zones over the past decade. Hundreds have died.


READ MORE: Female Warriors Engage in Combat in Iraq, Afghanistan


Woman have been able to fly combat sorties since 1993. In 2010, the Navy allowed them on submarines. But lifting restrictions on service in frontline ground combat units will break a key barrier in the military.


READ MORE: Smooth Sailing for First Women to Serve on Navy Submarines


READ MORE: Female Fighter Pilot Breaks Gender Barriers


Panetta's decision will set a January 2016 deadline for the military service branches to argue that there are military roles that should remain closed to women.


In February 2012 the Defense Department opened up 14,500 positions to women that had previously been limited to men and lifted a rule that prohibited women from living with combat units.


Panetta also directed the services to examine ways to open more combat roles to women.


However, the ban on direct combat positions has remained in place.


Advocates for equality in the services will be pleased. On Capitol Hill today, retired Chief Master Sgt. Cindy McNally, a victim of sexual assault in the military, said placing women in combat roles would help equalize the services and actually cut down on sexual assaults, which have emerged as a major problem in the military.






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Marines beat a retreat in Beyonce lip-sync flap






WASHINGTON: The US Marine Corps beat a hasty retreat Tuesday from a furore over whether Beyonce lip-synched "The Star-Spangled Banner" at President Barack Obama's public inauguration ceremony.

First, the New York Times quoted a US Marine Band spokeswoman as saying that, just before Beyonce took the stage Monday, the musicians learned a version of the national anthem it had pre-recorded with her would be used.

"We don't know why," said the spokeswoman, Master Sergeant Kristin duBois. "But that is what we were instructed to do... It's not because Beyonce can't sing. We all know Beyonce can sing. We all know the Marine Band can play."

But later, the Marine Corps said only that a pre-recorded version of the band's musical track was played to the crowd outside the Capitol after Obama was sworn into office for a second term.

Since the band did not have a chance to rehearse with Beyonce beforehand, "it was determined that a live performance by the band was ill-advised for such a high-profile event," it said.

But as for Beyonce's vocal performance, it added: "No one in the Marine Band is in a position to assess whether it was live or pre-recorded."

Beyonce's publicist did not respond to emails Tuesday, leaving it unclear as to whether or not the R&B diva had pulled off the biggest karaoke number in the history of US presidential inaugurations, or somehow just mimed the words.

Also unexplained was a black-and-white Instagram photo, supposedly taken Sunday, of Beyonce in a wool beret and cardigan in a recording studio with three soldiers behind her. She appeared to be listening intently to something.

Equally mysterious was why Beyonce removed the ear monitor mid-way through the song. Singers performing over an instrumental track might do so if the playback is clashing with what's coming out of the loudspeakers.

One way or another, fans of Beyonce -- who sang "The Star-Spangled Banner" live at last year's Super Bowl and returns to the American football classic in February as its half-time act -- rallied behind her on Twitter.

"Who cares that Beyonce Lip #Sync the National Anthem, it was recorded live an hour before. You try singing in that cold," tweeted one fan, referring to Monday's near-freezing temperatures in Washington.

"Beyonce certainly acted like a diva ... but I don't see how that can be compared to Lance Armstrong cheating for 7 straight years at the least," said another Twitter user, referring to the disgraced cyclist.

"Beyonce is the best lip-syncer I've seen," added a third fan. "Because she surely fooled me."

The US Marine Band is the premier musical ensemble of the US Marine Corps. It's also known as the President's Own for its longstanding connection with the White House and important national events.

It played live for most of Monday's inauguration on the Capitol steps, but prior to any major event, it routinely goes into the studio to record its repertoire as a precautionary measure.

"Each piece of music scheduled for performance in the Inauguration is pre-recorded for use in case of freezing temperatures, equipment failure or extenuating circumstances," the Marine Corps statement said.

Pop star Kelly Clarkson and folk singer James Taylor also performed at the inauguration.

- AFP/jc



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Alagiri breaks ice with Karunanidhi after succession drama

CHENNAI: Union fertilizer minister M K Alagiri on Tuesday called on his father, DMK chief M Karunanidhi, for the first time after the party patriarch publicly identified his younger son M K Stalin as his political heir. Sources said the meeting between Karunanidhi and Alagiri at the DMK leader's Gopalapuram residence in Chennai lasted more than an hour. Alagiri's son Durai Dhayanidhi was also present during the meeting, party sources said.

On January 6, Karunanidhi had said if there was an opportunity to propose a name for the post of party president, he would choose Stalin. "Our general secretary K Anbazhagan has already proposed his name. I will second it," Karunanidhi had told reporters after the party's district secretaries' meeting, bringing the curtains down on the simmering succession issue for now.

Since then, Alagiri, who is also the DMK's south organising secretary, has been sulking and keeping away from media glare. Though he came to Chennai once after Karunanidhi's dramatic announcement, he did not meet him, but called on his ailing mother Dayalu Ammal. Few family members like Kalaignar TV chief financial officer Amirtham and Karunanidhi's son-in-law 'Murasoli' Selvam met Alagiri to mediate between him and his father.

The meeting was seen as a move to soothe the ruffled feelings of Karunanidhi, who was upset over Alagiri's comments that DMK was not a religious mutt (where a senior seer names his successor). Both Karunanidhi and Alagiri discussed Dayalu Ammal's health, said family sources. "Both expressed their concern about her health and discussed treatment for her," a source said. Alagiri's wife Kanthi met Karunanidhi and Dayalu Ammal a couple of days back. Following her visit, Alagiri and his son Durai came on Tuesday, the sources said.

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Space Pictures This Week: Solar Tantrum, Petroglyphs at Night

Photograph by Tony Rowell, Your Shot

This image of Native American petroglyphs, or rock art, shot against the Milky Way, was taken in California's eastern Sierra Nevada on January 14.

Petroglyphs—one of many forms of rock art—are created by scraping, rubbing, or chiseling designs into the patina coating desert rocks. Depending on the conditions surrounding a piece of rock art, these designs can endure for hundreds to thousands of years. (Watch a video about Arizona's rock art.)

Erosion and natural processes, such as plant growth, can fade or destroy the designs. They can also fall victim to vandalism and theft.

According to news reports, one of the most recent incidences was discovered in late October 2012. Unknown perpetrators hacked six petroglyphs out of the cliff face at the Eastern Sierra Volcanic Tableland near Bishop, California (map). They damaged others using saws and hammers.

Published January 22, 2013

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Left Turn? Obama Speech Invigorates Progressives













A presidential campaign that was largely about jobs and the economy gave way during Monday's inaugural ceremonies to a sweeping affirmation of progressivism and call for "collective action."


Now, liberal allies of President Obama say they're closely watching to see whether the second-term president follows through on issues with which he has struggled before.


Obama's groundbreaking references to climate change and gay rights in his second inaugural address particularly surprised many progressive interest groups, which said their first-term frustrations have been replaced by a new sense of optimism.


"We are hopeful that the president's progressive speech signals a major strategy shift for the Obama administration," said Adam Green, co-founder of the Progressive Change Campaign Committee.


Green's group and other liberal Democrats have openly expressed disappointment in Obama since 2009, saying his agenda has fallen short. Many have cited his failure to advance an assault-weapons ban, as promised, enact climate change legislation or overhaul the nation's immigration system.






J. Scott Applewhite/AP Photo











The Inaugural Fashion of Michelle, Sasha and Malia Obama Watch Video









Jason Wu Inaugural Ball Gown: Michelle Obama Stunning Watch Video









Inauguration 2013: Obama's Speech a Call to Action Watch Video





Get more pure politics at ABCNews.com/Politics.


Other progressives have chafed at Obama's extension of the Bush-era tax cuts for the wealthy in 2010 and move last month to make some of the cuts permanent, while putting changes to Social Security and Medicare on the table as part of a deficit-reduction deal.


During the election campaign, Obama ran no paid TV advertising that mentioned gays or gay rights, or the term "climate change," for example. Only four of his ads mentioned environmental issues, and two explicitly portrayed Obama as a defender of the coal industry, something anathema to many environmentalists.


"If the president's inaugural words and action on guns are the template for his governing strategy in a second term, that will allow the president to win big victories and secure a legacy of bold progressive change," Green said, responding to Obama's inaugural address.


In interviews with ABC News, advocates stressed that success on many liberal priorities remains a big "if," with a politically divided Congress and a record of failure by the White House to bridge the divide.


On the environment, activists say they are most closely watching the president's upcoming decision on the proposed Keystone XL Pipeline project, which would carry oil from the tar sands of Alberta to the U.S. Gulf Coast.


Obama delayed a decision on the project in January 2012, ordering a new environmental-impact study. But with that study nearing completion, he will be forced to weigh in on an issue that has pitted a need for jobs and cheaper energy with environmental and health concerns.


"The decision on the Keystone XL pipeline will be the first indicator about how seriously he's taking climate change over the next four years," said Erich Pica, president of Friends of the Earth, an environmental advocacy group opposed to the pipeline. "We'll know in the next month and a half to two months whether he does."


Bill McKibben, an author and leading environmentalist, said in a blog post that he is not holding his breath. "With words like that, it's easy to let ourselves dream that something major might be about to happen to fix the biggest problem the world has ever faced," he wrote.
"And given the record of the last four years, we know that too often rhetoric has yielded little in the way of results."


McKibben is organizing a major environmental rally in Washington on Feb. 17.






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Loyal cheerleader Biden becomes target of speculation on presidential bid



As President Obama delivered his 2,000-word inaugural address Monday outside the Capitol, his chief governing partner, Vice President Biden, looked on from his chair just to the left, always the loyal and supportive cheerleader.


But for Biden, who mounted two unsuccessful bids for the White House, Inauguration Day served as another reminder of all that he has achieved and what has eluded him after 40 years in public life. And his prominent role in so many of the administration’s recent high-profile initiatives has raised questions about whether Biden has plans to be in Obama’s place on the podium four years from now.

But Biden, 70, was not complaining. Speaking briefly at a post-inauguration lunch in the Capitol, Biden told the assembled power brokers, including former presidents Bill Clinton and Jimmy Carter, that he was thankful.

He said that as he and President Obama left the inaugural platform, he watched as the Obamas stopped to take in the moment and felt himself moved.

“I surprised myself by turning to him and saying, ‘Thank you. Thanks for the chance, the chance to continue to serve,’” Biden said at the luncheon.

Obama has lately returned the gratitude. Over the past several weeks, the vice president has been on something of a roll: playing a pivotal role in the financial deal with congressional Republicans to avoid the fiscal cliff; heading the administration’s gun violence task force that recommended many of the proposals Obama laid out last week; and even going viral on video while enthusiastically working the room during Congress’s swearing-in ceremony.

During the inaugural parade, Biden relished the chance to walk portions of the route with wife Jill, pointing at the crowd, pumping his fist and even shaking hands and hugging spectators in a way the Obamas did not (perhaps partly because of Secret Service concerns).

Biden’s run of successes has again raised questions among political pundits over whether he still has his eye on a White House run.

“What’s great about this last series of [Biden] stories is that people get to see what people in Delaware saw all those years — why he was re-elected seven times,” said former senator Ted Kaufman, a long-time Biden adviser who attended the vice president’s private swearing-in on Sunday at the Naval Observatory.

“When he was running for president in 2008 and I was helping, people asked me one reason that Joe Biden should be elected,” Kaufman said. “I said that I had never seen anyone in my 40 years in politics who could go into a room with people with disparate views and find the common ground to move forward.”

In an interview with CNN this week, Biden credited his long relationships on Capitol Hill and his close partnership with Obama for making it easy for him to make deals on behalf of the administration.

“Everybody talks about, ‘Well, it’s back-slapping, it’s old politics.’ It’s not. It’s trust,” Biden said. “It’s simple: Find a single person who will look you in eye and say, ‘I don’t trust Joe Biden.’”

Biden was sworn in on a five-inch-thick family Bible featuring a Celtic cross. While Obama had only a dozen people at his private swearing-in on Sunday, Biden invited about 120 friends and family, including people who had helped on many of his Senate and presidential campaigns. They joined the Bidens at the vive-presidential home at the Observatory and stayed for breakfast, reminiscing about their years serving Biden, Kaufman said.

At the post-inauguration lunch in the National Statuary Hall on Monday, Biden looked at the room full of his former congressional colleagues and did a little reflecting of his own about the years he attended the lunch as a senator.

“It’s always a new beginning any time we’re in this room. There’s a sense of possibility and opportunity and a sense, sometimes fleeting, that maybe we can really begin to work together,”Biden said.

Later, he offered a heartfelt toast to Sen. Charles Schumer (D-N.Y.), who mistakenly thought the glass-raising was for Obama.

“I’m toasting you Chuck,” Biden said, drawing laughs. “Remember you can’t get rid of me. I’m always part of the Senate.”

“The best parts of these events are unscripted,” Schumer replied, speaking perhaps for everyone who appreciates Joe Biden, especially in front of a microphone.

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US seeks quick vote on N.Korea sanctions resolution






UNITED NATIONS: The United States on Monday circulated a resolution on sanctions against North Korea to other UN Security Council members and hopes for a vote within days, diplomats said.

The resolution condemns North Korea for staging a ballistic missile test in December and follows weeks of negotiations between the United States and China, diplomats said.

"The United States circulated the draft text today after getting agreement from China. The vote could be held Wednesday," a diplomat from the 15-member council told AFP.

China, the unpredictable North's closest ally, has opposed establishing new sanctions against Pyongyang for the December 12 rocket launch. But it has agreed to expand existing sanctions and to the formal resolution instead of a lower-level statement, diplomats said.

The United States, supported by Japan and South Korea, had wanted tough new sanctions for the rocket launch, which was virtually unanimously condemned by the international community.

North Korea already faces UN sanctions for its nuclear tests in 2006 and 2009.

Under US-China agreement, new North Korean companies and entities could be added to the sanctions list, diplomats said. Individuals could be named for sanctions for the first time, they added.

The United States and China want a resolution passed before South Korea takes over the presidency of the Security Council in February, envoys said.

US and Chinese diplomats made no immediate comment on the resolution.

The Security Council agreed on a presidential statement, with lower standing than a binding resolution, after North Korea staged a failed rocket launch in April last year.

That had already called for a tightening of existing UN sanctions.

-AFP/ac



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Train fares to go up from today

NEW DELHI: Rail travelers will have to pay more from Tuesday.

Railway minister Pawan Kumar Bansal had announced across the board hike in passenger fares to raise an additional fund to the tune of Rs 6,600 crore in a year.

The hike, which has come after a decade, will generate additional Rs 1,200 crore this fiscal.

Though the minister had ruled out any hike in passenger tariff in the Rail Budget 2013-14 to be presented next month, the transporter got a big financial shock with the increase in diesel price.

The additional burden with the diesel price hike is expected to be around Rs 2,500 crore.

Fares of ordinary second class (suburban) trains will go up by 2 paise per km, while for non-suburban travel it will be 3 paise.

Travel by second class mail and express trains will be costlier by 4 paise per km, while it will be 6 paise more in sleeper class.

Travellers by AC chair car and AC three tier will have to shell out 10 paise more per km, first class by 3 paise, AC two tier by 6 paise and AC first class by 10 paise.

The fares for first class, AC two tier and AC first/ executive class were already raised by 10 paise per km, 15 and 30 paise, respectively, in the last budget.

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Attack at Algeria Gas Plant Heralds New Risks for Energy Development



The siege by Islamic militants at a remote Sahara desert natural gas plant in Algeria this week signaled heightened dangers in the region for international oil companies, at a time when they have been expanding operations in Africa as one of the world's last energy frontiers. (See related story: "Pictures: Four New Offshore Drilling Frontiers.")


As BP, Norway's Statoil, Italy's Eni, and other companies evacuated personnel from Algeria, it was not immediately clear how widely the peril would spread in the wake of the hostage-taking at the sprawling In Amenas gas complex near the Libyan border.



A map of disputed islands in the East and South China Seas.

Map by National Geographic



Algeria, the fourth-largest crude oil producer on the continent and a major exporter of natural gas and refined fuels, may not have been viewed as the most hospitable climate for foreign energy companies, but that was due to unfavorable financial terms, bureaucracy, and corruption. The energy facilities themselves appeared to be safe, with multiple layers of security provided both by the companies and by government forces, several experts said. (See related photos: "Oil States: Are They Stable? Why It Matters.")


"It is particularly striking not only because it hasn't happened before, but because it happened in Algeria, one of the stronger states in the region," says Hanan Amin-Salem, a senior manager at the industry consulting firm PFC Energy, who specializes in country risk. She noted that in the long civil war that gripped the country throughout the 1990s, there had never been an attack on Algeria's energy complex. But now, hazard has spread from weak surrounding states, as the assault on In Amenas was carried out in an apparent retaliation for a move by French forces against the Islamists who had taken over Timbuktu and other towns in neighboring Mali. (See related story: "Timbuktu Falls.")


"What you're really seeing is an intensification of the fundamental problem of weak states, and empowerment of heavily armed groups that are really well motivated and want to pursue a set of aims," said Amin-Salem. In PFC Energy's view, she says, risk has increased in Mauritania, Chad, and Niger—indeed, throughout Sahel, the belt that bisects North Africa, separating the Sahara in the north from the tropical forests further south.


On Thursday, the London-based corporate consulting firm Exclusive Analysis, which was recently acquired by the global consultancy IHS, sent an alert to clients warning that oil and gas facilities near the Libyan and Mauritanian borders and in Mauritania's Hodh Ech Chargui province were at "high risk" of attack by jihadis.


"A Hot Place to Drill"


The attack at In Amenas comes at a time of unprecedented growth for the oil industry in Africa. (See related gallery: "Pictures: The Year's Most Overlooked Energy Stories.") Forecasters expect that oil output throughout Africa will double by 2025, says Amy Myers Jaffe, executive director of the energy and sustainability program at the University of California, Davis, who has counted 20 rounds of bidding for new exploration at sites in Africa's six largest oil-producing states.


Oil and natural gas are a large part of the Algerian economy, accounting for 60 percent of government budget revenues, more than a third of GDP and more than 97 percent of its export earnings. But the nation's resources are seen as largely undeveloped, and Algeria has tried to attract new investment. Over the past year, the government has sought to reform the law to boost foreign companies' interests in their investments, although those efforts have foundered.


Technology has been one of the factors driving the opening up of Africa to deeper energy exploration. Offshore and deepwater drilling success in the Gulf of Mexico and Brazil led to prospecting now under way offshore in Ghana, Mozambique, and elsewhere. (See related story: "New Oil—And a Huge Challenge—for Ghana.") Jaffe says the Houston-based company Anadarko Petroleum has sought to transfer its success in "subsalt seismic" exploration technology, surveying reserves hidden beneath the hard salt layer at the bottom of the sea, to the equally challenging seismic exploration beneath the sands of the Sahara in Algeria, where it now has three oil and gas operations.


Africa also is seen as one of the few remaining oil-rich regions of the world where foreign oil companies can obtain production-sharing agreements with governments, contracts that allow them a share of the revenue from the barrels they produce, instead of more limited service contracts for work performed.


"You now have the technology to tap the resources more effectively, and the fiscal terms are going to be more attractive than elsewhere—you put these things together and it's been a hot place to drill," says Jaffe, who doesn't see the energy industry's interest in Africa waning, despite the increased terrorism risk. "What I think will happen in some of these countries is that the companies are going to reveal new securities systems and procedures they have to keep workers safe," she says. "I don't think they will abandon these countries."


This story is part of a special series that explores energy issues. For more, visit The Great Energy Challenge.


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