Ronald Bailey | July 29, 2008
On July 17, Nobelist and Academy Award winner Al Gore issued a stirring challenge to our nation to produce 100 percent of our electricity from renewable energy and carbon-free sources within 10 years. Gore asserted, "The quickest, cheapest and best way to start using all this renewable energy is in the production of electricity. In fact, we can start right now using solar power, wind power and geothermal power to make electricity for our homes and businesses." This massive push for no-carbon electricity production would help prevent climate change and cut our dependence on foreign oil. Of course, great-souled visionaries such as Gore do not concern themselves with piddling and mundane issues such as who will pay for this marvelous no-carbon energy future and how much it will cost. Not being burdened with a great soul, I decided to don my green eyeshade and make a preliminary stab at figuring out how much Gore's scheme might cost us.
According to the Energy Information Administration, the existing capacity of U.S. coal, gas, and oil generating plants totals around 850,000 megawatts. So how much would it cost to replace those facilities with solar electric power? Let's use the recent announcement of a 280-megawatt thermal solar power plant in Arizona for $1 billion as the starting point for an admittedly rough calculation. Combined with a molten salt heat storage systems, solar thermal might be able to provide base load power. Crunching the numbers (850,000 megawatts/280 megawatts x $1 billion) produces a total capital cost of just over $3 trillion over the next ten years.
What about wind power? Oilman T. Boone Pickens is building the world's biggest wind energy project with an installed capacity of 4,000 megawatts at a cost of $10 billion, or about $2.5 billion per 1,000 megawatts. For purposes of illustration, this implies a total cost of around $2.1 trillion over the next ten years to replace current carbon-emitting electricity generation capacity with wind power. That's assuming that the wind projects generate electricity at their rated capacity at or near 100 percent of the time. Making the heroic assumption that in fact wind projects will generate power at about one-third of their rated capacity (due to wind variability), this would imply tripling the number of wind power generators. This boosts the total overall cost to more than $6 trillion over the next ten years.
What's the potential for geothermal electricity generation? Geothermal power taps the heat of the Earth itself to make steam to drive turbines to generate electricity. For instance, superhot water erupting from the Geysers in northern California fuel power plants with a generation capacity of 725 megawatts. But such geothermal sites are relatively rare. However, an unconventional geothermal source—hot dry rocks—might supply us with no-carbon electricity. In lots of places, rocks several kilometers down are quite hot. To get at this heat, engineers drill at least two boreholes and inject cool water in one. The injected water flows around fractured hot rocks and rises through the other borehole as steam to drive a turbine to generate electricity. Some very preliminary figures suggest that it would cost around $3 billion for build a 1000 megawatt geothermal plant. Replacing 850 gigawatts of carbon-emitting power generation capacity with geothermal electricity would cost around $2.5 trillion over ten years.
Curiously, nowhere does the "N-word"—nuclear—appear in Gore's speech. Currently, 104 nuclear power plants generate about 20 percent of America's electricity. Once a nuclear plant is up and running, it is essentially carbon-free. Westinghouse claims that it can build a third generation 1,000 megawatt nuclear power plant for around $1.4 billion. Assuming this estimate is right, all U.S. carbon-emitting electricity generation plants could be replaced with nuclear power at a cost of about $1.2 trillion by 2018.
One other issue: Just how does using renewable sources of energy to generate electricity free us from dependence on foreign oil when only a tiny bit of crude is burned to produce electricity? The vast majority of petroleum is turned into transportation fuels, while home heating accounts for around two percent of total U.S. petroleum consumption. The answer, evidently, is a vehicle fleet powered by electricity. Although Gore doesn't dwell on it, he does mention that we should help "our struggling auto giants switch to the manufacture of plug-in electric cars."
In 2006, a U.S. Department of Energy study concluded that if 84 percent of all cars and light trucks were plug in hybrid electric vehicles (PHEVs), fueling them would not require any additional electric generation capacity. The study assumes that the PHEVs would travel an average of 33 miles per day solely on electric power and could be charged using off-peak power at night. PHEVs would cost between $6,000 and $10,000 more than conventional cars. Such a PHEV fleet could reduce oil consumption by 6.5 million barrels per day, or approximately 52 percent of our oil imports.
While the capital costs for current versions of renewable no-carbon electricity generation are high, one big advantage is that their fuel costs are low to non-existent. Gore is also probably right that the prices for renewable energy production technologies will fall in the future. However, his proposed crash program would put an immediate steep upward price pressure on the commodities—steel, concrete, silicon, copper—that go into building energy infrastructure. All of the rough calculations above are for generating capacity alone and do not include the costs of a $1 trillion smart grid upgrade for our creaky electric power distribution system. And does Gore plan to compensate the shareholders of conventional power generation companies when their assets are forcibly scrapped?
As a very rough low estimate, Gore's 10-year no-carbon energy plan would cost about $300 billion per year for the next ten years. According to the Brattle Group consultancy, "new and replacement generating plants will cost about $560 billon through 2030, absent a significant expansion of energy efficiency programs or new climate initiatives." That comes to an average of about $25 billion per year over the next 22 years. Gore's proposal is a "new climate initiative" that aims to spend twelve times more than the utility industry would otherwise annually invest in new and replacement generating capacity. Gore explicitly likens his scheme to NASA's Apollo program, but reaching the moon cost only $150 billion (in current dollars) spent over eight years. In other words, getting to the moon cost half of what Gore wants to spend annually to realize his no-carbon energy vision.
"Of course there are those who will tell us this can't be done," warned Gore. I am not one of those people. I am sure it can be done. But before embarking on his "generational challenge to re-power America," I would like the former vice-president to sketch out a few more details on how it's going to be paid for and who's going to be stuck with the bill. Without those answers, Gore's bold challenge amounts to little more than hot air.
Ronald Bailey is reason's science correspondent. His book Liberation Biology: The Scientific and Moral Case for the Biotech Revolution is now available from Prometheus Books.
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Al Gore recently challenged America to produce 100 percent
renewable carbon-free energy in ten years.
We have it now. It shines from the sky and powers the wind and the
sea.
Can't Mr. Gore move on?
Now, about that organic renewable automobile fuel that has a little
carbon in it . . .
Or it could cost
$6B to build a nuke plant. Not to mention the subsidized
disposal costs.
Nuclear power (check that, almost all new power installations)
remain a pipedream in our NIMBY dominated culture.
There is no financial will to do anything about GW. But that
doesn't stop people from
passing dumb-ass referendums stating we have to do
something.
Solar and wind both have the same problems.They do not produce in a constant flow and they need large areas of land.The up keep is also quite costly.When the grid is at peak you can't make the sun shine longer or brighter or the wind blow harder or at all.
I've said this a couple other places.
The biggest stumbling block to the various Al Gore / T Boone
Pickens / DOE-AEP 20% wind energy plans that nobody is considering
is the opposition to new and/or enhanced high voltage power lines
that will be necessary in regions that are to become net exporters
of electricity.
If earth's internal temperature were to rise, what would happen
to its skin?
If the sun's external temperature were to rise, what happens to its
kin?
If the atmosphere is clogged with particles and traps us all
within,
will our exhaust and collective farts smother life,
or create pimples on Gaia's chin?
Gore's goal is, of course, laughably unobtainable, but there a
few more cost factors to consider.
Environmentalists will fight much of this, increasing costs and
delaying everything for years. They'll fight against solar power to
protect deserts. They'll fight against new power lines. They'll
oppose wind power for the sake of the birds or because it might
spoil some rich liberal's view. They already want to tear down
hydroelectric dams for the sake of rivers. Etc.
Regarding plug-in electric vehicles, one huge problem is that the
ideal place for them (cities) are the very places it's hard to plug
them in. There are many car owners without garages, and creating
curbside charging spots would be hugely expensive.
"little more than hot air"! Ha, ha! Ha, ha! When you try to be funny, Ron, you're about as funny as Al Gore! Was that the point? The rest of the article was great.
Guy Montag,
Solar power isn't carbon-free...from the Sun's Wikipedia
article:
Photospheric composition (by mass)
Hydrogen 73.46 %[8]
Helium 24.85 %
Oxygen 0.77 %
Carbon 0.29 %
Iron 0.16 %
Sulfur 0.12 %
Neon 0.12 %
Nitrogen 0.09 %
Silicon 0.07 %
Magnesium 0.05 %
Ot,
Solar power isn't carbon-free...
Oh yea, forgot about that. And neither are those wind
turbines.
So, I say again, Move On Al Gore and leave us alone, k?
I do love these articles. They remind me that I need to save my nickles and add about 200 HP to the 1972 Charger so it can be a real hybrid.
The estimates that Bailey comes up with are a bit more than the Iraq war has cost.
Regarding plug-in electric vehicles, one huge problem is
that the ideal place for them (cities) are the very places it's
hard to plug them in. There are many car owners without garages,
and creating curbside charging spots would be hugely
expensive.
In addition to these obvious logistical problems which would
require massive infrastructure work and expense, this claim that
the need for recharging hundreds of millions of automobiles every
night doesn't require additional electrical generating capacity is
deceptive at best.
It might not require new plants, but it will require the generation
of significantly more electricity. The "off-peak" hours will be
burning at a much higher rate than they are now.
Hopefully, controllable, containable fusion will be up and
operational within the next 40-50 years and make a lot of this
moot. The U.S. should be funding the ITER project a lot more than
we are right now.
In addition to these obvious logistical problems which would
require massive infrastructure work and expense, this claim that
the need for recharging hundreds of millions of automobiles every
night doesn't require additional electrical generating capacity is
deceptive at best.
Power to the people!
All we need to do is install electrical outlets one every lamp
post.
See, that is every bit a bright idea as anything Mr. Gore has
ofered.
Science Correspondent Ronald Bailey has two questions: How
much will it cost? And who'll be footing the bill?
I've a third. Is it possible? I've an answer as well. No way in
Hell.
They remind me that I need to save my nickles and add about
200 HP to the 1972 Charger so it can be a real hybrid.
Hmm. I didn't know adding nitrous made it a hybrid.
Gore is no Berliner. He doesn't have a sexy wife who looks good in pillbox hats, and he's not the president. His power stops at the receiving end of an awards banquet. Shallow people adore him. Working people, well, work. His decrees are impotent.
What would it take to have him committed? Or at the very least, charged with conspiracy to defraud?
Papaya and Mike M,
I don't know that many people who have gas pumps where they park
their cars at night, yet somehow they manage.
RCD,
Hmm. I didn't know adding nitrous made it a hybrid.
BAH! None of that stuff for me. There is no replacement for
displacement.
A total of 400 HP should put it in "burns gas and rubber"
range.
I don't know that many people who have gas pumps where they
park their cars at night, yet somehow they manage.
So, you have some method of pumping electrons into ions that is as
fast as a standard fuel station pump?
I don't know that many people who have gas pumps where they park their cars at night, yet somehow they manage.
Now your non-sequiturs in the other thread suddenly make sense.
I don't know that many people who have gas pumps where they
park their cars at night, yet somehow they manage.
Congratulations, because this is the stupidest comment I've read in
weeks.
Com on you guys! That is some of the best envirofundie logic I have heard all day.
Can you come up with $3,000,000,000,000 carbon-free? That's a lot of trees to plant.
All right, I hadn't considered the time it takes to charge. No
need to get snippy about it. But I think you're overestimating the
difficulty of delivering curbside electricity. It would be an
intense undertaking, but if the demand were there it would be
feasible.
Now your non-sequiturs in the other thread suddenly make
sense.
You mean the one where you said the feds would stand idly by and
watch a state or region secede?
Mike M. wrote, "Hopefully, controllable, containable fusion will
be up and operational within the next 40-50 years and make a lot of
this moot. The U.S. should be funding the ITER project a lot more
than we are right now."
Then again, considerably less money invested in Polywell reactor
fusion (hundreds of billions of dollars, vs. ITER's multi-billions)
might yield much more satisfying benefits:
http://cosmiclog.msnbc.msn.com/archive/2008/06/12/1136887.aspx
Or we could just attach a turbine to Al Gore's mouth. There's
got to be enough hot air coming out of that hole to power the whole
country.
Ba-dump-dump.
Capital cost is nice, but we need $/MW including capital,
life-cycle, replacement, and environmental costs (mining/storing
uranium, battery/heavy metals disposal) including GWG emissions
associated with each.
Seems to me like geothermal and wind stack up better if full costs
are allocated.
T. Boone Pickens - one greedy sum bitch, God love 'em.
You mean the one where you said the feds would stand idly by and watch a state or region secede?
Yeah. The one where you implied an armed invasion would necessarily
follow a declaration of independence by the elected government of a
state. Past performance is no predictor of future results, and the
circumstances under which a state would secede today would be very
different from the south prior to the Civil WarWar of
Northern Aggression. Lincoln was a tyrant in many ways that Dubya
could only dream of.
# Guy Montag | July 29, 2008, 4:21pm | #
## I don't know that many people who
## have gas pumps where they park their
## cars at night, yet somehow they manage.
# So, you have some method of pumping
# electrons into ions that is as fast
# as a standard fuel station pump?
Many who have grappled with the fundamental physics of the problem
have concluded that the wiser idea would be to establish "service
stations" that could swap depleted batteries for fully-charged
ones. The model would be the very ubiquitous and practical
distribution network for propane tanks.
EVs or Plug-in hybrids would have to be designed to use standard
battery modules, whose condition could be checked and verified by
both the persons using and the persons recharging them. Energy
system controllers in these cars would need to be able to
accommodate multiple modules of various quality and charge state,
and discharge them one after another, so that you could "top off
the tank" by replacing only two or three modules in five minutes or
so, or get a complete "fill up" by replacing them all at once (for
instance, during a long-haul trip).
This is all very doable, and would obviate the need to establish a
pervasive, expensive "quick-charging" infrastructure that involved
high voltages and large currents, which are tricky to handle
safely, even when you know how.
From everything I am seeing, it seems as if we can expect durable,
relatively light-weight (high energy-to-weight ratio), high
capacity batteries in just a few years: the products of perhaps
several of many now-ongoing R&D projects. Already, Toshiba is
marketing first-generation products from such a project, and has
declared their intention to keep increasing capacity and reducing
cost until it is possible to assemble a high-capacity,
cost-effective energy storage system for an EV, which should
provide gasoline-like vehicle range (300-400 miles per full, 8-hour
"regular-speed" recharge, maybe more) and last the reasonable
lifetime of the vehicle. At that point, the need for "quick-charge"
facilities will dwindle to minimum. So the "battery swap" stations
can likewise gradually fade away, having provided an easily retired
temporary solution to a temporary problem. Even once the batteries
are light, cheap, long-lived, and high-capacity, however, the swap
approach and reliance on modular, standard battery packs in EV
design would still be good as a way to deal with problems of
vehicle maintenance, repair, and upgrade. So going the
modular-battery and swap-charge station route would provide
cascading, ongoing benefits for minimal cost and economic risk,
whereas replacement of gasoline service stations with "quick
charge" electrical substations would very likely yield a nationwide
network of very expensive "white elephants."
Entrepreneur Shai Agassi has embraced the battery-swap paradigm for
EVs and is trying to promote it via his project "Project Better
Place." Renault-Nissan has apparently been a Project collaborator,
which is encouraging, as a major auto manufacturer will be biased
toward designing for standardized modules, which is key.
http://www.betterplace.com/
Yes, it is going to be expensive, but there is a way to pay for
it, or at least most of it. This is something for which I have been
calling for years, and to me, it seems stupidly simple and a
beautiful compromise between left and right:
Step 1: Drill, drill, drill. There are TENS OF BILLIONS of barrels
of oil in ANWR and the restricted off-shore areas. Keep sure that
we put the screws to whichever oil companies we hire to drill OUR
oil. They were profitably drilling in those areas 10 years ago at
$15/barrel. Even allowing for inflation, there is no reason they
should be getting more than $25/barrel to drill, and the rest of
the $100+ windfall should go to us. What is tens of billions times
$100? Trillions.
2: Use EVERY DROP of that money to fund renewable energy and mass
transit infrastructure, related R&D, etc.
In other words, use the profits from the medium-term mitigation
strategy to solve the long-term problem (there is no short-term
solution).
All we need to do is install electrical outlets one every
lamp post.
Parking meters make more sense, because it would probably be easy
to design one that could deliver a set amount of (amps? joules?
btus? what's the proper measurement?) for the price of depositing a
token.
The costs Ron quotes in this excellent article are in the $ 1 - 3 trillion dollar range. A lot of money, no doubt: on the other hand, we have spent $ 1 trillion in Iraq in a mis-guided hope of securing oil for our future, and are anticipate to spend $ 1 - 2 trillion more to get out of Iraq. We fail to account for the externalities of imported oil: maintaining our military to secure this oil is one of those externalities. I found the numbers quoted in this article quite encouraging - perhaps Al is right after all !
Past performance is no predictor of future
results
It's not a guarantee of future results, you mean, if
you're quoting the disclaimer from the mutual fund commercials.
Even so, past experience is useful in predicting future
events.
Seriously, you just keep saying that the federal govt doesn't have
to react the same way to future secessions. They have to react
somehow, and you've failed to give any plausible alternatives for
how they would react.
But I think you're overestimating the difficulty of
delivering curbside electricity.
Typically city dwellers would charge their cars while they were
parked in parking garages during work.
Just saying.
Or battery swap stations could be used (see above) or quick
capacitor charging solutions may make electricity stations feasible
at some point.
Many who have grappled with the fundamental physics of the
problem have concluded that the wiser idea would be to establish
"service stations" that could swap depleted batteries for
fully-charged ones. The model would be the very ubiquitous and
practical distribution network for propane tanks.
You must not have owned many cars. If you think for a minute that
car manufacturers will standardize a common part to allow
inter-brand usage, then I'll have some of what you're having.
There are lots of common parts among cars, e.g. the common
car battery.
And car dealerships will not likely want to play the part of a
Service Station of batteries anyway; it's logistical headache which
has little to do with selling more cars.
Lampost/parking meter chargers could also be a valuable base
revenue source for cities.
Step 1: Drill, drill, drill. There are TENS OF BILLIONS of
barrels of oil in ANWR and the restricted off-shore areas. Keep
sure that we put the screws to whichever oil companies we hire to
drill OUR oil. They were profitably drilling in those areas 10
years ago at $15/barrel. Even allowing for inflation, there is no
reason they should be getting more than $25/barrel to drill, and
the rest of the $100+ windfall should go to us. What is tens of
billions times $100? Trillions.
First off, prices don't work that way. The oil industry isn't just
establishing a standard of cost and laughing at you for paying
"more than you should", prices are set by much larger market
forces. Production & storage costs, drilling expenses, dealing
with incredibly unstable middle eastern & south american
governments... If we open up ANWR and other oil options, then of
course some of those costs: shipping, transporting, dealing with
crazy governments, wars, etc. are going to go down... BUT... that
will mean that we pay less at the pump (assuming it's in the
various oil & gas companies' interest to get competitive with
prices to encourage customers to buy from them instead of an
alternative company). And as for your assertion that the oil is
"our" oil as a nation... well... if we respect private property
rights (which we absolutely should), then the oil ISN'T "ours", but
whoever owns the property that that resource is found on.
And MORE to the point... the oil industry at large may deal in
gigantic numbers, but their actual profit margin (8-10% typically)
hardly qualifies as a "windfall". Compared to say the 90% that
software developers enjoy.
But ya know what companies DO with large profits?
RESEARCH AND DEVELOPMENT!! (And give bonuses to their investors,
their employees, expand their business and invest in more wealth
generating assets).
Sooo yeah. Bad call Chad.
2: Use EVERY DROP of that money to fund renewable energy and
mass transit infrastructure, related R&D, etc.
And WHO, precisely decides what renewable energy gets funded, what
makes you think that mass transit is actually viable or wanted, and
who oversees what the appropriate distribution of these "windfall"
profits should be?
Sounds like a job for 1st Emperor of the Moon, Al Gore to
me...
Wait...
no... I think I'd prefer a system where property rights are more
tightly respected, more competition is allowed and the companies
who *know* energy are in a more actionable position to meet demand
to safe-guard their companies' futures. In the meantime... the
public keeps clamoring for more environmentally friendly energy AND
people who care (like, I'm sure yourself and many others on this
board) invest in companies with renewable energy research
goals.
How's that sound?
Oh yeah... and start building some damn nuclear plants.
Neu Mejican...
I have lived in New York City, and now live in Los Angeles. And I
know very, very few people who park their cars in garages at
work.
I park on the street or in lots, and the few people who do actually
"park" their cars in the city in NYC do lots or the multi-level
quasi-garages that have lifts with valets. Not exactly
viable...
And btw, what about taxi cabs? Those guys are going to charge their
cabs where exactly? On the side of the street in Long Island City
where those guys live?
There are lots of common parts among cars, e.g. the common
car battery.
Wrong. The battery itself is a common technology, but nearly every
car requires a different size and amperage and then some have top
terminals and others have side terminals. There might be some cross
compatability just through dumb luck, but the battery for your 4
cylinder econo-box is going to struggle mightly to start a larger
6-banger SUV with more options.
There is common technology between auto mfrs, but each and every
one implements its differently and uniquely. You can't take a fuel
tank off a Toyota and put it in a Ford.
And car dealerships will not likely want to play the part of a
Service Station of batteries anyway; it's logistical headache which
has little to do with selling more cars.
Car dealerships already do play service station. It's the bulk of
their profit margin, after selling parts for their models that
is.
We have it now. It shines from the sky and powers the wind
and the sea.
Gore thinks it shines out of his ass.
John-David, you would measure in watt-hours or KW/Hrs at the
output of the parking meter.
I see a day coming when no one leaves an outdoor outlet live and
unmetered. But early electric car adopters will be cashing in on
all the free energy people foolishly leave lying around. Car
running low? Unplug that pop machine.
You must not have owned many cars. If you think for a minute
that car manufacturers will standardize a common part to allow
inter-brand usage, then I'll have some of what you're
having.
They did it for PC's.
Those that did not (IBM w/ their PS-2 Micro-Channel line, Mac for
most of it's existence) wound up not doing so well with their
proprietary architecture.
because it would probably be easy to design one that could
deliver a set amount of (amps? joules? btus? what's the proper
measurement?)
Amp-Hours (A-h), a unit of energy dimensionally the same as
Joules.
And JW, a general trend in manufacturing is to try to get away from uniquely designed parts and try to use more spec parts, to reduce costs.
Amp-Hours (A-h), a unit of energy dimensionally the same as
Joules.
Whoops. A-h is a unit of charge, dimensionally equivalent to the
coulomb.
It is, however, the most common measure of battery capacity.
i'm commenting as an outsider (non-US and not living in the
US).
in the UK they calculated that the government had spent more than 3
trillion pounds (6 trillion USD) on creating a society that is
car-dependent since the end of WWII (roads etc).
we all know how much money is spent on military efforts by all
governments to save our freedom - way more over the past 10 years
than the author purports creating a renewable energy economy in the
US over the next 10 years.
sitting back and waiting for technology to miraculously save us is
not good enough - we all have to make drastic changes
we should embrace Al Gore's challenge, globally, and wean ourselves
off the petrol addiction we have managed to create over the past
short 120 years or so, or we'll surely kill any future we have as
remaining a viable species on this planet.
WHY IS THIS SO HARD TO UNDERSTAND?
Sean W. Malone,
I have lived in New York City, and now live in Los Angeles. And
I know very, very few people who park their cars in garages at
work.
I have lived in NYC also, and I think most people who live in the
city get to work by some means other than their car (who are the
idiots with cars in living in NYC anyway?) Those who drive in from
the suburbs have a garage at home for charging it up...but have to
park somewhere while in the city.
I think among those that drive to work, the number of people who
opt for sidewalk parking is smaller than those who store their cars
in a garages/lots/or your "quasi-garages." Those that offered
plug-in while you park would quickly out-perform those that didn't.
Hence, it isn't a real issue to get the infra-structure up and
running.
Now things are different in LA.
Parking garages and lots still account for a big chunk of available
parking, but as a more car friendly city, there is a lot more
street parking. And, of course, "only nobody's walk in LA."
Anywho...not really a big challenge. Even with our current electric
generation modalities, a fully plug-in electric gets the equivalent
of about 100 to 200 mpg. So it is worth the switch to electric cars
no matter what.
As for Ron's article.
He seems to assume that we would replace our current infrastructure
with a monolithic replacement.
Replacing fossil fuel with solar cost this much...replacing fossil
fuel with geothermal cost this much...
When, of course, we will replace the centralized, monolithic system
we have with a more decentralized, multi-source system.
Geothermal where it works, wave where it works, wind where it
works, nuclear where none of the others work...
Wind and solar have the feature that they can produce power on-site
pretty easily. If you factory has a solar power plant, a nice
benefit they can offer their workers is charging up the car while
it is parked in the lot at work.
What this all means is that Ron's back of the napkin math is
certainly wrong.
First off, prices don't work that way. The oil industry isn't
just establishing a standard of cost and laughing at you for paying
"more than you should", prices are set by much larger market
forces.
Where did I claim that market forces were not setting the price?
The reality is, the price IS $125/barrel, and will in all
likelyhood be as high or higher as we drill the oil offshore and in
ANWR. Even if it dropped, the oil industry can drill this oil at a
fair ROI for a tiny fraction of the value of this oil. This IS our
oil, on public lands. We would be absolutely stupid to sell it for
anything less than the most we can get for it. Indeed, it would be
gross negligence on the part of any government official who did
anything less. Before the current price run-up, many governments
(ours included) were stupid and sold oil rights for far less than
they were worth, resulting in the huge windfalls that the oil
companies were now making. Now, the Russians, Arabs, Venezualans,
etc are driving hard bargains...and so should we.
Profit margins are nice little statistical oddity but are
meaningless to the debate. ROI is what matters, and the ROI that
the oil companies have gotten on their oil-rights purchasing are
astronomical. We made bad deals, they won. That is no reason to
repeat the mistake in the future.
And no, oil companies aren't investing much at all in R&D or
capital...most are buying back their stock instead.
I can't believe you want to sell OUR oil cheap to the oil
companies, so they can continue to make absurd profits....all so
that they might spend a little bit on something useful. Are you
insane?
And WHO, precisely decides what renewable energy gets funded,
what makes you think that mass transit is actually viable or
wanted, and who oversees what the appropriate distribution of these
"windfall" profits should be?
Geese, sounds like what we hire politicians to do, now doesn't it?
As for choosing which R&D to fund, there is no reason the
normal agencies for funding research, such as DOD, NSF, NIST, etc
wouldn't be appropriate. There are plenty of ways to use
market-based mechanisms (carbon taxes, cap-and-trade, etc) to
"choose" which things get produced in an economically-sensible
way.
no... I think I'd prefer a system where property rights are
more tightly respected
Great! I DEMAND that you keep your freaking CO2 off my property. Go
carbon neutral immediately or expect a letter from my
attorney.
As long as CO2-emitters get a free-public-garbage-dumb subsidy, the
market cannot work. This is like, oh, chapter 2 of your Econ101
textbook. I am sure you made it that far, right?
Oh yeah... and start building some damn nuclear
plants.
Strange, you are so worried about just WHO would pick which
technology wins, and now you are doing it? Nuclear is more
expensive than wind, with far more downsides and hidden subsidies.
Why bother?
In a no-subsidies market, nuclear and coal cannot win. Why are you
afraid to test this theory out?
Wave Power seems to have been unmentioned by Ron Bailey. I
wonder how that compares.
Also ignored has the 'resource' of expanded efficiency
efforts...which have been lauded by the greens as our best
renewable resource.
John-David, you would measure in watt-hours or KW/Hrs at the
output of the parking meter.
Once we build this new infrastructure, can we all please agree to
stop measuring energy in watt-hours or kilowatt*hours? Otherwise
I'm going to start measuring distances in
(mile-per-hour)-hours.
"Typically city dwellers would charge their cars while they were
parked in parking garages during work."
Who do you expect to be paying for the electricity under that
scenario?
Watt-hours is the correct unit if you want to measure energy
consumption. Measuring amps only gives half the picture. No problem
if voltage is always the same, but in a distribution system it
isn't going to be. There will always be voltage drop along the line
and differences in voltage due to infrastructure.
Would the cord lock in place? Besides firearms, what's to prevent
somebody from unplugging your car when you are not looking and
plugging theirs in?
Alright cbmclean, what's with your watt-hour bigotry? What did the
watt-hour ever do to you anyway? Would you prefer a
watt-second?
Great! I DEMAND that you keep your freaking CO2 off my
property. Go carbon neutral immediately or expect a letter from my
attorney.
Then prove your damages. Part of property rights means that you
generally have to suffer some kind of problem to file a complaint.
Can you prove that?
Ohh... no... you can't.
In a no-subsidies market, nuclear and coal cannot win. Why are
you afraid to test this theory out?
I'm not afraid to test it out - I would choose nuclear over wind
any day of the week... not coal, but certainly nuclear - as
Bailey's article actually talks about it's far less expensive per
mWh. I guess you missed that part though.
And thanks for the straw-man btw. I never said "subsidize" or
"force" nuclear.
$125/barrel, and will in all likelyhood be as high or higher as
we drill the oil offshore and in ANWR.
Right... because lower political risk for companies, lower physical
risk to company employees, increased supply and lower storage &
shipping costs (what with the not shipping the crude halfway around
the world to reach customers).... doesn't??? lead to lower
prices??
What market operates that way. Market forces are going to CHANGE if
you open up more drilling. Risks decrease, and competition will
inevitably lower the price like it does for everything else.
And btw... profit margin IS pretty crucial to this argument - and
many oil companise, notably Shell & BP are sinking billions
into R&D, perhaps you missed that too.
When you have a low profit margin, you don't have quite as much
(relatively) to work with.
In fact, if you care, I expound on this and other points as to why
a "windfall profits" tax is retarded in my blog last week:
http://www.sean-malone.com/2008/07/windfall-profits-taxes-and-why-barbara.html
Major point there in addition to what I've already said - any tax
on a business comes directly back to the consumer...
Annnyway... I welcome the letter from your attorney because maybe
we can get the ball rolling on establishing REAL damages (as
opposed to the imagined ones in Al Gore's head) to individuals from
CO2 emissions. Or wait... did we determine conclusively that the
earth's moderate warming trend is officially catastrophic?
Hmmm...
we should embrace Al Gore's challenge, globally, and wean
ourselves off the petrol addiction we have managed to create over
the past short 120 years or so, or we'll surely kill any future we
have as remaining a viable species on this planet.
WHY IS THIS SO HARD TO UNDERSTAND?
Because..... your extraordinary claims have no extraordinary
supporting evidence? What's so hard to understand about that?
*Let's assume that the Earth is warming to a significant degree.
(Not much debate there)
*Let's assume that it's man-made. (Still some debate on this
point)
*Let's assume that it's the human release of CO2 into the
atmosphere that is the major cause. (Still some debate there too,
considering humanity barely produces enough CO2 to account for even
3% of the total found in the air...)
Ok... based on all those assumptions, some questions for you:
1. How do we know that the earth's temperature increase is
catastrophic, much less even harmful? (Last major warming period
caused unprecedented growth of the plant and animal life...)
2. How do we know it's correctable by reducing CO2 emissions - or
any of the other methods Gore suggests?
3. How do we justify forcing lifestyle changes on people who aren't
overtly harming anyone? Especially if you can't answer questions 1
& 2...
4. IF you can determine that governmental force is appropriate to
make this change. You still have to answer the question Bailey put
out in the first place: How do you pay for it?? The costs in his
article were extremely conservative and didn't even include the
infrastructure change you'd have to make.
Just some stuff to consider before waving your finger at other
people for being reluctant to fuck up their economies and standard
of living so haphazardly.
I think I'll wait for private individuals & corporations to
develop the tech thanks... What about that is so hard to
understand?
ok seriously... I swear I closed the italics on both the last two posts. Sorry about the text guys.
hmmm
get your tags in order please.
Anyway, the Earth Policy Institute believes we can reach 200
Gigawatts of installed baseload round-the-clock capacity of Solar
Thermal plants in the US by 2020. Or about a fifth of the
Gore-Goal.
http://gristmill.grist.org/story/2008/7/28/122640/513
Sean W. Malone | July 30, 2008, 12:09am | #
Then prove your damages. Part of property rights means that you
generally have to suffer some kind of problem to file a complaint.
Can you prove that?
I will just refer you to the most recent IPCC report, which has
conclued that you are very likely to be the source the
damages. This is well beyond the level of certainty required by
tort law. Boy, that took all of 30 seconds....got a tough
question?
I'm not afraid to test it out - I would choose nuclear over
wind any day of the week... not coal, but certainly nuclear - as
Bailey's article actually talks about it's far less expensive per
mWh. I guess you missed that part though.
A number of plans for nuclear plants have been abandoned recently
because the capital costs have gotten out of control....and that is
with all the hidden subsidies. New nuclear is DOA now, but should
not be banned as long as the nuke-plant builders can insure
themselves and demonstrate an ability to store their garbage safely
for the relevant time frames without government help.
What market operates that way. Market forces are going to
CHANGE if you open up more drilling. Risks decrease, and
competition will inevitably lower the price like it does for
everything else.
Yes, and increases in demand will easily out-strip this new supply.
It seems you forgot half of the whole "supply and demand"
concept.
And btw... profit margin IS pretty crucial to this argument -
and many oil companise, notably Shell & BP are sinking billions
into R&D, perhaps you missed that too.
Relative to the size of their organizations, it is chump change.
Again, margins are trivia and cannot be used to do anything other
than measure how a business is changing over time or compare it
with very similar competitors. Profits are what matter, and you can
have businesses with 90% margins while losing money, and business
with just a few percent margin drowing in cash. Oil companies are
an example of the latter.
In fact, if you care, I expound on this and other points as to
why a "windfall profits" tax is retarded in my blog last
week:
http://www.sean-malone.com/2008/07/windfall-profits-taxes-and-why-barbara.html
I have no called for a windfall profit tax in any way. I have
called for them to never be given another windfall again. It is OUR
oil, we should keep the money.
did we determine conclusively that the earth's moderate warming
trend is officially catastrophic? Hmmm...
1. How do we know that the earth's temperature increase is
catastrophic, much less even harmful? (Last major warming period
caused unprecedented growth of the plant and animal
life...)
Here is where you are truly wrong. If global warming had just a 1%
chance of being catastrophic, that could justify action. Or, if it
had a 25% chance of being very bad, but zero chance of being
catastrophic, that could also justify action. All that matters is
that the net probability indicates that it is a negative...and this
is overwhelmingly the case.
2. How do we know it's correctable by reducing CO2 emissions -
or any of the other methods Gore suggests?
19th-century physics.
They did it for PC's.
And the response there is, "Yeah, so?" Computers aren't cars, other
than being a commodity.
And JW, a general trend in manufacturing is to try to get away
from uniquely designed parts and try to use more spec parts, to
reduce costs.
This is true, but that is only within a company, not across
manufacturers. Ford is big on this, but I seriously doubt they're
going to start talking to Hyundai about how to make things more
standard bewteen their companies.
Anywho...not really a big challenge. Even with our current
electric generation modalities, a fully plug-in electric gets the
equivalent of about 100 to 200 mpg. So it is worth the switch to
electric cars no matter what.
Not if electric cars don't have the same day-to-day utility as a
conventional car does. Everyone keeps raving about "Smart" cars and
I couldn't think of a car I need less. Great if you are a single,
childless city dweller, but beyond that, fairly useless to the bulk
of the population.
"Al Gore recently challenged America to produce 100 percent
renewable carbon-free energy in ten years. Science Correspondent
Ronald Bailey has two questions: How much will it cost? And who'll
be footing the bill?"
I only have one question:
Why should we do anything based on what Al Gore says?
Let's see some actual proof that we need to do anything at all in
the first place.
No one on earth is capable of actually proving that man-made global
warming exists at all.
"I will just refer you to the most recent IPCC report..."
Which is a political document and does not constitute proof of
anything.
They did it for PC's.
Those that did not (IBM w/ their PS-2 Micro-Channel line, Mac for
most of it's existence) wound up not doing so well with their
proprietary architecture.
To expand on this further, yes, there is a considerable amount of
standardization wthiin the x86/x64 architecture, but that has it's
limitations.
You can't plug an AMD CPU into an Intel mobo and vice-versa. DDR3
RAM won't fit in a DDR memory socket. Even then, DDR2 memory for an
Asus mobo won't necessarily have the same voltage as will a FIC
mobo of a different chipset and probably won't work. Even within
the same company, different CPUs have different power and pin-out
requirements and can't be interchanged.
Does your BIOS support that CPU? Will that 250-watt power supply
work in your quad-core system? Sorry, but that SLI video card setup
won't work on this motherboard; you need another PCI-e slot. Bridge
ATI and Nvidia cards? Take that mobo from an HP system and install
into a Dell, even if they are the same spec? Fugendaboudit.
Then there is the proprietary paranoia of Apple, which won't even
allow their OS to be virtualized, let alone installed outright, on
any hardware platform other than their own.
So, even when there is a system of standardization, that's no
guarantee of interoperability. Swapping car batteries won't be
simply asking for regular or hi-test.
Parking meters make more sense, because it would probably be
easy to design one that could deliver a set amount of (amps?
joules? btus? what's the proper measurement?) for the price of
depositing a token.
Actually, I was kidding. I hope you are too. Something I have
noticed from the "just add outlets" crowd is that they typically
don't know or ignore the fact that a bunch of wiring is required
behind outlets.
For the wave power commentor, let's try this. Add wave power gear
to an oil platform and see which one produces more energy? My guess
is that the natural gas burnoff from the rig contains more energy
than the wave action hitting the rig.
For you folks who think there is/will be standardization in vehicle
manufacture? HA!
Some things get standardized when, say, Ford buys Astin Martin, but
not a great lot of things. Yes, it was worse years ago (speaking as
a veteran of a MOPAR restoration project), but not seeing it as
much worse. I guess a good example would be the old Jeep Wagoneer.
Lots of interchangable parts from year to year, some interchangable
parts with Ford/GM when AMC was using competators parts too, but
good luck in swapping that hood with anything else.
LEAP - LOCALIZED ENERGY ADVANCEMENT PLAN
(1) Southern California Edison (SCE) is leasing commercial rooftops
and installing solar panels on them to feed the local grid in
Riverside and San Bernardino Counties. This is the very best bang
for the buck. Look at the advantages: No land is used. No
transmission lines need to be built. No waiting 4 to 5 years to
build them. No power loss to transmit electricity long distances to
where it is consumed. The power is fed directly into neighborhood
grids. No need to shell out big bucks to upgrade the National Grid
which would drive your electric bill higher. Take every city where
there is enough cost effective sunshine, and do the same. Cover all
commercial rooftops with solar panels. Then do schools, colleges,
hospitals, government buildings, and residential rooftops, either
leased by the local power company or installed by the owner. This
is LOCALIZED electric power generation.
(2) Pass a "Uniform Net Metering Act" to guarantee that anyone
generating surplus electric power will be paid at least the going
wholesale rate for it by local power companies. Some power
companies already have variations of net metering, but many do not.
The impact will be that solar, wind, biogas to electric, and other
home and business power systems will be installed larger than they
need to be, thus adding peak load and generating surplus power to
the local grid and also creating quarterly revenue for the private
owner.
(3) Massive installation of solar roof panels on plug-in hybrids
and electric vehicles, cars and trucks, including long haul trailer
roofs. Theses would interface with localized V2G parking systems
that would either charge the vehicle or produce peak load power for
the grid while parked. The vehicle owners local electric power
account would be electronically debited or credited accordingly.
Solar roofed vehicles in mass, parked in the sun all day long,
would generate a sizeable amount of peak load power, which would
generate energy credits or even revenue for the vehicle owner. This
combined with the rapid development of next generation translucent
solarvoltaic window panels and entire vehicle bodies covered with
hi-tech solar paint, with long haul trailers generating a
significant amount of solar power. Again, no land or transmission
lines needed and no National Grid needed. (Cost per mile: ELECTRIC
way is cheaper: 7 to 1 over gasoline and 7 to 2 over natural gas as
auto fuel.)
(4) Advanced, super-organized recycling systems to channel all
local organic waste from homes, commercial buildings, restaurants,
institutions, government offices, agricultural, food processing,
wood working, building industry, municipal sewage and landfill,
etc. into forms of localized energy production, such as biogas
methane. With the fuel burned as natural gas for the local grid,
and the exhaust and the nitrogen-phosphorous liquid effluent
mitigated and fed to adjacent Algae production systems. With the
oil in the algae made into locally produced biodeisel; the
byproduct algae starch made into locally consumed ethanol; and the
protein made into locally consumed animal feeds.
(5) The mitigation and exploitation of all sources of sewage and
manure from septic systems, dairy farms, poultry, and livestock
operations into biogas digesters producing methane to generate
electric power for local grids and surplus regional transmission.
With the effluent again being used to feed adjacent algae
production for additional power, liquid fuels, or animal
feed.
(6) The mitigation and exploitation of all existing fossil fuel and
biomass burn power plants by the cycling of CO2 rich exhaust to
feed adjacent algae production, with the potential to co-fire all
or part of the algae as onsite power plant fuel, in the form of
combustible ultrasound fractionated oil-rich algae slurry, to
replace a portion of the conventional fuel being consumed by the
power plants.
(7) The mitigation and exploitation of all existing corn ethanol
refineries, by leveraging the waste products of CO2, waste heat,
waste water effluent, natural gas exhaust (or other onsite
exhaust), to feed adjacent algae production: To create feedstock
for biodeisel, providing localized fuel for agriculture. To
generate biogas to replace natural gas or to replace whatever fuel
was being used for plant production power. To cogenerate electric
power for the local grid. Thereby generating additional waste heat
for the algae. With the option to produce additional ethanol from
algae starch, and or high protein algae animal feed, to parallel
and enhance the existing distillers grains market. These algae
products, produced in whatever proportion would be advantageous to
supply local and regional markets.
Again, the emphasis is on localized electric power production,
localized liquid fuel production, and localized animal feed
production, mitigating and exploiting waste products into value
added algae based fuels and feeds.
(8) Consistent long term tax credits for renewables such as solar,
wind, wave, geothermal, biomass and biogas to electric, and
hydrogen and clean fuels to electric, etc.
(9) Fast Tracking the award winning clean burning multi-fueled
GREEN REVOLUTION ENGINE. This engine can burn any liquid or gaseous
fuel, including hydrous ethanol, powdered biomass, and ultrasound
fractionated oil-rich algae slurry (with any exhaust recycled to
grow more algae).
(10) Fast Tracking hydrogen on demand water splitting, onboard the
moving vehicle, using Ultrasound and or Pulsed Width Modulation
current, generated by conventional vehicle electric systems and
vehicle solar roof panels. QuantumSphere recently announced a
breakthrough that increases hydrogen gas output in electrolysis
systems by 300%, at 85% efficiency.
(11) Fast Tracking the ultra clean GEET Fuel Processor that runs
existing internal combustion engines and gensets on vaporized
mixtures of 75% water and any combustible fuel. This includes oil
rich ultrasound fractionated algae slurry and powdered biomass
slurry. Search: GEET Fuel Processor. Search: BingoFuel (one
word).
Not if electric cars don't have the same day-to-day utility
as a conventional car does.
I reasonable observation, but, of course, an electric car can be
made so as to be indistinguishable from your gas-powered car in
terms of utility (just as large, just as fast, etc...)... except
for the power source...
Range is currently an issue but is not unsolvable...(see above). Of
course, plug-in hybrids don't have the range restriction at
all.
The point you missed is that the new fuelless power sources will pay for themselves over time by eliminating fuel costs. Both coal and Uranium prices are rising dramatically. The saved fuel will pay for the cost of building the plants.
I see this as the old story about a frog in a pot of water. If
you throw a frog into a pot of boiling water it will jump out. If
you slowly heat the water up it will never jump out and eventually
die.
So its obvious that if you replace all the energy plant in the US
would cost an amazing amount of money, but then our electrical
energy would not be effected by coal/gas/oil/etc. markets.
Now some say coal should stay since the US has a bunch, but like
oil its a global commodity and the price will rise as demand grows
(China, India, etc).
Plus if you look into previous technologies, such as sulfur
scrubbers (helps to prevent coal plants from producing acid rain)
they were every expensive to start. But once the government
demanded them to be installed, the price dropped 90% in less than 8
years.
If we invest in both the infrastructure and know-how, the world
will come to the US to buy this technology. Which is better than
waiting till China or Europe invent better technology and we buy
from them... losing even more money.
For the wave power commentor, let's try this. Add wave power
gear to an oil platform and see which one produces more energy? My
guess is that the natural gas burnoff from the rig contains more
energy than the wave action hitting the rig.
So why not capture both the wave energy and the energy from the
natural gas burnoff?
Wave energy basics...
http://ocsenergy.anl.gov/guide/wave/index.cfm
The Westinghouse claim of $1400/KW is wildly out of line with
current and projected costs for nuclear power. Costs have recently
been around $4000-6000/KW and observers including MIT are now
saying $8000/KW.
http://www.salon.com/news/feature/2008/06/02/nuclear_power_price/index.html
has an excellent review of the economics.
False premises lead to wrong conclusions.
More on nuclear costs
http://www.democracynow.org/2008/7/16/amory_lovins_expanding_nuclear_power_makes
Wonder how many will dismiss the information because the interview
is from Democracy Now! ?
Chad... The IPCC report is a series of PREDICTIONS (based on
often poorly gathered and incomplete data I might add...
http://www.surfacestations.org/) , so I'm pretty sure that - no -
it's not really going to be enough to prove damages.
It'd be like me saying, "There's a statistical likelihood of me
being hit by a car at some point between now and the end of my
life" and then suing you for owning an automobile. And actually,
it's not like that, because the statistics on car accidents are far
better understood, the data gathered far more accurately and there
are only a small number of factors that one has to
consider...
Yah, I don't think you passed the test there.
You can't even prove that there's malicious intent and thus sue
someone else for threatening harm... since I'm not saying something
like "I know that my CO2 emissions are going to destroy the earth
and I'm going to do it anyway just to screw with you".
I also am pretty greatly annoyed with your use of the term "our"
oil, btw. If you want to look at it that way... cool... that means
government maintains control of all oilfields and I suppose just
leases it out to various companies (inviting alllll sorts of
corruption and monopolizing). However, in either case, when you
don't let a company keep the profits they make on their investment,
I'm not exactly sure why that company would be in business or do
what you want them to in the first place.
There are really a lot of holes in your thinking...
My car has a bumper sticker "This Vehicle is Solar
Powered".
Of course...the petroleum in the tank is releasing energy at a much
higher rate than the solar energy was absorbed to create it...but
that's just one of those pesky details that the nay-sayers are so
enamoured with.
The TRUTH will set you free!
I love comparisons to the moon landing. Throwing money at a
project of dubious benefit...the results of which were somewhat
successful but of so little value that after only a few efforts we
abandoned the whole thing.
Or did we do it to beat the Ruskies...I forget.
Kurt,
Love that sticker!
I was planning to use a "Go Green" right below the C8H18 license
plate on the green Charger, if I ever get to finish that
project.
I reasonable observation, but, of course, an electric car
can be made so as to be indistinguishable from your gas-powered car
in terms of utility (just as large, just as fast, etc...)... except
for the power source...
Fine by me. That's 100% torque at 0 RPM. I likee!
But, like the solar boys and their economical electrical
generation, the practical and affordable electric car is just
around the corner. For 30 years and counting.
If we invest in both the infrastructure and know-how, the
world will come to the US to buy this technology.
This is the engineer's mantra: There's no reason why we can't do
this today.
I prefer the cold, harsh reality that "investment" doesn't mean
anything unless there is a practical and economic reason for the
average person to use it. Investment could also mean sinking
billions/trillions of $$$ into a dead-end technology, but being
afraid to abandon it from all the sunk costs or for political
considerations **cough** ethanol **cough**.
I prefer that the early adopters absorb all the beta problems and
opportunity costs for me (suck it 2007 iPhone buyers!). Saves much
time and money in the long run.
If there were only a away we could gauge the potential
effectiveness of an unsubsidized technology by seeing how well the
public adopts it...if only....
But, like the solar boys and their economical electrical
generation, the practical and affordable electric car is just
around the corner. For 30 years and counting.
Yea, but Big Detroit keeps destroying the dream. Along with the 100
MPG carb. and 100 MPG EFI and water powered cars and . . .
JW,
I wonder why China is not banging on our doors for all of this
"clean coal" technology that has been imposed on our coal burning
facilities for decades?
Heard some politician complaining that "we should be exporting
clean coal technology to China instead of [x y or z]".
I suspect that China buys what it wants, but that's just me, you
know, Mr. Free Market and all where the buyer calls the tune.
Addressing the actual article, this seems to be a reasonable and
thoughtful assessment of what are undoubtedly huge costs associated
with implementing the "Repower America" plan proposed by Gore. It
sure seems expensive.
But I suspect that the costs are far greater than estimated here,
in some respects. This analysis uses a perfectly reasonable
approach to estimating cost, which is to assume that all other
things remain the same.
That some variables don't vary is a necessary assumption in most
economic analysis, but it results in inherently inaccurate
outcomes. Things change; predicting how is an even more slippery
slope.
For example, if oil prices were to continue their current
trajectory, many aspects of cost would change. For example
manufacturing and installing new transmission lines would become
more expensive. One way or the other we would paying for the social
and political costs to several large segments of the population,
and the businesses that support them (e.g. coal, and perhaps auto).
And so on.
Likewise, other costs are possibly over-estimated due to potential
benefits being realized during the course of the
implementation.
So this is a reasonable first order analysis of costs.
The conslusion, implementing such a plan would be outrageously
costly. I salute the author for taking a stab at costs, based on
the very thin plan as presented by Mr. Gore.
But now, let's consider the cost of inaction. This is an equally
incalculable problem.
As has been pointed out more than several times in the comments so
far, it's quite difficult to predict what, exactly, would happen if
we took the position that climate change was either something that
doesn't exist, or perhaps the more reasonable position that while
it may exist, there's nothing we can do to affect it.
So let's say climate change is not in play.
In this case, the main problem is our dependence on oil (right?). I
am aware of only one immediate solution to this problem, already
being deployed, which is to decide to use less of it. Consumption
is down about 7% in the last few months. I am sure we can find a
few more ways to conserve.
By all means, let's drill as much as we can get, and be happy that
prices are going up to a point where formerly uneconomical means of
getting oil become cost-effective. We should be able to shift more
load to coal. Ethanol, and various hydrogen technologies are
nascent, but not there yet, but are coming. Heck, even wind and
solar power may help a little if Boone Pickens has his way.
So what are the costs of a "forget about climate change" scenario?
Certainly a lot less in infrastructure. But we still need to invest
a lot to get ourselves out of our current oil bind.
But climate change or not, I think all of this cost analysis fails
to account for something important: when inspired (or cornered) the
will of people to make change happen, regardless of the cost, seems
almost limitless.
After 9/11, we were and still are willing to sink a good deal of
money into several wars. Without arguing their merits, it was
clearly the will of our leaders and the people who followed that
managed to find the huge sums of money needed to fund those
efforts. The argument in such cases are that we simply cannot
afford not to spend the money.
In the case of the wars, and particularly the Iraq war, the threat,
and more important the means to address it, was also very abstract,
as are our issues with climate change and energy today. The 9/11
attack had the advantage of making the abstract problems we had
been ignoring for many years far more concrete, and certainly
immediate.
(I do wonder how much we would have spent if the attacks had been
thwarted).
Many have argued that we should have paid more attention to the
obvious reality of terrorism for the 10 or 15 years prior to 9/11.
But we didn't, because it wasn't the will of our leaders and
therefore of the people. It was still abstract.
So back to costs. If we are attacked, we change our lives as needed
to defend ourselves. If a hurricane wipes out a city, we do our
best to respond. If fires burn, we fight them. In crisis, we figure
out how to respond.
Like it or not, some people believe that climate change is real.
Some people believe that we need to figure out how to reduce our
dependence on foreign energy.
Some, including myself, believe that there is adequate evidence to
consider these problems a crisis. These people (and I) could be
wrong.
This could be some conspiracy of the left (or perhaps right). We
could be getting duped. This could be mass hysteria, or the kind of
group-think that lead to the rise of Hitler and Stalin. Or, it
could just be the result of a process that we're beginning to
understand with greater clarity using our wits and reason.
So what if these people whining about climate change and so on are
not wrong? What if there is a crisis, and we have a chance to do
something about it? Why would a plan that unifies the country
around a mission that has a chance of success at solving oe large
part of the problem be so laughable?
Would the plan not launch several new industries? An outcome of the
equally laughable "man on the moon" 10-year plan was a great deal
of progress in computers (and, of course Tang).
There are certainly other options than the plan Gore presented.
Many are more based in reason than in the emotional call Gore made
to rally the will of the people.
I doubt many of the group reading this will respond to the
emotional call; there are more reasonable, rational, measurable
solutions, to be sure.
But I do think it is arguable that there's some reasonable
concurrence of opinion that our oil woes, and climate change are
both real. Even if the facts are murky, the world is also driven by
opinion and beliefs. Reason does not dictate that we ignore the
possibly irrational behaviors of humanity.
Thus, we must also be willing to add up the cost of inaction.
If this is the course of analysis worth taking, let's do the same
analysis of the cost of not taking action both with and without the
assumptions of our ability to affect climate change.
Respectfully,
Tom Harrison
Guy
I wonder why China is not banging on our doors for all of this
"clean coal" technology that has been imposed on our coal burning
facilities for decades?
You are right, they don't want it. They are spending their money
elsewhere...
China, which has the world's most ambitious nuclear program, by
the end of 2006 had seven times that much capacity [1.4
billion watts]in distributed renewables, and they were growing
it seven times faster. Take a look at 2007, in which the US or
Spain or China added more wind capacity than the world added
nuclear capacity. The US added more wind capacity last year than
we've added coal capacity in the past five years put
together.
(From the link above)
I prefer that the early adopters absorb all the beta
problems and opportunity costs for me (suck it 2007 iPhone
buyers!). Saves much time and money in the long run.
But who tends to be the early adopters?
In most cases it is those with more money who are more capable of
absorbing the risk.
Adoption presents a lower risk for the US economy than it does for,
say, China, so it is more likely we will be the early adopters and
sell them the technology than the other way around.
When did we become such a risk aversive culture that we were not
willing to take a risk to make a buck?
Sean W. Malone | July 30, 2008, 12:22pm | #
It'd be like me saying, "There's a statistical likelihood of me
being hit by a car at some point between now and the end of my
life" and then suing you for owning an automobile. And actually,
it's not like that, because the statistics on car accidents are far
better understood, the data gathered far more accurately and there
are only a small number of factors that one has to
consider...
Talk about undermining your own argument. The government requires
you to buy auto insurance precisely BECAUSE of the risk involved.
Unfortunately, you want to spew CO2 without buying such
insurance.
You can't even prove that there's malicious intent and thus sue
someone else for threatening harm... since I'm not saying something
like "I know that my CO2 emissions are going to destroy the earth
and I'm going to do it anyway just to screw with you".
You should be 90% or more certain that you are, and that is
threatening enough for me. Of course, you don't believe the IPCC or
any of the other professional scientific organizations...you put
your faith in the crackpot echo chambers that bounce around the
same oft-refuted garbage again and again until it amplifies itself
into a "side" of the debate.
I also am pretty greatly annoyed with your use of the term
"our" oil, btw. If you want to look at it that way... cool... that
means government maintains control of all oilfields and I suppose
just leases it out to various companies (inviting alllll sorts of
corruption and monopolizing).
Why do you keep suggesting that we give oil companies all this oil
for free? My god, you are insane. You really are. It is on public
property. It is OURS. We should get every penny out of it that we
can.
However, in either case, when you don't let a company keep the
profits they make on their investment, I'm not exactly sure why
that company would be in business or do what you want them to in
the first place.
Didn't I say in my very first post that we should pay them enough
to drill to make a fair return on investment? Since they can make a
fair, steady profit at ~$20/barrel, there is no reason to pay them
more.
Adoption presents a lower risk for the US economy than it
does for, say, China, so it is more likely we will be the early
adopters and sell them the technology than the other way
around.
There is no way to say who has a lower risk from early adopting.
Suffice it to say, it will be polluted (no pun) enough with so much
political finger-pulling that whomever gets saddled with this
project, will pay far more than they would were they to just
purchase the technology outright.
When did we become such a risk aversive culture that we were
not willing to take a risk to make a buck?
This is going to be a private venture? Fine by me if a corporation
wants to invest and take the risk for their shareholders. I've had
enough of the guvmint gmabling my hard earned dough on questionable
military actions and budget-stuffing, crony rewarding projects for
this lifetime.
This is going to be a private venture? Fine by me if a corporation
wants to invest and take the risk for their shareholders. I've had
enough of the guvmint gmabling my hard earned dough on questionable
military actions and budget-stuffing, crony rewarding projects for
this lifetime.
Doing little or nothing about climate change is a far more
dangerous gamble than doing something. In the latter case, the
worse that could happen is we waste a couple trillion dollars. In
the former, it is environmental catastrophy and complete economic
collapse.
Any risk-adverse person should be pushing hard for action on this
front.
Whatever Chad. I stopped listening to Apocolyptics a while back. They're worse than the Watch Tower people.
Why should you stop listening? Only out of ignorance. Several
times in the past, climate change has caused mass extinctions,
including the largest extinction known, which wiped out 90% of the
life on earth. There are numerous feedbacks in the climate system
that could send it spiraling out of control and drastically
changing the composition of the atmosphere which we are so
dependant on. While the odds of this are small, perhaps around one
percent or so, that still stands as a significant risk.
In all likelyhood, though, it will just be bad, not catastrophic.
Either way, it deserves a response.
Chad,
To be fair, the catastrophic scenario you hint at is unlikely
unless we ignore the issue for something on the order of 200 more
years (at current rates of increase we can expect to heat the
oceans enough to make them anoxic by about 2200).
As for the "it will just be bad" assessment, it depends upon who
you are. The effects of global warming are likely to be quite
moderate in the US given our geographic location.
The reason this is a moral issue is because the actions of one
group have negative consequences on another. We are literally
gambling on someone else's future.
Luckily, the solutions to this problem make good business sense and
should be done whether or not AGW is a direct threat.
JW,
There is no way to say who has a lower risk from early
adopting.
Yes there is.
There is no way to tell what the outcome will be, but the risk can
be assessed ahead of time.
For a given risk costing, say, $10,000, if you make $100,000 a year
your risk is lower than someone who only makes $20,000 a year. If
you lose the $10,000 for no benefit, you still have $90,000. If the
other person losses $10,000, they have taken a pretty devastating
hit on their income.
You note the reduced/eliminated fuel costs for renewables, and
then immediately discount them from your cost considerations. In
addition, the total amount spent on something should not be the
only factor. I would much rather pay for an American worker to
build and install wind tubines/solar panels etc, then send my money
to the Middle East to support IED's to blow up our troops.
Of course in the short run it's always cheaper to do nothing
instead of invest in the future. But long term investing is what
makes a society better off. I think 10 years might be pretty fast
to ramp up production, but 20 would probably be pretty
reasonable.
Two places with pretty good plans.
http://www.20percentwind.org/20p.aspx?page=Overview
http://www.sciam.com/article.cfm?id=a-solar-grand-plan
I think if you mixed the two you would be in pretty good shape.
Neu Mejican | July 30, 2008, 6:20pm | #
To be fair, the catastrophic scenario you hint at is unlikely
unless we ignore the issue for something on the order of 200 more
years (at current rates of increase we can expect to heat the
oceans enough to make them anoxic by about 2200).
Anoxic oceans could happen faster than that. Have you ever read
"Under a Green Sky", which discusses one of the leading theories as
to what caused the Permian extinction (the one that eliminated over
90% of all life and species)? The basic gist of what is believed to
have happened is that the ocean currents stopped due to
volcanic-related climate change, allowing the deep ocean to become
anoxic. Deep-water hydrogen-sulfide producing bacteria then
essentially choked off the whole planet with their poisonous and
ozone-depleting fumes. This happened in a geological instant. Of
course, this is not the only theory as to what caused this
extinction, but it does not appear to be an asteroid, which is only
suspected as the cause of one of the great extinctions (famously
ending the dinosaurs).
We are really rolling the dice with our behavior right now.
There is no way to tell what the outcome will be, but the
risk can be assessed ahead of time.
You assume, erroniously, that all outcomes are equal. I submit that
they are not.
See Chad, Neu Mejican knows how to get through to people. I don't
agree with everything he has to say, but him, I'll talk to. He
understands that people are rational and need concrete reasons to
change. He understands that carrots and ROI are much more effective
(and moral) change agents for long term shifts behavior and
culture.
You, OTOH, are a screaming hysteric pants-wetter, waving a stick
around to beat everyone into nationalized submission, who deserves
to be ignored. Anyone who claims to *know* what the state of a
chaotic system will be in n years and what the most likely outcomes
will be as a result of that is A) unbelievably arrogant, B)
incredibly dishonest, or C) a True Believer™. I'll let you pick.
I'm leaning towards C.
Chad... play with your own money and your own dice and leave
mine alone. That's all I'm asking...
I can think of a dozen reasons I'd like to be entirely off-grid and
a dozen more why it'd be great to be using energy supplied by
efficient, renewable means. And I will invest in the projects I
think have merit on my own.
But none of those reasons have anything to do with the world coming
to an end. I don't see even the remotest likelihood of that
happening within the next 200 years, or the next 1000. You can be a
doom-sayer all you wish - but forcing other people to go along with
your pessimism is not acceptable.
Your beliefs are yours to have... quit conscripting the rest of us
into paying for them.
It seems that the only argument people come back to is, "well, if
we're wrong, then we've wasted a trillion dollars - big deal, if
we're right and you do nothing, the planet will die".
Well, I'm sorry Chad, I just watched my country waste a trillion
dollars (on a major banking industry bailout), and the aftermath
ain't gonna be pretty. At some point, you and everyone else who
wants to use force to solve these problems, is going to have to
realize that you're killing us all bit by bit. The US doesn't have
a trillion dollars to spend... our government is already in the
hole by $7 Trillion! And that means that each and every one of us
bears that burden with a dollar that is becoming increasingly
useless around the world. And what do we get for it? Cronyism?
Corruption? Politicians who promise "stuff" while limiting our
freedom to choose and do what we think is best...
And this whole breed of environmentalism is the worst kind of
extension of this.
The thing that blows my mind completely is how often I've had to
sit through blathering "liberals" talk about how terrible Bush is
because he's using *fear* to force people into going along with bad
ideas... Iraq has wasted a trillion dollars needlessly - and then
these same people turn on the panic button with even less tangible
threats!
And for me, that's all this comes down to in the end. People who
can't predict the future (who, not to mention have a TERRIBLE track
record of accurate positions in the past), are trying to invoke
incredibly nebulous science to say that we're on the verge of
global apocalypse and the only thing we can do about it is to
expand government to control people's behavior, take their money
and redistribute it to companies that claim to be solving a problem
and in the process crush people's freedoms to decide how they live
their own lives and destroy economies through these same
policies... CONVENIENTLY conforming to the *exact* model of
guilt-based hysteria, environmentalists have been preaching since
the 60s.
Does this not set off anyone's bullshit detector but my
own? I mean come on...
Hate to break this to you btw, but Al Gore buys carbon-offsets from
a company HE OWNS. But of course, he's a modern day "prophet" and
I'm just too stupid to see it... or perhaps I'm just a paid
oil-industry stooge.
Ugh.
Bottom-line... if you know what's the best for everyone - start
trying to influence people. Buy an ad slot during the Superbowl.
Put up posters, make your case and invest in the things you think
will save us all... or hell - start your own company to do all
those things!
There are obviously more than enough people with deep-pockets out
there to help you out. Start with Hollywood... PETA has had access
to the idiots' money out here for long enough - maybe you can do
better with it than compare chicken coops to concentration
camps.
BUT DO THAT!
...and ffs, quit using force to make everyone conform to your
misanthropic vision of Armageddon. Call me whatever names you want,
but I do not now and will probably never believe that the time is
nigh.
You assume, erroniously, that all outcomes are equal. I
submit that they are not.
OK, I went back and looked at that again (after submitting the
post, of course. d'oh) and realized how little sense that
made.
Yes, you can assess some of the risk factors prior to starting a
project, but you can't assess the risk factors associated with the
outcome without basic assumptions of what the outcome will
be.
If you don't know what the outcome of your project is going to be,
you shouldn't be embarking on it. That's a recipe for
disaster.
See municipal wi-fi as an example.
Alright cbmclean, what's with your watt-hour bigotry? What
did the watt-hour ever do to you anyway? Would you prefer a
watt-second?
No, I would prefer the joule. A watt is defined as one joule per
second. A watt-hour is 3600 watt-seconds, and a watt second is just
a joule. The thing I have against watt-hours is that it's just a
complicated way of saying joule. the same with amp-hour being a
complicated way of saying coulomb. (And yes I do know that
technically speaking, the coulomb s defined in terms of the amp as
opposed to the other way around. I think that that is just because
the amp is easier to measure precisely).
Sean W. Malone | July 30, 2008, 8:15pm | #
Chad... play with your own money and your own dice and leave mine
alone. That's all I'm asking...I can think of a dozen reasons I'd
like to be entirely off-grid and a dozen more why it'd be great to
be using energy supplied by efficient, renewable means. And I will
invest in the projects I think have merit on my own.
Therein lies the problem: our dice our not seperate. This is a
classic tragedy of the commons problem. Because you can dump some
of your costs on to me and everyone else, many things which are
beneficial to us as a group will not be beneficial to you as an
individual. The same holds true for me and all our neighbors...our
personal interests are to screw everyone else over. If we all leave
the "market" to solve the problem, it will simply fail, as it has
countless times before in similar situations.
But none of those reasons have anything to do with the world
coming to an end. I don't see even the remotest likelihood of that
happening within the next 200 years, or the next 1000. You can be a
doom-sayer all you wish - but forcing other people to go along with
your pessimism is not acceptable.
We must make group decisions based on the best data avaiable, which
indicates that this problem is serious, potentially very serious,
and that acting in order to solve or mitigate it is a good
long-term investment. My belief in the data trumps your belief that
the market will magically solve a commons problem involving over
six billion people.
It seems that the only argument people come back to is, "well,
if we're wrong, then we've wasted a trillion dollars - big deal, if
we're right and you do nothing, the planet will die".
Here is another argument: the benefits of action out-weigh the
costs. This was found true by Nordhaus, Stern, and the Copenhagen
Consensus, though each concluded that different levels of action
were justified. The different conclusions largely stemmed from
philosophical differences over economics than from scientific ones.
Also, I could argue all of them were under-estimating the damages,
as they tended to exclude things that were difficult to quantify,
such as species loss.
The US doesn't have a trillion dollars to spend... our
government is already in the hole by $7 Trillion!
Isn't it nine trillion now? Anyway, I just told you where to find
trillions of dollars. If you would quit insisting that we should
just give it all to the oil companies, we wouldn't have such a big
problem.
The thing that blows my mind completely is how often I've had
to sit through blathering "liberals" talk about how terrible Bush
is because he's using *fear* to force people into going along with
bad ideas... Iraq has wasted a trillion dollars needlessly - and
then these same people turn on the panic button with even less
tangible threats!
Don't pin other peoples' bad arguments on me. Btw, nobody that
knows me would ever label me a liberal. I'm just as much a pita
when I play with the freepers and the treehuggers as well.
And for me, that's all this comes down to in the end. People
who can't predict the future (who, not to mention have a TERRIBLE
track record of accurate positions in the past)...
If it were a matter of whacky claims from the wingnut treehugger
fringe, you would have a point. When it is the IPCC, National
Academy of Science, the American Physical, Chemical, Geological and
Astronomical Societies, NASA and their foreign equivalents, etc, it
is another matter entirely. Even the CEO's of the big oil and
chemical companies have largely come around...even Exxon is
cracking. Indeed, in the chemical industry (where I work) we just
see this as a big "mega-trend" to make a profit from...and boy, are
we. And of course, we love making a buck while doing the right
thing even more.
Bottom-line... if you know what's the best for everyone - start
trying to influence people. Buy an ad slot during the Superbowl.
Put up posters, make your case and invest in the things you think
will save us all... or hell - start your own company to do all
those things!
I'll have to leave the super bowl add to T. Boone or Gore, but
don't worry, I am working on the rest of it.
...and ffs, quit using force to make everyone conform to your
misanthropic vision of Armageddon. Call me whatever names you want,
but I do not now and will probably never believe that the time is
nigh.
Even if you believe the chance of apocalypse is vanishingly small,
you can't escape the conclusion that it will likely be just plain
old bad. That would also justify action.
Excellent article but Mr. Bailey didn't go far enough to expose
the con.
In the spring of this year, there was an article in the Idaho
Statesman that said that the government wanted to use eminent
domain for a 3500 ft wide energy corridor clear across the United
States. That's about 10 football fields end to end. Obviously
that's absurd - but not if that 3500 foot right of way is for
windmills.
Another tidbit is that they want a new energy grid and they want it
to be DC current. My understanding is that the reason is because DC
current can be stored - but that's not the real reason
anyway.
Here's the scam. Since obviously the costs of conversion and the
randomness of wind to power the windmills makes the investment
ridiculous. However, that 3500 foot swath across our country is
going to be very, very valuable after T. Boone Pickens - silly man
that he is.. figures out that wind power is just not practical and
abandons the project. He will still own the property. Nice payback
wouldn't you say?
On the new DC energy grid, they want that for a 'Smart Grid' so
that they can control your energy use remotely. Of course, again,
we don't know who is going to pay for all the new appliances that
will respond to a remote control system.
They'll set your room temperature, turn on your dishwasher in off
hours, etc. So it may be that the numbers they are using for
conversion don't start with current usage - but rather start with
their model of your allocated usage - which is severely
constricted. (All you middle class people don't need air
conditioning in the summer - and your homes are too warm and toasty
in the winter - they'll fix that whether you like it or not).
How much will it cost if we don't go green?
What makes you think Al Gore is the best person to give advice on
technology?
How much would it cost to replace coal with wood? (It is being done
today over the strenuous objections of some
(anti)environmentalists.)
What makes you think conventional geothermal power is so rare?
(Alaska with the largest geothermal resources of any state gets its
only power from very tepid geothermal waters at Chena Hot Spring
Spa. A single geothermal resource in California in the Salton Sea
area might provide all the electricity thatCalifornia uses today if
the objections to that power source were removed. Hot rock
technology may not be available this century or even this
millenia.)
Can't we use intelligence instead of competitive sloganeering in
designing energy policy?
Best, Terry
JW,
I was gonna correct you, but you corrected yourself.
I would like to answer Ron's questions.
How much will it cost?
Hard to say, but less than your estimate.
And who'll be footing the bill?
Energy consumers.
"...the benefits of action out-weigh the costs."
Yeah... that isn't "another" argument, that's exactly the argument
I was talking about in the first place.
Hey everybody... contradictions are fun!
Chad says:
"If we all leave the "market" to solve the problem, it will
simply fail, as it has countless times before in similar
situations."
Then he says...
"Even the CEO's of the big oil and chemical companies have
largely come around...even Exxon is cracking. Indeed, in the
chemical industry (where I work) we just see this as a big
"mega-trend" to make a profit from...and boy, are we. And of
course, we love making a buck while doing the right thing even
more."
Yeah.... sure does seem like the market is "failing" you, Chad. By
the way - what are these "countless times" of failure that you're
referring to?
Anyway, I've always though that the whole tragedy of the commons
argument is pretty shallow - here's why: WE ALL LIVE ON THE SAME
PLANET.
You, me, CEOs of major corporations, inventors, scientists,
McDonald's employees... all of us. So the idea that somehow a
free-market approach - that is to say, a bottom-up (as opposed to
dictated from above) solution - fails to address these sorts of
problems is asinine. You just admitted yourself that your
company/industry is already looking for solutions, privately. We
ALL have a vested interest in "commons" problems if they are truly
in the commons. Now, in most cases I'd say that whole conundrum is
solved by doing away with the "commons" and establishing more
private property - obviously that doesn't necessarily work with
air... but as I said, if it IS a commons problem, then there are
obviously going to be a lot of people who care about the issue and
who will use their time, money and intellect to come up with
solutions - rewarding people for those solutions is easily the best
way to get the ball rolling faster. What WON'T work, is nagging and
sending out Al Gore's special forces elite environmental compliance
squad to force people into one solution agreed upon by politicians
and government bureaucrats. If you want scientists to lead the way
on this - then get the force out of the equation and LET people be
rewarded by a market-system.
Besides which, those private solutions, will ultimately be BETTER,
and much more cost effective if they are checked and balanced
against market forces - which test for cost, ease of use, and even
more irrational factors like what people are or are not comfortable
with - than any government forced solutions. Why is it so hard for
you to be ok with that? Why must you try to force people to do what
you think is right at gunpoint?
Again, your extraordinary claims really don't have any
extraordinary supporting evidence. And the fact that you find it
easy to use fear-mongering to get large-scale support from a
populace who doesn't really know what they're looking at and
doesn't have the time or interest to sift through the BS doesn't
make you right.
As for the predictions... well... I think you're conflating a bunch
of organizations all agreeing that the Earth is undergoing a
warming trend - which is something that I've never argued against -
with those organizations having a crystal ball that they don't
have.
"Even if you believe the chance of apocalypse is vanishingly
small, you can't escape the conclusion that it will likely be just
plain old bad. That would also justify action."
Actually... yes I can. Historically, warming-trends have (as I said
earlier) led to an INCREASE of life on Earth, more fertile land,
more species diversity and more easily livable conditions for our
soft pink mammalian skins. So to say that you *know* what the
outcome is going to be and that outcome is inherently to be
measured on a scale of "bad" to "it's the end of the world as we
know it" seems a little more than preposterous.
You got any other tricks in the bag beyond telling us that we're
all going to die unless we do what you say?
Mejican...
"Hard to say, but less than your estimate."
How do you figure? Imo, Bailey omitted billions or trillions of
dollars in cost based on his lack of discussion of infrastructure
changes and , not to mention other social costs depending on which
solution you want to go with. A "solution" like Chad's for example
would generally give government the power to establish criminal
behavior based on predicted effects over a 100+ year period...
There's a pretty high cost to that.
As mana raining down from a skeptical heaven:
http://www.norcalblogs.com/watts/2007/03/golden_state_heating_up_new_na.html
Sean W. Malone | July 31, 2008, 1:28pm | #
Yeah.... sure does seem like the market is "failing" you, Chad. By
the way - what are these "countless times" of failure that you're
referring to?
The market doing something and the market doing enough are entirely
different concepts. We are walking when we need to sprint.
Anyway, I've always though that the whole tragedy of the
commons argument is pretty shallow - here's why: WE ALL LIVE ON THE
SAME PLANET.
Yeah, it never happens. Econ101 is wrong, because Sean says
so!
We ALL have a vested interest in "commons" problems if they are
truly in the commons.
Yes, and we all have a "vested interest" in being a free-rider and
letting everyone else solve the problem. What is it about this
concept that lies beyond you?
Now, in most cases I'd say that whole conundrum is solved by
doing away with the "commons" and establishing more private
property - obviously that doesn't necessarily work with
air...
Uhh, exactly. While "privatizing" is good in theory and sometimes
in practice (say, fishing rights), sometimes it is obviously
impossible.
Besides which, those private solutions, will ultimately be
BETTER, and much more cost effective if they are checked and
balanced against market forces - which test for cost, ease of use,
and even more irrational factors like what people are or are not
comfortable with - than any government forced solutions.
Here is where you are wrong. We can use market-based methods to
solve the problem, just as we have with a number of other
pollutants.
Again, your extraordinary claims really don't have any
extraordinary supporting evidence.
Over a hundred years of evidence that is fully vetted by every
major scientific organization on earth? Ummm, what higher bar are
you going to try to set?
Actually... yes I can. Historically, warming-trends have (as I
said earlier) led to an INCREASE of life on Earth
Yes, and climate change is associated with mass death and
extinctions.
Ok Chad, now you've just gone off the deep end.
"Over a hundred years of evidence that is fully vetted by every
major scientific organization on earth?"
100 years of inconsistently measured, poorly collected data which
is but an infinitesimal speck of time in the history of the world,
isn't really very convincing, since we're talking about analyzing
trends that span hundreds of years. When you don't even have the
good data NOW, when we actually DO have good technology, you want
me to also "sprint" based on data collected 100 years ago with
mercury thermometers with hand-painted measurement markings? Good
choice...
So yeah, strangely, I do expect a higher standard than that...
While we're on that topic - you're setting up a fake argument
anyway. I'm not even trying to debate whether or not the climate is
changing. I'm debating whether or not we know how to fix it and
whether or not there's convincing evidence to show that we can...
But thanks for side-stepping that and instead talking about a point
I've already let you presume as true.
"Econ101 is wrong, because Sean says so!"
Yeah - again, thanks for not even remotely addressing what I said
and instead acting like a little child. In case you weren't paying
attention, I actually made an argument as to why the "tragedy of
the commons" problem seems suspect to me... Econ101 CAN be wrong,
btw. Just citing a class one can take in college doesn't prove
anything.
Whenever someone (presumably like yourself, Chad) asks "Yeah, but
who will take care of ___ problem??" - in this case ___ =
global-warming/CO2/etc - my response is typically "YOU will."
You care about it. You're part of the commons. You're also not
alone. Thousands... Millions of people share your concern. It's not
like people are (by and large) releasing CO2 in to the air just for
kicks... we're driving to work, or school, or soccer-practice or
shipping much needed goods from one part of the country to the
other - and around the world. No one's really even being a
"free-rider" here! At least not in any malicious sense.
The tragedy of the commons concept is bunk, imo, precisely
because of people like yourself... and the wide spectrum
of people in between. You care about this stuff to an immense
degree, and so do a lot of people - plus, fortunately for you,
there are a lot of people who don't know that much that can be
motivated by fear pretty easily, and thus, everyone "buys green"
and creates the mega-trend you were talking about in the previous
post. That mega-trend changes the face of how everyone does
everything (including business) and suddenly the walk becomes a
jog... and it happens NATURALLY, without force, and develops with
the cost vs. benefit checks that a competitive marketplace can
provide, which put the burden of cost actually on the consumer and
weed out bad or non-implementable ideas. Alternatively, government
solutions DON'T have any concept or even the faintest idea of cost
vs. benefit, because their cost comes from an infinite supply
produced at gun point from a willing (or unwilling) populace. They
develop based on political affiliations because that's inevitably
how government controlled money gets distributed. Not a good
plan.
The fact that you think we should be "sprinting" when we are
"walking" says a lot about your own state of hysteria - but if
that's what you believe, again, feel free to try to convince. Just
quit trying to force it on people.
FINALLY... (and I do mean finally since I'm getting tired of all
this):
"warming-trends" ARE "climate change". You could argue micro vs.
macro terminologies... but umm... yeah... the sky really isn't
falling.
Try to relax a bit, ok?
100 years of inconsistently measured, poorly collected data which
is but an infinitesimal speck of time in the history of the world,
isn't really very convincing
Thank God we have 400,000 years of ice cores and a few hundred
million years of radio-isotope data that indicate the same things:
high temperatures and high CO2 go together in a positive feedback,
and changes in temperature lead to massive ecosystem upheaval and
extinctions.
I'm debating whether or not we know how to fix it and whether
or not there's convincing evidence to show that we
can...
We do know how to fix it - stop adding greenhouse gases to the
atmosphere. The only thing stopping us from doing this is
ourselves, and the tragedy of the commons.
Yeah - again, thanks for not even remotely addressing what I
said and instead acting like a little child. In case you weren't
paying attention, I actually made an argument as to why the
"tragedy of the commons" problem seems suspect to me...
Your argument boiled down to "Well, a few people will buck their
own self-interest and do the right thing anyway, so I don't need to
do jack diddly". I don't count that as much of an argument. The one
percent or so of people who are going above and beyond what is good
for their own pocketbook may eventually get us to the goal, but
only long after a truly effective market would have.
Whenever someone (presumably like yourself, Chad) asks "Yeah,
but who will take care of ___ problem??" - in this case ___ =
global-warming/CO2/etc - my response is typically "YOU
will."
Sure, we MIGHT be able to take care of the problem in time, but
with our limited numbers we may fail. And now you are setting up a
classic free-rider problem, and to what end? To screw people like
me over?
You care about it. You're part of the commons. You're also not
alone. Thousands... Millions of people share your
concern
You are right. Millions. Out of Billions. That is the problem right
there. This problem is not going to be solved by the 1% of us that
are actually making sacrifices to solve it.
No one's really even being a "free-rider" here! At least not in
any malicious sense.
It is irrelevant if it is malicious...it is still a free-rider
issue either way.
That mega-trend changes the face of how everyone does
everything (including business) and suddenly the walk becomes a
jog... and it happens NATURALLY, without force, and develops with
the cost vs. benefit checks that a competitive marketplace can
provide
Ahh, again, you are wrong. For example, what happens if solar never
matches the price of coal, because coal is just too darned cheap as
long as it gets its huge free-public-garbage-dump subsidy?
Renewables will not take off running until they can pass coal in
price, and as long as coal is heavily subsidized, that may not
happen at all. You keep talking about markets where one side gets a
subsidy on the order of hundreds of billions per year. How on earth
is that "competitive"?
Alternatively, government solutions DON'T have any concept or
even the faintest idea of cost vs. benefit
Both a carbon tax or a cap and trade solve that problem.
You keep telling me to quit "forcing my opinion" on people who are
quite obviously forcing their pollution on me. I think you
completely misunderstand the libertarian ethic system if you think
I can't retaliate with force when someone attacks my
property.
"warming-trends" ARE "climate change". You could argue micro
vs. macro terminologies...
But not all climate change is a warming trend. Climate changes
kill. In the aftermath, life re-evolves, with a greater degree of
bio-diversity and biomass during warmer periods. Are you saying we
should wipe out half the life on earth and run a serious threat of
wiping out the human race or civilization just so that a few
million years later, there will be a bit more life on the hotter
earth that we leave behind?
I don't have much energy for this discussion, but I could not
help nswer something:
"Anyone who claims to *know* what the state of a chaotic system
will be in n years and what the most likely outcomes will be as a
result of that is A) unbelievably arrogant, B) incredibly
dishonest, or C) a True Believer™. I'll let you pick. I'm leaning
towards C."
I like answer A.
Though I like better if it were to say instead, "Anyone who claims
to confidently predict within reasonable margins of error, what the
state of a chaotic system will be in n years..."
This is of course just what the IPCC process has yielded.
Reasonable predictions which come true with reasonable margins of
error. At least not when being misinterpreted by
misanthropes.
A. Believably arrogant.
I found an interesting blog about energy and its costs politics
et.
http://scienceblogs.com/energy/
enjoy
"The basic gist of what is believed to have happened is that the
ocean currents stopped due to volcanic-related climate change,
allowing the deep ocean to become anoxic."
Chad, the basic gist of pollution being responsible for stopping
the worlds oceanic currents is flawed at best.
Short of stopping the entire planet from spinning, stopping it's
orbit around the Sun, or freezing/drying the all of the liquid
within the oceanic basins, the oceanic currents can not be
stopped.
This is mainly due to the combined influences of both the Coriolis
and the Eötvös effects upon the oceans, which have both been
scientifically proven.
Thank God we have 400,000 years of ice cores and a few
hundred million years of radio-isotope data that indicate the same
things: high temperatures and high CO2 go together in a positive
feedback, and changes in temperature lead to massive ecosystem
upheaval and extinctions.
Correlation does not imply causation. Infact, most studies and even
raw data suggest an increase in CO2 follows a warming trend. Yes
CO2 is a greenhouse gas, as is any gas that absorbs thermal
radiation. Water vapor retains heat at a rate 13 times CO2s
retention ability, why don't you call for its banning or taxing?
Because CO2 is an easy, politically correct scapegoat that
politicians a special interest groups can make money on. On the
other hand, warming trends seem to match up almost perfectly with
changes in solar radiation. Funny how we don't hear much about
natural causes of climate change (as if its ever been stable),
probably because the news won't cover anything so non-sensational
(it's a word now) and scientists who show these findings often lose
their funding.
Oh, and the whole mass extinction stories that occured with serious
climate change happened long before the advent of humanity, so it
really doesn't help your case for AGW. It kind of just says some
catastrophic event is just inevitable. Is there really anything we
could have done about the continental shift that caused the changes
in the oceanic currents that caused the freezing that was the
ELE?
Kolohe said, "nobody is considering is the opposition to new
and/or enhanced high voltage power lines that will be necessary in
regions that are to become net exporters of electricity."
Nanosolar (nanosolar.com) offers an approach (already in
production) that would eliminate this need. They offer building
municipal solar power plants where needed that can be easily
integrated into existing lines. And they've built a tool that is
capable of producing 1 gigawatt worth of solar panel annually.
Check out their blog: http://www.nanosolar.com/blog3/ They plan to
sell their panels at about $1 per watt.
What should be kept in mind that fuel for solar and wind power plants is free, so with time, cost of electricity production goes down.
Words of Wisdom,
http://www.fee.org/publications/the-freeman/article.asp?aid=8150
"How a Free Society Could Solve Global Warming
By Gene Callahan
(snipity)
For these reasons, I believe it is crucial to accept provisionally,
for the sake of argument, the scientific claims behind the case for
manmade global warming. In the present article I will demonstrate
that it still would not follow that the taxes and other regulations
typically proposed by greens are the best way to address the
problem. Just as the free market is still the optimal economic
arrangement, regardless of how many citizens are angels or devils,
so too does the free market outperform government intervention,
regardless of the fragility of Earth's ecosystems."
I strongly recommend that you Inactionistas help solve the very
real problem of AGW, instead of futily trying to wish it
away....before the anti-capitalists solve it.
If you don't act with good ideas that work, they eventually will
and with evil ideas.
One again into the filth...
"Correlation does not imply causation."
Plenty of physics provides adequate expectation of a
causation.
"Infact, most studies and even raw data suggest an increase in CO2
follows a warming trend."
Which does not prevent the sudden unnatural release of otherwise
sequestered CO2 from being a cause of a warming.
"Yes CO2 is a greenhouse gas, as is any gas that absorbs thermal
radiation."
No problems here.
"Water vapor retains heat at a rate 13 times CO2s retention
ability, why don't you call for its banning or taxing? Because CO2
is an easy, politically correct scapegoat that politicians a
special interest groups can make money on."
No, water vapor precipitates out on average with in 7 days. CO2
imbalances take at least decades to go away. Also otherwise
sequestered fossil carbon burned to make energy+ CO2 has a distinct
isotope signature which cannot be mistaken for any natural release,
volcanic or otherwise. And this signature is on the rise.
"On the other hand, warming trends seem to match up almost
perfectly with changes in solar radiation."
Not in the past few decades it hasn't.
"Funny how we don't hear much about natural causes of climate
change (as if its ever been stable), probably because the news
won't cover anything so non-sensational (it's a word now) and
scientists who show these findings often lose their funding."
...or there is no reason to make such a claim as it is
unsupportable in terms of hard evidence. Thus no reason for it to
be in the news.
"Oh, and the whole mass extinction stories that occured with
serious climate change happened long before the advent of humanity,
so it really doesn't help your case for AGW."
That statement doesn't make any sense. It is already known now that
species are disappearing NOW at rates similar to major extinctions,
and the climate hasn't even gotten all that extreme. In the long
run, if we can just keep civilization from collapsing, I will be
happy.
"It kind of just says some catastrophic event is just
inevitable."
It's not inevitable, it's a choice. Continue to choose to blast CO2
into the air will eventually result in major catastrophe for
civilization and then potentially human life...the roaches will
live on fine without us.
We are at the cusp of triggering effects which will result in major
challenges to our civilization, we will have to burn more to
actually destroy it. At best we could with drastic effort minimize
those challenges before the worst ones appear. But there will still
be challenges.
"Is there really anything we could have done about the continental
shift that caused the changes in the oceanic currents that caused
the freezing that was the ELE?"
This is highly irrelevant.
Anyway, ONWARD to a Free and Prosperous Level 1 Civilization
(kardashev scale)!!!
Oh yeah...
"...and scientists who show these findings often lose their
funding."
Exactly which scientists have stated these findings in peer
reviewed articles, and directly lost funding as a direct result of
it?
Please be exact and complete, I really want to know.
First off...
I'm going to ignore the comments by lunatics who still think that
humans are not effecting climate change. Even if you dwindling
weirdos think that global warming is not an issue and not caused by
fossil fuel consumption, a push for implementing widespread
environmental technology to replace our current utilities is still
extremely useful for separating ourselves from business with
dictators, rebels and otherwise unpleasant partners. It will
stimulate the national economy and make our country self-reliant
and more proud of its accomplishments as we become a leader in the
world once again. Dare to dream, people. Nobody is saying that cap
and trade is a bad thing. By all accounts it has been a successful
way of reducing emissions, but not enough, and there is
the problem of states that simply don't care because of the
cheapness of labor or domestic oil. Problems like China, Russia and
India are only problems because we are both defining and trying to
run the playing field, where we should be leading by example.
Now onto Mr. Bailey's interesting article.
..
Your arguments against Gore's wild and visionary plan have some
problems, for instance you note that the push to build vast fields
of solar panels and wind energy would drive up the cost of building
supplies (concrete and steel), without taking into consideration in
your estimate that everyone buying a new hybrid car would not only
keep us addicted (albeit only 48% addicted) to foreign oil but
would drive up the costs of steel and many other commodities as
well.
How do you propose to manufacture 250,000,000 new cars within ten
years, or twenty years, or even thirty years? Hybrids, while
extremely useful, are like taking aspirin for a terrible illness.
They may relieve a bit of the pain in the short term but are not
viable in the long run.
You also do not factor in the savings that Americans receive when
they install solar panels on their homes. Many states have tax
credits for such projects, and Bush, under enormous pressure from
Congress, passed a one year tax credit for homeowners who install
panels in 2007. The cost savings of such panels to the consumer are
immediate, and they pay for
themselves after 15 years.
As for nuclear energy, I concur that we should begin building new
nuclear energy plants immediately. Oddly enough and contrary to
what many Republicans think, it is not the environmental lobby
keeping the nuclear reactors from being built, but the coal and
hydropower lobbies that have funded efforts to clamp down on
nuclear reactors. Why? Because nuclear floods the grid with cheap
energy and outperforms coal and hydro considerably.
Many environmentalists are actually pro-nuclear, believe it
or not. Despite this, nuclear is not a long term solution
either, though it's far better than hydro, for its devastating
effect on ecosystems, and coal, which sucks for so many reasons its
not worth mentioning. One problem with nuclear is the difficulties
in
acquiring a good grade of uranium. We have maybe 50-75 years of
the good stuff left, and it isn't easy to get to.
Mining uranium itself is a messy, dangerous and often politically
bumpy process, as we have to go further and further into troubled
regions to get the most lucrative grade of uranium. Remember that
part of our goal is to cut off our dependence on difficult and
troubled regions. We should really only use nuclear sparingly, as a
crutch to our eventual energy independence.
And here's something for you folks who are plugged into the
Republican (not libertarian) energy policy isolation tank and think
I'm full of it. David Fleming, creator of tradeable energy quotas
(i.e. cap and trade), hailed by many, mainly on the right, as the
wave of the future, wrote
this book saying that nuclear is not a good idea for the
reasons I've stated.
When Gore compared his intentionally wild energy plan to the Apollo
program, what he was getting at was that Americans need to
participate in a spirit of change and newness. We need to start
thinking of new ways of being American. The new GOP, the
neo-conservatives that engineered the Iraq war, felt the same way,
only instead of using our trillion dollar surplus to change the
country and address serious security
threats they sent us back to a world outlook belonging more to
1962 than 2002, where military might is the only way to motivate
and unite a nation against adversity, where force and pillage is
the only way to prosperity.
Some thoughts on the other renewable energy source:
Efficiency
http://tinyurl.com/6ngd9n
How the world should invest in energy efficiency
Boosting energy efficiency will help stretch energy resources and
slow down the increase in carbon emissions. It will also create
opportunities for businesses and consumers to invest $170 billion a
year from now until 2020, at a 17 percent average internal rate of
return."
17%pa equals a doubling of value every 4ish years. WOW.
Also want to
point out that I agree with the Cato Institute's asserton that the
SPR should be dissolved.
Slowly draining this petrol into the market as we hastily step away
from our oil dependency would help American families deal with the
blow of increasingly devastating gas prices.
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