Showing posts with label Oil. Show all posts
Showing posts with label Oil. Show all posts

Wednesday, October 26, 2011

Former Keystone XL pipeline lobbyist hired by Obama campaign

Writing on the LA Times blog Neela Banerjee reports that the Obama re-election campaign has puzzlingly hired a lobbyist who had worked on lobbying for approval of the widely hated Keystone XL pipeline.  Environmental activists are working hard to block that pipeline with Bill McKibben describing it as "game over" for being able to control climate change if the pipeline project were to be allowed to go forward.  Obama ran in 2008 on a platform that included green jobs, green technology, and working hard to address climate change and environmental issues.  The Keystone XL project is exactly wrong for that sort of campaign platform.

The (former) lobbyist is Broderick Johnson, described as "founder and principle" of the Johnson Communications Group.  Last spring he was a lobbyist working for Bryan Cave LLP and his client roster included Microsoft, Comcast and TransCanada.  His work for TransCanada in turn focused on supporting the “submission for a presidential permit for Keystone XL Pipeline.”  He lobbied members of Congress as well as the Administration and the State Department.  However TransCanada denied he lobbied on behalf of the Keystone XL project.

The Obama campaign describes his role as “serve as a national surrogate for the campaign and our representative in meetings with key leaders, communities and organizations.  Broderick will be an ear to the ground for the campaign's political and constituency operations, helping to ensure that there is constant, open communication between the campaign and our supporters around the country.”


A little side story to this is that Johnson's wife is Michele Norris, host of NPR's All Things Considered.  She has announced she'd be taking a hiatus from that show during the campaign, and would refrain from covering the campaign.

The Keystone XL pipeline is a horridly bad environmental disaster from beginning to end.  The purpose of the pipeline is to carry "oil" extracted from the Alberta tar sands, pipe it to Houston area refineries and then sell the oil on the export market.  Because tar sands are poor quality "oil" resources, extraction involves huge machines scraping up the tar-soaked sands, carrying this sand to other gigantic machines that steam-treat the sands (at huge energy cost) to convert the thick sticky tar into something which can be piped long distance.  The pipeline route is planned to cross many environmentally sensitive locations, at huge risk in case of pipeline leaks or bursts.  The result will be a continuation of the regime of using oil, rather than switching to other energy sources.  See: 350.org to encircle the White House on Nov 6 protesting Keystone XL pipeline

The Obama Administration promised us during the campaign as well as via several actions since, such as the bootstrapping of a clean energy revolution, that official policy would be to encourage a switch to clean renewable energy.  In a weekly address last spring Obama suggested Instead of subsidizing yesterday’s energy, we need to invest in tomorrow's


See:

Former Keystone pipeline lobbyist hired by Obama campaign


350.org to encircle the White House on Nov 6 protesting Keystone XL pipeline

Saturday, April 18, 2009

Obama wants to normalize Cuba relationships.. why? Is it the Oil?

The following is wild assed guessing but it strikes me as curious. Cuba recently announced possible oil reserves within their territorial waters, and around the same time Pres. Obama made suggestions to normalize relationships with Cuba. The relationship with Cuba of course has long been problematic, with a long and sordid history that's a strange relic of the war on Communism. There is a kind of sadness related to the poor relationship, that's connected to the families who are torn asunder on the altar of America's forgotten war on Communism.

Following are some links to selected articles related to the discovery of Oil in Cuba as well as the easing of some sanctions against Cuba. The eased restrictions make for a nice story, especially as it gives Cubans in America and Cuba better connection. However it's well understood that with any public action by a government there is an agenda behind the scenes. The public face of the action is rarely the whole story, and there's no reason to assume this action for easing restrictions against Cuba is the entire story.

The articles about Cuba's oil discovery are very troubling. Just because a source of Oil has been found in America's backyard, why is it a given that the Oil will be sold to America? Isn't it Cuba's decision who is the customer of their oil? Isn't it Cuba's decision whether to exploit that oil?

Why should the discovery of oil automatically mean a change in America's embargo of Cuba? The discovery of oil in Cuba isn't going to cause a change in the leadership or government of Cuba. Therefore if the embargo of Cuba has any legitimacy, shouldn't the embargo continue? Yet these articles are plainly saying the discovery of oil in Cuba will be followed by ending America's embargo of Cuba, and the articles say that oil in Cuba will obviously be sold to America.

On the other hand, maybe it has to do with keeping campaign promises: Will Obama's Stance on Cuba Hurt? (By Tim Padgett/Miami Wednesday, Aug. 22, 2007, Time Magazine)

How Cuba's Oil Find Could Change the US Embargo (By Tim Padgett Thursday, Oct. 23, 2008, Time Magazine) ...geologists estimated that between 5 billion bbl. and 10 billion bbl. of oil lie beneath the waters off Cuba's northwest coast....Washington's own Cuba time warp got a jolt as well. The oil discovery has renewed debate over whether a crude-thirsty U.S. should loosen its 46-year-old trade embargo against Cuba and let yanqui firms join the drilling, which is taking place fewer than 100 miles off U.S. shores....

Cuba claims massive oil reserves (BBC News Friday, 17 October 2008)

Why Cuba's Dreams of Major Oil Discoveries Might Come True (By Thomas Omestad Posted March 3, 2009, US News) There is a place tantalizingly close to American shores that—but for reasons of politics and foreign policy—could emerge as a welcome new source of oil for U.S. consumers....Cuba...Cuba is one of the biggest wild cards in the Western Hemisphere's energy outlook. It is also the most politically sensitive. The nearly half-century-old U.S. embargo against the Communist country means that American energy companies and consumers cannot partake in Cuba's oil business....A major oil find in Cuban waters could subvert the old logic behind the U.S. embargo of Cuba, a policy that endures in part because it imposes only minor economic costs while meeting the political demands of hard-line Cuban-Americans.

FACT SHEET: REACHING OUT TO THE CUBAN PEOPLE (Whitehouse.gov April 13, 2009)

Today, the Obama administration announced a series of changes in U.S. policy to reach out to the Cuban people in support of their desire to freely determine their country’s future. In taking these steps to help bridge the gap among divided Cuban families and promote the freer flow of information and humanitarian items to the Cuban people, President Obama is working to fulfill the goals he identified both during his presidential campaign and since taking office.

All who embrace core democratic values long for a Cuba that respects basic human, political and economic rights of all its citizens. President Obama believes these measures will help make that goal a reality.

Cuban American connections to family in Cuba are not only a basic right in humanitarian terms, but also our best tool for helping to foster the beginnings of grassroots democracy on the island. There are no better ambassadors for freedom than Cuban Americans. Accordingly, President Obama will direct the Secretaries of State, Treasury, and Commerce to support the Cuban people’s desire for freedom and self-determination by lifting all restrictions on family visits and remittances as well as taking steps that will facilitate greater contact between separated family members in the United States and Cuba and increase the flow of information and humanitarian resources directly to the Cuban people. The President is also calling on the Cuban government to reduce the charges it levies on cash remittances sent to the island so family members can be assured they are receiving the support sent to them.

Specifically, the President has directed the Secretaries of State, Treasury, and Commerce to take the needed steps to:

  • Lift all restrictions on transactions related to the travel of family members to Cuba.
  • Remove restrictions on remittances to family members in Cuba.
  • Authorize U.S. telecommunications network providers to enter into agreements to establish fiber-optic cable and satellite telecommunications facilities linking the United States and Cuba.
  • License U.S. telecommunications service providers to enter into roaming service agreements with Cuba’s telecommunications service providers.
  • License U.S. satellite radio and satellite television service providers to engage in transactions necessary to provide services to customers in Cuba.
  • License persons subject to U.S. jurisdiction to activate and pay U.S. and third-country service providers for telecommunications, satellite radio and satellite television services provided to individuals in Cuba.
  • Authorize the donation of certain consumer telecommunication devices without a license.
  • Add certain humanitarian items to the list of items eligible for export through licensing exceptions.

REACHING OUT TO THE CUBAN PEOPLE

Supporting the Cuban people’s desire to freely determine their future and that of their country is in the national interest of the United States. The Obama administration is taking steps to promote greater contact between separated family members in the United States and Cuba and increase the flow of remittances and information to the Cuban people.

Lift All Restrictions on Family Visits to Cuba

We will lift all restrictions on family visits to Cuba by authorizing such transactions by a general license, which will strengthen contacts and promote American good will. We will ensure the positive reach of this effort by:

  • Defining family members who may be visited to be persons within three degrees of family relationship (e.g., second cousins) and to allow individuals who share a common dwelling as a family with an authorized traveler to accompany them;
  • Removing limitations on the frequency of visits;
  • Removing limitations on the duration of a visit;
  • Authorizing expenditure amounts that are the same as non-family travel; and
  • Removing the 44-pound limitation on accompanied baggage.

Remove Restrictions on Remittances

We will remove restrictions on remittances to a person’s family member in Cuba to increase Cubans’ access to resources to help create opportunities for them by:

  • Authorizing remittances to individuals within three degrees of family relationship (e.g., second cousins) provided that no remittances shall be authorized to currently prohibited members of the Government of Cuba or currently prohibited members of the Cuban Communist Party;
  • Removing limits on frequency of remittances;
  • Removing limits on the amount of remittances;
  • Authorizing travelers to carry up to $3,000 in remittances; and
  • Establishing general license for banks and other depository institutions to forward remittances.

Authorize Greater Telecommunications Links with Cuba

We will authorize greater telecommunications links with Cuba to advance people-to-people interaction at no cost to the U.S. government. This will increase the means through which Cubans on the island can communicate with each other and with persons outside of Cuba.

  • Authorize U.S. telecommunications network providers to enter into agreements to establish fiber-optic cable and satellite telecommunications facilities linking the United States and Cuba.
  • License U.S. telecommunications service providers to enter into and operate under roaming service agreements with Cuba's telecommunications service providers.
  • License U.S. satellite radio and satellite television service providers to engage in transactions necessary to provide services to customers in Cuba.
  • License persons subject to U.S. jurisdiction to activate and pay U.S. and third-country service providers for telecommunications, satellite radio and satellite television services provided to individuals in Cuba, except certain senior Communist Party and Cuban government officials.
  • Authorize, consistent with national security concerns, the export or re-export to Cuba of donated personal communications devices such as mobile phone systems, computers and software, and satellite receivers through a license exception.

Revise Gift Parcel Regulations

We will expand the scope of humanitarian donations eligible for export through license exceptions by:

  • Restoring clothing, personal hygiene items, seeds, veterinary medicines and supplies, fishing equipment and supplies, and soap-making equipment to the list of items eligible to be included in gift parcel donations;
  • Restoring items normally exchanged as gifts by individuals in "usual and reasonable" quantities to the list of items eligible to be included in gift parcel donations;
  • Expanding the scope of eligible gift parcel donors to include any individual;
  • Expanding the scope of eligible gift parcel donees to include individuals other than Cuban Communist Party officials or Cuban government officials already prohibited from receiving gift parcels, or charitable, educational or religious organizations not administered or controlled by the Cuban government; and
  • Increasing the value limit on non-food items to $800.

External Media

Friday, April 17, 2009

Offshore drilling on the U.S. Outer Continental Shelf, an Interior Department hearing, held in San Francisco, April 16, 2009

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In the waning days of the Bush Administration they released a draft Continental Shelf 5-year program meant to cover 2010-2015. The current program runs from 2007-2012 and it's curious that there's an overlap. The overlap means that the Bush Administration sped up the 5-year planning process by a couple years. Under the normal schedule the next 5-year plan would have covered the years 2012-2017. To support putting the new plan together the Department of the Interior is holding a series of public hearings, and the following is based on the San Francisco hearing on April 16, 2009.

At stake is oil and gas drilling in the Outer Continental Shelf. You may recall a slogan in the 2008 Presidential Election was "Drill Baby Drill, Drill Here, Drill Now" as if drilling for more oil is what will solve the energy woes faced by the U.S. The U.S. is importing nearly 70% of the oil we use and of course the money spent on that oil undermines the U.S. economy (balance of trade), and is a national security matter (the oil rich countries have power over the U.S.). The Conservative Republican answer is to drill for oil. However anybody who's looked at the data realizes there is very little oil involved, and that it will take decades before the oil can come to market.

It's clear the attendees were overwhelmingly taking a different attitude about the problem. Over and over the presenters and question askers gave a different strategy than "Drill Now, Drill Here". Instead they overwhelmingly opposed drilling for new oil, and advocated instead use of renewable energy. Rather than spend the money on oil drilling rigs etc, spend the money on new technologies.

It's clear that a big event in their mind is the Santa Barbara oil spill in the 1960's. That oil spill put an image in everybody's mind of spoiled beaches, dead birds, etc. FWIW The attendees were overwhelmingly Californians.

The NIMBY aspect of this strikes me. California cities are overwhelmingly designed around the use of CARS and TRUCKS to move around the cities. Overwhelmingly those vehicles require fossil fuels to move around. Hence that oil has to come from somewhere and to deny the possibility of drilling for oil off the California coast means pushing the oil infrastructure fueling California's cars is conducted in someone else's back yard.

At least most of them advocated tying a shift to renewable energy resources combined with a ban on further oil drilling. Tying the two together is more honest than simply denying further oil drilling. However for the most part renewable energy resources are not in the forum of liquid fuels, but in the form of electricity. To continue supporting transportation systems through a renewable fuel is going to mean electrically driven transportation.

Some data presented.. while big oil spills are thankfully rare, there are small spills all the time. It's estimated there are 2 million gallons per year of small oil spills.

Offshore drilling comes with higher risk of disasters. The further offshore the bigger the risk. Off the Pacific coast the oil fields thought to exist are in deep water, and there are doubts over the possibility to safely drill in those deep waters. Further oil drilling causes the release of mercury and other contaminants, simply from the drilling platform.

One of the proposed locations is in an ocean upwelling zone off the Northern California Coast. Upwelling zones are vital places of abundant sea life where upward ocean currents carry nutrients to the surface feeding an abundant array of life. Allowing oil drilling to occur in that upwelling zone would convert it into a dead zone.

A draft proposal has been produced by the government outlining the plan: Draft Proposed Outer Continental Shelf (OCS) Oil and Gas Leasing Program 2010–2015

Offshore drilling on the U.S. Outer Continental Shelf, an Interior Department hearing, held in San Francisco, April 16, 2009

External Media

Sunday, November 26, 2006

Gas price drop an attempt to skew the election?

Before the November 2006 elections I wrote an article: Dropping gasoline prices, and the mid-term elections pondering whether the dropping gas prices were an attempt to skew the elections. It seemed and still does seem very unlikely. At the same time it is curious why gas prices, which had been well above $3 per gallon over the summer of 2006 fell so precipitously since then.

CNN Money noticed the same thing Gasoline prices up, end 3 month slump which led the Salon.COM war-room to ponder Coincidence? Election over, gas prices up again.

In the interest of relying on facts ...

Here is the chart from before the election, captured on October 8, 2006:

And here is the chart today, November 25, 2006, generated using the same parameters:

What's interesting is the crude oil price has leveled off, and the gasoline price has started to come back up.

Hmmm....?

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Sunday, October 8, 2006

Dropping gasoline prices, and the mid-term elections

It's the Fall of 2006, and we're about 30 days away from the elections. The Bush team and the Republicans overall are in a hurt. And curiously the price for gasoline has fallen dramatically in the last few weeks. I've seen some chatter that perhaps the Republicans, and especially the Neocons/Bush camp, have asked the oil companies to help by lowering the gas prices for the duration. Since some of the voter angst is the high price for gasoline, maybe a lower price would diminish it?

Hey, it's a theory anyway. I haven't seen any credible claim of this. But it is curious that just a month or two ago the price for gasoline in the SF Bay Area was well over $3 per gallon, and yesterday I saw a station selling it for $2.40 per gallon and others in the $2.50 to $2.60 range. That's a $.60 per gallon drop (20%) or thereabouts. What could have caused such a steep decrease?

This article in Slate: The Oil Conspiracy: Is the Bush administration manipulating oil prices to win elections? is going over this issue.

The conclusion seems to be that, no, political leaders are generally unable to affect commodity pricing in the first place. But there are some leverage points, especially for an administration like GW Bush's that is so heavily in bed with the Oil industry and the Saudi Royalty.

The Slate article relates that in Bob Woodward's book State of Denial: Bush at War, Part III Prince Bandar told Bush that they could increase oil production, which would lower the oil price, and do that to help the election results. The article doesn't say whether oil production actually rose in 2004, and it doesn't say whether it rose now.

The Slate article does mention this: Bush takes aim at rising gasoline prices ... this details an announcement made in August 2006 to attack high gasoline prices. The main effect was to order the Strategic Petroleum Reserve to stop making its purchases "until the fall" (conveniently after the election). By doing so that will leave a little more gasoline in the market, reducing some of the supply/demand pressures, hopefully leading to lower prices.

The other idea mentioned in the Slate article is pretty tricky to understand. It has to do with trading of commodity futures contracts. Goldman Sachs, a company formerly led by Treasury Secretary Henry Paulson, recently adjusted the mix of commodities in an index it controls. Changing that mix of commodities then would have caused commodities traders to suddenly dump oil on the market, lowering the price.

What I was able to gather is the price for gasoline falls every year at the end of the summer. In the summer there is a lot of driving as people go on vacation trips driving around the country. The law of supply/demand says that when demand is high, such as the summer driving season, either the supply has to rise also or the price will rise.

Here's an interesting chart

It shows the gas prices over the last three years in Seattle, San Jose and Atlanta. You'll see that generally the price has been upward over the last three years. But there's some interesting ideas you can draw from it.

The first, and the reason for including this chart, is the cyclic price changes. At least for 2005 and 2006 the cycle is much the same. There's a price increase in the late Spring and during the Summer, with a dropoff in the Fall. In 2005 the price increase was extended because of the disruption due to Hurricane Katrina. In 2004 that cycle didn't happen for some reason, with a late price peak just before the election.

The other things I see are: The price for gasoline largely is determined for the crude oil price. And some parts of the country, represented by Atlanta in this picture, curiously pay a lot less for oil than do other parts of the country. Here is a chart of gas prices per county that demonstrates the price differential.

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Sunday, April 30, 2006

Building pressure for a world war to secure oil supplies?

What are we fighting in Iraq for? What are we fighting in Afghanistan for? Why are we threatening Iran?

Think it's about ephemeral things such as establishing democracy and freedom? Think again. There are dozens of freedom-hating countries around the world that we don't threaten with our military. Some of those freedom hating countries had their leaders installed by the U.S. We aren't threatening those countries, only the ones in the Middle East.

This article outlines the growing danger of a world war fought to secure oil supplies: A battle for oil could set the world aflame International powers will do everything to protect their access to dwindling resources. We are mad not to have an alternative strategy (Will Hutton, Sunday April 30, 2006, The Observer)

The key piece is twofold. First is the incontrovertible fact that the U.S. and China both have very little domestic oil supplies. What has allowed our modern societies to flourish isn't technology, it's that the technology has cheap energy to drive it. We could have the same dazzling array of technology, but if the energy to drive the technology wasn't available the technology would be useless. And, this is a situation we all may be facing in a few years.

The U.S. imports over 60% of its oil needs. In the 1970's there were two oil embargo crisis, at a time when the U.S. imported only 35% of its oil needs, and which drove the U.S. into a recession. What would happen today if the supply of oil to the U.S. were to dry up?

At the same time China is experiencing rapid economic growth, which is in turn causing rapid growth in its energy demands.

The article discusses China's role in both the Sudan/Darfur fiasco, and the showdown against Iran. In both cases China has made oil deals with the countries in question, and at the same time are expected to veto any UN Security Council actions against those countries. Further, Iran and China have an oil deal, part of which is shipping oil from Iran to China via a pipeline through Central Asia. Such a pipeline is a strategic move that would keep the U.S. from enforcing anything against that oil, because our Navy is useless in reaching Central Asia.

Thursday, April 6, 2006

The coming world oil disruptions

I was in my young teens in the early 1970's when the oil embargo was used against the U.S. In the second oil embargo I was in college. Those two events really affected me and is what's driving me today to study energy supplies.

Stanford EMF: 80% Probability of Major Oil Disruption in Next Ten Years covers a study done by Hillard Huntington, Executive Director Energy Modeling Forum (EMF), Stanford University, which discusses the probabilities of another oil disruption.

Thinking about it now, this shouldn't be surprising. For example we are threatening Iran right now which could easily turn into a major oil disruption. And generally speaking, OPEC did it before (staging oil disruptions) so why wouldn't they do it again?

The thing that's really alarming is what the effect would be.

In the 1970's the recessions we had then were likely triggered by the oil embargo's. Those oil embargo's caused the price of oil to rise pretty high. Remember Carter's Windfall Profits Tax? President Enron nor Vice President Halliburton nor Secretary of State Chevron are likely to push for such a tax, but we have the same conditions today that occurred in the 1970's that prompted that tax.

In the 1970's the U.S. imported 35% of its' oil needs. Today we import 70% of our oil needs. If there were another oil disruption today, the effect on the U.S. would be far more dramatic than the effect in the 1970's.

Monday, March 27, 2006

Not Optional - a nice rant about the oil situation

Not Optional by Jim Kunstler with Clusterfuck Nation is right on the money, so far as I can see. Enjoy -- warning, it gets a little ranty.

The topic he's writing on is collective blindness on several angles. For example, how can the people really believe we can just pull out of this misbegotten war in Iraq. Regardless of how illegal that war is, we started a total mess there and pulling out now would only make matters worse.

The other blindness is about oil. The war is for oil, despite the protestations of the Administration. The Bush Administration has taken lying to the public to a fine art, and for that I must applaud them.

It's about oil because Iraq has a huge chunk of it, and the U.S. has very little. In order to keep our standard of living, which is one of the meme's the Bush Administration keeps mouthing, we must grab the oil wherever it is.

The problem is this is a fools quest. There's not that much oil left in the world anyway, and there are plenty of alternatives. The better route is to invest in alternative energy research in a big way. Not these piddly little bits here and there the Administration has been throwing out to keep the environmentalists happy. There's a real problem here, and with the direction the Bush Administration is leading the country the only result is a kind of world described in the Mad Max movies.

Saturday, March 25, 2006

Theocracy in America, an "Unholy Alliance"?

Kevin Phillips is one of the political operatives who helped bring the Republicans into power in the 1960's and 1970's. He's billed as a Republican Strategist, and eventually worked in the Reagan White House. With that as background we have a very interesting book from him, warning of the danger of the neo-Theocracy we find ourselves with today in the United States.

Here's some resources:

American Theocracy : The Peril and Politics of Radical Religion, Oil, and Borrowed Money in the 21stCentury

Interview with Democracy Now, March 21, 2006

The Unholy Alliance Kevin Phillips believes the U.S. is threatened by a combination of petroleum, preachers and debt

This gives a sense of where the book is going:

AMY GOODMAN: Kevin Phillips, you talk about radical religion, about debt, and about oil, about this being an oil war. You also talk about peak oil. That's not talked about very much in the mainstream. Explain.

KEVIN PHILLIPS: The peak oil idea is that just as the United States oil production peaked in 1971, that we have a limited amount of oil globally, and that it’s something that can't be re-created. It’s running out. And the expectation of some is that the oil production of the non-OPEC countries will peak at some point during the 2010s, and that then the production of OPEC itself will peak in the 2020s or 2030s. Now, some people think that Saudi production has already peaked.

Now, if you believe this, and it’s possible, then we face an enormous convergence, again under specific oil-related circumstances, of a global struggle for natural resources as the price of oil climbs, as we turn the armed services into a global oil protection service, which has been happening, and as we see the administration refuse to grapple with the need to really curb oil consumption in the United States, which is mostly through transportation and especially motor vehicles.

And I just have a sense, as many others on the conservative side do, this administration has no strategy to deal with these converging problems, be they foreign policy, military, oil, debt. They are like the three little monkeys on the old jade thing – the one sees no evil, one speaks no evil, and one hears no evil. Do they know anything? You know, that's an open question.

But, it just goes on and on. Such as an assertion that: "that the Bush electorate is probably 50 to 55% people who believe in Armageddon and probably more or less the same numbers who believe that the Antichrist is already on earth. And when you have this backdrop and you have a president who got his start in national politics as his father’s liaison with the religious right back in 1987 and ‘88, you just have an enormous exposure to this whole psychological context and an awareness on the part of people in the White House that this huge constituency interprets the Middle East in this very unusual way."

Saturday, March 4, 2006

A meditation on the speed limit

Who was it that sang "I can't drive 55"? A Meditation On the Speed Limit is a project launched by a group of college students who wanted to prove 55 is a ridiculous speed limit.

I like this because I myself do the same thing, which is to drive the speed limit regardless of what speed the nutballs behind me want to drive. They are in Atlanta, and did this on the perimeter highway, getting four cars together to cooperatively drive the speed limit. And by cooperatively driving the speed limit, they could block all lanes and keep everybody at the speed limit. And, they filmed everything posting the result to the web.

They wanted to prove 55 is a ridiculous limit, but for me I think highway speeds are ridiculously fast. My thought is that at highway speeds death can come very quickly. Which just shows I'm in a different place than they are.

What was astonishing (well, not really) is the offensive reaction they got and the dangerous driving others got into. Apparently american drivers are addicted to driving fast on the highway. Watch the video for more details.

Tuesday, February 21, 2006

Asia Times Online :: India to join Turkmenistan gas pipeline

Hopefully you saw Fahrenheit 9/11, the movie by Michael Moore that was prominent in 2004. His main topic throughout the movie was to explore cronyism and how that created the war in Iraq. The main example is the laundry list of business ties between the Administration, the Saudi royalty and even to the bin Laden family. That most of the Administration has ties to the Oil Industry (both GW and GHW Bush owned oil companies, VP Cheney was the CEO of Halliburton, Chevron named an oil tanker for Condoleeza Rice, etc) figured heavily in this movie.

In one segment Moore talked about the oil in Central Asia and the U.S. plan for bringing that oil to market. The Central Asia oil has been a matter of power play for several years, and it's land-locked position that isn't easily accessible makes it difficult to "extract" and sell on the market. Taking it in one direction, you'd be going through Russia. Another direction and you're going across Siberia and then the port is in the arctic and probably locked in by ice. And to the south are steep mountains, some of the highest in the world. Also to the south is Iran, a sworn enemy of the U.S.

The chosen U.S. route was through Afghanistan. The U.S. has pushed for this route since the 1990's. The problem was, neither Afghanistan nor Pakistan were terribly friendly to the U.S. The Taliban was in control, and Pakistan was very friendly with the Taliban. It didn't make any difference that during the 1980's the U.S. worked closely with Pakistan and the people who became the Taliban. In the 1980's the menace was Russia's invasion of Afghanistan, and the U.S. effort to drive Russia out, which meant a secret operation supplying the mujahadeen (as they were known then) with arms and training. By the 1990's that was long in the past, and U.S. policy had shifted away. Even so the Taliban government visited the U.S., as Michael Moore documented, working to negotiate both the opium poppy eradication as well as the pipeline deal.

BTW, since the toppling of the Taliban government, opium poppy production has sprung back to pre-Taliban levels.

In any case there was an existing plan to run an oil pipeline through Afghanistan. And you can imagine the big question in U.S. and oil industry planning -- how the heck do we get access to Afghanistan? Essentially that country had become enemy territory.

Conveniently the September 11, 2001 attack provided the needed excuse. The culprits were in Afghanistan, which gave us all the excuse in the world to invade that country, topple its government, etc.

And, now, conveniently the path was clear. Afghanistan was no longer essentially enemy territory. Further, in the process of making war on Afghanistan the U.S. established bases and cooperation with several Central Asian countries. These countries had been carved out of the former Soviet Union after its collapse in the early 1990's.

A nagging question is whether the September 11, 2001 attack was merely a coincidence, or whether some behind the scenes conspiracy created it? There's enough connections there to make one ponder. The Bush family had ties with the bin Laden family, to the point that one of the bin Laden cousins bailed George W Bush out of at least one of his failed businesses. And there was the pre-existing plan for a pipeline through Afghanistan, and coincidentally the major players in creating that plan are now major players in both the Afghanistan government and the U.S. relationship with Afghanistan.

But there isn't enough proven data to truly connect the attack to any behind the scenes conspiracy. So we'll just leave that question dangling out there.

What's of interest now is this article: India to join Turkmenistan gas pipeline

It discusses two different pipeline projects to bring Natural Gas to "market". One is the US-backed Turkmenistan-Afghanistan-Pakistan (TAP) while the other is the Iran-Pakistan-India (IPI).

This appears to be part of the larger geopolitics power struggle. The different sources of these two pipelines is interesting. Iran being an U.S. enemy at this moment makes this statement interesting:

Moreover, unlike IPI, the project does not run the risk of being blacklisted for participation by US and European financiers and companies. The US has been encouraging Pakistan to abandon the IPI project and consider TAP for meeting its gas needs.

Blacklisted?? This isn't explained, but clearly the official relationship with Iran is problematic for many countries. But Pakistan probably has a lot of cooperation with Iran, given they share a long border and probably have common cultural elements. But to the U.S. and the "west" Iran is a pariah, being controlled by fundamentalists who are opposed to the western powers.

Saturday, February 18, 2006

Chavez threatens to cut off oil to U.S. - Feb 18, 2006

This CNN article: Chavez threatens to cut off oil to U.S. discusses a threat by Hugo Chavez to cut off Venezuela's shipments of oil to the U.S. Part of this has been an ongoing story, for example the American-backed coup attempt in Venezuela a couple years ago.

Chavez has been making statements for years about vague threats against him by the U.S. They might sound like the ravings of paranoia, except that there was this weird coup which started to topple him out of power. A coup which was clearly inspired by American interests. And, there is the long history of the U.S. toppling governments in the Western Hemisphere through following the Monroe Doctrine, in which President Monroe declared to the world, "The Western Hemisphere is ours, and you can't have it" and which has justified repeated actions by the U.S. government against western hemisphere governments from at least the Dominican Republic, to Allende's government in Chile, to the invasions of Grenada and Panama.

A part of the game playing between the U.S. and Venezuela is repeated expulsions of diplomats over allegations of spying.

Which just reminds me of: The confessions of an economic hit-man an interview I heard on Democracy Now a few days ago. The interviewee, John Perkins, had written a book exposing, as a former insider to the game, how the U.S. government has quietly created a worldwide economic empire. A part of that game is to make deals with world leaders where people like him would meet newly elected world leaders and offer them a deal. In one hand the economic hit man will offer riches, kickbacks for example from the sale of whatever resources that country has. In the other hand the economic hit man will hold a threat of violence against that leader or his/her family. These leaders know the history and know that legions of previous world leaders have been assassinated or overthrown by these people.

Wednesday, February 15, 2006

Iraq, Vietnam all over again?

In Permanent bases in Iraq? Tom Engelhardt suggests we interpret Iraq as Vietnam.  Iraq is a worsening situation, where it's hard to see any face-saving exit from the country and where the population is increasingly rising up against the American presence.  Plus, at home there's a growing anger over this war.  I don't know what's taken the American people so long, the war is clearly illegal and immoral.

Engelhardt's main point of discussion is to contrast the plan for troop reductions with a fact "on the ground".  Namely the presence of the permanent bases that have been constructed, which cost several billion dollars.  An army engineer tasked with facilities development described them in an engineering magazine article with "staggering" cost.  If the plan is to withdraw, then why spend billions of dollars on bases?

One of the bases has finally been discussed in the mainstream press as having a "small town feel".  It has all the comforts of home, extensive telecom and other infrastructure, etc.  And in the London Telegraph is another covering the still-under-construction al-Asad airbase.  Apparently each of these bases cover 15-20 square miles of land.  There are at least four of these bases in Iraq and the fact we're stating this as "at least" is a symptom of the secrecy.

Monday, January 16, 2006

Re: The price of gasoline could get ugly in 2006

The "Hybrid Cars Blog" suggests that in 2006, the price of gasoline could get ugly. That is, the high gas prices seen in the U.S. last year could be as bad, or worse. See: The price of gasoline could get ugly in 2006

The story seems to be that the cause for last years oil price surge can be found in the gap between China having increasing oil use and weather related outages in oil delivery. This year China's surging oil demand is still there, plus we have several possible outages in oil delivery such as "rebels" in Nigeria attacking oil platforms, and the situation in Iran from which there could be several ways oil delivery could be blocked.

While that story is very true, it is also an example of short term thinking.

In the long term picture the price for oil can only go up. In the short term there will be fluctuations, but long term is a different story. Why? It's because the demand continues to go up in an unabated curve, and the Peak Oil scenario is looming out there.

The Peak Oil scenario is a model developed by oil company scientists that describes production capacity over time. The model shows that the world oil production capability will peak. Already discoveries of new oil fields has dried up with discoveries not at all meeting the growth in demand for oil.

UPDATE in December 2006 ... the price for oil and gasoline did get very high up until September. Then it curiously dropped just before the election, and then has curiously risen a little since the election. Makes one wonder if some kind of price manipulation was being tried by the oil industry to prop up the Republicans? If so, it didn't work.

Sunday, January 15, 2006

Public meeting on Iraq, Iraq policy, Rep. Murtha, and the possibilities to impeach the President

I just watched a 2 1/2 hour long meeeting recorded from C-SPAN, which I learned about from here: American Foreign Policy, Part Deux. It was an opportunity for Representative Murtha to explain and discuss a proposal he's made to withdraw from Iraq. The Republicans and Neocons have been jumping all over him, calling him a coward, unpatriotic, etc (note: he served in two wars, in the Marines, and has a ream of medals to show for his service). The action towards Rep. Murtha is just following the prior pattern when anybody dares to say the slightest thing against the Administration, that out of the woodwork comes various kinds of attacks and most especially to question the patriotism of the person who made the criticism.

Are so insecure that they can't stand a little scrutiny and criticism ...??

Anyway, here is what Karen Kwiatkowski has to say about the C-SPAN show:

A lot of Americans are waking up to this Part One, as the recent standing room only town meeting co-hosted by Virginia Democrat Jim Moran and Pennsylvania Republican Jack Murtha. Watch the video. It is shock television at its best, courtesy C-span. Murtha and Moran say they want troops out soonest, and both insist we are not building permanent military bases in Iraq. Like I say, it's shock TV - see for yourself!

(The video is linked above -- you will need the Real Video player to view it)

They held a "town hall" meeting that was jam-packed, where they turned away more people than could actually attend the event, etc. It was a very spirited event from what I can tell via the recording.

Rep. Murtha's suggestion is that we should withdraw U.S. troops from Iraq NOW. That we should let the Iraq government take over. That we should keep U.S. troops in the vicinity (e.g. Kuwait), I suppose so that troops are easily redeployed if the situation were to flare up.

I'm not so sure that's a good idea. Much as I am angry over the war in the first place, at how unnecessary it is, how it is a distraction from the real problem, how the administration lied to the world and the American people in order to launch the war, that withdrawing would leave a power vacuum that would simply result in a civil war as the different factions compete with each other to grab all the power. At least, that's what I am afraid of. Which just leaves me highly conflicted because we have no ethical, legal, or moral right to be in Iraq doing what we are doing.

Rep. Murtha also talked at length on the corruption (e.g. "no-bid" contracts which simply means the U.S. is being ripped off by defense contractors) and the horribly underfunded Veterans Administration (paid for by the tax cuts).

Many times the questions were "When are we going to Impeach the President". It was enlightening to hear both Rep. Murtha and Morin basically agree with the sentiment. It's basically been proved that the President and all the Presidents People lied us into this war, that it was premeditated back to 1992 (at least), that it has been horribly mismanaged, that the insurgency that is killing so many U.S. and Iraq people is directly attributable to the mismanagement, that the administration is criminally culpable in this, and that it is a reprehensible situation. Both of the Representatives basically agreed with this, but they kept saying how Impeachment was basically impossible.

They pointed to an investigatory hearing held by Rep. Conyers meant to explore the same issue. He just barely got approval to hold that hearing, in the first place, and the space he was given to hold it was in the basement. Relegated to the basement. See, the practical fact is that the Administrations party controls the Congress, and so long as the leadership is as it is, there is practically zero chance of Impeachment.

What Rep. Morin kept returning to is that we, the people, the ones for whom this most perfect union of a government exists, it is we who need to organize. The solution is in the ballot box, and it is in organizing the democracy for which we stand to stand up and take back the reins of government.

Wednesday, December 28, 2005

Guardian Unlimited | Shock, awe and Hobbes have backfired on America's neocons

What is the reason for the Iraq war? Was it an altruistic exercise in helping a poor oppressed people join the community of enlightened Democacry countries? Naw, because if it were then why doesn't the U.S. launch similar wars on other oppressive countries? There's a bigger picture going on and it's more than a coincidence that the plan by the Project for a New American Century to reshape the world begins in the heart of the Middle East, where the oil is. And, at the same time, there is a game afoot to bring oil from Central Asia to market, with the chosen U.S. path being a pipeline built through Afghanistan. And why did we go to war in Afghanistan? If it was about Osama, then why have we let Osama and the other leaders get away?

That's what is implied from this article: Shock, awe and Hobbes have backfired on America's neocons Iraq has shown the hubris of a geostrategy that welds the philosophy of the Leviathan to military and technological power (Richard Drayton, Wednesday December 28, 2005, The Guardian)

He starts out with an observation about technology.

Ex-hippies talked of a wired age of Aquarius. The fall of the Berlin wall and the rise of the internet, we were told, had ushered in Adam Smith's dream of overflowing abundance, expanding liberty and perpetual peace. Fukuyama speculated that history was over, leaving us just to hoard and spend. Technology meant a new paradigm of constant growth without inflation or recession.

I remember that was the dream floating about during the .COM bubble in the late 90's. But, this kind of thinking is in denial of a real problem. The driving force of the expansion of technology is not technology, it is oil and natural gas. The energy used to drive the technological marvels are these fossil fuels whose use is destroying our environment and which are becoming scarcer by the day.

The public has been misled to believe the technology will keep flowing forever. But that promise is based (today) on fossil fuels.

The problem with that picture is it appears the oil is running out. There is a model put together decades ago which describes the availability of oil. The model shows an unnavoidable fact, that at some point in the future the production capacity of oil will "peak" and after that oil will inexorably decline. There are many indications we are at or near the peak, today.

The rest of the article goes into describing megalomaniacs who have the capabilities to act out their megalomania. The writings of the Project for a New American Century (PNAC) show them to be megalomaniacs. The PNAC is a think-tank whose founding members are today holding positions of high power in Washington DC (that is, Cheney, Rumsfield, Wolfowitz, Bremer, Jeb Bush, etc). In the mid-90's the PNAC published a series of position papers describing the need of America to assert global dominance, ensuring a Pax Americana. The justification was that "we" are the worlds sole remaining superpower, and that we had to use our strength to take the moral high ground and that it was our duty to reshape the world in our image.

According to this article these people learned certain strategies from the classics of literature:

or the American imperial strategists invested deeply in the belief that through spreading terror they could take power. Neoconservatives such as Paul Wolfowitz, Richard Perle and the recently indicted Lewis "Scooter" Libby, learned from Leo Strauss that a strong and wise minority of humans had to rule over the weak majority through deception and fear, rather than persuasion or compromise. They read Le Bon and Freud on the relationship of crowds to authority. But most of all they loved Hobbes's Leviathan. While Hobbes saw authority as free men's chosen solution to the imperfections of anarchy, his 21st century heirs seek to create the fear that led to submission. And technology would make it possible and beautiful.

The technology that is supposed to free us all, is also these peoples weapon used to dominate us all.

The vision they've had, and which Rumsfield has been busily implementing in the Defense Department, is that high technology weaponry can be used to create battlefields with few soldiers. Hence we have unmanned aircraft doing both surveillance and firing weapons, we have a rise in robotic tanks, we have a global satellite system delivering GPS positioning coordinates and others spying on everybody's activities. The next time you're in the back yard making love with your sweetie, think about the Pentagon watching you.

But their vision missed something which Iraq and Afghanistan have demonstrated. Satellites in the sky can't stop the acts of individuals. In Afghanistan the leaders made their escape so they could make new plots in the future. In Iraq the U.S. forces have been hobbled by the improvised explosive device (IED) in ways that satellites cannot see or prevent.

Thursday, June 2, 2005

Oil prices may double in three years, analyst says

Oil prices may double in three years, analyst says (webnewswire)

One of the worlds leading energy analysts, Matthew Simmons (an advisor to Pres. Bush), told an energy conference in Edinburgh:

"This is a new era," Simmons told a conference of oil industry analysts, government officials and academics in Edinburgh. "There is a big chance that Saudi Arabia actually peaked production in 1981. We have no reliable data. Our data collection system for oil is rubbish. I suspect that if we had, we would find that we are over-producing in most of our major fields and that we should be throttling back. We may have passed that point."

Simmons told the meeting that it was inevitable that the price of oil would soar above US$100 as supplies failed to meet demand.

"Demand is pulling away from supply ... and we have to ask whether we have the resources that we think we do. It could be catastrophic if we do not anticipate when peak oil comes," Simmons said.

One can assume then that Pres. Bush has been informed of this opinion as well.

Which just leads me to wonder why he is continuing to promote oil-based energy strategies.

Article Reference: 

Monday, May 9, 2005

Examining nukes to replace oil

I haven't caught up with President Bush's proposals last week in energy policy. I was traveling and didn't have time to read it as it happened.

When It Comes to Replacing Oil Imports, Nuclear Is No Easy Option, Experts Say (By MATTHEW L. WALD, Published: May 9, 2005 NYTIMES.COM)

Apparently one proposal was to promote the building of more nuclear power plants, as a way to balance energy needs.

Hmmm... The article above says this is using peculiar reasoning:

There is a problem, though: reactors make electricity, not oil. And oil does not make much electricity.

The problem facing us is oil. In the NOW, there is a high price for oil (in the $50-60 range, up from the $25-30 prevalent since 2000, and up from the $10-15 range it had been through most of the 90's). And we see in the near-term future an impact from the "Oil Peak" effect where it will become impossible to increase production of oil products, even in the face of rising demand.

Oil is used largely for fuel for vehicles (cars, trucks, airplanes, etc), which are largely not electrically driven.

Which just means that by proposing nuclear power to balance a problem with oil supplies is a ruse. Another lie from the Bush administration, this time intended to get more nuke plants out there for some reason.

The article does go into some useful figures:

According to the Energy Department, last year the electric utilities used about 207 million barrels of oil, or less than 600,000 barrels a day. (Total American consumption of oil is about 20.5 million barrels a day.)

This says that a mere 2% of the oil used in this country goes to electricity production. Hmmm, not much.

The article goes on to describe a sideways process that could improve the existing oil supply to be more suitable for vehicle use. It's a little complex, so let's take this one step at a time:

Gasoline is made of molecules with a certain ratio of carbon to hydrogen. Part of each barrel of oil consists of molecules with too much carbon to be useful in gasoline; instead, those molecules are used only in low-value products like asphalt and tar.

The technology exists for refineries to break up those molecules and add hydrogen, until the hydrogen-carbon ratio is suitable for making gasoline or diesel.

They go on to explain that heavy oil has a higher ratio of carbon, while light oil has a higher ratio of hydrogen. It is the light oil that we put into vehicles.

Hence, the idea is to convert heavy oil into light oil by adding hydrogen.

For example:

Canada has vast reserves of shale oil, now being converted to ingredients of motor fuel by using natural gas. The gas is used to heat the shale to make its oil flow more easily, and hydrogen, also obtained from the natural gas, is incorporated into the oil to make it suitable for use in gasoline. But a nuclear reactor could do those jobs, delivering both hydrogen and steam for cooking the oil out of the rock, Mr. Herring said.

Another strategy, he said, would be to break down coal, shale oil or other hydrogen fuels into a gas comprising hydrogen and carbon monoxide. At high pressure, these materials could form molecules suitable for making gasoline or diesel. A reactor could provide the energy required.

The "reactor" in question is not the current design of nuclear reactor, but is in the process of being designed and will take another 20+ years to get ready.

The Idaho National Laboratory in Idaho Falls, which is owned by the Department of Energy, is working on ways to take very hot steam from a nuclear reactor, then run a small electric current through it to separate the water molecules into hydrogen and oxygen. If that can be done more cheaply than the current method of producing hydrogen, which uses natural gas, the hydrogen could be used at refineries to make components of gasoline.

Yup, use a nuclear reactor to make heat and with that heat optimize the electrolysis process used to split water into Hydrogen and Oxygen. That gives you some hydrogen you can then use to improve the heavy oil to create light oil.

This sounds like a lot of work, and a very circuitous process, all just to preserve the hold the oil industry has over the U.S.A. It will take a lot of R&D dollars to go this route, and I wonder "why".

Why not use those dollars to improve funding for alternatives like wind, solar, etc..?

NO NUKES!!!!!

Sunday, April 17, 2005

Project Censored: 2005 report

Censored 2005 : The Top 25 Censored Stories (Censored)Project Censored (projectcensored.org/) is a research organization based in Sonoma County CA dedicated to exposing newsworthy stories that do not get covered by the mainstream press. Every year they publish a list of 25 under-reported stories.
Censored 2004: The Top 25 Censored Media Stories of 2002-2003

(http://www.projectcensored.org/publications/2005/index.html)

#1: Wealth Inequality in 21st Century Threatens Economy and Democracy

In the late 1700s, issues of fairness and equality were topics of great debate—
equality under the law, equality of opportunity, etc. Considered by the framers of the Constitution to be one of the most important aspects of a democratic system, the word “equality

#1: Wealth Inequality in 21st Century Threatens Economy and Democracy

#2: Ashcroft vs. the Human Rights Law that Holds Corporations Accountable

#3: Bush Administration Censors Science

#4: High Levels of Uranium Found in Troops and Civilians

#5: The Wholesale Giveaway of Our Natural Resources

#6: The Sale of Electoral Politics

#7: Conservative Organization Drives Judicial Appointments

#8: Cheney's Energy Task Force and The Energy Policy

#9: Widow Brings RICO Case Against U.S. government for 9/11

#10: New Nuke Plants: Taxpayers Support, Industry Profits

#11: The Media Can Legally Lie

#12: The Destabilization of Haiti

#13: Schwarzenegger Met with Enron's Ken Lay Years Before the California Recall

#14: New Bill Threatens Intellectual Freedom in Area Studies

#15: U.S. Develops Lethal New Viruses

#16: Law Enforcement Agencies Spy on Innocent Citizens

#17: U.S. Government Represses Labor Unions in Iraq in Quest for Business Privatization

#18: Media and Government Ignore Dwindling Oil Supplies

#19: Global Food Cartel Fast Becoming the World's Supermarket

#20: Extreme Weather Prompts New Warning from UN

#21: Forcing a World Market for GMOs

#22: Censoring Iraq

#23: Brazil Holds Back in FTAA Talks, But Provides Little Comfort for the Poor of South America

#24: Reinstating the Draft

#25: Wal-Mart Brings Inequality and Low Prices to the World

Wednesday, April 13, 2005

"Global Warning", interview w/ James Howard

The Long Emergency: Surviving the End of the Oil Age, Climate Change, and Other Converging Catastrophes of the Twenty-first CenturyI have in front of me an interview with James Howard, a longtime critic of urban sprawl and the innefficiencies associated with it. With his latest book, The Long Emergency, he has joined the chorus singing the dangers of the Peak Oil story.

This is a more rational version of the "we're going to run out of oil" scenario. A bunch of scientists, beginning with Oil Company Geologist Hubbert, have put together a most enlightening and alarming story. What they've done is make a picture of the oil available, and the production levels. Charted over time the picture is very alarming.


A historical perspective on the Age of Oil. (ASPO newsletter #35)

The ASPO web site (http://www.asponews.org/) has more detailed pictures available, but the important message is conveyed in this one very well. There will be a peak in oil production capacity, and it will happen sooner rather than later. This isn't a cliff that once the world hits the peak, there's no more oil. Instead it's more of a mountain like in the above picture. Once we hit the peak, oil supply begins to decline but its still available.

The demand for oil is inexorably growing. Not only is there the organic growth in demand from the industrialized countries, but there are several countries currently experiencing hyper growth as they industrialize. Most especially India and China, and between the two of them they have 2/3rds of the worlds population.

Consider some basic economics. What happens when there is continued demand for a product, but the supply for that product cannot expand to meet the demand?

Doesn't the law of supply/demand dictate that the price for must product rise?

Consider the effects on the U.S. and world economy of a rising price for oil?

The availability of abundant energy is interwoven with every part of our societies existance. We couldn't live in suburbia, far from our jobs, without cheap energy. We couldn't afford well lit or well heated homes, without cheap energy. We couldn't afford to let our computers run 24x7, without cheap energy. Cheap energy supplies us with everything from plastics (that we tend to use once, and throw away) to airplanes, and everything in-between.

But the energy was "cheap" because we thought the supply of oil was limitless. Well, my friends, that was a pack of lies told to us by the leaders.


James Howard Kunstler: We poured our national wealth into the construction of a living arrangement that has no future -- and the future is now here. The infrastructure of suburbia can be described as the greatest misallocation of resources in the history of the world. It was deficient and problematic as a human habitat even apart from the question of its sustainability. The way we live in America represents a tragic set of collective and individual choices we made at a particular point in history, the mid-to-late 20th century, when circumstances seemed to suggest there were no limits to our quest for comfort, convenience and leisure. These things turned out to be a poor basis for a value system and for an economy.

...The Germans and Brits are paying $5.50 a gallon and their societies are not collapsing. If they can handle $6 gas, why can't we?

The Europeans have very different ways of life and standards of living. They have cars but are not car-dependent, certainly not to the degree we are. They did not destroy their towns and cities. We did. They did not destroy their public transit. We did. They did not destroy local agriculture or the value-added activities associated with it. We did. If Prince Abdullah of Saudi Arabia got bumped off by a Wahabi maniac tomorrow and the West was put under a new oil embargo, the Europeans would still be able to get around. We would not.