Chris made a really good comment to my last post, that subsidies, if used well, could help solve the energy problems. One example he gave was that they could be used to shift biomass production away from corn to other more efficient sources of green. He wrapped up his email by referencing a line from my previous post:
"be ready to fight over the last available scraps" I am not going to touch this one.
- Chris.
I responded with the following:
Hey, another Upside:
There are 260 million trucks and cars in the US. If we repurpose our cropland (all of it and more) to grow biomass to run all those vehicles, it will have a dramatic impact on the amount of corn available for food production.
Less Doritos = Goodbye obesity epidemic!
Okay, I'll turn the sarcasm off....
... As for subsidies, the concern I have about them is that they tend to skew the markets; I can't think of a single example of where this has not happened. Ethanol subsidies started life in the 70's as a way to develop alternative fuels and wean the US off imported oil. Thirty years later, that hasn't happened and now the Ethanol lobby is an entrenched group looking to preserve their supports and expand the legalized graft.
To take that a step further, nobody TODAY can say with any level of certainty what the solution 20 years from now will be. So, by subsidizing one industry, science, or solution over another, we may be picking a lame horse (as was done with Ethanol 30 years ago). I may be a bit unrealistic in what I see as the ideal situation, as to make it work we'd have to see the subsidies eliminated across the board (those that go to oil and coal producers, as well as new energy solutions). By doing this, and enabling the market to set prices for energy at their real cost, the most efficient solutions would more easily become evident. This may seem counter to out intuition, especially after the $10/barrl of oil days of the 90s, but as the price of energy becomes more volatile the markets will begin to work their magic.
Eliminating the subsidies altogether does NOT mean we stop using government funds to address the problem. Basic research will be necessary, and would have to be supported at universities and research centers. Environmental regulations that effectively address the challenges of our warming planet will need to be developed and enforced. I hope some money can be spent on a modern, efficient mass transit system (Train Grand Vitesse).
AS for my fighting over the scraps comment... (Will I be able to keep this short??) I know this is a really, really sensitive topic, but one that really hasn't been honestly faced in public discourse. Everyone (and I mean EVERYONE) wants to more or less preserve the status quo. But, it's kind of like Jeff's comment last weekend about the Suburban landscape in VA... Everyone wants a 3,000 foot McMansion, and then they put up picket signs "Say No to the power lines". We can't have our cake, and eat it, too.
Wars are always about one of two things: Cultural superiority, and/or resources. There are six billion people on this planet. A LOT of them, including the ones living in China, Indonesia, Iran, and India have access to satellite TV. They watch CNN. They get MTV and The Home Shopping Network. They see what we have, and can compare it to what they don't.... To paraphrase UVM Political Science professor Frank Bryan (ink:
http://www.uvm.edu/~fbryan/) "They're on to us, folks!" Are we willing to share with them?
Look around your town; Look at your own family & friends; Then ask yourself: How many of your neighbors, co-workers, family, or friends are willing to share on a global scale? How many are willing to live in a 1200 square foot home with only one bathroom? How many are willing to share one car per household? How many are willing to do without the weekly excursions to Wal-Mart? I've thought about this, and the answer I always get is: "Not many." Not even among my most globally- and environmentally aware friends. And the truth is, to share resources equitably on a global scale would require MUCH more dramatic steps than the 3 I mentioned above... Now, what is the alternative?
The oil and resource wars have already started. Take a look at the genocidal conflicts that are raging across sub-Saharan Africa. There are a LOT of people fighting over "not enough"... Not enough water. Not enough arable land. Not enough food or medicine. Eventually, the fighting will die down, but not until there are a lot less people. These conflicts are exacerbated by the dramatic rise in oil prices; They have effectively been priced out of the oil market, and the local economies are forced to contract to match that new reality. I may have no idea what I am talking about, but I think we are seeing in a microcosm what kind of convulsions a post-oil economy MAY experience.
Everything about our culture and society today revolves around an oil-based economy. If that oil spigot is turned off too quickly, what happens to our economy? What happens to the economy when the price of a barrel spikes to $200? What about $300? How will you make nitrogen-based fertilizer in enough quantity to grow all that biomass when the Canadian gas fields don't generate enough to heat New York City? What happens if it all happens really, really fast?
To exacerbate the challenge, it won't just happen here. At the same time, China will see energy costs spike. India will too. And THEN, you will see a mad dash for all those scraps... Just to buy our economies, our societies, our CULTURES a little more time.
If we HAVE reached peak oil, (and we'll only know for sure in hindsight), then we have about 30- 40 years left to solve this challenge before things get really interesting.
I hope we have more time. I hope we can develop and deploy alternative energy solutions before the global crisis gets really nasty.
SPT