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The Peak Energy Debate (Read 130929 times)
BigOl64
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Re: The Peak Energy Debate
Reply #75 - Jul 30th, 2010 at 1:30pm
 
perceptions_now wrote on Jul 30th, 2010 at 12:12pm:
BobH wrote on Jul 30th, 2010 at 12:27am:
perceptions_now wrote on Jul 30th, 2010 at 12:20am:
Think about this, we simplying don't have the Energy sources for 7-9 Billion people

Think about this, crude oil was waste before we refined it into kerosene and gasoline. Nothing is a resource until you know how to use it.


So Bob, thinking cap on, what are the next Energy sources, for 7-9 Billion people, once Oil & Coal run out, within 40-60 years?
 



Oil might be on it's 'last legs' but coal has a few hundred years of known and implied resource.

The only reason we would stop burning coal is because we wanted to, not because there was none left.

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Re: The Peak Energy Debate
Reply #76 - Jul 30th, 2010 at 1:50pm
 
BigOl64 wrote on Jul 30th, 2010 at 1:30pm:
perceptions_now wrote on Jul 30th, 2010 at 12:12pm:
BobH wrote on Jul 30th, 2010 at 12:27am:
perceptions_now wrote on Jul 30th, 2010 at 12:20am:
Think about this, we simplying don't have the Energy sources for 7-9 Billion people

Think about this, crude oil was waste before we refined it into kerosene and gasoline. Nothing is a resource until you know how to use it.


So Bob, thinking cap on, what are the next Energy sources, for 7-9 Billion people, once Oil & Coal run out, within 40-60 years?
 



Oil might be on it's 'last legs' but coal has a few hundred years of known and implied resource.

The only reason we would stop burning coal is because we wanted to, not because there was none left.



BigOl64,
You may be interested in the following post from July 13th.

=============
Muso/freediver,
You may be interested in the following comments, from the World Coal Institute -

"It has been estimated that there are over 847 billion tonnes of proven coal reserves worldwide. This means that there is enough coal to last us around 119 years at current rates of production. In contrast, proven oil and gas reserves are equivalent to around 46 and 63 years at current production levels."
http://www.worldcoal.org/coal/where-is-coal-found/
===========
So, what we have above is the Coal industry saying there are 119 years of Coal left, Globally.

However, as I previously mentioned, there is usually a rider to these statements, saying "at Current levels" or as they have done here " at current rates of production".

So, let's add an "acceptable" rate of growth of say 5%, which means the current usage/production doubles in 14 years, then doubles again at the end of another 14 years.

That means that the Coal Industries own figure of 119 years, suddenly becomes 40 years or less, if only 5% growth becomes reality and China is currently going along at 10% growth, with the rest of the world in a slight decline, due to the GFC.
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« Last Edit: Jul 30th, 2010 at 2:44pm by perceptions_now »  
 
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Re: The Peak Energy Debate
Reply #77 - Jul 30th, 2010 at 2:08pm
 

perception

Depends on what type of coal you are talking about, thermal or coking, I have bugger all knowledge of thermal, QLD is mostly coking coal.


Proven reserves are what we absolutely know about, then you have implied reserves, the stuff we're fairly sure about. It costs a lot of money to prove a resource, so it never gets done until it needs to.

The bowen and surat basins are friggen huge and far from fully explored and even further again from being 'proven'.

Coal has a lot of years in QLD, before we get too worried.

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Re: The Peak Energy Debate
Reply #78 - Jul 30th, 2010 at 2:51pm
 
BigOl64 wrote on Jul 30th, 2010 at 2:08pm:
perception

Depends on what type of coal you are talking about, thermal or coking, I have bugger all knowledge of thermal, QLD is mostly coking coal.


Proven reserves are what we absolutely know about, then you have implied reserves, the stuff we're fairly sure about. It costs a lot of money to prove a resource, so it never gets done until it needs to.

The bowen and surat basins are friggen huge and far from fully explored and even further again from being 'proven'.

Coal has a lot of years in QLD, before we get too worried.



The previous post I referred to, which is from the World Coal Institute, refers to -

"It has been estimated that there are over 847 billion tonnes of proven coal reserves worldwide.
This means that there is enough coal to last us around 119 years at current rates of production
. In contrast, proven oil and gas reserves are equivalent to around 46 and 63 years at current production levels."


http://www.worldcoal.org/coal/where-is-coal-found/

These are Global figures, not local, so by my figuring the planet has about 40-60 years left of real time Coal consumption and Gas & Oil have somewhat less.
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Re: The Peak Energy Debate
Reply #79 - Aug 2nd, 2010 at 10:40pm
 
Peak Oil, Zero Growth and Asset Prices: Playing with Numbers


Question: What happens to asset prices if / when Peak Oil permanently slows economic growth?
Peak Oil Theory suggests that global oil production reaches a plateau as reserves deplete and remaining oil becomes more difficult and expensive to extract. As this occurs, oil shortages are expected to increase oil prices. Many argue we witnessed this phenomenon in 2008 as oil prices hit $147/bbl sending the economy into a tailspin.

But you thought subprime mortgages were responsible for the financial crisis? Subprime and over-leverage in general was the financial transmission mechanism that derailed the global economy. However, rising gas prices helped push indebted consumers and businesses beyond their threshold for debt capacity and consumption. For example, as gas prices rose, personal economic tradeoffs between travel, discretionary spending and housing became necessary. Those who drove to work were forced to spend more on gas, so they crimped in other areas.

Research suggests that residential areas where residents had the longest commutes were the first areas to witness declines in property values. This is probably one of the best demonstrations of the link between higher energy costs and asset prices. Proponents of Peak Oil Theory expect oil prices to continue to drag on the economy into the indefinite future – the magnitude of drag depends on the sensitivity of the economy to exogenous shocks and the size of the exogenous shock. Consequently, opinions on the economic impact and timing of peak oil vary. Some predict a gradual  economic deceleration, while others predict a hard crash and GDP declines of over 20%.

Given various peak oil scenarios, what is the potential impact to asset prices?
To conduct a sensitivity analysis, I looked at the terminal value of a $100 cash flow in a valuation model.

[The terminal value of an asset is essentially its value when cash flow growth hits a steady state. For example, a company may experience high growth in its early stages, but as the company matures cash flow growth tends to align with the rate of general economic growth. On average, and over the long run, it is reasonable to expect all financial assets combined to grow at the same rate as nominal GDP.]

The point of this exercise is not to value an asset but to highlight the range of terminal values given multiple scenarios. To do this, I calculated the terminal value using continuous terminal growth rates ranging from 3.8% to -10%. Also, the discount rate is adjusted based on the severity of the terminal growth rate. Under declining growth scenarios, investors will incorporate greater risk expectations into financial asset valuations.

Note: The average historical long-term nominal earnings growth rate is 3.8% (as observed by Robert Shiller between 1874 and 2004). I consider this growth rate and an 11.5% discount rate a prudent base case.

The chart below shows the range of terminal values based on different growth and discount rate expectations. Simply going from the long run average growth rate (3.8%) to a zero-growth scenario implies a 49% haircut to asset values. If the Peak Oil Theories are correct, a 0% growth rate is quite optimistic – it essentially assumes we are able to maintain the status quo indefinitely.

Realistically, unless a substitute energy is discovered, growth is likely to turn negative. Under a negative growth scenario, the terminal value is cut by up to 81%.

...

The point of this exercise is not to point to a specific final value for any particular asset if economic growth permanently stagnates or declines. The mission of this article is to inform readers that asset prices are highly dependent on the assumption of continuous growth. If Peak Oil Theory – or any other theory that threatens mankind’s ability to grow continuously – becomes widely accepted as reality, expect asset prices to plummet.
Link -
http://www.planbeconomics.com/2010/08/01/4630/
================
And that purely relates to Peak Oil, now throw in an Aging Population, which is set to start declining in 20-30 years time, a current Debt problem where many countries are quite possibly already insolvent and then factor in a looming Climate Catastrophe in 50-100 years time.

Yep, all is fine, when's Christmas, I NEED TO CONSUME SOME MORE GOODS?
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Re: The Peak Energy Debate
Reply #80 - Aug 3rd, 2010 at 10:10pm
 
Study Warns 'Peak Coal' Could Be Just Years Away


With electricity poised to potentially replace gasoline as the fuel that powers tomorrow's automobiles, the question of where that power comes from is an important one. If the majority of the world's electricity continues to come from coal, replacing internal combustion engines with lithium ion batteries will, in essence, just mean replacing one carbon-spewing combustible with another—though most research on the subject shows that EVs are still significantly cleaner.

But a new study calls into question whether coal will still be cheapest available source of energy by the time electric vehicles start making a major dent in the auto market. Could a looming shortage force our hand in replacing coal with nuclear energy and renewables?

Twin Peaks
In recent years, peak oil theory has received a lot of attention—and not just from the commodities gurus and conspiracy theorists who have been shouting warnings from the rooftops for decades. With global energy demand rising and countries like China and India on the cusp providing the world with billions of new consumers seeking something similar to the energy-thirsty "American way of life," even the mainstream media has been known to throw the term out there from time to time. In fact, it's possible that the consensus on peak oil has shifted in the last decade from a question of "if," to one of "when."

What hasn't gotten as much attention in recent years though is the global supply of another fossil fuel that mankind relies upon to power its prosperity: Coal. About half of the electricity used in the United States comes from the burning of coal, and in other countries that number is often much higher. China relies on the fuel for more than 70 percent of its energy. But with international demand for coal expected to rise by nearly 50 percent by 2030, exactly how much of this finite resource is left to mine, and how long will it be until global production peaks?

According to a study by Tadeusz Patzek of the University of Texas and Gregory Croft of Berkeley, that day is a lot closer than anyone would imagine. Patzek and Croft are warning that after 2011, global production rates for coal will begin to decline—sinking to 1990 levels by 2037 and dropping to half of peak production by 2037. The paper also projects a corresponding decrease in emissions from coal, by an average of 2 percent per year.


Peak coal isn't a new concept by any stretch, in fact it dates back to M. King Hubbert, the founder of peak oil theory. Using the same model he correctly used to forecast the decline of American oil production back in 1956, Hubbert predicted that global coal production would reach its apex in 2150. Since then, other researchers have placed the event closer and closer to the present day, with a 2007 study by the Energy Watch Group claiming that China will only be able to sustain its production trajectory until 2015.

Natural Cap and Trade?
So does this mean that the push to limit our emissions from coal is less dire than we might have thought? Patzek and Croft seem to think so, saying that the "current focus on carbon capture and geological sequestration may be misplaced. Instead, the global community should be devoting its attention to conservation and increasing efficiency of electrical power generation from coal."

Still, most global warming experts warn that decreasing the amount of carbon that enters the atmosphere is an essential task that must be undertaken immediately if governments want to mitigate the effects of climate change. Waiting for global coal production to decline on its own might be the path of least resistance—and more satisfying to believers in the divine wisdom of the free market. But why focus on increasing the efficiency of coal when renewable energies are the only long-term solution to a looming problem that threatens to significantly alter the environment, destabilize world economies, or both?Link -
http://www.hybridcars.com/news/study-warns-peak-coal-could-be-just-years-away-28...
==============
Peak Coal 2011???
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Re: The Peak Energy Debate
Reply #81 - Aug 9th, 2010 at 7:56pm
 
Peak Oil? Yes! Peak Food? I Don’t Think So!


Earlier today, Michael C. Ruppert, former editor and publisher of the newsletter and web site From The Wilderness and currently publisher of the web site collapse.net, put a video clip called “Global and US Food Price Alert” online. I found it on Facebook and it is also on You Tube. Doubtless, it is other places as well, but these are the two places where I accessed it.

This clip, made on August 4th, is a 1:13 teaser to a longer video made available to paid Collapse.net members. You can pay ten dollars per month to be a member to see the whole thing. I am not currently a member so I have not seen the entire video. However I had a strong reaction to the part I did see, in which Ruppert stated that he saw, in a 24-36 hour news cycle, “almost an epidemic of stories from some of the biggest financial publications and news entities in the world” proclaiming that global food prices were about to “soar.” Ruppert said that after reading the stories, he came to the conclusion that “it’s quite possible we have arrived suddenly at Peak Food.”

I issued the following response on Facebook, both on my personal page and on “The End of Money” page that I founded earlier this year to promote discussion of ending monetary systems and working “for a living” as we know them today. I believe that doing those two things is the key to post-industrial prosperity:

“How do you know that the stories were not planted in the corporate media so that people would be scared into accepting the Monsanto "solution" for food crises? So often, corporations/governments create the problem e.g. 9-11, so they can propose their solution e.g. global war on terror and clamp down of dissent. And you know that so much of the media is under corporate control that the fact that so many stories came out at the same time should be a big RED flag.

I believe Peak Oil because oil is a finite resource whose decline has been measured over time. Food is not the same beast that oil is. Production levels are variable; a potato field can yield more a season after a bad harvest, whereas once an oil field is in decline, it won't produce at higher levels later on. We have ready alternatives for food production: We can go back to the organic production methods we had before WWII. No need to invent anything new.

Yes, there are places in the world that are having bad harvests and food shortages. But the overall problem globally is not production but distribution. e.g. The US takes the official position that there is no human right to food, only an opportunity to buy food.

Here is another example of why we must abolish money-based economics and the sooner the better for humanity and the rest of the planet. Why must we pay to live on the planet we're born on? Why must we be profitable to someone else, or something else, a corporation, before we can eat?

Talk to me about Peak Food when the US and UK stop wasting so much food.”

I have not read the articles that Ruppert has read, so I do not know why they predict world food prices imminently soaring. I am aware that Russia has had a bad harvest and has recently halted grain exports. This and other factors around the world may indeed lead to soaring food prices...for a while. But Peak Food? For the reasons I stated above, the very concept does not make sense.

Unfortunately, the concept of “peak” may have, for lack of a better term, “jumped the shark.” It fits in the context of oil and other finite resources such as uranium. But it makes no sense when one is talking about renewable resources such as crops. And it makes no sense when the problem is less with the supply of natural resources than with the political will to use them wisely and distribute their fruits, literally and figuratively, in an equitable manner.

So if food prices do soar, I will ask if agribusiness is behind it, as it is hell bent on things such as GMOs, chemical additives, seed patents, privatization of water resources, and any other thing it can attempt in order to monopolize the stuff of life for the purpose of profit. After all, big corporations and their government lackeys have done much already to ruin the peace, health and prosperity of billions around the world. Soaring food process would be consistent with past practice.

Link -
http://atlanticfreepress.com/news/1-/13648-peak-oil-yes-peak-food-i-dont-think-s...
===========
There are a couple of things to remember, when talking about Peak Energy & Peak Food -
1) Oil is heavily involved in agriculature in many areas, including the Fertiliser/Chemicals used, transport of the produce around the world and many other issues related to food.
2) The requirement for Growth in Food is linked to the Growth of Populations, which are already slowing and will  start to actually decline in around 2030-2040.
3) Climate Change is already impacting Food production, as indicated by such issues as the current Russian example & the Murray-Darling basin.

Exactly when Food will Peak may not yet be certain, but clearly it has already started to outstrip inflation, next comes shortages!
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Re: The Peak Energy Debate
Reply #82 - Aug 11th, 2010 at 7:37pm
 
Peak oil is the villain governments need


Using the threat of a high oil prices is a sell the public will buy into – unlike intangible arguments over climate change.

Could peak oil lever politicians out from between the rock of the electorate and the hard place that is climate change mitigation? As Daniel Gros wrote in the Guardian: "the climate-change bill, for which President Barack Obama had pushed so hard, will not even be presented to the US Senate, because it stands no chance of passage". His analysis ends with a fatalistic statement: "Determined action at the global level will become possible only when climate change is no longer some scientific prediction, but a reality that people feel … A world incapable of preventing climate change will have to live with it."


Isn't that the trouble? Climate change is a stealthy foe, hard to feel, see or identify. Unlike peak oil. So here's another question: did western administrations know that the International Energy Agency (IEA) had been consistently concealing the imminence of peak oil? One might hope our leaders would know about something as serious as this. But if they did, why is it that renewable energy replacements haven't been far higher on the agenda, for much longer and addressed with rather more conviction? This is the question George Monbiot put in a freedom of information request sent to the Department for Business in February 2008, asking for details of the government's peak oil contingency planning.


"The answer I received astonished me," he wrote in the Guardian. Hardly surprising, considering the answer: "The government does not feel the need to hold contingency plans specifically for the eventuality of crude oil supplies peaking between now and 2020." Eighteen months later, the Guardian published the IEA whistleblower story and the 2020 cover was blown. Were the government really taken in by the duplicity of the IEA? Or were they in on the act, making it difficult to appear sanguine about an imminent and permanent disruption to energy supplies?


Outside of the fossil fuel industry, it is hard to know to what extent commerce is aware of the impending crisis or the speed at which it would envelop us. Either way, industries appear to have woken up with a start, at least if the white paper, Sustainable energy security: strategic risks and opportunities for business, is a guide. Produced by Lloyd's of London and Chatham House, their assessment is sobering. They identify opportunities for the quick witted, as well as risks to the somnambulant. One statement by professor Paul Stevens in particular caught my eye: "A supply crunch appears likely around 2013 … given recent price experience, a spike in excess of $200 per barrel is not infeasible".


What effect would a barrel price of $200 have on industrial economies, should that spike be sustained for any length of time? We would witness endemic global market disruption, reductions in agricultural yield, increased transport costs for both finished goods and raw materials (true pessimists would add an oil war or two for good measure). The shockwaves would be felt everywhere, although as ever, the poor will take the brunt of it.


And yet when the price of oil shoots up, we use less – meaning we output less CO2. So let me rephrase my question: what effect would a barrel price of $200 have on the CO2 output of nations? It would certainly force a substantial reduction. It would be violent change, but that is the price of hubris. The longer we wait, the greater the cost when we finally act, when everything is rushed because the public furore can no longer be ignored. Remember the fuel protests? The UK ground to a halt in a matter of days at the behest of a few thousand protestors. Scale that up by an order of magnitude and you can see what a $200-an-oil-barrel world might look like, at least until we got used to it.


Since it will happen far sooner than any of the more serious impacts of climate change, we should abandon attempts to stop fossil fuel use because of climate change and concentrate on reducing fuel use, controlling energy prices and keeping national economies reasonably stable. That's a sell the public will buy into: the price of petrol or heating oil, the security of their jobs, the scarcity of resources – these are things the public can feel and see, and that contrarians cannot obfuscate out of ideological opposition.


Peak oil is inevitable. Something has to give, and it's consumerism. Governments know this perfectly well. What they really need is some externality, something abstract they can blame – deflecting the public wrath from the ballot box. Western governments need a villain. Oil at $200 a barrel fits the bill perfectly.
Link -
http://www.guardian.co.uk/commentisfree/cif-green/2010/aug/11/peak-oil-villain-g...
=========
Some Politicians, Economists & government officials are aware & have been for some time, whilst the majority have no idea!
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Re: The Peak Energy Debate
Reply #83 - Aug 12th, 2010 at 11:55am
 
New Perspectives on the Energy Return on (Energy) Investment (EROI) of Corn Ethanol


Conclusions
The debate over the EROI of corn ethanol has been concerned mostly with whether it is a net energy yielder. As such, the dialogue has veered away from many of the larger implications of EROI analyses. Our results indicate that the EROI of corn ethanol is statistically inseparable from one energy unit returned per energy unit invested, and it is likely that much of our ethanol production is acting as an energy sink, requiring more energy for production than that contained in the ethanol product. This conclusion was confirmed in our spatial analysis, where the average EROIRG was 0.06 lower than the average calculated from the literature.

Increasing yields is oft-touted as a way to increase the EROI of corn ethanol, but our analysis indicates that the gains in EROI are small even when the average yield from 2005 was tripled. Co-product credits, on the other hand, have a large influence on the EROI from corn ethanol. There is no consensus within the literature regarding an appropriate co-product value, and until one emerges (one way or another), we should err on the side of caution when applying credits to co-products. Finally, the analysis of ethanol production from biorefineries supports our conclusion from the spatial analysis: the EROI is too low in too many locations to make an impact on our gasoline consumption. Our best estimate is that the net energy provided from ethanol accounts for only 0.8% of the net energy provided by gasoline.

The evidence provided in this research is clear: we do not know the exact EROI of ethanol, but even if we are remotely close (± 0.2), we are still, in the best case scenario, gaining an insignificant amount of net energy. Furthermore, Hall et al. (2009) estimated that only fuels with an EROI greater than 3:1 provide the requisite net energy to provide a fuel source and to maintain the infrastructure associated with the current U.S. transportation system. Fuels that have an EROI below 3:1 require subsidies from other energy sources to pay for all of the infrastructure associated with the transportation system of the US. The EROI of corn ethanol that we calculated is lower than the 3:1 threshold, indicating that corn ethanol requires large subsidies from the general fossil fuel economy, and as a result, drains energy from the US transportation system.
Link -
http://netenergy.theoildrum.com/node/6761
==============
I prefer EROEI - Energy Return On Energy Invested!

That said, whichever way you look at Ethanol, it is a waste of time, effort & resources.

The Energy return on Energy Invested is far too low and it also takes up far too much productive agricultural land away from the production of FOOD for human consumption.
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Re: The Peak Energy Debate
Reply #84 - Aug 12th, 2010 at 11:58am
 
That's corn ethanol - and yes, we know that already. Ethanol derived from sugar cane is an entirely different prospect.

As far as I know, there is no debate on corn ethanol. It's a bad idea.

(so is ethanol derived from natural gas, but that's even worse)

If you want a viable alternative to corn ethanol, look at cellulosic ethanol.

Here in Australia, we primarily use sugar cane anyway, but if we can use the entire cane crop including the cellulosic  portion, we'd be on a winner.
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« Last Edit: Aug 12th, 2010 at 12:06pm by muso »  

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Re: The Peak Energy Debate
Reply #85 - Aug 12th, 2010 at 12:05pm
 
muso wrote on Aug 12th, 2010 at 11:58am:
That's corn ethanol - and yes, we know that already. Ethanol derived from sugar cane is an entirely different prospect.

As far as I know, there is no debate on corn ethanol. It's a bad idea.

(so is ethanol derived from natural gas, but that's even worse)


Agreed, although even the sugar based Ethanol return is not all that great, compared to what we have had.
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Re: The Peak Energy Debate
Reply #86 - Aug 12th, 2010 at 12:17pm
 
Book Review - Energy Transitions: History, Requirements, Prospects


The discussion about our energy supply is full of extremely optimistic expectations. There are many people who believe that full replacement of fossil with renewable energy sources in an extremely short time span is possible. Such ideas have been publicly voiced in Al Gore’s call for 100% renewable energy in the United States within 10 years, and Jacobson & Delucchi’s plan to power 100 percent of the planet with renewable by 2030 published in Scientific American.
Their optimism stems from ignoring the inherent gradual nature of energy transitions and the quality differences between energy sources.

Both issues are described in Vaclav Smil’s new book, Energy Transitions: History, Requirements, Prospects. Vaclav Smil, a Professor at the University of Manitoba, has been writing about energy for more than two decades. This book is written in his usual clear descriptive style. He has an eye for detail as he quantifies many historical amounts, providing a much needed reality check for any energy transition scenario under consideration. He concludes that energy transitions are a generations-long process. To increase the likelihood of success of the coming energy transition, it would be wise for affluent nations to introduce policy targets to reduce absolute energy usage per capita.

“The scale of the coming energy transition is best illustrated by comparing the future demand for non-fossil fuels and primary electricity with the past demand for fossil energies that were needed to complete the epochal shift from biomass to coal and hydrocarbons.

By the late 1890s, when the share of biomass energies slipped just below 50% of the world’s total primary energy supply, less than 20 ExaJoules (EJ) of additional fossil fuel supply were needed to substitute all of the remaining biomass energy consumption.

By 2010 the global use of fossil energies runs at the annual rate of roughly 400 EJ, which means that the need for new non-fossil energy supply to displace coal and hydrocarbons is 20 times greater in overall energy terms than was the need for fossil energies during the 1890s.”

"Globally, coal began to supply more than 5% of all fuel energies around 1840, more than 10% in the early 1850s, more than a quarter of the total by the late 1870s, and one half by the beginning of the twentieth century…”

Vaclav Smil concludes his book with advice that a shift away from fossil fuels is a generations-long process.

“The inertia of existing massive and expensive energy infrastructures and prime movers and the time and capital investment needed for putting in place new convertors and new networks make it inevitable that the primary energy supply of most modern nations will contain a significant component of fossil fuels for decades to come.”

Therefore, from Smil’s perspective, hoping for rapid technological development and increasingly better conversion efficiencies is insufficient. He believes that a precondition for a successful transition from fossil fuels is that all affluent nations take steps to reduce fossil fuel consumption, through conservation and increased energy efficiently. In this way, the amount of replacement fuel can be reduced.

“Difficult as it would be, reducing the energy use would be much more rewarding than deploying dubious energy conversions operating with marginal energy returns (fermentation of liquids from energy crops being an excellent example), sequestering the emissions of CO2 (now seen as the best future choice by some industries), and making exaggerated claims for non-fossil electricity production (both in terms of their near-term contributions and eventual market shares). Or hoping for an early success of highly unconventional renewable conversions (jet stream winds, ocean thermal differences, deep geothermal). After all, a dedicated but entirely realistic pursuit of this goal could result in reductions on the order of 10% of the total primary energy consumption in a single generation, an achievement whose multiple benefits could not be matched by the opposite effort to increase the overall energy use.

Affluent countries should thus replace their traditional pursuit of higher energy output and increased conversion efficiency with a new approach that would combine aggressively improved efficiency of energy conversion with decreasing rates of per capita energy use. This combination would be the best enabler of the unfolding energy transition. Until we get such history-changing conversions as reliable, inexpensive PV cells generating electricity with 50% efficiency or genetically engineered bacteria exuding billions of liters of kerosene, it is the best way to ensure that new renewables will come as close to displacing fossil fuels as is economically advantageous and environmentally acceptable”

Link -
http://europe.theoildrum.com/node/6828
===========
The transition will take place, for various reasons, but will it be voluntary and will it be planned?
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Re: The Peak Energy Debate
Reply #87 - Aug 12th, 2010 at 9:03pm
 
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Re: The Peak Energy Debate
Reply #88 - Aug 14th, 2010 at 7:28pm
 
PEAK OIL? I cant believe its oil!


Product DescriptionI can’t believe it’s oil!
uses include: deodorants, petroleum jelly, moisturizers, rubbing alcohol, soaps, heart valves, antiseptics, hearing aids, nasal decongestants, antihistamines, moisturizers, Bactine, vaporizers, latex gloves, bandages, allergy medications, aspirin, burn lotions, insect repellents, anesthetics, artificial limbs, cough syrup, cologne, dentures, stethoscopes, syringes, glycerin, cortisone, cosmetics, dentures, vitamins
Link -
http://heinzduthel.com/2010/08/14/peak-oil-i-cant-believe-its-oil/
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And, that's only a very small amount of Products that incorporate the use of Oil.
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perceptions_now
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Australian Politics

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Perth  WA
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Re: The Peak Energy Debate
Reply #89 - Aug 16th, 2010 at 11:58am
 
Oil prices fall amid recovery concerns


World oil prices fell for the fourth consecutive day on Friday, holding under $US76 amid stubborn concerns over the global economic recovery despite upbeat growth data in Europe.

New York's main contract, light sweet crude for September, fell 35 US cents to $US75.39, wrapping up a drop of more than $US6 in four days.

On Friday, the Organization of Oil Exporting Countries (OPEC) revised upwards its world oil demand growth estimate for 2010 to 1.2 per cent.

"Given stabilised oil demand in the US, the world oil demand growth forecast is revised up by 0.1 million barrels per day (bpd) to show growth of 1.05 million bpd or 1.2 per cent," the cartel said in its monthly report.

Total demand for 2010 was now expected to reach 85.5 million bpd, up from 84.46 million bpd in 2009.

OPEC warned, however, that a slower economy in the second half of the year, caused by a phasing out of fiscal stimulus, would likely affect demand.
Link -
http://news.smh.com.au/breaking-news-business/oil-prices-fall-amid-recovery-conc...
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The above article is suggesting that Oil Demand may rise slightly in 2010, but a slowing world economy may mean that Demand may lessen, if the Economy falls away, as stimulus programs phase out?

So, as a result of all that uncertainty the price of Oil has recently fallen!

Q. Could there be another, more direct reason?

A. The vast majority of Oil contracts, are actually priced in US$'s, so as the US$ rises & falls, so to does the price of Oil.

For example -
On July 17th the US$ index was 82.56 & Oil was $76.01.
On August 6th the US$ index had fallen to 80.32 & Oil had risen to $80.70.
Today the US$ index is back to 82.92 & Oil has dropped to $75.39.

...

In fact, the recent appreciation in the US$ value is highlighted by the above chart, which shows the US$ index (US$ against a basket of currencies) rising last week from an 80.267 low on Monday, to a 82.952 high on Friday.

Whilst it may well be that the US$ appreciation was caused by concerns over the state of the US & Global Economy translating into a "flight to quality", which is the historical reputation that the US$ has, it is the direct link between the US$ and Oil contracts that saw the immediate fall in Oil pricing, not a possible future decline in Oil usage!

That said, it could also come to pass, that Oil Demand may fall significantly if the Global Economy plunges into a serious slowdown.
But, it is also possible that US Debt may force a serious re-evaluation of the US$ status as "the international currency" and the resulting depreciation in the US$ could see a dramatic rise in the price of Oil, even whilst Demand was falling significantly.
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