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Global financial system implosion begins

Even if you believe that the energy that we get back over time from that is less than what is put in, its still a better activity to spend some of our fossil fuel on than stuff that will return nothing.
thing is though, it isn't anywhere close to being true, and it's not true because he bases all his assumptions on false premises.

here's how he assumed solar would be deployed in largescale installations when he first brought this up, which is based on the paper I mentioned earlier.

So, for example. Take the infamous German Solar facility. Scale it to a square grid of dimension 100km (about the size you would need to make a material contribution to the global energy supply, absent hydrocarbon). If you can access, say, 0.5km either sided of a road for maintenance (inverter repair, panel cleaning, etc.), what length of road network would you need to service the array? Answer: about the same length as the Canadian road network. If you need X thousand barrels of oil per km of road to tar this network, how many million barrels of oil would you need? Answer: who cares - at $180/bbl, you can't afford it. What fraction of the grid's output is required to process that quantity of oil? To build the refinary for that oil? To build the vehicles necessary to service the grid? To build the factories in which the vehicles are manufactured? Answer: since you need ALL of the grid's output to do useful stuff - too much.

now here's a few largescale ground mounted solar PV installation.

images
pv_array.jpg
dupont1_XQkTT_69.jpg


Can you see any tarmac?


He really is talking complete rubbish when it comes to solar PV, as the vast bulk of academic EROI calculations on solar PV demonstrate, with only the odd one supporting his position, and that's the one that also thinks you must need vast quantities of tarmac for largescale solar, which you clearly don't.
 
now here's a few largescale ground mounted solar PV installation.
These are tiny in relation to the facilities that would have had to be constructed to replace even a fraction of current hydrocarbon. We need arrays 100 km x 100km.

The access requirements of these arrays was discussed simply to provide a visible example of the broader principle of hidden infrastructure energy requirement. Since the vast majority are hidden they are, by definition, hard to describe. Whether this one example, in 126 pages of examples, was well chosen or not does not alter the fundamental point, which you now seek to misdirect: your argument cannot accommodate the manufacturing, operating and maintenance energy requirement, not of the array, but of every single component of the system that must function for the array to be viable, right down to the factory that makes the ball bearing that goes in the gearbox of the truck that mines the ore that makes the metal in the girder of the factory that houses the industrial oxygen facility for the silicon foundry - all currently powered by hydrocarbon. You, and the academic papers sponsored by vested interest - ignore it completely, because otherwise the process would be demonstrably non-viable and there would be no industry.

Show us a solar powered silicon foundry of industrial output capability. Show us a solar powered ore mining complex. Show us a solar powered truck factory. Show us a solar powered potable and waste water distribution system serving the city the workers live in. Show us a solar powered global transportation system bringing all the (depleting) raw materials from which the arrays are constructed. Show us a solar powered field maintaining the tripled food yield upon the workers depend (oops). Allow the thoughtful person reading this to do the thought experiment and try and conceive of what the attempt to construct such facilities implies. A couple of holiday snaps and publicity shots of some hydrocarbon built toy facilities won't do, I'm afraid.

And even when you've done that, you won't have made your point, because the point of the exercise is not to show whether renewables can power their own manufacturing and operating facilities and subsystems and the wider societal systems upon which their continuity depends. The point of the exercise is to show that they can do so with enough marginal power to carry on doing the things we currently do without the energy burden of having to manufacture our own energy production systems - like the colossally energy intensive process of growing enough food for 7 billion people - in a timescale governed by the non-negotiable rate at which our remaining economic reserves are depleting.

A thoughtful person will understand that the pictures you show represent only the tip of a very large iceberg, comprising all the globally extensive, energy intensive systems, extending right back into the foundations of our society, which must be functioning and powered for the little arrays in your pictures to exist. And that iceberg is powered - unsubstitutably - by hydrocarbon. That is the dirty little secret of the hi-tech renewables industry, and you hate that I point it out.

But thank you for providing yet another opportunity to illustrate both the magnitude of the problem, and the extent to which you underestimate it.

He really is talking complete rubbish when it comes to solar PV, as the vast bulk of academic EROI calculations on solar PV demonstrate, with only the odd one supporting his position, and that's the one that also thinks you must need vast quantities of tarmac for largescale solar, which you clearly don't.

I've read the academic EROI calculations on solar PV to which free spirit refers. Their common and hilarious feature is that they don't account for the total energy requirements of the systems they purport to quantify the EROI of - the "whole lifecycle energy requirement", to use the language of energy accounting.

It all hinges on system boundaries, and where you place them. If I exclude my mortgage payments from my budget, I can afford to live in Chelsea. Wrong system boundary - mortgage payments are inside my system. Wrong conclusion.

People - like free spirit - who understand that this accounting method is deranged, swallow it whole when it is applied to their pet projects. "Oh", says free spirit, "you are double counting your mortgage payments. They will get picked up by the operation of society as a whole. You really are talking complete rubbish". So his friendly academic's calculation goes: "Assume the existence of a hydrocarbon powered industrial manufacturing system. This paper estimates the EROI of a solar blah blah". They don't state it like that, of course, but that's free spirit's Fallacy of Consensus for you.

The "odd ones" to which he refers are the ones that don't assume the existence of a hydrocarbon powered industrial manufacturing system. There aren't many of them because it's quite hard to do - we didn't design our system, it is an emergent property of the rules by which our system is governed. So it's quite hard to map our energy uses, and we stand in relation to them in approximately the same way a fish does to the water it lives in - utterly dependent on it, and utterly unaware of it. All we know is that, everywhere we look, we find bigger and bigger uses.

Anyway, these energy accountants attempt to "include the mortgage payment in their budgets". Which, when you think about it, are the ones you need when you are evaluating the scope for replacing hydrocarbon with something else. Free Spirit doesn't like those ones, and labels them "odd" because their conclusions are not consistent with his wonky-accounting paradigm. But rather than using that as an opportunity to examine his paradigm, he rejects them, using that old chestnut of the paradigm-trapped victim of the Fallacy of Consensus: "Everyone who's opinion I like disagrees with this conclusion. It's a balance of probability thing, you see".

It's bollocks, you see.

Meanwhile, I very clearly stated that EROEI estimates cannot be used for quantitative purposes, and provided *indicative* data which shows the *trend* together with the reference to promote conversation. Yet you have devoted several hours constructing one of your tedious straw men arguments as if I had asserted it was quantitive, and attacked that. Taking data out of context and forcing it to bear examination it was never designed to bear is yet another tool in the toolbox of deniers everywhere.

Free spirit - I'm weary of your hostility and refuse to engage with you any more on this basis. It is entirely possible to discuss this subject in a civilised manner - it is physics, after all, not politics or sociology. But that capacity seems to elude you, there is no synthesis of anything new or interesting here, and so I'm going to terminate this exchange with you now. You are free to make your own life choices on whatever mental model you feel serves you best, in which endeavour I have no interest other than to wish you well however it turns out for you.
 
These are tiny in relation to the facilities that would have had to be constructed to replace even a fraction of current hydrocarbon. We need arrays 100 km x 100km.

The access requirements of these arrays was discussed simply to provide a visible example of the broader principle of hidden infrastructure energy requirement. Since the vast majority are hidden they are, by definition, hard to describe. Whether this one example, in 126 pages of examples, was well chosen or not does not alter the fundamental point, which you now seek to misdirect:
You know perfectly well why I specifically picked this point out - it's because it's the basis of the only academic EROEI calculation that's ever been published that supports your position. It's also where you got that example from, so it's not me that's guilty of misdirection here.

You're clearly totally wrong on that point, yet you continue to repeat the same point about the EROI of solar despite the fact that the only paper that supports your position is so clearly wrong. How can you base your original EROI calculations on this major factor, then not adjust them at all when it's pointed out that this factor simply does not exist? That to me is the dishonest argument, not the person pointing out what you've done.

You're entirely wrong on this point - the EROI of solar is far from negative, and you have no factual basis, and no support in the peer reviewed scientific literature, to continue repeating this false claim yet here you are again doing exactly that.

Free spirit - I'm weary of your hostility and refuse to engage with you any more on this basis. It is entirely possible to discuss this subject in a civilised manner - it is physics, after all, not politics or sociology. But that capacity seems to elude you, there is no synthesis of anything new or interesting here, and so I'm going to terminate this exchange with you now. You are free to make your own life choices on whatever mental model you feel serves you best, in which endeavour I have no interest other than to wish you well however it turns out for you.
If you don't present unsubstantiated hypothesis as fact in future, or correct the false impression you've given when called on it then you'll get less hostile questioning from me.

For me, if you continue to post up such misleading statements, I will continue to challenge them whether or not you chose to engage with me on it. TBH your engagement with me on this hasn't exactly resulted in anything other than my original point being eventually demonstrated to have been correct anyway, so I'm not surprised you're weary of our exchanges.
 
My point was, is, and shall remain that the global financial system is undergoing implosion, brought about by its critical dependence on an expanding energy supply which is now contracting, of which the dominant component - because of its density, fungibility, EROEI, transmutability, transportability, and unsubstitutability - is oil.
For the record, this is the statement that Falcon has eventually admitted he can provide no credible supporting evidence for.

Falcon, will you now retract that statement, or at least clarify that it is an unsupported statement of opinion not a statement of fact?

tbh I also reckon you should accept that I was entirely right to publicly challenge this statement.
 
Meanwhile, I very clearly stated that EROEI estimates cannot be used for quantitative purposes, and provided *indicative* data which shows the *trend* together with the reference to promote conversation.
no you didn't, you made statements about that, but then claimed this while pointing at the graph I then critically analysed as being evidence that EROEI is falling faster than supply growth is rising.
Nor do we have to - we claim only that EROEI is falling faster than supply growth is rising - the necessary and sufficient condition that net energy is falling. And that evidence is presented in abundance in the literature e.g.

Yet you have devoted several hours constructing one of your tedious straw men arguments as if I had asserted it was quantitive, and attacked that. Taking data out of context and forcing it to bear examination it was never designed to bear is yet another tool in the toolbox of deniers everywhere.
on the contrary, you took that graph out of context, I just put the graph firmly back into the context given in the actual research paper the raw data was taken from, and demonstrated exactly how unreliable the data was, and why any trends then taken from it were even less reliable than the original base data.

This was the only direct evidence you'd given to support your position, so you can't really object to me actually going to the trouble of critically analysing it to determine it's reliability or otherwise can you?

btw, just so you know, I don't just devote this level of time to proving you wrong, I'm actually very interested in getting to the truth of the matter, as this is an incredibly important point, and if you were actually right then we would need to be taking action even more drastically than we currently are to address it. I do actually think that there should be a lot more awareness raised of this impending serious issue, and attention focussed on developing the metrics needed to measure it, but I don't think this is helped by the sort of unsupported hyperbolic statements you regularly come out with on the subject, as if your first statements are so easily demonstrated to be incorrect then why should anyone trust anything else you have to say on the subject?
 
Anyone seen the documentary, 'Collapse'.
The one with Michael Ruppert? Yeah, a few years ago. Bleak and depressing, I seem to recall.

Limits to Growth. I' ve been scoffed at on here for even mentioning that study. Supposed to be a lot wrong with it.
The only thing wrong with it was that it was heretical. It showed that the orgy of smash 'n' grab (aka business-as-usual) not only had no future, but would likely end very badly. Not the sort of thing you want folk to believe if your interests are served by having them participate in the aforementioned orgy.
"Hey! We're smart! Don't believe that limits shit. Let's have a wild party turning these precious finite resources into garbage and greenhouse gases as fast as we can"
"A growing population isn't a threat to our survival, it's an expanding customer base!"
"No return to boom and bust"
- and all the other bollocks these twats would have you believe.
 
Limits to Growth. I' ve been scoffed at on here for even mentioning that study. Supposed to be a lot wrong with it.

I briefly went back and checked and I dont think it was quite that straightforward. I do not have the energy or ability to do the subject of why proper justice at the moment. For now I will just say that I concluded that we'll probably need to wait until the death of the god of growth is more obvious before these subjects can be explored with more depth and urgency, and less suspicion, by those with a variety of left-wing political stances. There are all manner of interesting way that these things may merge, but this is presently hampered by the agendas or perceived agendas of various messengers, and the difficulties in exploring what is possible in the world versus what is possible within the confines of a world ordered by some particular flavours of capitalism that have long dominated. I would not be surprised if we have to wait until not only these fail big time, but some of the least sustainable/realistic alternatives are also shown to be wanting and inappropriate. And there are numerous responses that could get in the way of that for a very long time, especially if addiction to periods of growth proves to be a habit that those with power find impossible to kick. For example one worst-case scenario I have pondered is that large amounts of shrinkage and destruction are encouraged, at the expense of many, just to create opportunities for temporary growth in far more limited, and favoured, realms.
 
The balloon size represents uncertainty associated with the EROI estimates = graphical ball-park.
 
OK I can see how that would represent the differing heights of the bubbles, but what about the horizontal fatness? What does that represent?

Not read the text that goes with the graphic, but logically it'd be the uncertainty in the amount of energy from each source.

I suspect the bubbles are just wide enough to fit in the texts, though :(
 
there's a few crucial factors missing from that diagram, such as...

Fuel efficiency
The average fuel efficiency of new cars entering the US car market
14 MPG - 1970
25 MPG - 2000
30 MPG - 2012
40-50 MPG - 2020-2025 (prediction, but EU and Japan are already at 44-46 MPG)

so while the efficiency of producing the fuel is dropping, the efficiency we can use that fuel has and will continue to increase rapidly. Roughly speaking, that efficiency improvement has roughly offset the reduction in EROI for oil extraction since the 70's, although this only applies to cars and light trucks, with much lower improvements possible in the efficiencies for heavy trucks.

Coal - the vast majority of the coal produced is used for electricity generation in power plants with thermal efficiencies in the region of 35%, so in reality coal's EROI for electricity production should be more in the region of 15-25, which basically puts it in the same range of EROI as Wind for electricity production. Coal plants have gone up from around 30% thermal efficiency to 40% in that time as well.

New gas power plants have gone from 40% to 63% thermal efficiency between the 80s-present, and gas boilers have gone from around 50-60% efficiency to 88-92% efficiency, as have biomass boilers.

It's also worth pointing out that the USA already uses more than double the per capita energy that we manage with in the UK, and based on my knowledge of the UK energy sector I can easily envisage that we'd be able to function perfectly well as a society with a 50% reduction in our energy consumption, so I reckon the minimum required for civilisation is somewhere in the region of 25% of the current US figure, though in reality civilisation could probably survive on significantly less if properly planned around that goal.
 
kinda pisses me off actually that all the efficiency advances that have been made over the last 40 years can just be ignored entirely because it doesn't fit neatly into their pretty picture.

Maybe that's just because that's the field my old man's spent his life working in, with the results of some of his work being found in most efficient car engines and power plants around the world, as well as most gas cookers in the UK. But hey. let's just ignore that side of things entirely because it might get in the way of the predictions of doom.
 
it doesn't really matter how many links you post to outdated articles making the same point, they're still outdated as they're based only on a time when energy costs weren't rising in line with efficiency savings.

To put it another way, previously if you bought a more fuel efficient vehicle it would cost you less to drive 100 miles than it did 5 years earlier, and in addition to this average disposable incomes after all the basics were covered were generally rising year on year. Now it will still probably cost you more to drive 100 miles than it did 5 years ago even with a more fuel efficient car due to the rapid rise in fuel costs (more so in the USA than here due to their much lower fuel taxation rates), and at the same time average disposable incomes after all the basics have been covered have been generally falling year on year (although for those with mortgages this may not be as true due to the ridiculously low interest rates being charged).

Why anyone would assume that what applied in one paradigm should continue to apply in a totally different paradigm is beyond me tbh. There's certainly very little logic to it, unless you're thinking that fuel prices are going to fall again... but that would represent a serious logical inconsistency with your other positions on peak oil etc.
 
so while the efficiency of producing the fuel is dropping, the efficiency we can use that fuel has and will continue to increase rapidly. Roughly speaking, that efficiency improvement has roughly offset the reduction in EROI for oil extraction since the 70's
… providing you reduce your estimate for the rate at which the efficiency of producing the fuel is dropping by excluding the externalities of the fluids now being substituted for conventional hydrocarbons (where, exactly, does the environmental cleanup requirements of the refinery precursors that now constitute a fraction of your "efficient" vehicles fuels get accounted for?), and increase your estimate of the efficiency of new technologies by excluding the energy externalities of their fragile techno-industrial subsystems and contingent industrial economies.

If you don't, then it hasn't. Hence one of systems theory's many useful insights: "You can't solve the energy problems of a system that arises from its increasing complexity by increasing its complexity."
The people who like to think they are managing the world's affairs seem fiercely determined to ignore the world's true condition -- namely, the permanent contraction of industrial economies. They just can't grok it. Two hundred years of cheap fossil fuel programmed mankind to expect limitless goodies forever on an upward-swinging arc of techno miracles. Now that the cheap fossil fuels have plateaued, with decline clearly in view, the hope remains that all the rackets of modernity can keep going on techno miracles alone. - Kunstler
 
For the record, this is the statement that Falcon has eventually admitted he can provide no credible supporting evidence for.
Excuse me? I'm just catching up on some of your earnest contributions to the field of reality denial while I've been enjoying the holiday season, but I can't relate this one to anything I've said.

Are you contesting the data the EROI of the major fuel types powering the global industrial manufacturing and agriculture processes, specifically that fuel powering 90% of the critical global transportation processes, has fallen from 100+ to <20 in recent years and continues to fall as we substitute "conventional" fluids for arctic, ultradeepwater, tar sand and food based fluid substitutes? Are you contesting the legitimacy of a large body of academic and popular literature which argues that all so-called renewable energy technologies are subjected to strict physical limitations that constrain their yield in relation to the energy invested in their manufacture and operation? (ref) Have you shown how your beliefs about rising net energy levels accommodate this?

Are you contesting the IEA data that the underlying depletion rate of the global hydrocarbon system will reach ~10% per annum (a 7 year half rate) within a decade (ref)? Have you shown how your beliefs about rising net energy levels accommodate this?

Are you contesting IEA data that we are 5 years away from the threshold of irreversible climate change on the current (hydrocarbon) capital investment trajectory (ref), leaving 80% of our remaining hydrocarbon reserve base technically unburnable (ref)? Have you shown how your beliefs about rising net energy levels accommodate this?

I don't require you to agree with the data. I require you to state what is not credible about it.

Please feel free to be as explicit as you can in demonstrating your belief that a world that currently depends on hydrocarbon for 60% of its total energy requirement and 90% for the specific global transportation technology underpinning it, that must leave 80% of remaining hydrocarbon reserves in the ground, and substitute the balance by strictly yield-limited, manufacturing- and operating-energy intensive "renewable" technologies in a timescale imposed by both the hydrocarbon depletion and 5 year climate change trajectories, is not - in any sense that matters to the thread - undergoing a massive reduction in net energy availability.
 
Limits to Growth. I' ve been scoffed at on here for even mentioning that study. Supposed to be a lot wrong with it.
Supposed by whom? Energy and resource constraint denial is as big a business as climate change denial, and extremely well funded. It's also extremely plausible (resting, as it does, on the unexamined mythology of transcendence-over-physcial-reality-through-technology), and its argument extremely unattractive (that our shiny gadgets don't work, and we are facing unpleasant changes in the timescales of our own mortgages), making us highly susceptible to the various hallucinations put about by its conscious and unconscious adherents.
 
it doesn't really matter how many links you post to outdated articles making the same point, they're still outdated as they're based only on a time when energy costs weren't rising in line with efficiency savings.

To put it another way, previously if you bought a more fuel efficient vehicle it would cost you less to drive 100 miles than it did 5 years earlier, and in addition to this average disposable incomes after all the basics were covered were generally rising year on year. Now it will still probably cost you more to drive 100 miles than it did 5 years ago even with a more fuel efficient car due to the rapid rise in fuel costs (more so in the USA than here due to their much lower fuel taxation rates), and at the same time average disposable incomes after all the basics have been covered have been generally falling year on year (although for those with mortgages this may not be as true due to the ridiculously low interest rates being charged).

Why anyone would assume that what applied in one paradigm should continue to apply in a totally different paradigm is beyond me tbh. There's certainly very little logic to it, unless you're thinking that fuel prices are going to fall again... but that would represent a serious logical inconsistency with your other positions on peak oil etc.

Energy and the Wealth of Nations was published in 2012 - hardly outdated.

Yes, modern cars are much more efficient than those of 20 years ago. However, most people now have to drive further to get to work (and shops, schools, etc.) Even though they're paying more per mile, the miles they need to travel have increased. Modern cars are generally bigger and contain more crap - like the SUV / people carrier monstrosities people with kids seem to "need" these days.

There are also many more vehicles in use.
In the 1970s, it was unusual for a family to have more than one car and many households had no car at all. Now it is unusual for a family to have less than two.

There is considerable growth in car ownership (and consumerism generally) in developing economies. The explosion in vehicle numbers I have witnessed in India since 2000 is just staggering - even without the concomitant traffic congestion and air pollution. A similar trend is evident throughout much of the ASEAN region. Then there's China...

I am afraid that increased efficiency - even with increasing energy costs - will have little effect on the global rate of resource use.

I further suspect that if energy taxes were increased to the point where usage was reduced, this will be the point at which people can no longer afford to get to work/shop/school = total economic collapse.
 
A few thoughts brought about from reading this thread:

Markets deal with scarcity better than rule-making and subsidies/taxes for the reason that they work automatically without needing political support. Create, for example, a subsidy regime to accomplish some worthy goal and before long it gets converted to a subsidy for those with political clout.

The problem is, when there is scarcity, those with need must do without in favor of those with means. Unfortunately trying to correct this unfairness politically -- which may only be a case of those doing without have louder voices -- almost certainly makes the scarcity worse, by both increasing demand and by reducing the incentives for greater efficiency and production.

Applied to energy, high prices have so far, after a few years delay, tended to produce greater quantities. In theory someday this must all be used up, but so far it has been amazing how high prices tend to reduce demand and increase production. Subsidizing replacement schemes (such as solar power) has only tended to produce waste and profits for people good at manipulating news reports into hype.

Overhanging all this is the threat of global warming. It is interesting that there is such a clear political division on this topic, with the left grabbing onto it as a way to justify government control, and the right rejecting for much the same reason. One must not be influenced by the politics, but by the science.

It does appear that the globe is getting warmer, and it does appear that human activities are behind it. So far the left wins. However, they have launched scare propaganda that has cities being flooded, earthquakes, tornadoes, hurricanes and general apocalypse. Most of this is nonsense. Global warming will produce problems, and will also have benefits. The proposed cures tend to be much worse than the disease.
 
It does appear that the globe is getting warmer, and it does appear that human activities are behind it. So far the left wins. However, they have launched scare propaganda that has cities being flooded, earthquakes, tornadoes, hurricanes and general apocalypse. Most of this is nonsense. Global warming will produce problems, and will also have benefits. The proposed cures tend to be much worse than the disease.
What is 'nonsense' about the increased risk of extreme weather events (including hurricanes etc) and rising sea levels (including 'flooded cities') attributable to global warming? Where have any climate scientists argued about increased risk of earthquakes due to global warming? ...Or were you just being flippant/disingenuous there? And what are the 'benefits' to global warming? Please do tell....
 
What is 'nonsense' about the increased risk of extreme weather events (including hurricanes etc) and rising sea levels (including 'flooded cities') attributable to global warming? Where have any climate scientists argued about increased risk of earthquakes due to global warming? ...Or were you just being flippant/disingenuous there? And what are the 'benefits' to global warming? Please do tell....
Do some research rather than just reading propaganda. There are several perspectives to this.
 
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