The effect of Saudi Arabia's Oil Industry on HR
A gas flare at a processing plant in Shaybah, Saudi Arabia. Leaders have pledged to cut back on methane emissions.Simon Dawson/Bloomberg
This last week many developing and developed nations met and made agreements regarding climate change and the creation of funds for developing nations and COP 27. While progress has been made in terms of international climate agreements, some nations still have their own agenda when it comes to the fossil fuel industry. Saudi Arabia, in particular, has been continuing to develop their energy industries and infrastructure. Not only have they been putting money into their oil industry, but they have also been installing renewable energy technologies all over the country. They are attempting to decrease the amount of oil they use inside their own country which seems like a noble goal, but in reality is aimed at growing their oil economy and exports.
Saudi Arabia is increasing their own use of renewable energy with the purpose of decreasing their own usage of oil so that more can be exported. In addition to economic and diplomatic efforts, they have been putting money into development and research of technology related to the oil industry. Saudi Aramco, one of the largest oil producers in the world based out of Saudi Arabia, has been putting funding into technological developments. According to an article by the New York Times, Saudi Aramco has funded over 500 over the past five years which are aimed at putting doubt onto electric cars and attempting to keep gasoline powered cars relevant and prominent in society. They have also been collaborating with the United States Department of Energy (DOE) on projects to increase the efficiency of gasoline, engines, and enhanced oil recovery. All of these projects are funded with the purpose of keeping the oil industry relevant across the world.
Saudi Arabia’s collaboration with the United States extends further than even working on research projects. They have identified the United States as a key target likely because of the influence the United states has on the global economy. Saudi Arabia has spent over 2.5 billion on higher education in the United States. Additionally, since 2016 they have spent almost $140 million on lobbyists and others to influence American policy and public opinion.
The Biden administration claims to be in support of creating policies to mitigate climate change including the increased use of renewable energy. While this is a step in the right direction, the United States is still reluctant to give up its power in greed as they have been reluctant to agree to treaties in regards to human rights because the US is not willing to sacrifice some of their own comfort for the benefit of the world. This can also be applied when it comes to the fossil fuel industry and in the collaborations with Saudi Arabia. The actions being taken by Saudi Arabia appear to be purely in the interest of the country's economics with no attention being paid to the impacts that this may have on the world through climate change. Additionally, it seems to not take into account the potential for rights violations on a global scale that will be caused if the United States and the world cannot decrease its greenhouse gas emissions.
Source:
https://www.nytimes.com/2022/11/21/climate/saudi-arabia-aramco-oil-solar-climate.html
Hi Carla,
ReplyDeleteThis was a super thought provoking piece! I had no idea such an oil baron like Saudi Arabia would be increasing their own use of renewable energy, but instead of lowering their exportation of oil, they increase it! Not only that, but Saudi Arabia has spent money to influence Americans, who are already on the fence on global warming, towards solely oil based processes. If Saudi can get Americans, their biggest consumer, hooked on oil, then they can continue to make huge amounts of money while being environmentally conscious.
Hi Carla,
ReplyDeleteYou point out an important detail about the way the Saudi government uses its oil in a geopolitical setting. While Saudi is dependent on their oil reserves for their own energy needs, they use the oil to build relations and dependencies with other states. There are new examples of this practice of using oil as a geopolitical tool since the Russian war against Ukraine began. A prominent example is the EU signing an oil contract with Azerbaijan. Lake Saudi Arabia, the Azerbaijan government uses the EU demand for oil and gas to leverage and as a defense for their abuse and aggression against Armenia. It is important for the international community to prioritize the fast transition to renewable energy and to quickly phase out fossil fuels for the environment but to also prevent the standing, dependency, and support of human rights abusing states such as Azerbaijan and Saudi Arabia in the context of geopolitics and hold these abusive states to account.
Hi! I am also doing Saudi Arabia. When was this article published? The last time that Biden went to Saudi Arabia was in July 2022. Since then, the prince of Saudi has decreased our oil because they are allies with Russia and China. Their focus is not on the U.S. but on their allies.
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