Energy regulation and policy
The world’s transport systems run largely on oil, as does much of mechanized agriculture. Similarly oil production is essential to the continuation of other economic activities and the general support of daily life. According to Fleay (1995), oil production in the major producing regions of the world has reached its peak and is now beginning to decline. The giant oil reserve, the Arabian Gulf region that contains two-thirds of world oil reserves, is expected to peak by the year 2005 (formerly predicted to peak by the year 2020). Overall, oil production in the world is likely to peak some ten years earlier than previously expected.