Engineering Economy Assignment

Running head: ENGINEERING ECONOMY
Engineering Economy
Name of the Student
Name of the University
Author Note

ENGINEERING ECONOMY
1
Summary
The objective of the COP 21 is to control the limit of the increasing rate of the global
temperature within 2%. This agreement has been signed by approximately countries across the
world. In this respect, the paper has attained to analyze the role of Saudi Arabia in achieving the
global target in order to mitigate the CO2 emission (Alshammari & Sarathy 2017). The data
asserts that Saudi Arabia is the largest crude oil producer in the international oil market. Apart
from that, the country is considered as one of the largest CO2 emitter. The continuous growth in
the energy consumption in the domestic and international market has been reported as the driving
force of this massive amount of energy production in Saudi Arabia. It is projected that Saudi
Arabia will be capable of meeting the global greenhouse gas reduction in the power generation
field by 80% if it shifts its focus from the renewable energy product to production of the non-
renewable energy. In terms of the researchers, the country will achieve sustainability in the
energy production with the implementation of Carbon Capture and Storage (CCS). On the
account of falling oil price, it will be best possible option for the Saudi Arabia government to
invest in CCS. In this way, the cost of energy production will be progressively lower till the year
of 2040. Therefore, research and development is required to optimum use of the fossil fuel along.
According to the research paper, the energy demand will be exhibiting upward trend after the
implementation of the energy efficient technology, however, it will be lower than growth in the
energy demand without the energy efficiency technology. In this regard, the paper figures out an
important way to measure the CO2 avoidance cost. It has been evaluated that CO2 avoidance will
be amplified if nuclear power is used as the substitute of the solar energy or CCS. In respect of
the best cost-effective strategy, CCS is recommended as the best option for CO2 emission target.