With reference to one or more named examples, explain how the exploitation of energy resources can create economic and social opportunities for local communities

 In recent decades, our dependence on fossil fuels has dramatically increased due to a rising demand for transport, industrial and domestic uses. As governments and energy companies try to meet these demands, exploitation of energy resources (use or utilization of natural resources, especially for profit) occurs which provides a range of economic and social opportunities for local people. The Three Gorges Dam, Hubei province, China is one such location where locals have experienced benefits from the exploitation of hydroelectric power in the region. The project was started in 1993 but was not fully functional until October 2011; in that year, it produced 100bn KWh of electricity. The Solar Cookers Project, Darfur, Africa has also generated a range of social benefits for locals and especially women in the region.

Three Gorges Dam               Source: ibtimes

 The Tree Gorges Dam Project has provided a range of economic opportunities for local people as well as sustaining high levels of economic growth (8-10%) throughout the rest of China. The dam has an electric output equivalent to that of 20 coal-fired or nuclear power plants and generates almost 10% of China's electricity for use in industry and consumption by 150 million people. This helps fuel economic development through a cheap, clean and reliable energy source.  Improved navigability of the Yangtze River has also helped fuel economic growth between the established coastal city of Shanghai and the rapidly expanding city of Chongqing – now the world’s largest metropolitan area with an estimated population of 35 million. Trade is estimated to have increased five times in the central China while transportation costs have reduced by 35-37%. This has encouraged many businesses to move inland where land is cheaper and access to major cities and ports is just as simple as on the coast. This enhanced navigability is furthered by the ship locks at the Three Gorges Dam which are big enough to allow twelve large (up to 10,000 tonne) commercial ships to travel over the dam at once. As for economic benefits for local people, the dam has caused a multiplier effect (‘snowballing’ of economic activity). The construction of the dam employed 40,000 people; these people pay taxes and spend money in shops. More people are employed in shops who also pay taxes; these can be used to build infrastructure such as healthcare and education facilities which can be used by local people. The dam presents economic opportunities both for locals living in the dam region and for economic development in China as a whole.

Solar Cooker                      source: fragile oasis

 The Darfur Solar Cookers Project generally provides social benefits for locals, but there are also some economic benefits from the project. The project provides cardboard foil cookers to citizens who can use them to harness the suns energy, turning it into heat used to cook food. An official report in 2005 found that 82% of rape attacks occurred when women were outside populated villages, usually while collecting firewood. The cookers have reduced the risk of attacks from the Janjaweed militia on the 200,000 Darfuri refugees living in Chad who no longer have to travel outside the camps to collect firewood. Families using the cookers have cut their firewood use by between 50 and 80 percent. Fires used in houses release harmful particulates responsible for respiratory problems and lung cancer. The use of solar cookers has reduced the instances of these illnesses and allows water to be boiled; this kills any bacteria resulting in fewer cases of waterborne disease. Locals are now being shown how to make the cookers themselves so they can earn a living from selling them. The cookers also give women more time (the cookers can be left while food cooks), allowing them to make handcrafts which they can sell, or help on the lad to improve productivity.

 Social benefits from the Three Gorges Dam have generally been aimed at reducing flooding for those in high risk areas and maintaining a secure energy supply in China. The project holds back the Yangtze River floodwaters, which have killed more than 500,000 people during the past 100 years, including 4000 people in 1998. The dam gives control over the flow of the river to local authorities, allowing them to regulate the levels to prevent flooding at times of high flow. The river’s load is also decreased downstream which reduces deposition below the dam. Silting of the river by eroded soil is also reduced, maintaining a high river volume and decreasing the chance of flooding. This helps protects 15 million people previously at risk from flooding. The dam provided 100.0 billion KWh of electricity in 2011 and accounts for 10% of the country’s electricity production. This has helped improve energy security and reduce China’s dependence on coal. The reservoir also provides a secure water supply for the growing population in the region.

 Benefits for local people from energy exploitation in China and Darfur are not just limited to economic and social; there are also a range of environmental benefits such as reduced pollution from coal fired power stations and less habitat destruction from the collection of firewood. However, as well as benefits, there are also many challenges associated with energy exploitation in these regions: the official estimate for the cost of the Three Gorges dam is $25.5bn, but some believe it may be as high as $88bn. The scale of benefits for local people can also be an issue, how can such great costs ever be outweighed by the economic advantages. In Darfur, Solar cookers work well for refugees, but the need replacing every six months, reducing their use as a practical solution. Generally there is a fine line between benefits and costs, but where local communities receive equal benefits from such projects, energy exploitation can only be a good thing.