Eat the rich, save the planet?

Eat the Rich

A cursory look at human history or the genetic behavior of monkeys confirms that it is unwise for societies to permit the wealth gap between the rich and the majority to become too wide. Especially when the standard of living of the majority is falling.

Brexit, Trump, and the yellow vests are examples of increasing social unrest. Anecdotally I’m also seeing a meme emerge on the internet that can be summarized as “eat the rich, save the planet”. This meme is supported by some intellectuals like Kevin Anderson who argue that climate change can be addressed by focusing on reducing CO2 emissions from the rich.

We’ve been warned that to maintain a climate compatible with civilization we have 10 years to cut our CO2 emissions in half and 30 years to reduce them to zero. As Tim Garrett has shown, CO2 emissions are proportional to wealth, so to reduce CO2 emissions we must reduce the total wealth of civilization.

Many other important planks of our ecosystem’s health are sick and getting sicker, primarily due to the high consumption needed to support our collective wealth.

We also know (here and here) that the net return from our energy sources is declining due to the depletion of low-cost non-renewable reserves which means our productivity and thus ability to grow wealth is declining and this decline will accelerate.

Governments have responded to declining economic growth by reducing interest rates and increasing debt. This has deferred the reduction in our standard of living necessary to balance the books, but has also increased the wealth gap because low-interest rates have created a bubble in the value of most assets, and the rich own a disproportionate share of assets.

An individual cares primarily about their own wealth, not the total wealth of civilization. We could in theory keep individuals comfortable and maintain a healthy(er) planet by reducing our population without reducing our per capita wealth. Unfortunately, reproduction is the primary goal of our genes and we therefore don’t even discuss the obviously optimal solution of population reduction. To be fair on its potential effectiveness, we should have reduced our population back in 1970 when we were warned by our experts. It’s never too late to do the right thing but given that even the Green party doesn’t have a population reduction platform it is probable that any population reduction will be involuntary rather than voluntary.

The uniquely powerful human brain exists because it evolved to deny unpleasant realities. Topics don’t become much more unpleasant than overshoot so we collectively have not acknowledged, and do not discuss, and do not act, on any of the issues associated with overshoot.

To summarize:

  • The total wealth of civilization must decrease to maintain a planet compatible with civilization.
  • The total wealth of civilization will decrease due to the depletion of non-renewable resources (especially energy).
  • We are doing everything possible to prevent the decline of total wealth but our actions have increased the wealth gap and social unrest.
  • We do not discuss or act on the only “good” solution, population reduction.
  • We aggressively deny our overshoot predicament.

Governments react to pressure from their citizens, they do not lead their citizens. I sense some bubbling optimism about the yellow vest movement from people who seek fundamental change. A key question then is are movements like the yellow vests good or bad for our future prospects?

Put more succinctly, will eating the rich save the planet?

The answer lies in how we close the wealth gap.

If we close the wealth gap by taxing the rich and redistributing their wealth to the less fortunate we will temporarily reduce social unrest but will worsen our overshoot predicament. This is because the poor will tend to spend the liquidated assets of the rich which will increase the total consumption of energy and other resources.

In addition, the spending of liquidated assets will increase inflation because there are far more paper assets than real assets in our economy, and this inflation will be a new source of social unrest.

While it is true that total wealth will decrease no matter what we do, there are two paths we can take. The first path is deflation which means people have less money but the money is still worth something. The second path is inflation which means people have money but it is worth less. I think inflation is more corrosive to the social fabric than deflation. Inflation caused a modern civilized country to blame and exterminate 6 million members of a minority tribe.

If on the other hand, we close the wealth gap by taxing the rich and paying down public debt, then we benefit everyone, rich and poor, by helping to stabilize the currency in a shrinking economy. This is important because all modern currencies are debt-backed fractional reserve systems that tend to become unstable without growth.

So to answer our question, will eating the rich save the planet, we need to know what the yellow vests marching in the streets want.

Do they want the rich to be pulled down to their level?

Or do they want to be pulled up closer to the rich?

I suspect they want the latter. If true, this means the yellow vests are acting to worsen our overshoot predicament.

What we need is green vests marching in the streets demanding that our governments acknowledge our overshoot predicament and manage the required and inevitable decline in a fair and humane manner.

This of course requires citizens to understand what’s going on.

And that requires us to find some way to break through our tendency to deny reality.

And that requires us to study and communicate Varki’s MORT theory.

 

 

New Badass in Town: Jean-Marc Jancovici (Radio Ecoshock interview)

Jean-Marc Jancovici

Step aside all you established peak oil and climate change pontificators. There’s a new badass in town and he’s an engineer who specializes in energy and climate which means you don’t stand a chance. 🙂

It’s very rare to find someone who can articulately explain in one hour, without hyperbole or bullshit, everything important going on in the world, including the underlying causes, what the future holds, and what we should do in response. Jean-Marc Jancovici is one of those rare gems.

Jancovici’s native language is French so English works by him are scarce. I’ve already posted the only other recent English talk that I’m aware of here.

Today’s interview with Alex Smith of Radio Ecoshock is a treat. After investing an hour here you will understand much more about the issues that matter than 99% of the people in the world.

Alex Smith wrote a very nice summary of his interview here:

https://www.ecoshock.org/2018/10/jean-marc-jancovici-whistling-past-the-graveyard.html

 

 

Following are a few quotes from the interview that I thought were noteworthy. Notice how close Jancovici comes to discussing denial of reality on several occasions.

 

Tell me how much energy you use and I will tell you how you live.

 

Governments are not guided by [wise] advisors. They respond to external pressure.

 

The present standard of living cannot be sustained without the help of fossil fuels for physical reasons.

 

Two centuries ago the world was fully renewable and consisted of 1 billion peasants with a life expectancy of 30 years. [We therefore] know of at least one option available to us.

 

Every time you hear the words “energy consumption”, replace them with “fleet of machines” .

 

A future with no growth is considered unthinkable by so many people, including Nobel prize-winning economists, that nobody thinks about what to do if it happens for real.

 

Q: What do you think is the greatest soonest threat: peak oil or climate change?

A: I place my bets on the likelihood that nobody will understand what is happening with either of these threats.

 

No government understands that energy equals machines, and if machines work less, GDP goes down.

No political leader understands that climate change is already putting refugees on the road.

 

Think of peak oil and climate change as opposing scissor blades squeezing your finger. Asking which is worse does not make any sense.

 

You must wait over 10,000 years for surplus CO2 to evacuate from the atmosphere. There is no such thing as a reset button for climate change. The only thing we are sure of is the day that consequences become unbearable, it will become worse later on.

 

A huge misunderstanding is that energy is a sector of the economy rather than the blood of the economy.

By Peter Watts: The Adorable Optimism of the IPCC

Peter Watts

A friend just introduced me to Peter Watts, a Canadian biologist, author, and blogger. I wish I could think and write half as well as this guy.

Here are a few more of Watts’ quotes that I like…

People aren’t rational. We’re not thinking machines, we’re – we’re feeling machines that happen to think.

Every concert pianist knows that the surest way to ruin a performance is to be aware of what the fingers are doing. Every dancer and acrobat knows enough to let the mind go, let the body run itself. Every driver of a manual vehicle arrives at destinations with no recollection of the stops and turns and roads traveled in getting there. You are all sleepwalkers, whether climbing creative peaks or slogging through some mundane routine for the thousandth time. You are all sleepwalkers.

Humans didn’t really fight over skin tone or ideology; those were just handy cues for kin-selection purposes. Ultimately it always came down to bloodlines and limited resources.

Brains are survival engines, not truth detectors.

Science is so powerful that it drags us kicking and screaming towards the truth despite our best efforts to avoid it.

Not even the most heavily-armed police state can exert brute force to all of its citizens all of the time. Meme management is so much subtler; the rose-tinted refraction of perceived reality, the contagious fear of threatening alternatives.

Perfect hexagonal tubes in a packed array. Bees are hard-wired to lay them down, but how does an insect know enough geometry to lay down a precise hexagon? It doesn’t. It’s programmed to chew up wax and spit it out while turning on its axis, and that generates a circle. Put a bunch of bees on the same surface, chewing side-by-side, and the circles abut against each other – deform each other into hexagons, which just happen to be more efficient for close packing anyway.

 

Watts’ most recent essay is my new favorite big picture rant on climate change. If you pay attention you’ll see a theme of denial running throughout.

https://www.rifters.com/crawl/?p=8433

The Adorable Optimism of the IPCC

People have noticed.

I got it in Lviv. I got it in an epic email interview with BiFrost. I get it in pubs and emails, and from one disapproving professor at Concordia who— clearly regretting having invited me into her classroom— asked “So why do you even get out of bed in the morning?”

“You once described yourself as an angry optimist,” Erwann Perchoc asked me a few weeks ago. “Is that still true?”

Perhaps the tone of my writing has changed over the years. It was always what some insist on calling “dark”— but perhaps the shadows have deepened. Even a dozen years ago, the backdrop of my stories— not the plot or the theme, mind you, just the context in which the story took place— might have been described as a forlorn fire alarm: Jesus Christ, people, can’t you see the cliff we’re headed for? We have to hit the brakes! Now, though— well, in recent years I’ve written at least three stories with happy endings. And the reason those endings are happy is because they end in murder and massacre.

It’s not that I’ve given up hope entirely. But perhaps my narrative emphasis has shifted away from Avoid the Cliff and closer to Make the Fuckers Pay. Hope— dims, as time runs out. Anger builds.

And now, nearly a hundred world-class scientists throw a report at our feet that proves something I’ve recognized intellectually for years, although not so consistently in my gut: I’ve been just as childishly, delusionally optimistic as the rest of you.

Bear with me, though. Read on. I have at least one more happy ending in me.

It’s been a couple of weeks now since the IPCC report came out. You know what it says.  If the whole damn species pulls together in a concerted effort “without historical precedent”— if we start right now, and never let up on the throttle— we just might be able to swing the needle back from Catastrophe to mere Disaster. If we cut carbon emissions by half over the next decade, eliminate them entirely by 2050; if the species cuts its meat and dairy consumption by 90%; if we invent new unicorn technologies for sucking carbon back out of the atmosphere (or  scale up extant prototype tech by a factor of two million in two years) — if we commit to these and other equally Herculean tasks, then we might just barely be able to keep global temperature from rising more than 1.5°C.[1] We’ll only lose 70-90% of the word’s remaining coral reefs (which are already down by about 50%, let’s not forget). Only 350 million more urban dwellers will be exposed to severe drought and “deadly heat” events. Only 130-140 million will be inundated. Global fire frequency will only increase by 38%. Fish stocks in low latitudes will be irreparably hammered, but it might be possible to save the higher-latitude populations. We’ll only lose a third of the permafrost. You get the idea.

We have twelve years to show results.

If we don’t pull all these things off— if, for example, we only succeed in meeting the flaccid 2°C aspirations of the Paris Accords— then we lose all the coral. We lose the West Antarctic Ice Sheet and the Greenland Ice Shelf (not that it isn’t already circling the bowl, of course). Twice as many people suffer “aggravated water scarcity” than at 1.5°C; 170% more of the population deals with fluvial flooding. The increase in global wildfire frequency passes 60% and keeps going. Marine fisheries crash pole to pole. The number of species that loses at least half their traditional habitat is 2-3 times higher than would have been the case at 1.5°C.  It goes on.

There’s no real point in worrying about a measly 2° increase, though, because on our current trajectory we’ll blow past 3° by century’s end (the Trump administration is predicting 4°, which is why they’re so busy dismantling whatever pitiful carbon-emission standards the US had already put into place; what’s the point of reducing profit margins if we’re headed straight for perdition no matter what we do?). We don’t really know what happens then. Methane clathrates released from a melting Arctic could turn the place into Venus, for all I know.

You probably know all this. You’ve had two weeks to internalize it; time to recoil, to internalize the numbers, to face facts.

To shrug, from what I can see. To go back to squabbling over gender pronouns, and whether science fiction has too many dystopias.

*

Remember last year’s New York Magazine article by David Wallace-Wells? It came pretty close to outlining the fate we’ve made for ourselves, closer than any bureaucrat or politician has ever dared. Remember the pile-on that happened in its wake? Activists and allies all decryig the story as hyperbolic and defeatist? Remember the Hope Police insisting that we had to inspire, not doomsay?

Where are they now?

One of them is Michael Mann, Climate Science superstar. Back in 2017 he shat on Wallace-Wells with everyone else:  “There is no need to overstate the evidence, especially when it feeds a paralyzing narrative of doom and hopelessness.”  And now here he is, just a few days ago: admitting that even this stark doomsday report is “overly conservative“, that it understates the amount of warming that’s already occurred.  And Mann is still an optimist compared to, say, Prof. Jem Bendell, who argues that society is bound for inevitable collapse just a decade down the road and that we might as well start grieving now and avoid the rush. (He even wrote up a paper to that effect, but the policy journal he sent it to wouldn’t publish it until he rewrote it to be less “disheartening”.)

Still. Optimistic or not, this latest report is unprecedented by IPCC standards. It effectively offers, as The Tyee points out, a simple choice between Catastrophe and Disaster. It does, as a thoroughly-vindicated Wallace-Wells proclaims, give us “permission to freak out“.

So. Are we?

In terms of media reaction, the usual suspects say the usual things. Big Think and  Rolling Stone go straight down the middle, admit the sitrep is dire, express doubts that we’ll doing anything about it even now. David Suzuki— well, zero points for guessing where David Suzuki comes down. The Tech folks are talking about geoengineering again. The Guardiantalks about food. Over at Medium, Daniel Estrada tries really hard to put a good spin on it, to work within the timeline of the IPCC Report and the US Election cycle to explore ways in which we might achieve the merely-disastrous Best Case— and then, halfway through, admits that he doesn’t really think any of it will happen, that this is merely a hopeful thought experiment, and in his heart of hearts he thinks we’re all well and truly fucked.

Over at the National Post— Canada’s answer to Fox News— some idiot named Kelly McParland blames the activists for everything, because they hectored and warned and complained for so long that who could blame the rest of us for tuning out? But perhaps the most telling reaction from the right wing comes courtesy of petro-shill Anthony Watts, who— unable to deal with the actual science— simply ran a cartoon showing IPCC authors whining for more money, alongside a guest editorial suggesting that even if it is all true, it would be way cheaper to just give everyone air conditioners.[2]

Of course, none of these folks wield any actual power. What they think doesn’t matter. What about the people who actually call the shots? How have the World’s Leaders responded to this latest 10-alarm fire, to this 12-year deadline?

Brazil is two days away from electing a far-right reactionary who has promised to quit the Paris Accords once elected. Germany— a world leader in environmental issues, not so long ago— reacted to the report with a profound “Meh”.  Australia‘s Energy Minister dismissed it as a distraction from the more-important goal of lowering energy prices for Australians. Back in August France‘s Environment Minister resigned in disgust over his own government’s inaction on climate change; that was before the report’s release, but has Macron had a come-to-Jesus moment in the meantime? Here in Canada, provincial premiers are taking the Feds to court over a measly carbon tax; the government itself permitted an “emergency session” right after the report came out, a parliamentary debate which— as far as I’ve been able to tell— accomplished exactly fuck-all beyond one side of the aisle yelling Think of the Children! while the other yelled Think of The Economy!

And these are the progressive jurisdictions. I probably don’t have to tell you about Donald Trump’s hilarious “Instinct for Science“, which apparently allows him to dismiss the IPCC’s findings as biased even as he makes clear that he doesn’t actually know what the IPCC is.

And what about the world’s real leaders, the 0.01% who actually hand out marching orders to these presidents and premiers and prime ministers? Turns out they’re retaining consultants to advise them on how to prevent their personal security forces from killing them, once civilization has collapsed and their money’s no good any more. It seems to be a lot more than mere thought experiment to these people: global societal collapse seems to be their default scenario. They call it “The Event.”

Why, it’s almost as though they knew what was coming before the IPCC even tendered their report.

*

To me, one of the most interesting facets of this whole clusterfuck is how eager everyone is to tell us that It’s Not Our Fault. “Neoliberalism has conned us into fighting climate change as individuals“, the Guardian charges. “Capitalism Killed Our Climate Momentum“, claims Naomi Klein (who, in all fairness, I’ve admired ever since No Logo).  Over at Slate  Genevieve Guenther asks “Who Is the We in “We Are Causing Climate Change”?”, and saves us the trouble by answering herself:

“Does it include the 735 million who, according to the World Bank, live on less than $2 a day? Does it include the approximately 5.5 billion people who, according to Oxfam, live on between $2 and $10 a day? Does it include the millions of people, all over the world (400,000 alone in the 2014 People’s Climate March in New York City) doing whatever they can to lower their own emissions and counter the fossil-fuel industry?”

GQ reassures us that “Billionaires are the Leading Cause of Climate Change“. And I’ve lost count of the number of times I’ve read that a mere 100 companies are responsible for 71% of global carbon emissions.

To which I say, Bullshit. You’re all to fucking blame whether Naomi Klein wants to let you off the hook or not.

Not that I’m denying any of her arguments. They’re all true. We were certainly  told— by supposed allies like Greenpeace and the PIRGs, as well as more obviously-nefarious corporations and governments— that if we all just recycled and ate one meat-free meal a week, we’d be Doing Our Part to Save the Planet while BP and the Koch Brothers continued to rape the biosphere. Up here in Canada, the reigning Liberals— for all their noble rhetoric about fighting climate change— are still buying pipelines and forcing Tar Sands down our throats and subsidizing Big Oil to the tune of over three billion dollars a year; the Conservative Opposition won’t even pay mealy-mouth lip service to the issue. Down in the states both mainstream parties are sucking too hard on the corporate teat to do anything that might actually endanger the profits of their owners. Individual actions can’t fix things: the very scale of the problem guarantees that institutional responses have always been necessary. All of this is true.

But you know what, people? There were always alternatives. You could have voted for Sanders. You could have voted Green. You could have voted for Ralph fucking Nader, when he was running. Hell, am I the only one who remembers Jerry Brown’s abortive run at the presidency, back in 1980? I still remember his announcement, the Three Priorities he laid out for his administration:

  1. Protect the Environment
  2. Serve the People
  3. Explore the Universe

That’s a damned good mission statement if you ask me. All it got him was jokes from Johnny Carson about how Jerry Brown had locked up the Grey Whale vote, and jokes from everyone else that usually revolved around the fact he was fucking Linda Ronstadt.

Of course he didn’t have a chance. Of course voting for him, or Nader, or the Greens was “throwing away your vote”. None of them had a chance.

And that’s my fucking point. It’s not that no one had heard of these people. It’s not that you weren’t familiar with their platforms. You knew what they stood for and you wrote them off. You were told they were fringe, that they never stood a chance, so you went out and made it true. You voted en masse for the status quo and the corporate teat-sucklers. Now Darby and Klein and  Guenther trip over themselves to let you off the hook, to blame Capitalism and Neoliberalism and its stranglehold on the groupthink of modern politics— but how did you end up with leaders who so willingly abased themselves at that altar in the first place, you ignorant shit-heads? There were always alternatives, and you saw them, and you laughed.

Sure, the Neolibs conned you. Because you wanted to be conned.

Reap the whirlwind, you miserable fuckers. May your children choke on it.

*

So what’s left?

Every pundit on the planet is fond of pointing out that politicians can’t look beyond the next couple of election cycles— but twelve years is a couple of election cycles, more or less, and we’re still accelerating toward the cliff. Last weekend, The BUG and I talked about how we’d have to kill our cats before abandoning the house. We weren’t joking.

And yet— in my own way, I’m right with you in The Nile. I can still laugh at The BUG’s jokes. I still watch Netflix. I lie in bed with a sore back because Minion has been sitting on my chest for an hour and I don’t have the heart to disturb her. Sure, there are fewer insects, fewer frogs, less wildlife than I remember from childhood (more pigeons, at least. More raccoons)— but the ravine across the fence is still green, the sky still blue. The tag line on this ‘crawl remains as true as ever: I’m still In Love With the Moment, because I am not starving yet, because those I love are still doing okay, because all the birds have not quite come home to roost and there’s something so indescribably wondrous about being sapient, being able to look around and wonder at the universe.  There is still so much to love in the Moment.

But the second part of that line is even truer: I am scared shitless of the future. Because those birds are closer than even I allowed myself to think, and not so far from now I could be a skeleton in the background of a Mad Max movie.

The only hope I can see lies in Donald Trump.

Don’t worry. This isn’t one of those contrarian bits of agitprop designed to provoke a reaction. I’m dead serious.

But when I speak of hope, I’m not talking about the world. I’m talking about hope for my country. I’m talking about hope for my family. Hope for maybe an extra decade or two before the ceiling crashes in. That’s the limited, desperate, end-of-need hope I pin on Trump and his enablers.

Because what do you do when your family is starving and the guys next door have food? What does any country do when drought and famine and heat waves are decimating its taxpayers while the cooler, luckier land to the north  has enough— well, if not for all, at least for some? Will the governments of imploding regimes just sadly shake their heads, and—  wracked with remorse for their shortsightedness— resign themselves to well-deserved apocalypse?

Of course, Canada’s hardly immune from the unfolding catastrophe (anyone from Fort McMurray could tell you that much). But we’ll still be better off than the US. Smaller temperature jumps. Less agro impact. Hell, our growing season could actually improve in the short term— and there’s lots of room to move north with the isotherms, even if northern soils don’t hold a candle to what we’re used to. Sorry, Inuit. You lose again.

So, yeah. If your family is starving and the house next door has food, you break in. You invade. And if the US invaded us now, we wouldn’t stand a chance. They’d Spread Democracy north of the 49th without breaking a sweat, and our pathetic little armed forces wouldn’t be able to do a damned thing about it.  (Hell, the West Edmonton Mall used to have a bigger submarine fleet than the Canadian Navy; the only reason that’s not still true is because the Mall shut down their sub attraction in 2006.)

After a couple of terms of Trumpism, though, who knows?

The US is already at war with itself. It tears itself apart even as we speak: wagons circled, guns beyond counting all pointed inward. Trump and his ilk seem only too happy to spur  them on. Maybe, given enough time, they’ll waste all that ammo on each other.  Maybe that hypermilitary will be so busy guarding gated communities and mowing down protestors that they’ll forget to invade anyone else. Maybe— if Trump has his way— they’ll be so busy eating each other that by the time they remember us, they’ll have too many self-inflicted wounds to do much about it.

Maybe then we’ll have a fighting chance. Or maybe they’ll just leave us up here to die in peace, a few decades further down the road.

See? I told you I wasn’t out of happy endings.

 

By Tim Watkins: The Three Vortices of Doom (energy, debt, state)

The Net Energy Cliff

 

Tim Watkins today published a superb big picture essay explaining the troubling trends in our economy that everyone sees but few understand.

It’s a great primer for anyone curious why the stories they hear from their leaders and news media don’t make sense.

If you’re the kind of person that needs hope, Watkins advises to pray for a very large discovery of low-cost oil or a breakthrough in nuclear energy.

Or, if you’re the kind of person that likes to know the most probable outcome they should prepare for, Watkins advises to get used to living with less in a more local economy.

http://consciousnessofsheep.co.uk/2018/09/13/the-three-vortices-of-doom/

Despite the cheerleading efforts of the legacy media, the economic storm clouds are growing on the horizon.  Oil – the economic “master resource” – passed $80 per barrel yesterday.  Meanwhile, central banks around the world have begun to unwind the stimulus packages used to bail out the economy in the aftermath of the 2008 crash.  And all the while, governments are struggling to balance the need to manage their borrowing while maintaining the value of their currencies.  Add to that the politics of the new nationalism and you have a recipe for turbulent economic times in the very near future.

By far the biggest blind spot in economics, however, is its treatment of energy as just another cheap resource to be exploited.  In fact, energy should be treated as a separate category alongside capital, labour and resources in any model that seeks to explain the way the real world works.  This is because energy is the transformative force that allows us to (temporarily) defy the second law of thermodynamics, which says that things move from order to chaos; they break down not up.  As Steve Keen puts it:

“Capital without energy is a statue; labour without energy is a corpse.”

Another way of understanding this is to see that for a mere $80 dollars we get more than $350,000 worth of work (if we had to pay a human the average wage to do it).  This also explains why relatively small changes in the price of energy (particularly oil because its use is ubiquitous) have such a dramatic impact on the monetary economy.  Just three years ago, for every $40 spent on oil, companies were returning $350,000 worth of productive work.  Today, the same $40 is returning just $175,000 of productive work; something that largely explains the so-called “productivity puzzle,” as well accounting for why ten of last eleven recessions were preceded by a spike in the price of oil.

Without the net energy to allow for genuine economic growth, sovereign debt becomes as unpayable as consumer and corporate debt.  It can be defaulted or it can be inflated away; but it can never be repaid in real terms.  States, however, are unlikely to concede this point until it is too late. To put it another way, states will use all of the power at their disposal to maintain the exchange rate of their currencies even if this results in economic ruin for their national economies and their citizens.

These, then are the three vortices which (in the absence of some new high-EROEI energy source) are gradually choking the life out of our global industrial civilisation.  As the net energy remaining to us declines, an ever greater proportion of our currency and useable energy will be sucked into them until such time as our economy consists of nothing else but the growing of food and the generation of energy in the service of an ever more capricious state.  This process will inevitably involve the acceleration of the decline in living standards that those at the bottom of the income ladder have been experiencing since the 1970s.  It will also result in a re-localising of economies as the energy required to maintain global supply chains disappears.  In this respect, the conservative nationalism of Brexit and Trump may simply be the relatively benign early manifestation of the politics of our energy-starved future.

By James Kunstler: The Uncomfortable Hiatus

The Next Financial Crisis Lurks Underground

I haven’t posted anything by Kunstler for a while. When he’s occasionally good, he’s really good, like today.

http://kunstler.com/clusterfuck-nation/the-uncomfortable-hiatus/

And so the sun seems to stand still this last day before the resumption of business-as-usual, and whatever remains of labor in this sclerotic republic takes its ease in the ominous late summer heat, and the people across this land marinate in anxious uncertainty. What can be done?

Some kind of epic national restructuring is in the works. It will either happen consciously and deliberately or it will be forced on us by circumstance. One side wants to magically reenact the 1950s; the other wants a Gnostic transhuman utopia. Neither of these is a plausible outcome. Most of the arguments ranging around them are what Jordan Peterson calls “pseudo issues.” Let’s try to take stock of what the real issues might be.

Energy: The shale oil “miracle” was a stunt enabled by supernaturally low interest rates, i.e. Federal Reserve policy. Even The New York Times said so yesterday (The Next Financial Crisis Lurks Underground). For all that, the shale oil producers still couldn’t make money at it. If interest rates go up, the industry will choke on the debt it has already accumulated and lose access to new loans. If the Fed reverses its current course —say, to rescue the stock and bond markets — then the shale oil industry has perhaps three more years before it collapses on a geological basis, maybe less. After that, we’re out of tricks. It will affect everything.

The perceived solution is to run all our stuff on electricity, with the electricity produced by other means than fossil fuels, so-called alt energy. This will only happen on the most limited basis and perhaps not at all. (And it is apart from the question of the decrepit electric grid itself.) What’s required is a political conversation about how we inhabit the landscape, how we do business, and what kind of business we do. The prospect of dismantling suburbia — or at least moving out of it — is evidently unthinkable. But it’s going to happen whether we make plans and policies, or we’re dragged kicking and screaming away from it.

Corporate tyranny: The nation is groaning under despotic corporate rule. The fragility of these operations is moving toward criticality. As with shale oil, they depend largely on dishonest financial legerdemain. They are also threatened by the crack-up of globalism, and its 12,000-mile supply lines, now well underway. Get ready for business at a much smaller scale.

Hard as this sounds, it presents great opportunities for making Americans useful again, that is, giving them something to do, a meaningful place in society, and livelihoods. The implosion of national chain retail is already underway. Amazon is not the answer, because each Amazon sales item requires a separate truck trip to its destination, and that just doesn’t square with our energy predicament. We’ve got to rebuild main street economies and the layers of local and regional distribution that support them. That’s where many jobs and careers are.

Climate change is most immediately affecting farming. 2018 will be a year of bad harvests in many parts of the world. Agri-biz style farming, based on oil-and-gas plus bank loans is a ruinous practice, and will not continue in any case. Can we make choices and policies to promote a return to smaller scale farming with intelligent methods rather than just brute industrial force plus debt? If we don’t, a lot of people will starve to death. By the way, here is the useful work for a large number of citizens currently regarded as unemployable for one reason or another.

Pervasive racketeering rules because we allow it to, especially in education and medicine. Both are self-destructing under the weight of their own money-grubbing schemes. Both are destined to be severely downscaled. A lot of colleges will go out of business. Most college loans will never be paid back (and the derivatives based on them will blow up). We need millions of small farmers more than we need millions of communications majors with a public relations minor. It may be too late for a single-payer medical system. A collapsing oil-based industrial economy means a lack of capital, and fiscal hocus-pocus is just another form of racketeering. Medicine will have to get smaller and less complex and that means local clinic-based health care. Lots of careers there, and that is where things are going, so get ready.

Government over-reach: the leviathan state is too large, too reckless, and too corrupt. Insolvency will eventually reduce its scope and scale. Most immediately, the giant matrix of domestic spying agencies has turned on American citizens. It will resist at all costs being dismantled or even reigned in. One task at hand is to prosecute the people in the Department of Justice and the FBI who ran illegal political operations in and around the 2016 election. These are agencies which use their considerable power to destroy the lives of individual citizens. Their officers must answer to grand juries.

As with everything else on the table for debate, the reach and scope of US imperial arrangements has to be reduced. It’s happening already, whether we like it or not, as geopolitical relations shift drastically and the other nations on the planet scramble for survival in a post-industrial world that will be a good deal harsher than the robotic paradise of digitally “creative” economies that the credulous expect. This country has enough to do within its own boundaries to prepare for survival without making extra trouble for itself and other people around the world. As a practical matter, this means close as many overseas bases as possible, as soon as possible.

As we get back to business tomorrow, ask yourself where you stand in the blather-storm of false issues and foolish ideas, in contrast to the things that actually matter.

By Norman Pagett: The oilparty is over (and so is our food party)

oilparty is over

With denial of reality, we excavate the foundation of the cliff that we continue to climb.

With acceptance of reality (and wisdom), we would climb down while building a softer landing zone.

 

Our oil age will not end through lack of it, but by fighting over what’s left.

The critical nature of oil made WWII inevitable. To sustain their empires, the Germans and Japanese slaughtered their way across Europe and Asia in a grab for resources, primarily oil. They promised infinite prosperity and their peoples cheered them on while deaths elsewhere were being counted in millions. With most of the world’s known oil supplies in the hands of his enemies, Adolf Hitler knew he had to have the oilfields of southern Russia and the Middle East to sustain his war machine.

He failed, and his dream of a ‘Greater Germany’ collapsed not because of inferior soldiers but because there was insufficient energy input to sustain his plan for world domination.

We now have maybe 20 years worth of usable oil left. There are certainly no more than 30, perhaps as little as 10. If one of the crazy sects running loose in the Middle East managed to get hold of a nuclear device, setting it off on the Gharwar oilfield of Saudi Arabia would end our industrialised infrastructure overnight. That is perhaps too bleak a prospect, but we should not discount that notion entirely.

No one dares to stand up and make the rather obvious point that we are not going to reach 9 billion. Something has to give, and that giving is going to be very unpleasant.

For the moment, nature keeps us supplied with oil, and we’ve pulled off the neat trick of converting it directly into food. Not knowing when our oil is finished and our food supply will run out is the little teaser for the early 21st century. Right now, most people think that food comes from supermarket shelves and freezers, which is just as well. The food trucks moving around the country are basically mobile warehouses, delivering food just in time for it to be consumed. When the realization dawns that the food trucks have stopped, the food held in stock by retailers will be stripped bare in hours. The oil age for everyone will have come to an end.

The link between oil and the ability to eat is clear. The UK has to import 40% of its food, and much of the rest depends on oil to produce it, which also has to be imported. It is the end of the UK’s oil age, but few admit to it being the end of a food age as well.

As the UK detaches itself from Europe, under the delusion that the ‘great’ will be put back into Britain, the reality will hit home that without oil surplus, the UK will be reduced to a third world country at starvation level. British farms cannot feed 65 million people.

The same problem is being revealed in the current fiasco of the rest of the European union, Oil-fueled prosperity is falling dramatically in the poorer southern countries. Greece, Spain, Italy and Portugal and a swathe of smaller nations have to import all their oil which only worked when oil was cheap. Now it’s expensive, and they are facing bankruptcy. 50 years of ‘unity’ is dissolving like a mirage in the face of the difficulties that smaller states are suffering. Without cheap oil, their economies cannot function, and so are disintegrating.

https://medium.com/@End_of_More/the-oilparty-is-over-c06d3c723655

h/t Derek Peter Carne

On the Trans Mountain Pipeline

Trans Mountain pipeline

Many environmental groups in my province of B.C. oppose construction of a new pipeline from Alberta to the west coast. The motives of these groups include:

  • preventing dirty oil from contributing to climate change;
  • preventing environmental damage from pipeline and oil tanker spills;
  • concern for First Nation rights.

While these motives are admirable, all of the groups lack an understanding of, and/or deny, the laws of thermodynamics that govern our economy, and our overshoot predicament.

It’s true that climate change is a serious threat. In fact it’s much more serious than most environmental groups acknowledge. We are already locked into a dangerous 2C higher climate with 10m of sea level rise no matter what we do. There are no actions we can take today to solve the climate problem and avoid future suffering. Our choices today are to try to maintain our current lifestyle and increase future suffering, or reduce our population and consumption, and constrain future suffering.

It’s also true that the pipeline will create some new risks for environmental damage, but these risks pale in comparison to the damage the human footprint is already causing. Habitat loss, species extinction, soil depletion, nitrogen imbalance, pollution, deforestation, overfishing, and non-renewable resource depletion are the real threats environmental groups should focus on. As with climate change, nothing can be done about these threats unless we reduce human population and consumption.

In addition, if you want to maintain our current lifestyle, and you are concerned about the risk of oil spills, then there is a good argument to build the pipeline.

With regard to First Nations rights, all 7.6 billion humans descended from one small tribe in Africa about 100,000 years ago, meaning we’re all basically the same. Environmentalists should focus on the rights of all future generations, including First Nations.

Our standard of living is completely dependent on the burning of fossil energy, especially oil. We have already burned most of the cleaner and cheaper oil. That’s why we are mining dirty expensive oil sands, and fracking. To reduce our use of fossil energy we must reduce our standard living and our population.

Put another way, new pipelines will be built for another decade or so, until even the dirty oil is gone, unless we reduce our consumption of oil, and the only way to accomplish that is to shrink our economy, standard of living, and population.

If environmental groups want to make a difference on the issues that matter, as well as lesser issues like preventing new pipelines, they must:

  • set good examples in their personal lives (no more than one child, no long distance travel, reduced consumption of everything);
  • advocate for a global one child policy;
  • advocate for austerity, conservation, and a smaller economy (the simplest and most effective way to accomplish this would be to implement a higher interest rate).

It’s true that our choices are unpalatable, but they are reality, and there is a key point that must be understood when weighing what to do. The remaining affordable fossil energy is depleting quickly. Extraction will, in a decade or so, become too expensive for us to afford, meaning fossil energy will be gone for all intents and purposes. When this happens, our lifestyles and population will collapse, thanks to the laws of thermodynamics, no matter what we choose to do.

The advantages of choosing to voluntarily contract today are threefold. First, we would constrain future suffering caused by climate change. Second, we could use some of our remaining wealth to prepare a softer landing zone and to orchestrate a fairer and more humane descent. Third, we might leave some oil in the ground for our grandchildren so they can enjoy some of the comforts we take for granted. The alternative of doing nothing until thermodynamics forces the issue is chaos, war, and much more suffering for all species, including humans.

This article today suggests that environmental groups may have succeeded in preventing construction of the Trans Mountain pipeline:

https://oilprice.com/Energy/Crude-Oil/Disaster-Hits-Canadas-Oil-Sands.html

Kinder Morgan said it would halt nearly all work on a pipeline project that is crucial to the entire Canadian oil sands industry, representing a huge blow to Alberta’s efforts to move oil to market.

Here is what I predict will happen:

  1. Environmentalists will continue to deny reality and focus on the wrong things.
  2. We will not voluntarily contract the economy.
  3. We will not implement a one child policy.
  4. The Trans Mountain pipeline will be built, provided that our luck persists at avoiding an accidental crash caused by the instability we have created by using extreme debt to maintain an illusion of economic growth.

Let’s check back in a year to see if I am correct.