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The Impact of Peak Oil on Low s : Preparing Income Communitie Poor America for Harder Times Ahea d NYSERTA LIFE Conference May 22, 201 2 Peter Kilde presenter Im from here Or for you Global Thinkers Im from here And for the


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d Ahea Poor America for Harder Times

The Impact of Peak Oil on Low s: Income Communitie

Preparing

NYSERTA LIFE Conference 2 May 22, 201 presenter Peter Kilde

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I’m from here

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Or for you Global Thinkers…

I’m from here

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And for the Re-localizers…

I’m from here

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.. I am primarily responsible for this

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Three Intertwined Mega-Trends

1. Resource Depletion – Especially Fossil Fuels 2. Environmental Degradation – Especially Climate Change 3. Economic Turmoil – Especially Debt Driven

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s Ca Cassa ssandr dra a and he her Ev Evil Triplet

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Peak Oil Suspect # 1 - M d . King Hubbar

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Caption: "'THE END OF THE OIL AGE is in sight,' says U.S. petroleum geologist M. King Hubbert.... If present trends continue, Dr. Hubbert estimates, production will peak in 1995 -- the deadline for alternative forms of energy that must replace petroleum in the sharp drop-off that follows.”

http://www.hubbertpeak.com/hubbert/natgeog.htm

"Oil, the Dwindling Treasure"

by Noel Grove Photographs by Emory Kristof National Geographic, June, 1974

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Then ASPO was formed in Sweden in 1995

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n USA: Oil Production & Consumptio

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from e m existing f ng fields ds/conv nvent ntiona nal s sources fields/unco conve ventional so source ces ca can’t replace ce l loss ss Gl Global p peak eak o

  • ccur

urs w when en p producti tion f from n new ew Dem eman and b beg egins to to ex exceed eed s sup upply its ts max aximum an and dec eclines un unti til ex exhau austi tion Th The p e point at t at which an an ar area’ ea’s o

  • il production r

reac eaches

eak O P il Resource Depletion –

► ► ►

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“ Gen ener eral Deplet ion

  • n

” Pict ct ure

World Oil Production (All Liquids)

http://www.aspo- usa.com/index.php

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The Growing Gap

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World Oil Production Problem # 1

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World Oil Production Problem # 1b

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World Oil Production Problem # 2: Net Available Imports

► The world uses 85 + mbd of

  • il. (32 Billion/yr)

► The US uses 19 mbd.,

  • approx. 22% of World

► US produces 5.9 mbd. Crude

+ 4.2 mbd. NGL & bio

► US imports 8.9 mbd (45%) ► Net Available Imports (34

exporters feed 155 importers) in 2006 (excluding China and India) was 40 mbd.

► In 2011 it was 35 mbd. ► In 2020 it wll be 20 mbd. ► In 2030 it will be 0 mbd

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World Oil Production Problem # 3:Deepwater and Unconventional Oil

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: World Oil Production Problem # 4 e Climate Chang

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World Oil Production Problem # 5: Economic Collapse

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World Oil Production Problem # 6: Electile D n ysfunctio

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Lots of Documentation & Prognostications . ……

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Who Cares?

“The American way of life”

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Used w/ permission -CartoonStocks

Or for the graphically inclined….

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Or again, for the graphically inclined….

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But don’t take my word for it ..

►World petroleum

demand will exceed supply by 2012

►World petroleum

demand will exceed supply by 10 mbd by 2015

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But Won’t Technology and Market Forces Meet the Demand?

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Problems of scale, time, and physics, .. and more……

Solar? – It would take the equivalent area of half the surface

  • f the state of California ( 212,000 sq. km) of solar cells to

replace the energy we now get form oil. Total solar panel production worldwide to date is about 100 square kilometers. Nuclear? – We would have to build 10,000 new large nuclear plants to replace oil energy. And world uranium would run

  • ut in 10 – 20 years.

Hydrogen? – It currently takes the energy of 3 – 6 gallons of gas to make enough hydrogen to propel a car as far as one gallon of gas.

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Problems of scale, time, and physics, and more……..

Bio –fuels? – If we converted the entire world’s production

  • f corn, wheat, rice, sugar cane, and sugar beets into

ethanol, and the entire world’s production of soybeans, canola, palm and sunflower seeds into bio-diesel, we could replace only 8% of the world’s petroleum demand. Not to mention the mass starvation. Wind? – Currently supplies about one percent of world

  • energy. Problems of reliability and scale.

Shale gas? – Not all its fracked up to be. US Geological Survey just reduced Marcellus Shale gas recovery by 80%!! Hybrid cars ( about 2 million in 2011) – Converting all 1, Billion cars tomorrow would buy five years – Lithium shortage in 2015

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Peak Everything Else…

  • Coal
  • Uranium
  • Lithium
  • Rock Phosphorous
  • Fresh Water Aquifers
  • Gold
  • Global Fisheries
  • Farmland
  • Every non-renewable Resource
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James Hansen Illinois Wesleyan University “Climate Tipping Points ~ Threat to the Planet” 19 February 2008

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2010: a year of records

  • The Warmest Year on Record
  • The Wettest Year on Record (2011tied this

record)

  • The Highest Level of Catastrophic Weather

Events on Record (2011 beat this record – 2012 ahead of 2011)

  • The Year we Emitted the Highest Volume of

Greenhouse Gasses on Record – up 5.9% in

  • ne year!!!!
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2011: all time records fell like leaves…

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Or to make it easy to understand..

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James Hansen Illinois Wesleyan University “Climate Tipping Points ~ Threat to the Planet” 19 February 2008

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Tar Sands and Climate Change

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All inter-related, and all resulting from an Unsustainably Large, Growing and “Modernizing” Population

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  • OK. Back to Economic Turmoil..
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Heard of the PIIGS?

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Heard of the PIIGS?

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Greece 2011

“I f things get out of hand in the euro area,” declared Citigroup

chief economist Willem Buiter yesterday (10/18/2011) during testimony to the British parliament, “no bank in the financial integrated world will stand.”

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US Debt Picture

  • Fed. Gvt. Debt per Citizen = $49,991
  • (Greek Gvt. Debt per Citizen = $42,300)
  • Fed. Gvt. Debt per Taxpayer = $138,156
  • Total Debt per Family = $691,494
  • Total Savings per Family = $6,060
  • Total Foreclosures in 2011 = 2.7 million
  • Fed. Debt of $15.7T goes to $23T by 2020
  • At what point are we bankrupt?

source: usdebtclock.org

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US Debt means…

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What does this mean for us?

1. An overall shift from Abundance toward Scarcity 2. Fewer resources from a debt strapped government. 3. BUT, there may be new

  • pportunities when cheap fossil

fuel and cheap foreign labor become scarce and local is not just a trendy option

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Back to this..

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Three Intertwined Mega-Trends

1. Resource Depletion – Especially Fossil Fuels 2. Environmental Degradation – Especially Climate Change 3. Economic Turmoil – Especially Debt Driven

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An Attempt to Link Peak Oil and Poverty

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Breaking down the New Reality

  • Overview
  • The Economy
  • Employment
  • Food Systems
  • Health Care
  • Housing
  • Education
  • Community
  • An Idea: Community Economic

Laboratories

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Overview: John Michael Greer

“The work of social service agencies in the years ahead will have to shift from seeking a fairer distribution of abundance to the much harder task

  • f managing scarcity.”
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The Economy: Nate Hagens

“In a world that will have ‘less each year’ instead of the ‘more each year’ we have grown accustomed to, prior debts will not be able to be paid back, more jobs will be lost and standards of living will drop.”

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Employment: Dmitry Orlav

“There may not be jobs, but there is always work.”

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Food Systems: Ken Meter

“Ultimately, a complex local food infrastructure needs to be built that includes community kitchens, root cellars, warehousing/freezer/cooling space, local food distribution channels and solid knowledge bases that make each local community the best data source for its own food supply and needs.”

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Health Care: Sharon Astyk

“People living in Cuba, Kerala, and American Amish communities – who, compared with most Americans, use vastly less health care but have comparable infant mortality rates and adult life expectancies, - benefit from health care practices that the United States could draw on.”

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Housing: Peter Kilde

“The future of housing is really the future of existing housing and of existing structures that could be re- purposed as housing.”

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Security: Dmitry O v rla

“Both communities that have long been poor and communities that were once prosperous are now awash with unemployed or underemployed men and women, including discharged veterans. These residents…can be given a meaningful role to play, looking out for and protecting those around them.”

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Education: Kelly Cain

“If education survives in any form, it will also move from a global to a place-based sense of context and relevance.” “The first educational priority will be to covey sustainability-based skills.”

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Transportation: David Reid and Peter Kilde

“The transportation available will be very energy efficient, relatively low- tech, reliable, easy to repair and will favor renewable energy resources.” “The democratization of transportation produced by the personal automobile will recede, necessitating management of transportation inequality.”

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Community: Megan Quinn n Bachman

“The values of community that are transmitted through interdependent living – cooperation, moderation, frugality, charity, mutual aid, confidence, trust, courtesy, integrity and loyalty, - will prove essential in helping us respond to the coming challenges.”

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An Idea; Community Economic Laboratories: Richard Heinberg

“If education survives in any form, it will also move from a global to a place-based sense of context and relevance.” “The first educational priority will be to covey sustainability-based skills.”

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So, how do we fight poverty in the New Reality?

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We must help our low-income households and our communities do three things:

1.

Dramatically reduce our consumption

  • f fossil fuels and non-renewable

resources.

2.

Build the capacity of our local and regional economies to meet their own needs using their own resource base.

3.

Foster local community development based on mutual assistance and cooperation.

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INNOVATION #1Deep Retrofit: How

Existing Housing Stock Can Achieve Net Zero Energy Use and Remain Affordable

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The program boils down to two basic strategies:

►#1 Reduce Energy Load

SIGNIFICANTLY.

►#2 Source as much of that

energy load as possible from local, renewable, carbon neutral sources.

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So, where do we find this cheap, clean, local, renewable energy?

►Free BTUs f

Us from the gr ground nd

►Free

ee BT BTUs fr from th the ai e air

►Free B

BTUs Us from su sunli nligh ght

►Free B

BTUs Us from wi wind nd

►Free

ee BT BTUs fr from th the fo e fores est*

  • *Wh

*What does it c cost to gr grow w a t tree in in y your f r fore rest st?

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There is a lot of clean energy around..

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First, conduct an Energy Audit on the home

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Insulate to R40 walls, R60 ceilings

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Solar Access

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Deep Energy Reduction Analysis: Menomonie Duplex

► Heati

eating/Cooling L Load ad B Bef efore I Insul ulati tion: 50 MMBtu/annually Per er Un Unit

► Heati

eating/Cooling L Load ad Af After ter Insulat ation:35.6 MMBtu/annually Per er Un Unit Offs Offset fro from t the Ea Eart rth: 20.6MMBtu/annually Offset et f from th the e Sun Sun: 15 MMBtu/annually

► Heat/

eat/Cooling: 80% 80% of to total tal BTUs TUs i in th the g e geo eo-th ther ermal al s system ar are f e free ee from th the e ground

► Water

ater H Heati eating: Th The So e Solar ar H Hot t Water ater Sy System tem m meets eets 71% 71% of th the e water ater h heati eating l load ad an annua ually

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so

► An

Annual So Solar E Elec ectr tric N Net et -Ene nergy ga gain o

  • n

n bi bi-direc ecti tional al meter eter:

  • Estimated Heating and cooling load for entire house:

9,610 kW/Hours annually

  • Estimated back-up Hot water load for entire house:

2,480 kW/Hours annually.

► TO

TOTAL TAL: kW/Hours an annua ually 12, 12,090 090

► An

An 10. 10.9 9 kW PV V system tem w will p produce 13, 13,197 197 kW/Hours an annually at at th this locati ation = n = net et gai ain of 1, 1,107 k 107 kW/Hours.

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Install Solar Domestic Hot Water for Free, Clean BTUs from the Sun

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Install Solar Electric PV for more Free, Clean BTUs from the Sun

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Inst nstall ll G Geothermal H Hea eating ng and and Co Cooli ling g for free ee, cle clean B BTUs f Us from the gr ground

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Net Mortgage

►Home purchase and Deep Retrofit:$150,000

  • 30 year, fixed rate mortgage at 4.5% would be a

mortgage of $760 per month

  • Deduct $200 of Energy Expense per month from

budget (This deal only gets better over time)

  • The “net mortgage” comes to $560, an affordable

monthly mortgage payment for a four bedroom, two bath home.

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? Does it work

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yes

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a few other free BTU harvesters

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INNOVATION #2

West CAP Creates the Glenwood Project: A Low Income Woodlot Owners Pilot Program

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West CAP’s Glenwood Project:

► We

West CA CAP’ P’s s seve ven c count nties are 5 50% % forest, appr

  • pprox. 20% ow
  • wned by

d by famili lies b below low 200% of

  • f

Pover erty ty

► Turns t

rns this is tax lia iabil ilit ity in into a “gre reen” n” econ

  • nom
  • mically

y pr produ

  • ductive asset b

by:

  • Offe

Offering n no-inter erest l t loan ans to to get et sus ustai tainable f fores est t manage geme ment nt p plans ns w written f n for woodl dlots

  • Gets

Gets w woodlot o t owners i into to th the e Man anag aged F Forest L t Law aw program to to greatl eatly r red educe th thei eir p proper erty tax tax bur urden

  • Advocates fo

for r wo woodlot o

  • wn

wners in in navig igating t tric ricky an and o

  • ften

ten c corrupt l t logging an and ti timber s sal ales es o

  • per

erat ations

  • Offe

Offers n no-inter teres est, t, e energy-savings fin financing fo for r wo wood- bas ased h home h e heati eating s system tems

  • Hel

elps to to dev evel elop l local al f firew ewood an and ti timber m mar arkets

  • Sus

Sustained b by fees ees from tax tax sav avings an and product s sal ales es

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West CAP’s Glenwood Project also:

► Help

lps to b

  • build a

ld a loc local l econ

  • nom
  • my

y ba based on

  • n loc

local l re reso sources

► Replaces e

s enviro ironm nmentally damagi ging f ng fossil ssil fuel use se wit ith c carb rbon n neutra ral, re , real tim ime, , local bio io-mas mass ene nergy

► Help

lps i insula late low low incom

  • me hou
  • useholds from
  • m

globa lobal e energy pr price shoc

  • cks and supply

pply disru isruptio ions ns

► Helps t

the he regi gion m n meet i its own wn ene nergy ne needs

► Cre

reates a s and re retains w ns wealth in in Rura ral Americ rica

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3 - We West CA CAP Cr P Creates: IN INNOVAT ATION # #

The Family Table Cooking Club

Low-income women (mostly) coming together for shared meal preparation sessions

  • Batch cooking saves time
  • Saves money
  • Provides meals for later use
  • Builds nutrition & cooking skills
  • Enhances Social Capital
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West CAP’s Family Table Cooking Club also:

► Help

lps to b

  • build a

ld a loc local l econ

  • nom
  • my

y ba based on

  • n loc

local l re reso sources by purc rchasing ra ing raw in ingre redie ient nts f s fro rom local al far farme mers an and g gar ardeners

► Make

kes use o

  • f u

und nder-util ilize ized local a asse ssets s – commercia ial k kit itchens in ns in sc schools, s, churc rches s and community ty cent nters

► Bui

uilds mutual mutually s sup upporti tive c commun mmuniti ties th through volunt nteers rs, v , vendor re relatio ions nship ips, s, non-profi fits ts pro rovid iding f ing facil ilit itie ies

► Is c

cheap eap an and s scal alab able

► Is f

s fun

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