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ECOSOC: Is ‘Freezing Production’ the Answer?

The delegate of USA - Alvian Prasetyo - talks about oil crisis

by Hanun Thalia, BBC

Updated 18:42, Thursday, 15 September, 2016

Oil, as any other non-renewable resources, is limited. From generation to generation, we have been using oil in our daily activities. However, what would happen when it runs out?

The UN Economic and Social Council (ECOSOC) discuss the importance of preserving this valuable resource.

It is undeniable that they need a replacement, a new, unlimited and also cheap resource to tackle this issue. Indeed, they need it in fast. Meanwhile in contrary, they also need to cease the oversupply of oil that happens in oil-rich countries.

‘Decrease, don’t freeze’

“It is better to decrease it than to freeze the production as it would affect other countries and create a domino effect.” says the delegate of Finland, Handayani Lintang.

Stopping the production altogether will definitely impact all nations, especially on their economy aspect. There are countries which have high dependency on oil, and these countries will be the main concern when it comes to act. Gradually decreasing the production, it is a much better if the gradually decrease choice as it will also give time for people to adjust with the condition.

Increasing the demand

Over the debate, the delegate of Saudi Arabia – Andika – and Iraq – Manda – mentions that by increasing the demand, it can help to tackle the oversupply issue. By balancing the supply and demand, they hope to normalize the situation.

However, will be dangerous to oil supply. By increasing the oil demand, it will incidentally increase the oil production, which will lead to oil extinction. As they all say, it’s better to prevent than to cure.

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