Peak Oil and the Grid

peakoil.jpgThe next few posts will be a series exploring the concepts of Peak Oil, Smart Grids, Obama’s infrastructure plans, and the possible future(s) of energy and power use.

If you’ve never come across the concept of Peak Oil, now’s your chance to read up. Peak Oil theory is built upon the simple and obvious fact that petroleum resources are finite. Here are a few statistics:

So that’s your two minute Peak Oil Primer. There is no universal consensus about when oil production will peak. There does seem to be fairly universal agreement that it eventually will. Combine this fact with Global Warming theory, and your looking at a recipe for catastrophic failure if we don’t seek solutions — soon.

So, energy independence and alternative energy sources are getting lots of focus these days. When looking for solutions to the Peak Oil/Global Warming problem, logic dictates that we develop a range of alternative sources such as wind, solar, and geothermal.

But here’s where we hit a wall: our decrepit electrical grid. According to a blogger at MSN Money referring to a US Department of Energy report:

America’s total annual electricity bill is $250 billion. That’s about half what it spends on oil. There are more than 3100 electric utilities in the U.S. — 200 of them publicly traded, 2000 state run and 900 cooperative. The current electricity grid is frequently compared to a Ford Model T: While China and Europe have modernized their entire infrastructure in recent years, the US continues to do emergency repairs on a spluttering side-valve, 20-horsepower engine that breaks down with startling regularity…

The embarrassing fact about electricity is that 60% of it comes from coal — which is dirtier than oil. Some analysts claim that electric cars will actually increase global warming. But the reason we’re so dependent on coal is because of the inflexibility of our electricity grid.”

Our grid system is antiquated, fragile, inefficient, and worst of all, uni-directional, i.e. it cannot handle the intake or upload of generated electricity from outside sources.

Enter Obama. According to SmartGridNews:

We expect the Obama Administration to announce two things that will converge to give this already growing sector an additional boost. The first is a Clean Energy program to stimulate five million new jobs. The second is a “New Deal” stimulus package based on rejuvenating essential infrastructure.

In both case, the Smart Grid will be a centerpiece. We cannot achieve clean energy without a Smart Grid to transport it where needed. And we are increasingly reliant on the electric power system as the critical infrastructure that makes our way of life—and our global competitiveness—possible.

So we just might be in luck if Obama really can rally a New Deal effort to restructure the gridsmartgrid.jpg using Smart Grid technology. Proponents like T. Boone Pickens and, of course, Al Gore are pushing to elevate the discussion. The nonprofit organization Repower America has committed to developing a plan for renewable energy production within 10 years. They’re looking for new members if you’re interested.

Next installment: The theories that claim it’s too late, we’re already past the point of no return…

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December 15, 2008 | Filed Under Future Freak 

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