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Sun Volt Solar

earth, the final frontier

Clean Energy, Clean Environment

We are at a cross roads in human history, we can choose to continue on as we have been, or we can make a change to improve our future and quite possibly the future for several generations to come. We are here to promote energy independence, a better environment, a secure future and a higher return on investment for your hard earned dollar. It is what I believe in, it is why I am in the solar business.

Peak Oil

18 Oct 07 | Commentary

Ah, ehm. Not to be an alarmist or anything, but have you seen the price of oil lately? West Texas crude was selling at $90.00 per barrel today. That’s higher than the post Hurricane Katrina levels when a gallon of gas was $3.60. The price of gas today? Oh, $2.86 per gallon, which I find strange. Does this mean there was massive gouging after Hurricane Katrina? I dunno, but it seems likely.

The reasons for today’s rise is the weakening dollar, which has caused speculators from other countries to buy oil with cheap with hope to sell higher when the dollar rebounds. This has created a supply squeeze, which has made priced go up. Most of this seems like market manipulation of one form or another, which is to be expected as lots and lots of money can be made.

peak oil plot

There are many dire predictions about Peak Oil and the end of cheap energy. Most see some form of resource competition or conflict, which I believe is already taking place in Iraq. Additionally, a general rise in prices across the board as fossil fuels supply the energy and raw materials for almost everything we depend on. Fortunately, the world will not simply run out of oil. The production of oil is based on a bell curve, that shows a steady predicable decline. That is if the geologists are right about the oil reserves, and countries and governments are telling the truth about the amount of oil still in the ground. There may indeed be some very turbulent times, but I do not think it will be the end of the world as we know it. That is, provided we begin to plan now.

There are many on the political right that pooh-pooh peak oil and the notion that we need to start moving away from fossil fuel use. These will cite all sorts of reasons why it is not a concern, we need not worry about the environment and so on. That is an imprudent course of action. Unfortunately, many of these are in the military or defense contractor sectors. Often as is the case, these types think that a strong defense will keep any and all harm away from them or the country. This is a mistake that has played out time and time again though history; Think of Greece, Rome, etc.

Right now, there exists an opportunity to take a huge step in the right direction. The US congress (House and Senate) are trying to compromise on the 2007 energy bill. This bill has a lot of great things for the renewable energy sector. It needs to pass both houses of congress with a veto proof majority, otherwise the President will veto it and we will be back to square one again. If you have a chance, contact your Senator or Representative and let them know how important it is to move ahead with renewable energy. There are two websites that make it easy.  The first is SaveOurEnvironment.org and the other is Solar Nation.  Both sites have online forms that can be filled out and emailed directly to your Senator and Representative.

Regardless of any of that, the more expensive oil and natural gas become, the more attractive renewable energy systems will become. This will be good for those involved in the renewable energy sector as more and more people turn to things like solar and small wind to meet there energy needs.

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18 Oct 07 | Commentary
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