Energy

It is not in the American experience to think about limits on energy. . . . Yet by the late 1960s and early 1970s, limits on the energy base in [the United States] began to surface. . . . Environmentalism made its influence felt in a large number of ways: in such legislation as the National Environmental Policy Act, the Clean Air Act, the Clean Water Act, and the Endangered Species Act; in the establishment of environmental impact statements; in the creation of the federal Environmental Protection Agency; and in the development of the significant new industry of pollution control.

As far as energy was concerned, environmentalism had its major [effect] on the burning of coal. Concern about air pollution led to fuel switching, especially by electric utilities, away from domestically produced coal to low-sulfur oil, which had to be imported. Although not particularly noticeable at the time, this change led to a significant increase in the demand for oil. Between 1968 and 1973, oil consumption by electric utilities more than tripled. Another limitation on [the U.S.] energy base was [that the] U.S. was an aging producer. It was outrunning its geological base. But this highly relevant fact was not represented in either the consumption pattern or in prices. . . . The turning point came in 1970, when U.S. oil production reached its peak and then began to decline. . . .

In terms of solving the supply side of the energy equation, the choices most talked about can be classified into two categories: hard versus soft energy paths. . . . The usual proposed hard-path solution is the rapid expansion of three sectors: coal (mainly strip-mined, then made into electricity and synthetic fluid fuels); oil and gas (increasingly from Arctic and offshore wells); and nuclear fission (eventually in fast-breeder reactors). Soft technologies, on the other hand, use to the greatest possible extent nondepletable resources like sun, wind, and vegetation. They emphasize diversification and dispersal of energy sources so as to avoid in the future the sort of dependence we now have on fossil fuels. . . .

An increasing number of individuals and communities in the U.S. are shifting to the soft path. . . . A more rapid spread of this approach is being hindered by government (taxpayer) subsidies of the hard-path approach, outdated building codes that discourage energy conservation and sometimes require unnecessary backup [by] conventional heating systems, inadequate access to capital for development of solar energy resources, and the false belief that it will be a long time before solar energy can provide a significant fraction of primary energy. In 1984, for example, about 18% of all primary energy used in the world and 8.5% of that used in the U.S. came from renewable solar energy resources. . . .

Diversification into solar energy is a primary reason for the dramatic acquisition of copper mines by oil companies. Each solar collector for heating and cooling systems requires about a pound of copper, and oil companies now control almost 60% of domestic copper production in the U.S. . . . Until recently, energy and high technology companies disparaged solar energy. . . . Worried that every rooftop could become its own power plant and sensing that the cry for solar energy was a revolt against huge companies, utilities, and staggering electric bills, large corporations spent a share of their public relations budget playing down the solar “messiahs.” At the same time, they began buying up solar technology companies.

Which of the following statements is inconsistent with information in the passage?

• a. Most people believe that the U.S. energy supply is nearly depleted.

• b. Environmentalism has caused fundamental changes in the U.S. energy policy.

• c. The use of domestic oil has been declining in the U.S. in recent years.

• d. Since the 1970s, the U.S. government has consistently supported the soft-energy approach.

Answer explanation

Solution: The correct answer is D.

The author notes that “limits on the energy base in the United States began to surface” in the late 1960s and early 1970s when oil production peaked and then began to decline. The author indicates further widespread public awareness by referring to the increasing number of individuals and communities taking the “soft-path” renewable energy approach. The author discusses the major impact environmentalism had on the burning of coal, causing a switch to oil consumption by utility companies, which then tripled between 1968 and 1973. The author refers directly to the decline of U.S. oil production. The author states the opposite: “An increasing number of individuals and communities in the U.S. are shifting to the soft path. A more rapid spread of this approach is being hindered by government (taxpayer) subsidies of the hard-path approach. . . .”

The author of the passage probably most strongly supports:

• a. the acquisition of solar technology companies by large corporations.

• b. increased utilization of low-sulfur oil by utility companies.

• c. a switch to nuclear reactors as the primary energy source.

• d. substantial federal subsidies for solar energy research.

Answer explanation

Solution: The correct answer is D.

The author conveys concern about this because of how the energy companies began acquiring copper mines, since copper is a key part of solar heating and cooling systems. The author implies that this is part of this larger attempt to dominate the solar power industry and control energy production: “Worried that every rooftop could become its own power plant and sensing that the cry for solar energy was a revolt against huge companies, utilities, and staggering electric bills, large corporations spent a share of their public relations budget playing down the solar ‘messiahs.’ At the same time, they began buying up solar technology companies.” This is unlikely, since the author indicates support for solar energy. See rationale D. Since nuclear power is part of the hard-path approach, the author would likely not support this, since the author is already critical of subsidization of hard-path energy sectors. See rationale D. The author indicates that taxpayer-supported government subsides of the hard-path approach are hindering the development of the soft-path approach. This includes “inadequate access to capital for the development of solar energy resources.” This criticism of subsidies for the hard-path approach and of inadequate capitalization of solar energy indicates that the author would likely support subsidies for solar power.

Which of the following forms of legislation would an advocate of the soft-energy path probably support?

1. Tax credits for corporations that install solar panels in office buildings

2. A mandate to increase the ratio of soft- to hard-energy sources by a specified amount within ten years

3. Cash incentives to homeowners who convert their heating systems from oil to natural gas

• 1 only

• 1 and 2 only

• 1 and 3 only

• 2 and 3 only

Answer explanation

Solution: The correct answer is B.

Option II is also correct. See rationale B. The author is critical of the lack of capitalization for solar energy development and government subsidies of hard-path approaches to the energy problem such as oil and gas. Therefore, it can be inferred from this that the author would likely advocate tax credits to install solar panels in office buildings and also support an effort to mandate an increase in the ratio of soft- to hard-energy sources with in ten years. These cash incentives would represent a hard-energy approach which the author does not favor. See rationale B. Option III is incorrect. See rationale C.

Which of the following inferences is justified by information in the passage?

• a. The U.S. leads the world in the use of solar energy.

• b. The burning of imported oil pollutes the air less than does the burning of coal.

• c. Oil companies have a global monopoly on copper production.

• d. The consumption of natural gas has declined in the U.S. since the 1970s.

Answer explanation

Solution: The correct answer is B.

Passage information suggests otherwise: “In 1984 . . . about 18% of all primary energy used in the world and 8.5% of that used in the U.S. came from renewable solar energy resources.” The author points out: “Concern about air pollution led to fuel switching, especially by electric utilities, away from domestically produced coal to low sulfur oil. . . .” This implies that low-sulfur oil is less polluting. Passage information shows that oil companies monopolize “almost 60% of domestic copper production in the U.S.,” but does not indicate one way or the other that these companies similarly dominate world copper production. Passage information indicates that the hard-path approach proposes rapid expansion of oil and gas resources in addition to nuclear fission and coal. However, this proposed expansion is not the same as actual expansion and the author does not indicate anywhere in the passage whether natural gas consumption has actually increased or declined since the 1970s.

Information in the passage suggests that which of the following changes would be most likely to accelerate U.S. progress along the soft-energy path?

• a. The price per barrel of imported oil rises from $25 to $50 within a few months.

• b. An improved design for nuclear power plants makes radioactive leakage virtually impossible.

• c. Coal-burning plants install furnaces that eliminate the emission of air pollutants.

• d. Domestic oil production increases to the point that the U.S. is no longer dependent on imported oil.

Answer explanation

Solution: The correct answer is A.

Since a sharp rise in prices also implies a decrease in supply, this would accelerate a conversion toward soft-path energy technologies, which are nondepletable and “emphasize diversification and dispersal of energy sources so as to avoid in the future the sort of dependence we now have on fossil fuels.” This would likely slow progress toward soft-path energy, since it would reduce concerns about nuclear power plant safety and the overall viability of this hard-path energy technology. This would slow progress toward soft-path energy since the elimination of air pollutants would eliminate a major environmental concern about coal-fired plants that is not a concern with soft-path energy such as wind and solar. The author points out: “The turning point [in the consumption of oil] came in 1970, when U.S. oil production reached its peak and then began to decline.” Although the author does not say so directly, this was likely a factor in the shift toward soft-path energy technologies on the part of the “increasing number of individuals and communities in the U.S..” It follows, then, that an end to dependence on imported oil would favor hard-path energy over soft-path.

Suppose that an inventor has perfected a solar battery that would allow U.S. homeowners to convert rapidly and inexpensively from traditional electricity to solar power. The passage suggests which of the following scenarios as most probable?

• a. Utility companies attempt to purchase the patent on the battery.

• b. The government provides business grants to encourage mass production of the battery.

• c. Hard-path energy corporations publicly praise the invention.

• d. The nuclear power industry lobbies for reduced taxes for customers who do not convert to solar power.

Answer explanation

Solution: The correct answer is A.

The author describes how oil companies acquired copper mines and solar technology companies in an attempt to diversify into this new technology. Given this information, a similar attempt on the part of utility companies to purchase this battery is a most probable scenario. This is a far less probable scenario since the author criticizes the government for subsidizing hard-path approaches rather than soft-path technologies such as solar. It follows that the government would follow basically the same pattern by not offering business grants to encourage mass production of the battery. This is unlikely since the author points out that hard-path corporations disparaged solar power even as they were purchasing solar technology companies. It is probable that these corporations would respond the same way to this solar battery. As in the case of solar energy cited in the passage, the battery would similarly decentralize energy production into individual homes and buildings, which the companies would view as a threat. The nuclear power industry, a hard-path industry, would likely not need to do this since, according to passage information, the government is already willing to subsidize hard-path approaches to energy.