Carbon Dioxide – a virtual, negative commodity

http://www.cato.org/event.php?eventid=7999

I found this excellent little CATO Institute debate somewhere in my Twitter stream, and I watched the whole of it, despite the annoying accents and speaking styles of the speakers, and the insider economics references to Pigou and Coase (they’re only theorems, you know).

I thought that Kate Gordon made some excellent rebuttals to Andrew Morriss’ whining, pedantic free marketeering, and I was with her right up until the last few frames when she said that the Center for American Progress, of course, supports a carbon tax, as this is, of course, the best way to prevent Carbon Dioxide emissions.

Such disappointment ! To find that somebody so intelligent cannot see the limitations of carbon pricing is a real let down. I tend to find that American “progressives” on the whole are rather wedded to this notion of environmental taxation, “internalising the externalities” – adding the damages from industrial activities into the cost of the industrial products. I do not see any analysis of the serious flaws in this idea. Just what are they drinking ? What’s in the Kool-Aid ?

Continue reading Carbon Dioxide – a virtual, negative commodity

Shale gas toxic shocker

It appears that science has now caught up with shale gas extraction technology, and the result is a toxic shock :-

http://www.scientificamerican.com/article.cfm?id=fracking-for-natural-gas-pollutes-water-wells
“Hydraulic Fracturing for Natural Gas Pollutes Water Wells : A new study indicates that fracturing the Marcellus Shale for natural gas is contaminating private drinking water wells : By David Biello, Scientific American, May 9, 2011”

http://www.nytimes.com/gwire/2011/05/09/09greenwire-study-finds-methane-contamination-rises-near-s-87464.html

This might come as a bit of a nasty blowback for Christopher Booker, who was singing the praises of “gamechanger” shale gas at the weekend :-

http://www.telegraph.co.uk/comment/columnists/christopherbooker/8500496/Shale-gas-could-solve-the-worlds-energy-problems.html

“Shale gas could solve the world’s energy problems : It’s anathema to environmentalists, but shale gas is a new fossil-fuel source that could power the world for centuries : By Christopher Booker 7:30PM BST 07 May 2011”

Continue reading Shale gas toxic shocker

BP : Politely Requesting an Interview

[ 02 JUNE 2011 : THIS POST HAS ALWAYS AND WILL ALWAYS FULLY RESPECT BP COMPANY CONFIDENTIALITY, AND HAS NOT AND WILL NOT INCLUDE THE REPRODUCED TEXT CONTENT OF E-MAILS FROM BP, ARISING FROM AN E-MAIL EXCHANGE WTIH JOABBESS.COM. NOTWITHSTANDING THIS CLEAR ATTEMPT ON THE PART OF JOABBESS.COM TO CONSERVE THE FULNESS AND THE ESSENCE OF COMPANY CONDIENTIALITY, IT HAS BEEN DRAWN TO THE ATTENTION OF JOABBESS.COM THAT EVEN JUST MENTIONING THE NAME OF THE CORRESPONDENT AND THE DATES OF THE EXCHANGE MAY TECHNICALLY CONSTITUTE A BREACH OF BP COMPANY CONFIDENTIALITY. SO, TO ENSURE THAT NO ACCUSATION OR COMPLAINT OF BREACH OF COMPANY CONFIDENTIALITY COULD EVER BE MADE, AND TO ENSURE THE PROTECTION OF THE CORRESPONDENT, THE NAME OF THE CORRESPONDENT AND THE DATES OF THE EXCHANGE HAVE BEEN REDACTED AND REMOVED AS OF TODAY. IT CAN STILL BE DEDUCED FROM THIS POST THAT AN E-MAIL EXCHANGE TOOK PLACE. THAT FACT, I THINK, IS NOT COMPANY CONFIDENTIAL, ALTHOUGH I EXPECT BP ARE WITHIN THEIR RIGHTS TO TELL ME IF THEY BELIEVE OTHERWISE, AND OPEN UP A PERSON TO PERSON CONVERSATION ABOUT THE BEST COURSE OF ACTION. THEY KNOW MY TELEPHONE NUMBER. IT’S AT THE TOP OF THE POST. WHERE IT’S ALWAYS BEEN. ]

From: jo abbess
To: XXXXXXXXXXXXXXXXXXXXXXXXXX, BP
Date: XXXXXXXXXXXXXXXXXXXXXXX

Dear XXXXXXXXXXXXXXXXXXXXXXX,

Thank you for your time on the phone earlier this week.

Last year in February, I was part of a small group of students that were grateful to have the benefit of an interview with XXXXXXXXXXXXXXXXXXXXX at BP, then XXXXXXXXXXXXXXXXXXXXXXXXXXXX.

I am taking my research into the energy sector further for my MSc dissertation, and I would be grateful if I could have an interview with somebody in an engineering department who has an overview of the energy sector.

It doesn’t need to be a face to face interview, as I am quite willing to telephone people. It only needs to be 20 minutes in duration.

I have prepared a short list of open questions that I am considering would be suitable for my enquiry into the future of energy resources and technologies (see below).

I hope that you can point me in the direction of somebody within BP who would like to offer their thoughts.

Thank you.

Questions with a UK focus

1. What do you think have been the best developments in the energy sector in the last 20 years ?

(What do you think are the most significant developments in the energy sector in the last 20 years ?)

2. What positive or negative changes in energy production and supply will take place over the next 2 decades ?

(What do you think will be the most important developments in the energy sector in the next 20 years ?)

3. Which energy resources and technologies look the most troubled ?

4. Which energy resources and technologies look the most promising ?

5. Does the UK face an energy supply gap ? Can we keep the lights on ?



From: jo abbess
To: XXXXXXXXXXXXXXXXXXXXXXXXXXXXXXX
Date: XXXXXXXXXXXXXXXXXXXXXx

Hi XXXXXXXXXXXXXXXXXXXXXXXXXXXXXX,

Thank you for your helpful reply.

What I am trying to achieve is a real conversation with somebody within BP who has a general overview of the energy industry – sadly, the annual Statistical Review and company report do not answer the scoping questions I have.

I am offering an opportunity for BP to voice a vision, on record, of how the company intend to navigate future change, using parameters that are not generally the basis of shareholder reports.

I am sure that somebody in the organisation has a view on the onset of Peak Oil and Peak Natural Gas – from conventional resources, and that there must be aims and objectives for BP to manage this issue.

I am convinced that BP has planned for a range of policy scenarios concerning climate change – both mitigation and adaptation measures.

I am also sure that somebody in BP has a plan for navigating political problems, such as the probability of continued unrest in the Middle East, with the accompanying likelihood of compromised oil and gas production.

In addition, I am sure that somebody from BP can speak on the company’s behalf about how it will deal with the threats of economic turbulence and still be able to meet the needs of shareholders.

Some sample questions that could take in part of this landscape :-

1. Do you think that we are heading for a period of global energy insecurity ? What are the factors that could cause this ? What are the timelines ? Who are the key players ?

2. What is aiding or blocking the transition from fossil fuels to clean energy ? What technologies look promising ? What technologies are stuck in the lab ?

3.. How do you think we will manage the transition to clean energy ? How will the economic actors be able to diversify out of fossil fuels and still retain balance in the world markets – and not disappoint their investors ?

4. Do you think that people generally are aware of the issues of energy security ?

It would be excellent if you could find somebody to speak to these or similar questions in a short interview with me. I can do interviews by telephone at very low cost, and I would e-mail the transcript for verification before using in my research report.

My central question is “are we ready for energy change ?” – major transition in the resourcing and use of energy – and I am seeking a full range of opinion on that question.

If you could point me towards somebody who is willing and able to speak for 20 minutes on the phone on energy security issues, I would be highly grateful.

Thank you.



One wedding and several funerals

[ UPDATE : SEVERAL NEW PLAUSIBLE FACTOIDS HAVE EMERGED NECESSITATING CHANGES. ]

Jubilant scenes across New York as mass flag-waving breaks out to celebrate.

Are they congratulating Wills and Kate ? The Americans probably reviewed the TV ratings for the right royal wedding and decided they too needed something to boost the morale of the nation. So they went and killed Osama Bin Laden.

Or not. He could have been dead for days, because the plans were made weeks ago. Was he killed pre-emptively ahead of the collective British regal marital hysteria ? Why did the young newlyweds ship out to an “undisclosed location” instead of jetting off on honeymoon, pronto ? Was there a “credible threat” made on their lives in retaliation at the death of the Al Qaeda spiritual leader ? Or was an unarmed Osama bin Laden murdered by a surprise military attack at night at his family home after an Al Qaeda threat was made on Prince William and his new wife ? You have to admit the timing of the news is interesting…

Bin Laden “buried at sea” ? Yeah, right. If his body was dumped at sea, that could cause considerable affront to his supporters, but at least it would cover the fact that he had been dead for well over 24 hours, which would be an even worse affront according to Muslim burial traditions. If the body was no longer fresh enough for a photo shoot a hypothetical burial is necessary, one that can obscure the facts from international cameras and mobile phones. The Americans sent in a hit squad rather than dropping bombs from drones. Why go in person ? To make sure they have video and photographic evidence of the killing to show to Hillary Clinton and Barack Hussein Obama a few days later ? And by what moral and legal justification did Barack Hussein Obama issue a kill order instead of capturing Osama bin Laden for trial for his alleged crimes against humanity ?

Meanwhile, back in Libya, several other funerals have taken place after a NATO bombing raid in Tripoli, at night, targeting the Gaddafi family home, the victims of which included a son and some grandchildren of Colonel Gaddafi (and possibly even Muammar Gaddafi, the Brother Leader, himself, was killed too, although we don’t know that for sure yet) and sparked massive protest, which may lead to foreign troops “on the ground” to “finish off” the war – maybe disguised by gas masks, or under cover of enacting war crimes warrants. Various world leaders have declared they want to see the end of the current regime in Libya. NATO might be used to protect energy supplies. It could get a whole lot nastier now. What had Libya and Libya’s leader done to deserve this ? Declare energy independence ? :-

http://www.ft.com/cms/s/0/67d1d02a-5314-11e0-86e6-00144feab49a.html#axzz1LD4mxQ1w
“Oil companies fear nationalisation in Libya : By Sylvia Pfeifer and Javier Blas in London : Published: March 20 2011 : Western oil companies operating in Libya have privately warned that their operations in the country may be nationalised if Colonel Muammer Gaddafi’s regime prevails. Executives, speaking on condition of anonymity because of the rapidly moving situation, believe their companies could be targeted, especially if their home countries are taking part in air strikes against Mr Gaddafi. Allied forces from France, the UK and the US on Saturday unleashed a series of strikes against military targets in Libya…”

Osama bin Laden was arguing for a end to foreign interference in Arab territories, which naturally would have involved reasserting national control of oil and gas resources, and retaining wealth in the countries of origin. And many western strategists believe that this “threat” should never be allowed to happen. Osama bin Laden, in poor health, had probably negotiated a deal where he was allowed to live peacefully in retirement, but things changed, and the American Navy stormed his house at night and killed him and attacked his family. If the United States go after a sick man, and nearly murder his wife just because she happened to be in the way when they shot him (no taking prisoners, then), what will they do now ? Take out Pakistan for harbouring him (even though they agreed to host Osama bin Laden’s retirement in the first place) ? Or cut international aid intended for disaster relief in Pakistan ? It is now a distinct possibility that by encouraging universal joy over the death of the “sinner” bin Laden, a great piece of media entertainment, the world audience is being warmed up for overpowering violence against Libya, whipped up by American hawks. The deal breakers. All the wrong actions for all the wrong reasons.

And what did Barack Hussein Obama say ? “No Americans were harmed“, whilst “bringing Osama bin Laden to justice…Justice has been done“. Internal moral compasses may flinch at these words. Justice normally involves a court of law, not the President of the United States watching an “enemy of America” being liquidated on a secure webcam. Two victims of extensive and enduring negative American propaganda have been attacked with full military might whilst tucked up in bed at home. Who’s next ? Julian Assange ? Hugo Chavez ? Some other man made out to be a demon ? And while Ed Miliband, Labour Party leader in the United Kingdom says the world is now a “safer place”, Americans are being issued with travel advisories.