Welcome to Scribd, the world's digital library. Read, publish, and share books and documents. See more
Download
Standard view
Full view
of .
Save to My Library
Look up keyword
Like this
3Activity
0 of .
Results for:
No results containing your search query
P. 1
Arctic Economic Potential: by Harri Mikkola and Juha Käpylä

Arctic Economic Potential: by Harri Mikkola and Juha Käpylä

Ratings: (0)|Views: 1,922 |Likes:
Published by James Henry Bell
Published April 2013 by Finnish Institute of International Affairs
Published April 2013 by Finnish Institute of International Affairs

More info:

Categories:Types, Research
Published by: James Henry Bell on May 22, 2013
Copyright:Attribution Non-commercial

Availability:

Read on Scribd mobile: iPhone, iPad and Android.
download as PDF, TXT or read online from Scribd
See more
See less

12/14/2013

pdf

text

original

 
Arctic economicpotentiAl
Hamkka & Jha KääFiiA BrieFinG pAper 127
A 2013
ULKOPOLIITTINEN INSTITUUTTIUTRIKESPOLITISKA INSTITUTETTHE FINNISH INSTITUTE OF INTERNATIONAL AFFAIRS
127
tHe need For A compreHensive AndrisK-AwAre understAndinG oF Arctic dynAmics
 
•emeltingoftheArcticisexpectedtooerprospectsformaritimetransportandhydrocarbonexploitationthatcouldpotentiallycreateanArcticeconomicboom.•Inprinciple,moreaccessibleArcticsearoutescouldoersubstantialsavingsinlogisticsbetweenAsian,AmericanandEuropeanmarketswhencomparedtothecurrentglobalmaritimetraderoutesviathePanamaandSuezCanals.•Itisestimatedthatasmuchas13percentofundiscoveredoildepositsand30percentofundiscoveredgasdepositsontheglobearelocatedintheArcticarea.esehydrocarbonprospectsarefurtherestimatedtomaketheArcticareaamajorglobalenergyhub.•However,theextentandpaceofoverallArcticdevelopmentisstilldiculttoforecast.erearemanyuncertaintiesandchallengesintheArcticenvironment,infrastructure,technologyandglobaleconomythatmayhindertheexpectedtrajectories.•Whatisneededisaninformed,comprehensiveassessmentoftherisksandgainsrelatedtothedevelopmentoftheArctic.
Arctic economic potentiAl
FiiA Bfg pa 127A 2013
tHe need For A compreHensive AndrisK-AwAre understAndinG oF Arctic dynAmics
th Gba s ah gath Fh i f iaa Affa
ULKOPOLIITTINEN INSTITUUTTIUTRIKESPOLITISKA INSTITUTETTHE FINNISH INSTITUTE OF INTERNATIONAL AFFAIRS
Ha mkkarahth Fh i f iaa AffaJha Käärahth Fh i f iaa Affa
 
tHe FinnisH institute oF internAtionAl AFFAirs
3
Introduction
DuringtheColdWar,theArcticareawasanimpor
-
tanttheatreinthe
US
-Sovietconfrontation,mainly
duetothearea’snucleardeterrentrelevanceforbothsuperpowers.WiththeendoftheColdWar,
theArcticlostmostofitsgeopoliticalrelevanceand
droppedotheradar.Duringthelastdecadeor
so,theArctichasmadeaashycomebackandhas
becomehighlytopicalagain.Infact,theareahas
re-emergedasacomponentofcontemporaryhigh
politics,highlightedbythepublicationofnumerous
nationalandsupranationalstrategicdocumentsontheArctic.
1
is“Arcticboom”ismostlybecauseoftheeco
-
nomicopportunitiesbroughtaboutbyclimatechange,whichismakingthenaturalresourcesintheArcticincreasinglyaccessible.erehaseven
beenspeculationthatthisincreasingeconomicrel
-
evancemightleadtosomekindofnew“wildwest”
scenario,wherecommercialactorsarerushingtoseizeopportunitiesandstatesaretryingtobolstertheirsovereigntyclaims.emedia,inparticular,havebeeneagertoreportontheArcticdevelop
-
mentsinafairlycolourfulway,dubiouslyemphasiz
-
ingthelucrativeyetconictualandevenanarchic
characterofthearea.
2
WhilethepublicimageoftheArcticisoverly“sexed
up”,itisclearthattheArcticarea
is
changing.at
said,theArctictrajectoriesremainuncertainandacomprehensiveunderstandingofthesechangedynamicsisstillinmanyrespectslimited.AstheArcticisgoingtobeasignicantareaofstrategic
1Seee.g.http://www.arctic-council.org/index.php/en/about/documents/category/1-arctic-strategies.Seee.g.FrankSejersen(011)“ClimateChangeandtheEmer
-
genceofaNewArcticRegion”,in
Baltic Rim Economies:Special Issue on the Future of the Arctic 
,no.4,30November011.http://www.utu.fi/fi/yksikot/tse/yksikot/
PEI
/
BRE
/Documents/
BREA
rctic%030.11.011.pdf;KatarzynaZysk(011)“TheEvolvingArcticSecurityEnvironment:AnAs
-
sessment”,inBlank,StephenJ.(ed.)
Russia in the Arctic 
.StrategicStudiesInstitute,July011.http://www.strate
-
gicstudiesinstitute.army.mil/pubs/display.cfm?pubid=1073;Antrim,CaitlynL.(011)“TheRussianArcticintheTwen
-
ty-FirstCentury”,inKraska,James(ed.)
Arctic Security in an Age of Climate Change
.Cambridge:CambridgeUniversityPress,p.107.
emphasis,itisimportantthatArcticvisionsarebasedonacomprehensiveevaluationofArcticdevelopmentbasedonextensiveandup-to-date
knowledgeofArcticdynamicsandassociatedrisks.
Whilethere
is
hugepotentialforeconomicoppor
-
tunityintheArctic,itisnotatallclear
how 
–to
whatextentandatwhatpace–thispotentialitywill
indeedactualize.eaimofthispaperistocriticallyanalyzethekeydriversofthecontemporary“Arcticboom”andto
illustrateexistingkeychallengesthatneedtobetackledfortheArcticpotentialtomaterialize.e
paperwillprovideabriefoverviewofthechallenges
intwomaineconomicdomainsoftheArctic:mari
-
timetransportandhydrocarbonextraction.Duetothisfocus,thepaperbracketsoutforthemostpartthepoliticalprocessesanddynamicsrelatedtotheArcticareaanditsdevelopment.
3
The Arctic melts, the money flows
eArctic
4
iswarmingup,andasaconsequence,theArcticOceanismeltingatanacceleratedpace.eextentofthesummericehasbeendecreasing
about8percentperdecadeandthethicknessofthe
icehasdecreased40percentoverrecentdecades.
eextentoftheArcticsummericecapisnow49percentbelowthe1979-2000baselineaverage
extent(seeFigure1).eArcticlandareasarenow
2degreesCelsiuswarmerthaninthemid-960s(see
Figure).
6
Scienticresearchshowsthattheclimateischang
-
ingmorerapidlyintheArcticthananywhereelse
3Thisexcludes,forinstance,awiderdiscussionofthe
UNCLOS
treatyandtherelatedprocesses,thestrategicvisionsoftheArcticstates,andtheworkoftheArcticCouncil.4TheArctichasvariousdefinitions.ItmayrefertotheArcticOcean,theareaabovetheArcticCircle,theareaabove60⁰Nor,mostbroadly,theareawith“Arcticconditions”.Accord
-
ingtotheacceptedview,thereareeightArcticstates:theUnitedStates,Russia,Norway,Canada,Denmark(Green
-
land),Sweden,FinlandandIceland.5ArcticCouncil(009)
Arctic Marine Shipping Assessment 2009 Report 
(
AMSA
).http://www.arctic.gov/publications/
AMSA
_009_Report_nd_print.pdf 6
Arctic Report Card: Update for 2012 
.http://www.arctic.noaa.gov/reportcard/index.html.

You're Reading a Free Preview

Download
/*********** DO NOT ALTER ANYTHING BELOW THIS LINE ! ************/ var s_code=s.t();if(s_code)document.write(s_code)//-->