over the barrel of peak oil

Monday, October 23, 2006

grasping at straws

Over $100 million has been spent on Proposition 87 on California's ballot, a large sum. Bill Clinton and Al Gore have been featured in ads favoring the cause. One such ad states:
Imagine if we can stop being dependent on foreign oil. Brazil did it.
They made a simple change to their cars. Switched to ethanol, grown from their own crops.
If Brazil could do it, so could California.
Mr. Clinton promulgates similar themes with his Global Initiative, a recent meeting of which was critiqued thusly in TNR.

How true are the above claims? I've looked at them before, in Brazil and ethanol and ethanol, the panacea. Recently, Robert Rapier, at The Oil Drum, points out:
Brazil’s energy independence miracle was 10% ethanol and 90% domestic crude oil production.
This is astonishing and at such great odds with the basic pro-87 premise, especially when one considers that:
  • Brazilian ethanol is also subsidized by government
  • Enriching the well-connected
  • Sugar cane grown in a tropical clime captures much more solar energy than anything in California and
  • The environmental destruction is great
Tad Patzek of U.C. Berkeley also seriously doubts the pro-87 hype. Mr. Patzek took part in an ezine discussion about ethanol about which he comments:
My 1-hour working meeting with Mr. Khosla was *not* a debate. We both tried to establish points of mutual agreement and disagreement. While certainly there was agreement on several key issues, there was also significant, one might say fundamental, disagreement on biofuels. I find the biofuel focus of Proposition 87 to be inconsistent with the very survival of life diversity and key ecosystems on the Earth and, consequently, I do not favor Proposition 87.
Scientific American this year devotes its September special focus issue, as with part of last, to Energy's Future - Beyond Carbon. Again the emphasis is on global warming rather than fossil fuel depletion. Daniel M. Kammen (a Berkeley professor like Mr. Patzek) is author of the article, The Rise of Renewable Energy, in which he writes:
When all the inputs and outputs were correctly factored in, we found that ethanol has a positive net energy...
Mr. Patzek would strongly dispute that contention and others by Mr. Kammen.

Update (06-11-09): California Proposition 87 was defeated 55% to 45%. Also, from an analyst local to my area,
Ethanol experiment goes off track.

Update (07-1-2): Scientific American publishes article
Is Ethanol for the Long Haul?
summarized thus. The author, Matthew L. Wald, is a reporter for the N.Y. Times; puzzlingly, his scientific credentials are not listed in Sciam. Here's another article of his on the subject.


Tuesday, October 03, 2006

what elephant?


Banksy's L.A. living room


myopia writ large

One month does not a civilization make. What part of the word 'finite' do the pundits not understand? Here's more cornucopia from Newsweek. Mr. Maugeri writes:
Suddenly the alarmists who foresaw an imminent era of oil scarcity are silent
Not me.
As this bleak scenario gained acceptance, it became easy to assume that the price of oil would defy the laws of gravity and break the barrier of $100 per barrel.
Appealing to the laws of physics, now that's a first.
But a bit farther out, between roughly 2010 and 2012, there is a good chance that supply trends will overtake demand, raising spare production capacity to a range between 7 to 10 percent of demand.
Methinks we've heard that before. Higher prices lead to more investment lead to more oil, nevermind geology. Mr. Maugeri concludes with more gobbledygook:
..., contrary to all the scare scenarios, ... China's oil-consumption growth has the potential to ease substantially, while in most industrial countries consumption growth is approaching zero and may start to drop.
and
One thing is certain: if prices should drop significantly before the investments now underway reach the point of no return, they could come to a screeching halt, precipitating another price spike.

Newsweek also presents an article on Big Oil's malaise, two factors being:
the maturing of old reserves and more and more risky exploration projects
Left unspecified are which reserves have matured and how significant a role they play in the global oil picture. Could those include the venerable Saudi fields?

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