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gentina, and Mexico, had HDIs between 0.8 and 0.85, with power consumption levels below 2 GWh/person/yr. For logical economic reasons, crude oil companies have focused for de- cades on extracting the easiest-to-reach cheap crude oil. At first, oil was extract- ed near the surface of the ground. Typically, this oil was of the “light and sweet” type, or put more simply, very easy to refine into products such as unleaded gas and heating oil. As this process continued and land-based crude oil became — and will become— progressively harder to find and extract, production rates of crude oil decreased substantially. Additionally, all oil fields reach a point in their life cycle where they become economically unsuitable to keep producing oil, unless prices skyrocket. Moreover, when the extraction cost for each oil barrel equals the cost of producing energy equivalent to a barrel of crude oil from other sources, the oil well becomes obviously fruitless. During the last three decades, the world has discovered new oil reserves at a rate lower than the consumption rate. In recent years, new proven oil reserves account for only 27 percent of global oil consumption. Currently, over 50 crude oil producing countries, such as Russia and the United States, are producing less oil than in the past. Additionally, the North Sea region, a prolific oil region twen- ty years ago, has witnessed sharp declines in crude oil production. Furthermore, many other crude oil producing nations may be getting closer to their peak crude oil production. Brazil, which incorporated recently new and important oil wells, is a global exception, but there are serious issues regarding the suitability of tech- nologies t extract oil 7,000 m below sea surface and the environmental hazards associated to the extraction. Energy consumption and efficiency vary dramatically in different parts of the world. In 2005, the global average annual per-capita consumption of modern ener- 104 SUSTAINABLE ENERGY IN LATIN AMERICA AND THE CARIBBEAN: POTENTIAL FOR THE FUTUREPDF Image | SUSTAINABLE ENERGY IN LATIN AMERICA CARIBBEAN
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