It's debatable whether the surge in oil prices is a dress rehersal or the real arrival of peak oil. What is less debatable is the price's effect on the world. Note that food shortages started showing up first, not oil shortages. What comes next? There is now a rapid education taking place for many of the total interlinking of oil on every aspect of our lives. I'm going to point out a couple of rarely understood aspects in the general public. Remember these two points: 1) Electricity is cheaper than oil for accomplishing transportation on a kWh vs Horse Power basis. It was true before this surge in prices. This price surge will get the electric vehicle industry moving even more quickly. This it is going to get major airplay. Bottom line here is start saving money for a very expensive electric car. Many car companies are staking the PR lead, but the real players might come out of left field. 2) The technology for extracting energy from the sun is ready for prime time. What is critical for understanding is the economics of a kWh is going to cross here in the near future, probably accelerated greatly by the price of electricity hiking going up significantly. (Todays coal plant price is about 10cent per kWh and solar plants are at about 20cents per kWh). Here are some of the gigantic efforts underway to build massive solar power plants: eSolar: Utility-Scale Solar Power Solar One | SES Stirling Energy Systems The Plant | Nevada Solar One (already built) and do not forget the nine smaller plants that have been running for a very long time. NREL: TroughNet - U.S. Parabolic Trough Power Plant Data These were undertaken before the cost per kWh has crossed. Now the surge in oil prices is going to move this to prime time very soon. Just as critical, it only takes a couple of years to build a solar plant. It takes about a decade to build a nuclear plant.....so guess what will be getting the money.
