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Welcome back Module 5 covers energy uses in America and the world. In this lecture, we'll look at different fuels and sectors for energy consumption. So let's get started. All right, now that we've gone through vocabulary and the basics, let's talk about energy uses in America and the world. Today, the United States consumes energy in many forms. So we have a diverse fuel mix. We use petroleum, natural gas, coal, all the renewables bundled together as one category, and nuclear. And the most popular fuel is petroleum, about 35 quads of energy. We have about 25 quads of natural gas consumption and about 20 quads of coal consumption. The rest of the renewables are 9 quads, and then nuclear is about 8 quads. And this gives us our fuel mix today. That's our energy consumption by source in the United States over the course of year. Over the last few decades, our energy consumption has outpaced production. If you look at the top trace, that's our energy consumption each year. The second trace is our production. The difference is our imports. Because our energy consumption has outpaced production, we have had to import more energy over time. And this introduces national security problems, or economic problems, as we try to make up the shortfall. The last couple years, however, shown it turning around. Our consumption has dropped, and our production has increased, so our imports have dropped. This is the good news story. Our per capita energy consumption actually peaked in the late 1970s. In the 1978, 1979 time frame, our peak average annual consumption per capita, per person, was 358 million BTU per person per year. And today, that's more like 312. So it's dropped a lot. As we've had the energy crisis in the '70s, and we continue to have other energy challenges like price volatility, or high prices, we have reduced how much energy we use per person, despite growing the economy, and despite having very good quality of life. So there's a sign that you can reduce your energy consumption over time, and still do OK as a society, and still be wealthy and powerful. If we compare the different states, it turns out Texas is very interesting because Texas consumes more energy than any other state by far. We're about 12 quads of energy per year, just for the state of Texas, far ahead of the next state, which is California. This is interesting because California has about

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50% more people but consumes about 50% less energy. So the Texans are particularly energy consumptive for a variety of reasons. We have energy-intensive industry. We have big homes in a southern climate, so we do a lot of air conditioning. We big cars. We drive long distances because we have low population density. Add it all up, we consume a lot of energy. If you look at it per capita, Texas is not the worst. But we're not the best. We're somewhere around sixth place. Wyoming, Alaska, Louisiana, North Dakota, Iowa, then Texas-- states that are very low in population, and therefore have long distances to travel to get business done, consume a lot of energy. States that have a lot of agriculture, a lot of energy industry, consume a lot of energy because the energy and agricultural industries are very energy intensive. As you get towards the bottom, you get to smaller Northeastern states that don't have air conditioning, don't have energy industry, and so we could see the spread across the nation-- great variability in per capita consumption by state. Same kind of story happens globally. We talked about this earlier. There is inequity in terms of how much energy per person is consumed in the richer, or energy rich, countries, and the poorer, or energy poor countries. United States consumes a lot of energy per person, but we're not the biggest consumer per person by far. Iceland, Bahrain, Canada, all consume more energy per person than in the other states. Iceland does because they've got free geothermal energy that spills out of the ground-- so it's available- and it's very cold. So they use that energy to heat themselves up for high quality of life. Bahrain is a very energy-rich country and has energy-intensive industry, and so they use a lot of energy per person there. Canada, same kind of story as Bahrain. So the story is different for different places, but, in total, the richer countries use more energy per person than the poorer countries. It's not just the per capita energy use that varies globally, but also the fuel mix. This figure shows some of those variations. We use a lot of fossil fuels for our energy use across the nation, a little bit from nonhydro renewables. China, much more intensive in terms of its fossil fuel use-- much more coal, for example. South Africa uses mostly coal. A lot of energy there from fossil fuels. Brazil is very green. Brazil gets a lot of its energy from hydroelectric. So there's variability in how much energy we use per person for the different countries. There's also variability in which fuel mix we use, depending on what we have available in our countries, or what we can afford to buy.

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If we look at just the US energy system, its flows are very complex. If you start at the left side of this figure, it lists the fuel sources-- coal, natural gas, crude, natural gas, plant liquids, nuclear renewables, and imported petroleum, going are from left to right across to the end use sectors, the far right. The end use sectors at the far right are residential, commercial, industrial, and transportation. And there are numbers in there. Those numbers are the quads per year for each fuel source we use, and how much we use for each sector. For example, our total domestic production is 78 quads of energy. And then we import about 29 quads of energy, mostly in the form of petroleum. Our total supply is 108 quads spread across different fuels-coal, natural gas, petroleum, nuclear, renewables. Fossil fuels are about 80 quads of what we consume. We consume 97 quads for those four energy sectors. We actually export about 10 quads of energy as well. So we have 107 quads of supply. We consume 97 quads, export the rest. Those end use consumption sectors are residential, with about 22 quads of energy, commercial, with about 18 quads of energy, industrial, with about 30 quads of energy, and transportation, with about 27 quad energy. So this diagram shows what fuels we use, where it comes from, whether it's domestic or imported, the allocation for fossil fuels or other, the allocation by fuel, and the allocation by energy sector, and exports. So if you master this one diagram, you'll know just about everything you need to know about energy in America. Here's another way to look at it. There's sources on the left and sectors on the right. The sources list the five different fuels grouped together with the quads, or how much energy we use, of that fuel per year. And then on the right is a sector showing how many quads of energy we use for each sector on the right. And then there are arrows connecting them from the fuel to the sector showing how much of which fuel you use for which sector. And then these little numbers. For example, transportation has these three numbers, 93, 3, and 4. That shows the breakdown, out of 100%, for what portion of the transportation energy use is provided by which fuel transportation gets 93% of its energy from petroleum. It gets 3% of its energy from natural gas. That's not natural gas trucks. It's really natural gas pipelines and a few natural gas trucks. 4% of the energy for transportation comes from renewables. That's a biofuels. The same kind of story can be told about the fuels as well. Petroleum has these four numbers by it. And

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that shows the relative breakdown of how we use petroleum. 71% of our petroleum is for transportation. 23% of our petroleum is for industry. That's as a processed chemical to make plastics and things like that, as well as a source of heat. 5% of our petroleum is used in the residential, commercial sector, mostly for heating, for space heating and water heating-- for example, the boilers in the Northeast. And then 1% of our petroleum is used for electric power. We do not use much petroleum for electricity. These are mostly decoupled. If we look at natural gas, natural gas is a little more diverse in its use. It's split the sort of in thirds across industry, electric power, and residential and commercial sector. We use it for electric power to make electricity. We use it in industry as a feed stock for materials and chemicals, but also as a source of process heat. And we use it in the residential, commercial sector for heating and cooking, water heating, that kind of thing. And then we use a little bit of natural gas for transportation. If we look at our industrial mix, it comes from fossil fuels like petroleum and natural gas, mostly for heat and as a feed stocks. We also use some coal in industry, mostly for metal making, for steel making, although you can also use coal as a source of heat. If we look at coal, 92% of the coal goes towards electric power. So really, when you think of coal, think of electricity, except for that slice of coal that goes off for metal making as a source of carbon for making steel. And then if we look at electric power, it's split, it's diversified. It comes a little bit from petroleum, but mostly from natural gas, coal, nuclear, with a growing share-- today, 13%, from renewables. And if you look at renewables, a lot of the renewable energy goes to electric power. That's hydroelectric. That's wind turbines and solar. But we also use renewables in the residential commercial sector, about 8%. That's people using wood pellets and wood stoves for home heating or water heating. And we also use some renewables in industry. For the most part, that's like the paper or the pulp industry, using the pulp or sawdust on site for heat for making paper. If you look at nuclear, nuclear is 100% connected to electricity. We don't use nuclear for home heating. We don't use nuclear in industry. We don't use it for driving our cars. We do use some nuclear for transportation in the US Navy, and other navies, for nuclear submarines and aircraft carriers. But really, that's making electricity first, and that electricity's used for transportation. If we look at transportation, petroleum is the dominant fuel source for transportation. It is essentially a monopoly of fuels. 93% is just from petroleum for transportation, with a little bit from biomass, a little bit

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from electricity, and a little bit from natural gas. That natural gas and electricity is mostly for pipelines. It's not really for cars and trucks. The biomass, or biofuels, is used as a way to displace or replace the petroleum. So if we think we have an oil problem, we really have a transportation problem. It's not the other sectors that are using that much oil. By comparison, the fuel mix in the power sector is much more diverse than for transportation. It's roughly half coal, then natural gas, then nuclear, the renewables, and a little tiny bit of petroleum. So instead of having a monopoly, oil, for transportation, with power, it's a mix of fuels. Therefore more diverse, and more of those fuels are domestic, which is good news. Now the coal fraction is shrinking and the natural gas and renewables is growing. So this mix is shifting with time. And here it's listed in trillion kilowatt hours per year. And the important concept here's is that we use so little petroleum in our power sector-- we use it as a backup fuel for diesel generators and, in a few places, for example, Hawaii uses petroleum for electricity. But saving electricity doesn't save you oil. That's one of the main outcomes. People will say, we need to save oil. Turn off the lights. You should save oil. And you should turn off the lights, but turning off the lights does not save oil. So that's one of the important concepts to keep in mind. Now, electricity is also secondary form of energy. We talked about that before. It's therefore distributed across other sectors. We spend something like 40 quads to make our electricity. But then that electricity is attributed to the other sectors. There's a very thin line of green, or thin line of electricity for transportation. There's a lot of electricity used in industry, a lot used in commercial, and a lot used in the residential sector. So that energy to make electricity is then distributed across the other sectors as a form of secondary energy. So in our homes, we'll use primary energy, like natural gas, for heating, and secondary energy, electricity, for turning on the lights and running our computers. Manufacturing needs a lot of energy. And in particular, the energy industry very energy-intensive. This is some sample of different sectors, manufacturing sectors, in the US, how much energy they use. At the top is food. Food needs a quad of energy just to manufacture the food. We're going to come back and talk about food and energy later. Turns out just the manufacturing part of food is one quad of energy per year. And then we have other things like tobacco products, and textiles, and wood products, and paper needs over two quads of energy. That's a big one. The biggest one is energy. Energy is the most energy

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intensive sector in industry. Chemicals is second, with over five quads of energy, just for chemicals, mostly using that energy as a feed stock, and also some process heat. And then we have other things like metals, primary metals, and metal fabrication. So industry needs energy for manufacturing as well. And energy, in particular, needs energy for manufacturing. Now prices vary also for the different fuels. The price paid for energy for the different sectors varies. The retail electricity price is something like $29 per million BTU of delivered electricity. The energy price for petroleum is about $20 per million BTU. The price for natural gas, as delivered to a home, the retail price is about $7.40. The wholesale price is more like $4 for natural gas. Biofuels prices and retail about $3.50. Coal is about $2.40. And nuclear is very cheap. So there's different prices paid for the different fuels. Petroleum, in particular, is very expensive, as is delivered electricity. When we take that energy and use it, a majority of it is released as waste heat. This is the second law of thermodynamics coming back to us. On the left side of this diagram, it's called a spaghetti diagram, put out by Lawrence Livermore National Laboratory, it lists the different fuels. At the top is solar, then nuclear, hydro, wind, geothermal, natural gas, coal, biomass, petroleum. And the thickness of the arrow shows how much energy is used from each fuel. There's a really thick bar that's green for petroleum because we use more petroleum than the thin yellow line for solar, for example. Then those bars go from left to right to the different end use sectors. For example, petroleum has a very thick bar going all the way to transportation. That's because petroleum and transportation are very closely coupled. Coal has a very thick bar going from its fuel source towards electricity. That's because coal and power generation are very closely coupled. And that electricity generation box at the upper middle shows its role. It takes primary energy then makes secondary energy that goes to those different sectors, saying the same kind of thing we discussed a little bit earlier. Electricity is also made from nuclear, hydro, wind, solar, geothermal, natural gas. Natural gas is all over the place. It goes to electricity, residential, commercial, industrial. It's got a thin line to transportation. And I think that's one of the growth opportunities for natural gas. And then those different end use sectors also put out wasted heat, or rejected energy. There's a thick gray bar that goes from electricity generation and those end use sectors to a total, which is over 55 quads of energy. So if you look at the 97 quads of energy we consume in a year in the United States, just over 40 quads of that is useful energy. Over 55 quads is waste heat. We waste more energy than we use. We start off

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with 97 quads. 55 quads of that is waste heat that goes into the atmosphere or our waterways and streams that we're rejecting. So this is an important sign. Our overall system is wasteful. And it's an opportunity for us, if we improve that efficiency, and reduce that waste heat, if we find a way to use that waste heat, our energy problems are solved. Another way to think about this is not just through the waste heat, but through the different technologies. And despite advances, today we still use just four technologies, and for fuels, for a great preponderance of our energy consumptions. Same kind of chart, but we made it ourselves. Now, instead of showing just fuels on the left and end use sectors on the right, we inserted in the middle the different technologies. Same kind of thing, same kind of colors, different fuels, and the thickness of the bar is how much energy we use. But then we take it through different devices. The biggest device, the most popular conversion device, is the steam turbine. That's the third box from the top over towards the right hand side. More than 30 quads of our energy is consumed just for steam turbines to make electricity. Nine quads of energy is used for combustion turbines, which are shown middle left in orange. Nine quads for combustion turbines. Those combustion turbines are used to make electricity. They are also used for transportation, for example, in jet planes. We also use a lot of the energy in the bottom two boxes in the spark ignition engine that's a gasoline engine, and the compression ignition engine. That's a diesel engine. So four devices, the steam turbine, the gas turbine, the diesel engine, the gasoline engine, are responsible for well over 60% of all our energy conversions. All four of those devices were invented in the 1800s or earlier. We have old fashioned technology driving our economy. The newest kind of conversion devices, like solar photovoltaic cells, invented in the late 1800s early 1900s, are growing. Wind turbines are new, invented in the late 1800s, are growing as well. We don't have a lot of new conversion devices in there. So this is a sign that despite how quickly energy systems can change, some parts of the energy system changes very slowly. And that is the technologies to convert the fuels from one form to another. I encourage you to do the online exercises to reinforce what we learned in this module. I look forward to seeing you at the next lecture.

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