The price of oil is at a very low place. This appears to concerning a lot of people, this is with good reason; for the people who stand to lose out on being able to sell oil. The oil producing nations are miffed about the US having shale gas but are remaining stubborn about their oil prices and what they can still offer the global economy.
I read on Business Insider that the falling price of oil is bad. And it is, for those oil producing countries. There will be job losses, there will be debt problems, there will be implications to other nations that are intrinsically linked to the oil producing nation through trade deals and purely by being neighbours.
There will be winners and losers, and ultimately, as long as we all insist on being an oil loving economy, we will all lose. The price of oil will drop to a place where it will be uneconomical to keep trying to retrieve it. Even when the prices do go up, which they will, the cost of starting a new retrieval or re-retrieval of old sites will be very expensive. Oil production will reduce to nothing, with companies knowing there is still oil available, and chugging out what they can to make the most of the lucrative scraping of the barrel.
Why and how has this been able to happen. We have been extracting oil at record numbers for decades and we have known, or certainly I have known from a very young age, that as a fossil fuel it will run out. Why did we think that we could maintain the rate of extraction without the risk of finances getting in the way first? I remember hearing that we there are enough deposits to keep us going but that they will run out. We know that burning these fossil fuels is damaging our planet through carbon emissions yet we still extracted them.
We had to. Nothing new has been developed to even try and replace oil and coal to the extent that these fuels sustain our global economy. We now have no choice but to confront to evils to the planet, the fact that global warming is going to swallow many low lying nations, and the reason for this happening won’t even exist anymore. Do the current generation of people care about this. I suspect not. It is not pressing enough. The wealthiest 1% in the world can do something about, they can invest in research into new power sources that are efficient and powerful, hydrogen technology, nuclear technology, hydro-electric, wind, solar, there are options available. There must be improvements available to these existing renewables. There must be something more than lip service to the fact that a renewable is being used.
Oil coming down in price is great, I’m travelling further and so is haulage. Economies can thrive off this for the time being. But what is the point in growing an economy when, if we don’t improve what we know can sustain us, is eventually going to drive us to darkness.