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Fuel and energy industry

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Fuel and energy industry — a set of mining industries engaged in the extraction and processing of various types of fuel and energy raw materials. Includes refining, gas, coal, shale, peat and mining industries

The fuel industry is one of the most important branches of heavy industry. The role of fuel increases with the development of technical progress and inextricably connected with its mechanization, automation, electrification and heating of production, causing an intensive growth of energy consumption in the economy. Combustibles, especially oil and gas, are also used as raw materials for the chemical industry.

In pre-revolutionary Russia (1913) the total fuel production (in terms of conditionality) was 48.2 million tons, including more than 20% firewood.

In the USSR, as a result of the successful implementation of the first five years (1929-40), the total annual production in 1940 reached 238 million tons of fuel equivalent. The structure of the Fuel Industry has changed dramatically A new industry — the gas industry — has emerged. During the years of the Great Patriotic War of 1941-45, the German fascist invaders caused huge damage to the Fuel Industry During the years of the 4th Five-Year Plan (1946-50) the Fuel Industry enterprises were restored, in 1950 the fuel production in the USSR exceeded the level of 1940 by 31%. In the following years, the leading branches of the fuel industry — oil and gas — grew at a faster pace. Fuel production in 1975 increased fivefold compared to 1950.

The fuel and energy industry is a combination of the fuel industry, electric power industry, fuel, and energy delivery systems. Over the past two centuries, the global fuel and energy industry has undergone two major stages of development. The first stage (XIX — first half of XX century) was coal when the structure of the world fuel and energy balance was dominated by coal fuel. The second stage was the oil and gas one. Oil and gas turned out to be more efficient energy carriers than solid fuels. In the 1980s, the world energy industry entered the third (transition) stage of its development, where the transition from the use of predominantly exhaustible mineral fuel resources to inexhaustible resources takes place. The oil, gas, and coal industries are the backbone of the global energy sector. Crude oil is produced in 80 countries of the world, but the main role is played by Saudi Arabia, USA, Russia, Iran, Mexico, China, Venezuela, UAE, Norway, Canada, Great Britain, Nigeria. International trade accounts for 40% of all oil production. A huge territorial gap has formed in the world economy between the regions of its production and consumption, which has contributed to the emergence of powerful cargo flows. The main areas of oil production are the basins of the Persian Gulf, West Siberian, Caribbean and Gulf of Mexico. Natural gas is the cheapest and most environmentally friendly fuel. The world's largest gas producer in Russia, which has the largest basin, Western Siberia. The largest gas-producing country is the USA, then Canada, Turkmenistan, the Netherlands and Great Britain. Unlike oil-producing countries, the main gas producing countries are developed countries of Europe and North America. Two regions are distinguished by natural gas reserves: The CIS (Western Siberia, Turkmenistan, Uzbekistan) and the Middle East (Iran). The main gas exporters are Russia, which supplies gas to Eastern and Western Europe; Canada and Mexico, which supply gas to the U.S.; the Netherlands and Norway, which supply gas to Western Europe; Algeria, which supplies gas to Western Europe and the U.S.; Indonesia, the Middle East and Australia, which export gas to Japan. There are two ways of gas transportation: by main gas pipelines and by gas tankers for liquefied gas transportation.

The development of the coal industry in the era of cheap oil has slowed down, but after the crisis of the 70s it has accelerated again. The main coal-producing countries are developed countries: China, the USA, Germany, Russia, Poland, Australia, India, and South Africa. In Russia, coal production has been falling sharply in recent years, while in China and the United States the coal industry is developing dynamically. In terms of explored coal reserves, developed countries are also the leaders: the USA, CIS (Russia, Ukraine, Kazakhstan), then China, Germany, Great Britain, Australia, and South Africa. Most of the coal is consumed in the same countries where it is extracted, so only 8% of the world market is consumed. However, the structure of trade has changed — the demand for coking coal is falling due to the slowdown in the development of metallurgy and demand for steam coal is growing. The main coal exporters are the USA, Australia, to a lesser extent South Africa, Russia, Poland, and Canada. The main coal importers are Japan, the Republic of Korea and a number of European countries.