“THE Stone Age did not end for lack of stone, and the Oil Age will end long before the world runs out of oil.” This intriguing prediction is often heard in energy circles these days. Robert Rapier is a chemical engineer in the energy industry. ■. He is author of Utility Forecaster at Investing Daily, and of the book Power Plays: Energy Options in the Age of Peak Oil. Posted by msmash on Wednesday August 26, 2020 @04:43PM from the shape-of-things-to-come dept. All rights reserved. This pandemic seems destined to change our world in a number of ways, and some of those ways involve lower oil demand. ExxonMobil has been ejected from the Dow Jones Industrial Average, having been a member since 1928. There have been two general schools of thought about how it will ultimately end. I felt like it would be likely that we would see some combination: A period of shortages and high prices, but ultimately a peak in demand that would lead to lower prices. If America were to act on climate change—with, say, a carbon tax and new infrastructure—its capital markets, national energy laboratories and universities would make it a formidable green power. Fossil-fuel producers are being forced to confront their vulnerabilities. All Rights Reserved, This is a BETA experience. With a convergence of action and sentiment against oil products and oil companies, 2015 proved to be the year during which oil era entered the phase of terminal decline. As the public, governments and investors wake up to climate change, the clean-energy industry is gaining momentum. Gasoline is back under a buck. Oil has been used for over 5000 years by humans but only where it was easily accessible. When oil demand dropped during the 2008-2009 financial crisis, it bounced back strongly in 2010. However, I felt like that point was probably a decade away. I am not so sure that’s going to happen this time. https://www.economist.com/leaders/2020/09/17/is-it-the-end-of-the-oil-age This is the exact opposite of the peak oil argument, where oil prices surge as supply starts to fall. Opinions expressed by Forbes Contributors are their own. Since then there has been a jittery recovery, but a return to the old world is unlikely. Action to end the oil age Fossil free divestment. I don’t think so, but it is hard to say what the lingering impact on oil demand will be from the coronavirus pandemic. But if progressive social movements can seize the moment, then the end of the oil age could also be the end of a multitude of wrongs. With interest rates near zero, politicians are backing green-infrastructure plans. Oil markets are buffeted by an erratic cartel. It describes peak oil and the future of civilization. The other big risk is the transition of petrostates, which account for 8% of world GDP and nearly 900m citizens. Correction (September 18th 2020): This piece has been updated to clarify that Ursula von der Leyen is president of the European Commission. The Oil Age has powered the world for well over a century. August 26, 2020, 1:00pm. To tackle this problem countries are working on other energy sources such as electric vehicles powered by lithium iron batteries etc. Wherever you are, whatever your community, you can get involved. ID: 1636522 Language: English School subject: English as a Second Language (ESL) Grade/level: 11 Age: 15-18 Main content: Reading comprehension Other contents: READING Add to my workbooks (0) Embed in my website or blog Add to Google Classroom Add to Microsoft Teams Share through Whatsapp: Link … End of oil age is a term used for explaining the end of the use of oil. Oil and gas are finite resources and their age must come to an end sometime; when that ending occurs is anybody's guess and it could be before three decades passes. In the end, the decision paid off in spades. Versions in ربي (Arabic), 中文 (Chinese), Español (Spanish), Français (French), 日本語 (Japanese), Русский (Russian) A transportation revolution is underway that could completely transform the oil market in the coming decades. China’s leverage depends on how fast other economies move (see Briefing). Electricity prices will be determined not by a few big actors but by competition and gradual efficiency gains. Oil company revenues were skyrocketing during this period, and energy stocks were one of the best-performing sectors. The 21st-century system should also be less economically volatile. America’s Democratic presidential contender, Joe Biden, wants to spend $2trn decarbonising America’s economy. China Will Lead The World In Nuclear Energy, Along With All Other Energy Sources, Sooner Than You Think. There have been oil slumps before, but this one is different. Robert has 25 years of international engineering experience in the chemicals, oil and gas, and renewable. 1. In fact, for a while it looked like this version might play out. Little wonder that the price has swung by over 30% in a sixth-month period 62 times since 1970. In this scenario, only the strongest oil companies survive, and the sector becomes one most investors would rather avoid. by Nafeez Ahmed. This oil age is likely to last for the very short period of about 200 years. Now that the fossil fuels' days finally seem to be numbered, it is time to consider not just what will come next, but also what it will take to get there. Fossil fuels cause economic volatility, too. By last year, its 2030 forecast had dropped to 108.3 million bpd. There were those who believed that oil production would peak and begin to decline in the face of high global demand. Does That Help Or Hurt Emissions Reduction? Petrostates will have to attempt to reform themselves and, as their governments start to depend on taxing their own citizens, some will become more representative. The Leukemia & Lymphoma Society BrandVoice, Oil Boom 2021: Where It Currently Stands And Where We Go From Here, 3 Reasons The New $1B LEAF Investment In Tropical Forests Matters For Business And The Planet, Saudi Energy Giants Join The Green Revolution. Today fossil fuels are the ultimate source of 85% of energy. On the renewable axis, the “new maps” would suggest two policy initiatives. The pandemic has made painfully clear that there are two ways the age of oil might end. They also control much of the refining of minerals critical to clean energy, such as cobalt and lithium. In an effort to ensure secure supplies, the world’s big powers have vied to influence these states, not least in the Middle East, where America has roughly 60,000 troops. Instead, as our special report in this issue explains, the investments being contemplated fall drastically short of what is needed to keep temperatures within 2°C of pre-industrial levels, let alone the 1.5°C required to limit the environmental, economic and political turmoil of climate change. Read writing about End Of Oil in Age of Awareness. The rapid change to atomic power envisioned during this period never materialized, in part due to environmental fears following high-profile accidents such as the 1979 Three Mile Island accident and the 1986 Chernobyl disaster.. Out of Gas: The End of the Age of Oil is a 2004 book written by David Goodstein. As covid-19 struck the global economy earlier this year, demand for oil dropped by more than a fifth and prices collapsed. West Asia and Oil Economy - Is the Golden Age of oil producers about to end? Oil and coal use will drop, although cleaner natural gas will remain central. nearly three years ago outlining that view. The Fossil Free campaign – to persuade institutions to end their investments in fossil fuel companies – is taking the world by storm. Robert has 25 years of international engineering experience in the chemicals, oil and gas, and renewable energy industries, and holds several patents related to his work. End of the “Oilocene” The Demise of the Global Oil Industry and of the Global Economic System as we know it. Four forces are pushing this along. Oil may have dominated our economic times, but it fades in significance when compared to salt. There have been two general schools of thought about how it will ultimately end. The idea was neatly summarized in 2005 when the late Matt Simmons published Twilight in the Desert, in which he argued that oil production in Saudi Arabia was nearing terminal decline. For decades petrostates such as Venezuela and Saudi Arabia, with little incentive to develop their economies, have been mired in the politics of handouts and cronyism. In 2007, it forecast world demand would hit 118 million bpd in 2030. End of the Oil Age: Not Whether But When. European firms are leading the race to cut their own emissions, too. In June, the level of cuts will be reduced to 7.6 mbpd by the end of the year, then to 5.6 mbpd by the end of 2022, when the agreement expires. By . TWTR Your browser does not support the
