Natural gas. (a) The Soviet Union assisted India’s public sector companies at a time when such assistance was difficult to get. 2. The first is the US shale revolution, which transformed the US from a major importer of oil and gas to a significant exporter; the second is the leveraging by Russia of its gas exports to compel former members of the Soviet Union to stay within its sphere of influence and to embrace China into an energy partnership (“Russia needs markets; China needs energy”); the third is China’s assertion of its … The end of the Soviet Union, in other words, was more an admixture of Tsarist-rooted “economic backwardness,” population centers far removed from oil and gas sources, “the inherent contradictions of the Soviet system,” and fluctuations in global oil prices than of Reagan-era pressures. State ownership was the dominant owned and controlled by the Soviet state. Azerbaijan, the oldest known oil producing region in the world, experienced an oil boom at the beginning of the 20th century and later served as a major refining centre in the former Soviet Union. The Soviet economy was then more developed than the rest of the world except for the US. This was considered the biggest attempt in human history to abolish the institution of private property and to design a society based on equality. 3. 4. (a) Socialism was the dominant ideology. 5. What is meant by Shock Therapy? (e) The NATO intervention and the bombing of Yugoslavia followed inter-ethnic Civil war. 2. Russian oil and natural gas industries have become key players in the global energy market, ... have received since the fall of the Soviet Union, including by raising the price these countries pay for natural gas to world market prices. Large natural gas reserves discovered in Siberia and the Ural and Volga regions in the 1970s and 1980s enabled the Soviet Union to become a major gas producer. The Soviet Union had been exporting oil and gas to Europe since the late 1950s, forging ties with companies such as Italy’s ENI that are still relevant today.1 The US strongly disapproved of these relationships on strategic Deprived of cheap oil and … It is exporting about 40 billion to the former Soviet Union and is going to be … 4. The East European countries which were the part of the Soviet Bloc, started to protest against their own Decrease in production of oil and natural gas, diminish in GDP growth rate also affected the share of oil sector in GDP. Due to disintegration of Soviet Union many new countries emerged with the independent aspirations and choices. Drilling Down. It was not until 1949 that production returned to pre-war levels, according to an electronic library of documents from the Soviet Union’s Statistical Bureau. Turkmenistan (4) and Uzbekistan (5). Comment. NCERT Solutions For Class 12 Political Science Chapter 3 are part of the Political Science Class 12 NCERT Solutions. Satellites of the Soviet Union also went into energy descent. 2. 14. There was no unemployment in the Soviet system. (c) Disintegration of Soviet Union, 3. Sources indicating Russia to have the largest proven reserves include the US CIA (47.6 trillion cubic meters),[6] the US Energy Information Administration (47.8 tcm),[7] and OPEC (48.7 tcm). Czechoslovakia split into two with Czechs and Slovaks. Russia’s major oil producers have so far declined to comment on their output targets for next year. in the USSR in 1985. (b) India got technological know-how regarding maintenance of military arsenal. To normalise the relations with that of the West. 3. NATO intervention and bombing on Yugoslavia. The 8-year effort of Western capital, technology, and diplomacy had aimed to … The petroleum industry in Russia is one of the largest in the world. Each of these basins is discussed. The centralisation of authority in > vast land. The oil and gas in the "transit countries" of the former USSR / 31 Arkadiusz Sarna Chapter 4. WESTERN OPPORTUNITIES FOR INVESTMENT IN THE OIL INDUSTRY OF THE FORMER SOVIET UNION* Lori Ann Feathers** INTRODUCTION As recently as 1988, the Soviet Union produced 20.6 % of total world oil output, … [2] It is the third largest energy user.[3]. Political: The one party system had tight control over all institutions and was unaccountable to people. 3. 4. According to the company’s latest report*, the two other key planned projects in the FSU region are in Kazakhstan, led by the colossal Kashagan crude oil project, which is … 2. (a) Tajikistan witnessed a civil war that went on for ten years till 2001. To democratise the Soviet System. Lack of democracy and the absence of freedom of speech stifled people who often expressed their dissent in jokes and cartoons. We have experience in all major producing regions with a domestic emphasis on Texas and Oklahoma, as well as international experience in Mexico, Latin America, Europe, the Middle East, Asia, … 3. (c) In Georgia, the demand for independence came from two provinces resulting in a civil war. (c) party dominated the It created “the largest garage sale in history” which led virtual disappearance of entire industries for the restructuring was carried out by market forces in place of government owned policies. Figure 1 - Former Soviet Union oil production and price of oil, in $2010, based on BP data. With the disintegration of Soviet Union, military alliances came to an end and the world became unipolar. “During the Cold War era India and the USSR enjoyed a special relationship which made critics to say that India was part of Soviet camp”. Azerbaijan - oil, gas and energy. Answer: 1. India has been benefitted from its relationship on the issues like Kashmir, energy supplies, sharing information on international terrorism, access to Central Asia and balancing its relation with China. 1. The Government withdrew subsidies and pushed people into poverty. 5. Indian military gets most of its hardware from Russia. The Gazprom Group's major activities abroad include hydrocarbon prospecting and exploration, participation in a number of oil and gas projects in the production phase, and well construction services. 2. The GDP of Russia also declined between 1989 to 1999. 15 Republics. What sot of conflicts had occurred in Soviet Republics? Gorbachev’s Reform Policies: Most, but not all, authorities believe that Russia has the world's largest proven reserves of natural gas. (a) The rise of nationalism in various republics of Soviet Union proved to be immediate cause of revolutions in Estonia, Latvia, Lithuania, Ukraine and Georgia. III. Russia. Answer:  1. Sudden and complete switch to free trade was considered essential. Which incidents resulted into inter-ethnic civil war? Answer: (i) The disintegration of Soviet Union meant the end of Cold War confrontations which demanded the end of armed race and restoration of possible peace. started by the USSR. 2. When did Socialist Revolution take place in Russia? 3 (1992): 703-731. 10. (c) People enjoyed economic freedom. Russian exports consist of more than 5 Mbbl/d (790,000 m3/d) of oil and nearly 2 Mbbl/d (320,000 m3/d) of refined products, which go mainly to the European market. Answer:  Shock Therapy was the transitional form from authoritarian socialist system to a democratic capitalist system in Russia, Central Asia and East Europe under the influence of the World Bank and IMF. To loosen the administrative system. (a) Soviet invasion of Afghanistan (1979) When and how did Russia revive its economy? However, a close comparison of the Soviet Union and the world suggests that the world will not suddenly have an increase in oil … The east European countries the Soviet army had liberated from the fascist forces came under the control of the USSR. The members of communist party felt that their power and privileges were eroding and Gorbachev was moving too quickly. Was this the best way to make a transition from communism to capitalism? 2. 2. Russia is also important for India’s nuclear energy plane and assisting India’s space industry by giving cryogenic rocket to India whenever needed. 6. 4. 1. 2. 3. and Samuelson, who extol the virtues of markets for organizing an economy. (a) Hindi films and Indian culture were popular in the Soviet Union. [12] All oil trunk pipelines (except Caspian Pipeline Consortium ) are owned and operated by the state-owned monopoly Transneft and oil products pipeline are owned and operated by its subsidiary Transnefteproduct . 9. Gazprom Group’s major hydrocarbon exploration and production projects abroad. 3. 3. Answer: The major consequences of the disintegration of the Soviet Union for countries like India can be analysed as follows: 4. based on ideology. 4. Answer:  Soviet system was introduced after Socialist Revolution in Russia in 1917. Ukraine (7) and Belarus (8). The Caspian Sea region has become a central focal point for untapped oil and natural gas resources from the southern portion of the former Soviet Union. (c) Indian heroes from Raj Kapoor to Amitabh Bachhan are household names in Russia. 1. as it could not cope with the political and economic aspirations of people and resulted in: It systematically destroyed old system of social welfare. Ethnic Serbs opposed the breakirigup Haseeb Ahmed, Oil and Gas Analyst at GlobalData, comments: “The FSU is expected to witness the start of operations of 11 new-build gas storage sites by 2024. 1. The USGS estimate of Russia's undiscovered oil is 22 billion barrels, second in the world only to those of Iraq.[10]. Introduction The Influence of Natural Resources on Economic Development: a Brief Review of Theories and the Problems of Applying Them to the Case of the USSR Discovering Oil From Azerbaijan to Western Siberia Estimates of the Russian Economy’s Resource Rent in the Soviet Period Energy Efficiency of the Soviet Economy as an Indicator of Weakening of Energy Preservation Incentives Oil and Gas in Soviet Foreign … Oil and Natural Gas Production. Ans:  1. Answer:  1. From the increase in oil production of the non-OPEC countries, it is worthwhile to point out the increase recorded by the old Soviet Union of nearly 700,000 barrels a day, to reach an average 9.4 MBPD so far in 2004, equivalent to 12.2 % of the world production. (b) The Soviet Union also supported India during its major conflicts during the war with Pakistan in 1971. Answer:  The causes of Soviet disintegration can be summed up as follows: [11] Strong growth in the Russian economy means that local demand for all types of energy sources (oil, gas, nuclear, coal, hydro, electricity) continues to grow. Very Short Answer Type Questions [2 Marks] The US became the sole superpower and capitalist economy became dominant at international level. Turkmenistan (4) and Uzbekistan (5). Answer:  1. 1. In Eastern Europe: The Soviet economy used much of its resources in maintaining nuclear and military arsenals. (iv) This disintegration emerged in many new countries dividing Soviet Union into 15 independent countries alongwith their own aspirations and choices. “Gazprom is exporting 200 billion cubic metres per year to the European Union and Turkey, what Gazprom is calling the far abroad. The positive outlook for the Former Soviet Union comes on the back of an incredibly productive year for Russia. Indeed, as Rehschuh states unequivocally, “the oil-rich Soviet Union would have been better off pursuing conventional investments in oil extraction” than in coal processing and “constantly changing investment allocation decisions” that focused on refining for export over exploration and production (52-3). (d) Russian Revolution (1917) The withdrawal of government subsidies pushed large sections of society into poverty and it emerged mafia to start controlling many economic activities. What was Socialist Bloc? Our domestic oil and gas experience includes representing mineral owners and their families in negotiations, drafting all types of oil and gas agreements and contracts, and assisting clients in title matters. 4. (b) Moscow’s method to deal with Chechen rebels and indiscriminate military bombings led to many human rights violation but for deter aspirations for independence. 1. After 1991, it broke apart with several provinces like Croatia, Slovenia and Bosnia and Herzegovina declaring independence. Though it varies in intensity and speed amongst the former second world countries but its direction and features were quite similar. (c) Ordinary people felt alienated from Central Asia. (c) Change in the balance of power in the world order Oil and Natural Gas Reserves. Shock therapy involved a drastic change in the external orientation. (d) Every aspect of the economy was planned and contained by the state. Russia (3). Many of those who look at peak oil consider the world’s peak oil, as shown in Reynolds (1999b and 2009), to be a short run phenomenon and that, rather like the Soviet Union, oil production will soon increase again possibly because of the Iraqis newly revitalized oil sector. Answer: 1. Answer. A multipolar world could also exist where no other power could dominate or the group of countries could participate in the international affairs. “India and the USSR enjoyed mutual dimensional relationship.” Justify the statement. Russia produced an average of 10.83 million barrels (1,722,000 m3) of oil per day in December 2015. Soviet economy experienced a complex communication network, vast energy resources and an efficient transport sector to connect its remotest areas. (а) The Soviet Union supported India’s positions on the Kashmir issue in the WN. Beginning in May 2005, oil from the southern sections of the Caspian Sea began pumping through a new pipeline (built by a BP-led consortium) to the Turkish seaport of Ceyhan. Lack of productivity and technology created shortage of food which increased food imports every year. What was Shock Therapy? 3. It is not completely clear whether the pursuit of Russian foreign policy objectives is the primary explanation for the actions of its energy firms. “With the disintegration of the second world, India should change its foreign policy and focus more on friendship with the US rather than with traditional friends like Russia”. There is no doubt that the fundamental changes taking place in the political and economic fabric of the Soviet Union have presented international com-panies, particularly oil companies, with many opportunities for investment The Soviet Union needs capital, and certain technologies to help it further develop its oil and gas industry. The Baltic and East European states wanted to join European Union and became the part of NATO. Just before Soviet oil production peaked in 1988 (the event walked hand in hand with a major drop in oil prices), the empire realized that it no longer had enough black gold to pay its bills. Answer:  Soviet system became so weak and Soviet economy stagnant due to the following reasons: Russia has the largest reserves and is the largest exporter of natural gas. But that 10-year slide was driven by lack of investment after the collapse of the Soviet Union. 1. Answer:  Disintegration of the USSR gave birth to Commonwealth of Independent States (CIS) when under the leadership of Boris Yeltsin Russia, Ukraine and Belarus declared themselves as independent and gave a surprise to other republics especially to central Asian Republics. (e) Berlin wall. Identify two major oil and gas producers of Soviet Union. 4. The internal weaknesses of Soviet political and economic institutions failed to meet the aspirations of the people. Answer:  In this tug of war, Gorbachev lost support on all sides and divided public opinion with the disillusionment of inadequate dependence. The Soviet system, however, became very bureaucratic and authoritarian, making life very difficult for its citizens. The Soviet Union lagged behind the West in technology, infrastructure (transport, power etc.) Identify two major oil and gas producers of Soviet Union. 2. The Russian oil industry claims to be in need of huge investments. European countries are the main consumers of Russian petroleum, yet in the future, Russia may strengthen its role in such markets as … In addition to having the world's largest proven reserves of natural gas, according to US Geological Survey estimations, Russia is also likely to have the world's largest volume of still-undiscovered natural gas: a mean probable volume of 6.7 trillion cubic meters. 5. 1. (a) Soviet invasion of Afghanistan (a) Czechoslovakia, split peacefully into two with the Czechs and Slovaks, forming independent countries. 3. 3. What is the new name of former USSR? Answer:  2. 1. This led to shortage of consumer goods and increased food import every year. “ The old system of social welfare was systematically destroyed”. Feathers, Lori Ann. Explain any two reasons for disintegration of the USSR. 1. Most dominating republic of Soviet Union. Russia and India have collaborated on various scientific projects also. Ordinary people had been alienated and were exempted from enjoying the privileges and to participate actively in political affairs. Cultural: With a post-Soviet Union record of 11.3 million barrels of oil produced per day in 2018, Russia is the world’s second largest oil producer, only behind the United States (Clemente, 2019). 3. Soviet Union’s political system. 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Croatia, Slovenia, Bosnia, Herzegovina. 2. Mention any two possibilities which were being presumed in changed scenario of world politics after disintegration of the USSR. Economic Stagnancy: In December 1991, under the leadership of Boris Yeltsin Russia, Ukraine and Baltics declared themselves as sovereign states. 1. Answer:  The rise of nationalism and the desire for sovereignty within various republics including Russia and the Baltic Republic (Estonia, Latvia and Lithuania), Ukraine, Georgia and others proved to be the most immediate cause for disintegration of the USSR. Power began to shift from centre to the republics which declared themselves independent. Which republic dominated in the USSR? Higher world oil prices, the use of Japanese technology, and the … Answer. (b) Fall of the Berlin Wall divided Germany and eight east European countries of the Soviet Bloc replaced their Communist government resulting into disintegration of Soviet Union. With reference to Shock Therapy, justify the statement. (b) The nationalist dissatisfaction with the Soviet Union was strongest in European and prosperous part in Russia and the Baltic areas as well as Ukraine and Georgia. Boris Yeltsin took the command during these events as he got popular support of people in the elections and began to shake off centralised control. Yet their theories for how great markets organize an economy contrast sharply with the planned economies of the Union of Socialist Soviet Republics (USSR) and the Soviet East. 6. The newly evolved criterion required to make a total shift to a capitalist economy to root out completely any structures evolved during Soviet period. Answer:  1. Russia and India share a vision of multipolar world order i.e. Due to slow and stifling administration, the inability of system to correct mistakes lost popular support. 3. 1. 8. What were the factors that forced Gorbachev to initiate the reforms in the USSR? 3. 2. 2. Why did he seek to reform Soviet Society? 12. 4. Yugoslavia (6). Explain six factors which helped Soviet Union becoming superpower after Second World War. Political and Administrative Causes: Soviet Union. It was based on the principle of egalitarian society and planned economy controlled by the state. This report provides an assessment of undiscovered oil and gas resources in countries of the former Soviet Union (Table 1). “The Soviet Union lagged behind the West”. NCERT Solutions For Class 12 Political Science Chapter 2 the end of bipolarity are part of the Political Science Class 12 NCERT Solutions. (c) Gorbachev worked to democratise the Soviet System. Filed Under: CBSE Tagged With: CBSE 12 Political Science, CBSE 12 Political Science The End of Bipolarity. It has a monopoly on gas pipelines in Russia. Chapter 3. 2. 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