One of the entries on my fun list of "paths to apocalypse" was "Peak Oil crisis." I've been following (loosely) the peak oil debate for some time now. If you haven’t, the issue is when will the amount of oil pulled out of the ground around the globe each month stop rising and begin to head down? And, what will the consequences of that be? (See this excellent Q&A on the subject.)
Peak oil means not only that the supply curve will turn downward (even as the demand curve keeps rising), but that all the low-hanging fruit (cheaply extractable oil) will have been plucked, leaving only reserves that (even independent of supply/demand issues) will cause prices to rise because they cost a lot more to extract. We don’t actually have to run out of oil to have big problems. When it takes more than an oil barrel’s worth of energy to get a barrel out, very little will be extracted (this is a concept known as “Energy Returned on Energy Invested”).
On consequences, pessimists point out how EVERYTHING in modern life depends on oil, from consumer products to imported goods to plastic baggies to the modern agriculture that supports our population. The optimist camp argues that the adjustment period will be gradual and give us plenty of time to adjust our lifestyles, assimilate alternative energies, etc.
The optimists also say the peak oil moment is further in the future, that we'll keep making new discoveries, and inventing new extraction technologies, so we'll have more time to adjust, and have a "soft landing."
The pessimists think it's happening soon -- like, yesterday -- and that we're in for a very rude shock. Even most of the optimists seem to say that oil production will peak between 2011 and 2020, which I’m old enough to regard as not that far away.
In 1956 a guy named M. King Hubbert predicted that domestic U.S. oil production would peak between 1965 and 1970. This prediction was widely scoffed at by the scientific community –- until, what do you know, in 1970 he turned out to be right. (Domestically, the U.S. has never produced as many barrels of oil as we did in 1970, and we haven’t produced as little oil as we now do since the 1940s.) In the same paper, Hubbert predicted that global Peak Oil would hit in “about half a century.” That would be, uh, 2006.
In addition to the U.S., production peaks have already hit in most of the rest of the world, including the North Sea, Venezuela, and China.
The main hope for a reprieve seems to be Saudi Arabia, which is the only nation that claims it still has enormous reserves. There’s just one problem. No one really knows how much oil the Saudis are sitting on. The Saudis are secretive about it and don’t permit independent scientists to study their fields, and there is apparently a fair amount of evidence that they don’t have nearly as much as they claim, and some serious political incentives for them to exaggerate. When the Saudi government took over the company Aramco in 1980, it doubled the size of the reserves it claimed to possess (which just happened to allow them to produce more under OPEC quota rules). Some say we may find out within months just how full of it (oil that is) the Saudis really are.
I hope our intel agencies aren’t spending all their time chasing potential terrorists, and are working on this question for us. (Of course, whatever they find out, probably wouldn’t do the public any good since they would inevitably keep it secret in their typical mindless fashion.)
Anyway, there’s a huge amount of discussion of Peak Oil on the Internet and in books. It seems to strike a chord in the same manner as the JFK assassination and the like. Some commentators, like James Howard Kunstler (whose book Geography of Nowhere I really admired), seem to take just a little too much satisfaction in what they think is the coming apocalypse, seeing it as an eschatological confirmation of their anti-modern aesthetic and environmental critique of American suburbia (not that I don’t agree with the critique, but I distrust the surety with which its comeuppance is predicted).
The real question is, if you think this is coming, what does an average American do about it? We’ve chosen to live in a location where we have a fair amount of freedom from dependence on our car. I’m not sure what else to do – it’s not like I can store a lifetime supply of petroleum in my garage. The bottom line is that, autonomous American individualists though we might be, we need to take action on the level of the nation, not the individual. And for the past 7 years we have done squat.
