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I think there is a serious misconception about so-called "peak oil" --
we are not "running out of oil", but rather that demand is outrunning
supply of cheap oil and/or that increasing demand can not be matched by
increased supply (see Chavez's comments.) As a shorthand, we are
running out of *cheap oil*. This has two consequences. One, that new
supplies of energy have a lower net energy output (e.g. conventional
light oil produces 10 to 20 bbls of oil output per barrel of oil
equivalent input. Synthetic crude from the tar sands requires one bbl
of oil equivalent of energy for every two bbls of output.) Second , of
course is that this energy is much more expensive whether it is in the
form of oil or of other energy sources such as coal which, not only is
more expensive and has a lower net energy output, but is also much more
polluting (and a major addition to global warming gases) and can't be
used for that most important use in the developed world --
transportation, either car/truck or airplanes. It is fairly easy to see how the end of cheap oil can be used as an organizing tool IMHO -- just look at the protests, truckers strikes, collapse of airlines, car parts manufacturers, etc. which is a byproduct of rising energy prices, or the political furor over rising pump prices or home heating costs (natural gas has risen 400 per cent in Canada). Today, the Bank of Canada raised its interest rate to combat 'inflation' caused by rising energy costs. When rising transportation costs and production costs in China start to be incorporated into retail prices at Walmart, to maintain Walmarts profits, and real wages continue to fall, I think there will be a real opportunity to organize. The market will ration oil use through rising prices and thereby enforce conservation -- but on the backs of the workers. It seems to me that if we ignore this issue and don't explain it to the public so they see where the ultimate responsibility lies and understand that the capitalist system only makes the problem intractable, or if we deny the problem, we are courting disaster on a very large scale. Paul Phillips Carrol Cox wrote: Jim Devine wrote: |
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