No More Pollution from China?

The Wall Street Journal has posted/published several articles about Wind Energy in the past few week; my favorite was the one discussing Mongolia's hope of importing wind energy to China.

The article states that Mongolia is one of the largest exporters of coal to China.  I find this really fascinating because China is always said to be a big contributor of global warming. This leads me to think...shouldn't we be blaming the producers and suppliers of goals for the pollution? Luckily, that's about to change: Mongolia is considering exporting a larger amount of renewable fuels to china. The amount of fuel they are planning to export is equivalent to 40 million ton of coals.  

The Mongolian Government seems really committed to this project since they are investing large amount of money to subsidize alternative projects.  I think this is a good initiative. If other coal dependent find out that a country so large is switching alternative fuels, it might encourage other countries to switch too. Environmental protection is definitely a business trend that is soaring.  The investors of alternative energy in Mongolia are becoming more aware of that fact that "the production of coal will be subjected[ed] to carbon penalties" in the future. This is an example of the cost and benefits that people in the energy industry have to think about.

Globalization definitely has a big impact on the energy industry. Oil produced in the Middle-East is traded with countries from all over the world. Many countries are forced to trade with many countries in the Middle-East, since those countries have a comparative advantage in producing oil. Because the demand and price of oil is so high and it is not a renewable source, many countries, like Mongolia, are beginning to look for alternative sources. It has caused many investors to allocate funds to those countries who are producing green energy; investments on different types of energy is coming from all over the world.

Amy Yu