Collapse Is Already Here: It’s A Process, Not An Event …

30 01 2019

A great article by Chris Martenson, which omits the fires in Tassie….. as I write, collapse is very obvious down here in the Huon. Authorities have closed the road to Geeveston, and the survival of our shed and ducklings is in the lap of the gods now. Today’s conditions – air pollution index early this morning reached a staggering 1400 at home – are going to escalate to severe, with building losses expected.

Updated 30/1/2019 fire just 1000m from the Fanny Farm
Photo looking West taken by my neighbour Matt
15 months ago, that hill was covered in snow…!

By Chris Martenson

January 26, 2019 “Information Clearing House” –   

Many people are expecting some degree of approaching collapse — be it economic, environmental and/or societal — thinking that they’ll recognize the danger signs in time.

As if it will be completely obvious, like a Hollywood blockbuster. Complete with clear warnings from scientists, politicians and the media.  And everyone can then get busy either panicking or becoming the plucky heroes.

That’s not how collapse works.

Collapse is a process, not an event.

And it’s already underway, all around us.

Collapse is already here.

However, unlike Hollywood’s vision, the early stages of collapse cause people to cling even tighter to the status quo. Instead of panic in the streets, we simply see more of the same — as those in power do all they can to remain so, while the majority of the public attempts to ignore the growing problems for as long as it possibly can.

For both the elite and the majority, their entire world view and their personal sense of self depends on things not crumbling all around them, so they remain willfully blind to any evidence to the contrary.

When faced with the predicaments we warn about here at PeakProsperity.com, getting an early start on prudently shifting your own personal situation is of vital strategic and tactical importance. Tens of thousands of our readers already have taken wise steps in their lives to position themselves resiliently.

But most of the majority won’t get started until it’s entirely too late to make any difference at all. Which is sad but perhaps unavoidable, given human nature.

If everybody around you is saying “Everything is awesome!”, it can take a long time to determine for yourself that things in fact aren’t:

Real collapse happens slowly, and often without any sort of acknowledgement by the so-called political and economic elites until its abrupt terminal end.

The degree of rot within the Soviet Union went undetected until its final implosion, catching pretty much everyone in the West (as well as in the former USSR!) by surprise.

Similarly, one day people woke up and passenger pigeons were extinct.  They used to literally darken the skies for hours as they migrated past, numbering in the billions. Nobody planned on their demise and virtually nobody saw it coming.  Sure, just as there always are, a few crackpots at the fringes noticed, but they were ignored until it was too late.

Our view is that collapse of our current way of life is happening right now. The signs are all around us.  Our invitation is for you to notice them and inquire critically what the ramifications will be — irrespective of whatever pablum our leaders and media are currently spewing.

While the monetary and financial elites strain to crank out one more day/week/month/year of “market stability”, the ecosystems we depend on for life are vanishing. It’s as if the Rapture were happening, but it’s the insects, plants and animals ascending to heaven instead of we humans.

COMMITTING ECOCIDE

Be very skeptical when the cause of each new ecological nightmare is ascribed to “natural causes.”

While it’s entire possible for any one ecological mishap to be due to a natural cycle, it’s weak thinking to assign the same cause to dozens of troubling findings happening all over the globe.

As they say in the military: Once is an accident. Twice is a coincidence. But three times is enemy action.

Right now, Australia is in the middle of the summer season and being absolutely hammered by high heat.  Sure it gets hot during an Australian summer, but not like this. The impact has been devastating:

Australia’s Facing an Unprecedented Ecological Crisis, But No One’s Paying Attention

Jan 9, 2019

It started in December, just before Christmas.

Hundreds of dead perch were discovered floating along the banks of the Darling River – victims of a “dirty, rotten green” algae bloom spreading in the still waters of the small country town of Menindee, Australia.

Things didn’t get better. The dead hundreds became dead thousands, as the crisis expanded to claim the lives of 10,000 fish along a 40-kilometre (25-mile) stretch of the river. But the worst was still yet to come.

This week, the environmental disaster has exploded to a horrific new level – what one Twitter user called “Extinction level water degradation” – with reports suggesting up to a million fish have now been killed in a new instance of the toxic algae bloom conditions.

For their part, authorities in the state of New South Wales have only gone as far as confirming “hundreds of thousands” of fish have died in the event – but regardless of the exact toll, it’s clear the deadly calamity is an unprecedented ecological disaster in the region’s waterways.

“I’ve never seen two fish kills of this scale so close together in terms of time, especially in the same stretch of river,” fisheries manager Iain Ellis from NSW Department of Primary Industries (DPI) explained to ABC News.

The DPI blames ongoing drought conditions for the algae bloom’s devastating impact on local bream, cod, and perch species – with a combination of high temperature and chronic low water supply (along with high nutrient concentrations in the water) making for a toxic algal soup.

Watching the video above showing grown men crying over the loss of 100-year-old fish is heartbreaking. This fish kill is described as “unprecedented” and as an “extinction level event”, meaning it left no survivors over a long stretch of waterway.

We can try to console oursleves that maybe this was just a singular event, a cluster of bad juju and worse waterway management that combined to give us this horror — but it wasn’t.

It’s part of a larger tapestry of heat-induced misery that Australia is facing:

How one heatwave killed ‘a third’ of a bat species in Australia

Jan 15, 2019

Over two days in November, record-breaking heat in Australia’s north wiped out almost one-third of the nation’s spectacled flying foxes, according to researchers.

The animals, also known as spectacled fruit bats, were unable to survive in temperatures which exceeded 42C.

“It was totally depressing,” one rescuer, David White, told the BBC.

Flying foxes are no more sensitive to extreme heat than some other species, experts say. But because they often gather in urban areas in large numbers, their deaths can be more conspicuous, and easily documented.

“It raises concerns as to the fate of other creatures who have more secretive, secluded lifestyles,” Dr Welbergen says.

He sees the bats as the “the canary in the coal mine for climate change”.

A two-day heatwave last November (2018) was sufficient to kill up to a third of all Australia’s known flying foxes, a vulnerable species that was already endangered.  As those bats are well-studied and their deaths quite conspicuous to observers, it raises the important question: How many other less-scrutinized species are dying off at the same time?

And the death parade continues:

Are these data points severe enough for you to recognize as signs of ongoing collapse?

Last summer was a time of extreme draught and heat for Australia, and this summer looks set to be even worse. This may be the country’s  ‘new normal’ for if the situation is due to climate change instead of just an ordinary (if punishing) hot cycle.

If so, these heat waves will likely intensify over time, completely collapsing the existing biological systems across Australia.

‘Like losing family’: time may be running out for New Zealand’s most sacred treeMeanwhile, nearby in New Zealand, similar species loss is underway:

July 2018

New Zealand’s oldest and most sacred tree stands 60 metres from death, as a fungal disease known as kauri dieback spreads unabated across the country.

Tāne Mahuta (Lord of the Forest) is a giant kauri tree located in the Waipoua forest in the north of the country, and is sacred to the Māori people, who regard it as a living ancestor.

The tree is believed to be around 2,500 years old, has a girth of 13.77m and is more than 50m tall.

Thousands of locals and tourists alike visit the tree every year to pay their respects, and take selfies beside the trunk.

Now, the survival of what is believed to be New Zealand’s oldest living tree is threatened by kauri dieback, with kauri trees a mere 60m from Tāne Mahuta confirmed to be infected.

Kauri dieback causes most infected trees to die, and is threatening to completely wipe out New Zealand’s most treasured native tree species, prized for its beauty, strength and use in boats, carvings and buildings.

“We don’t have any time to do the usual scientific trials anymore, we just have to start responding immediately in any way possible; it is not ideal but we have kind of run out of time,” Black says, adding that although there is no cure for kauri dieback there is a range of measures which could slow its progress.

(Source)

People are rallying to try and save the kauri trees, although it’s unclear exactly how to stop the spread of the new fungal invader or why it’s so pathogenic all of a sudden.  It could be due to another natural sort of cycle (except the fungus was thought to have been introduced and spread by human activity) or it could be a another collapse indicator we need to finally hear and heed.

It turns out that New Zealand is not alone. Giant trees are dying all over the globe. [it’s been reported that the world’s two tallest flowering trees here in the Huon have burned….]

2,000-year-old baobab trees in Africa are suddenly and rather mysteriously giving up the ghost.  These trees survived happily for 2,000 years and now all of a sudden they’re dying. Are the deaths of our most ancient trees all across the globe some sort of natural process? Or is there a different culprit we need to recognize?

In Japan they’re lamenting record low squid catches.  Oh well, maybe it’s just overfishing?  Or could it be another message we need to heed?

To all this we can add the numerous scientific articles now decrying the ‘insect Apocalypse’ unfolding across the northern hemisphere. The Guardian recently issued this warning: “Insect collapse: ‘We are destroying our life support systems’”. Researchers in Puerto Rico’s forest preserves recorded a 98% decline in insect mass over 35 years.  Does a 98% decline have a natural explanation? Or is something bigger going on?

Meanwhile, the butterfly die-off is unfolding with alarming speed. I rarely see them in the summer anymore, much to my great regret.  Seeing one is now as exciting as seeing a meteor streak across the sky, and just as rare:

Monarch butterfly numbers plummet 86 percent in California

Jan 7, 2019

CAMARILLO, Calif. – The number of monarch butterflies turning up at California’s overwintering sites has dropped by about 86 percent compared to only a year ago, according to the Xerces Society, which organizes a yearly count of the iconic creatures.

That’s bad news for a species whose numbers have already declined an estimated 97 percent since the 1980s.

Each year, monarchs in the western United States migrate from inland areas to California’s coastline to spend the winter, usually between September and February.

“It’s been the worst year we’ve ever seen,” said Emma Pelton, a conservation biologist with the Xerces Society who helps lead the annual Thanksgiving count. “We already know we’re dealing with a really small population, and now we have a really bad year and all of a sudden, we’re kind of in crisis mode where we have very, very few butterflies left.”

What’s causing the dramatic drop-off is somewhat of a mystery. Experts believe the decline is spurred by a confluence of unfortunate factors, including late rainy-season storms across California last March, the effects of the state’s years long drought and the seemingly relentless onslaught of wildfires that have burned acres upon acres of habitat and at times choked the air with toxic smoke.

(Source)

Note the “explanation” given blames the decline on mostly natural processes: late storms, droughts and wildfires. I believe that’s because the article appears in a US paper, so no mention was permitted of neonicotinoid pesticides or glyphosate. Both of these are highly effective decimators of insect life — but they’re highly profitable for Big Ag, so for now, any criticism is not allowed.

Sure a 97% decline since the 1980’s might be due to fires, droughts and rains. But that’s really not very likely.  There have always been fires, droughts and rains.  Something else has shifted since the 1980’s. And that “thing” is human activity, which has increased its willingness to destroy habitat and spray poisons everywhere in pursuit of cheaper food and easier profits.

The loss of insects, which we observe in the loss of the beautiful and iconic Monarch butterfly, is a gigantic warning flag that we desperately need to heed.  If the bottom of our billion-year-old food web disintegrates, you can be certain that the repercussions to humans will be dramatic and terribly difficult to ‘fix.’  In scientific terms, it will be called a “bottom-up trophic cascade”.

In a trophic cascade, the loss of a single layer of the food pyramid crumbles the entire structure.  Carefully-tuned food webs a billion years in the making are suddenly destabilized.  Life cannot adapt quickly enough, and so entire species are quickly lost.  Once enough species die off, the web cannot be rewoven, and life … simply ends.

What exactly would a “trophic cascade” look like in real life?  Oh, perhaps something just like this:

Deadly deficiency at the heart of an environmental mystery

Oct 16, 2018

During spring and summer, busy colonies of a duck called the common eider (Somateria mollissima) and other wild birds are usually seen breeding on the rocky coasts around the Baltic Sea. Thousands of eager new parents vie for the best spots to build nests and catch food for their demanding young broods.

But Lennart Balk, an environmental biochemist at Stockholm University, witnessed a dramatically different scene when he visited Swedish coastal colonies during a 5-year period starting in 2004. Many birds couldn’t fly. Others were completely paralyzed. Birds also weren’t eating and had difficulty breathing. Thousands of birds were suffering and dying from this paralytic disease, says Balk. “We went into the bird colonies, and we were shocked. You could see something was really wrong. It was a scary situation for this time of year,” he says.

Based on his past work documenting a similar crisis in several Baltic Sea fish species, Balk suspected that the birds’ disease was caused by a thiamine (vitamin B1) deficiency. Thiamine is required for critical metabolic processes, such as energy production and proper functioning of the nervous system.

This essential micronutrient is produced mainly by plants, including phytoplankton, bacteria, and fungi; people and animals must acquire it through their food.

“We found that thiamine deficiency is much more widespread and severe than previously thought,” Balk says. Given its scope, he suggests that a pervasive thiamine deficiency could be at least partly responsible for global wildlife population declines. Over a 60-year period up to 2010, for example, worldwide seabird populations declined by approximately 70%, and globally, species are being lost 1,000 times faster than the natural rate of extinction (9, 10). “He has seen a thiamine deficiency in several differ phyla now,” says Fitzsimons of Balk. “One wonders what is going on. It’s a larger issue than we first suspected.”

(Source)

This is beyond disturbing. It should have been on the front pages of every newspaper and TV show across the globe.  We should be discussing it in urgent, worried tones and devoting a huge amount of money to studying and fixing it.  At a minimum, we should stop hauling more tiny fish and krill from the sea in an effort to at least stabilize the food pyramid while we sort things out.

If you recall, we’ve also recently reported on the findings showing that phytoplankton levels are down 50% (these are a prime source for thiamine, by the way). Again, here’s a possible “trophic cascade” in progress:

(Source)

Fewer phytoplankton means less thiamine being produced. That means less thiamine is available to pass up the food chain. Next thing you know, there’s a 70% decline in seabird populations.

This is something I’ve noticed directly and commented n during my annual pilgrimages to the northern Maine coast over the past 30 years, where seagulls used to be extremely common and are now practically gone.  Seagulls!

Next thing you know, some other major food chain will be wiped out and we’ll get oceans full of jellyfish instead of actual fish.  Or perhaps some once-benign mold grows unchecked because the former complex food web holding it in balance has collapsed, suddenyl transforming Big Ag’s “green revolution” into grayish-brown spore-ridden dust.

To add to the terrifying mix of ecological news has been the sudden and rapid loss of amphibian species all over the world.  A possible source for the culprit has been found, if that’s any consolation; though that discovery does not yet identify a solution to this saddening development.

Ground Zero of Amphibian ‘Apocalypse’ Finally Found

May 10, 2018

MANY OF THE world’s amphibians are staring down an existential threat: an ancient skin-eating fungus that can wipe out entire forests’ worth of frogs in a flash.

This ecological super-villain, the chytrid fungus Batrachochytrium dendrobatidis, has driven more than 200 amphibian species to extinction or near-extinction—radically rewiring ecosystems all over Earth.

“This is the worst pathogen in the history of the world, as far as we can tell, in terms of its impacts on biodiversity,” says Mat Fisher, an Imperial College London mycologist who studies the fungus.

Now, a global team of 58 researchers has uncovered the creature’s origin story. A groundbreaking study published in Science on Thursday reveals where and when the fungus most likely emerged: the Korean peninsula, sometime during the 1950s.

From there, scientists theorize that human activities inadvertently spread it far and wide—leading to amphibian die-offs across the Americas, Africa, Europe, and Australia.

(Source)

Frogs, toads and salamanders were absolutely critical parts of my childhood and I delighted in their presence. I cannot imagine a world without them. But effectively, that’s what we’ve got now with so many on the endangered species list.

This parade of awful ecological news is both endless and worsening. And there is no real prospect for us to fix things in time to avoid substantial ecological pain.  None.

After all, we can’t even manage our watersheds properly. And those are dead simple by comparison. Water falls from the sky in (Mostly) predictable volume and you then distribute somewhat less than that total each year.  Linear and simple in comparison to trying to unravel the many factors underlying a specie’s collapse.

But challenges like this are popping up all over the globe:

Fear And Grieving In Las Vegas: Colorado River Managers Struggle With Water Scarcity

Dec 14th, 2018

On stage in a conference room at Las Vegas’s Caesars Palace, Keith Moses said coming to terms with the limits of the Colorado River is like losing a loved one.

“It reminds me of the seven stages of grief,” Moses said. “Because I think we’ve been in denial for a long time.”

Moses is vice chairman of the Colorado River Indian Tribes, a group of four tribes near Parker, Arizona. He was speaking at the annual Colorado River Water Users Association meeting.

The denial turned to pain and guilt as it became clear just how big the supply and demand gaps were on the river that delivers water to 40 million people in the southwest.

For the last six months Arizona’s water leaders have been experiencing the third stage of grief: anger and bargaining.

Of the seven U.S. states that rely on the Colorado River, Arizona has had the hardest time figuring out how to rein in water use and avoid seeing the river’s largest reservoirs — Lakes Mead and Powell — drop to extremely low levels.

Kathryn Sorenson, director of Phoenix’s water utility, characterized the process this way: “Interesting. Complicated. Some might say difficult.”

One of the loudest voices in the debate has been coming from a small group of farmers in rural Pinal County, Arizona, south of Phoenix.

Under the current rules those farmers could see their Colorado River supplies zeroed out within two years.

The county’s biggest grower of cotton and alfalfa, Brian Rhodes, is trying to make sure that doesn’t happen. The soil in his fields is powder-like, bursting into tiny brown clouds with each step.

“We’re going to have to take large cuts,” Rhodes said. “We all understand that.”

(Source)

Oh my goodness. If we’re having trouble realizing that wasting precious water from the Colorado River to grow cotton is a bad idea, then there’s just no hope at all that we’ll successfully rally to address the loss of ocean phytoplankton.

That’s about the easiest connection of dots that could ever be made.  As Sam Kinison, the 1980’s comedian might have yelled – IT’S A DESERT!! YOU’RE TRYING TO GROW WATER-INTENSIVE CROPS IN THE FREAKING DESERT!  CAN’T YOU SEE ALL THE SAND AROUND YOU?!? THAT MEANS “DON’T GROW COTTON HERE!!”

A WORLD ON THE BRINK

The bottom line is this: We are destroying the natural world. And that means that we are destroying ourselves. 

I know that the mainstream news has relegated this conversation to the back pages (when they covered it at all) and so it’s not “front and center” for most people.  But it should be.

Everything we hold dear is a subset of the ecosphere. If that goes, so does everything else. Nothing else matters in the slightest if we actively destroy the Earth’s carrying capacity.

At the same time, we’re in the grips of an extremely dangerous delusion that has placed money, finance and the economy at the top spot on our temple of daily worship.

Any idea of slowing down or stopping economic growth is “bad for business” and dismissed out of hand as “not practical”, “undesirable” or “unwise”.  It’s always a bad time to discuss the end of economic growth, apparently.

But as today’s young people are increasingly discovering, if conducting business” is just a lame rationale for failed stewardship of our lands and oceans, then it’s a broken idea. One not worth preserving in its current form.

The parade of terrible ecological breakdowns provided above is there for all willing to see it. Are you willing?  Each failing ecosystem is screaming at us in urgent, strident tones that we’ve gone too far in our quest for “more”.

We might be able to explain away each failure individually. But taken as a whole?  The pattern is clear: We’ve got enemy action at work.  These are not random coincidences.

Nature is warning us loudly that it’s past time to change our ways.  That our “endless growth” model is no longer valid. In fact, it’s now becoming an existential threat

The collapse is underway. It’s just not being televised (yet).

DAVOS AS DESTINY

And don’t expect the cavalry to arrive.

Our leadership is absolutely not up to the task. If the Davos conference currently underway in Switzerland is a sign of anything at all, it’s that we’re doomed.

The world has been taken over by bankers and financiers too smitten by their love of money to notice much else or be of any practical service to the world.

By way of illustrative example, here’s the big techno-feel-good idea unveiled on the second day of the conference.  The crowds there loved it:

Yes, folks, this is what the world most desperately needs at this time! /sarc

While I’m sure drone-delivered books is a heartwarming story, it’s completely diversionary and utterly meaningless in the face of collapsing oceanic and terrestrial food webs.

Sadly, this is exactly the sort of inane distraction most admired by the Davos set in large part because it helps them feel a tiny bit better about their ill-gotten wealth. “Look!  We’re supporting good thngs!”  The ugly truth is that big wealth’s main pursuit is to distort political processes and rules to assure they get to keep it and even amass more.

Drones carrying books to Indonesian children provides the same sort of dopamine rush to a Davos attendee as Facebook ‘like’ gives to a 14-year-old. Temporary, cheap, superficial and ultimately meaningless.

The same is true of their other feel-good theme of the day. “Scientists” have discovered an enzyme that eats plastics:

That’s swell, but you know what would be even better?  Not using the bottles in the first place. Which could be accomplished by providing access to safe, potable water as a basic human right and using re-usable containers.  Of course, that would offer less chances for private wealth accumulation so instead the Davos crowd is fixated on the profitable solution vs. doing the right thing.

In viritually every instance, the Davos crowd wants to preserve industry and our consumer culture as it is, using technology and gimmicks in attempt to remedy the ills that result.  There’s money to be made on both ends of that story.

The only thing that approach lacks is a future. Because it’s not-so-subtly based on continued “growth”. Infinite exponential growth. The exact same growth that is killing ancient trees, sea birds, insects, amphibians, and phytoplankton.

Who wants more of that? Insane people.

In other words, don’t hold out any hope that the Davos set representing the so-called “elite” from every prominent nation on earth are going to somehow bravely offer up real insights on our massive predicaments and solutions to our looming problems. They’re too consumed with their own egos and busy preening for prominence to notice the danger or care.

As they pointlessly fritter away another expensive gathering, the ecological world is unraveling all around them. The oceans are becoming a barren wasteland.  The ancient trees are dying.  Heatwaves are melting tar and killing life.  The web of life is snapping strand by strand and nobody can predict what happens next.

In other words, if you held out any hope that “they” would somehow rally to the cause you’d best set that completely aside. It’s no wonder social anger against tone-deaf and plundering elites is breaking out right now.

From here, there are only two likely paths:

(1) We humans simply cannot self-organize to address these plights and carry on until the bitter end, when something catastrophic happens that collapses our natural support systems.

(2) We see the light, gather our courage, and do what needs to be done.  Consumption is widely and steeply curtailed, fossil fuel use is severely restrained, and living standards as measured by the amount of stuff flowing through our daily lives are dropped to sustainable levels.

Either path means enormous changes are coming, probably for you and definitely for your children and grandchildren.

In Part 2: Facing Reality we dive into what developments to expect as our systems continue further along their trophic cascade. Which markers and milestones should we monitor most closely to know when the next breaking point is upon us?

To reiterate: Massive change is now inevitable and in progress.

Collapse has already begun.

This article was originally published by Peak Prosperity





Playing chicken with Armageddon….

26 01 2019

It all started over a week ago when a thunderstorm came through Geeveston. At the time it all seemed exciting, because I hadn’t seen a thunderstorm since leaving Queensland over three years ago; the problem is, unlike up north where such storms usually bring torrential rain, this one released 0.5mm of precipitation, and the lightning strikes started fires all over the place. Those closest to Geeveston were quickly put out, but four others way out in the forest on the other side of the Huon River past the Tahune tourist attraction became uncontrollable, recently joining up to form one big fire…….

Smoke started invading the Huon Valley, not particularly bad to begin with, but by last Tuesday my Iranian wwoofer who had had a lot of experience with very bad air quality in Teheran said we should leave when the particulates index hit 214….. He even introduced me to air quality websites where you can monitor these issues; I’d never even heard of them before because air quality is not something I normally concern myself in the pristine air of Southern Tasmania.

Where’s my pristine air gone…? And now the choppers are filling up with our water….

Little did we know, things were going to get worse, a lot worse…… by the time we left, the index had risen to over 460, and Geeveston had the worst air quality in the world……

Chloe, a French wwoofer who was here when Glenda arrived in November had returned for a quick look see at how the work she’d done had progressed. By the time we’d walked half way to the house site, my lungs hurt and I was puffing….. I escaped to Hobart and stayed with a friend. The next day, the index had risen to a staggering 800….. you can’t make this shit up, honestly, because later, Cygnet’s index went up to 1100! And it’s on the other side of the estuary! Don’t ask, I don’t know…..

Before returning to prepare for the obvious looming fire disaster which was all over the news, I spent $100 on a mask capable of filtering out P2 (2 microns) particles. I was amazed at how well it worked, it allowed me to work all day cutting grass and moving stuff all day long. It was hot and sweaty, but beat the hell out of sore lungs and life shortening exposure.

By then we were warned it would be safer to leave than stay behind to protect property. My shed’s built out of firewood, is on stilts – fortunately at the NE corner where the fire wasn’t coming from, but all the same ember attacks are what one has to worry about.

I set up and tested sprinklers to soak the area, and the pump near the power station was on for days at a time running 6 to 10 hours a day depending on the availability of sunlight. All the utes are parked up there too, near the dam where it’s most unlikely fire would reach.

Luckily, my neighbour Matt has many acres under apples which when irrigated don’t burn. His farm will be a good buffer in the event of all out Armageddon…..

After attending a community meeting packed to the rafters (they had to hold a second one because the hall was way too small) and being told that Friday was going to be hell on Earth with 35 degrees and 50 to 70 km/h winds and burning embers falling out of the sky, I decided discretion was the better part of valor, and packed little Suzie with all sorts of assorted stuff and left.

Image may contain: one or more people and outdoor

The weather was supposed to get angry from 5am, but nothing of the sort happened. So I drove back to Geeveston to do more preparation. The air was even way cleaner than that other awful day. I had a chat with Matt and decided to go back to Hobart. Next day, I went back again. We had 30 ducklings hatch just before all this happened, and if they were still alive I wasn’t going to let all that effort go to waste. I even moved about 10 lengths of 8×2 rafters I need to finish the house’s roof structure into the container; timber like that doesn’t come easily.

Some of the crap that was falling out of the sky….

As in war, it seems the first victim of bushfires is the truth…… the unbelievable array of conflicting information appearing on not just social media but even the ABC news was bewildering. This morning, we were told the fire had reached Costains Road, just half a km away, when in fact it was much farther away at Bennetts Road, with the ABC later publishing a retraction online…..

The red dot is where we live….

The best info I received was actually from my neighbour who decided to stay as long as possible, and is still there…… he even texted me a firey’s map (we call firefighters fireys here!) he photographed that showed just how close the fire actually was at 10am this very morning….. then the wind changed. Tassie’s fickle weather at it again. ALL the pollution, which went from zero to 600 and back again in a few hours disappeared when the SE wind took off. Unfortunately, it won’t last, the NW winds will be back Monday.

He’s just texted me the choppers are filling up from our dam…..!!

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The real heroes, our fireys…….

The latest news is that it’s safe to come home again, but to not be complacent.

Let me tell you, I’m sick of playing chicken with Armageddon…… and it’s not over ’til the Fat Lady sings. Tomorrow I’ll be back on deck to check my ducks are OK…… and now check the water level in the dam.

The real tragedy, however, is the potential damage, if not disappearance, of Tasmania’s unique and pristine ecosystems…… I can build a new shed, you can’t replace this stuff…





Is peak everything just around the corner?

15 01 2019

What Happened in 2015 that Changed the World? Peak Civilization, Maybe?

“Peak Cement” may have taken place in 2015, stopping the exponentially growing curve that would have led us to turn the Earth into a bowling ball, similar to the fictional planet Trantor, Galactic capital in Isaac Asimov’s series “Foundation” (image source).

Signs of economic slowdowns are everywhere now….. last night in the news, Alan Kohler showed a chart describing how Chinese car sales flipped from growing at 10% to shrinking at 10%, in just three months, and evidence od Chinese economic collapse are even on mainstream news now…. Retail sales in Australia are taking a hit too.  And now this from Ugo Bardi’s Cassandra’s Legacy…

When giving an example of an exponentially growing production curve, I used to cite cement production. Look at the data up to 2013: a beautiful growing curve with a doubling time of — very roughly — 10 years. Then, if we assume that the current concrete covered area in the world is about 2%  (an average of the data by Schneider et al., 2009and the Global Rural-Urban Mapping Project, 2004) then we would get to Trantor — bowling ball planet — in some 50 years. Of course that wasn’t possible, but it was still a surprise to discover how abrupt the change has been: here are the most recent data (the value for 2018 is still an estimate from cemnet.com)

Impressive, right? Steve Rocco, smart as usual, had already noticed this trend in 2017, but now it is clearer. It looks like a peak, it has the shape of a peak, it gives the impression of a peak. Most likely it is a peak — actually, it could be the start of an irreversible decline in the global cement production. 

Now, what caused the decline? If you look at the disaggregated data, it is clear that the slowdown was mainly created by China, but not just by China. Several countries in the world are going down in terms of cement production — in Italy, the decline started in 2010.

My impression — that I share with the one proposed by Rocco — is that this is not a blip in the curve, nor a special case among the various mineral commodities produced nowadays. It is a symptom of a general problem: it may be the clearest manifestation of the concept of “peak civilization” that the 1972 “Limits to Growth” study had placed for some moment during the 1st or 2nd decades of the 21st century.

Peak Cement is not alone another major peak was detected by Antonio Turiel for diesel fuel in 2015.

And, of course, we know that another major commodity went through a global peak in 2014: coal. (data from bp.com)

So, are we really facing “peak civilization”? It is hard to say. On a time scale of a few years, many things could change and, in any case, you don’t expect peaking to take place at the same time for all mineral commodities, everywhere. A strong indication that the whole world system is peaking would come from the behavior of the global GDP. Rocco had proposed that also the GDP had peaked in 2015, but the data available at present are insufficient to prove that. 

In any case, it has been said that we would see the great peak “in the rear mirror”and this may well be what we are seeing. Whatever is happening it will be clearer in the future but, if it is really “the peak“, expect the Seneca cliff to open up in front of us in the coming years. And maybe it won’t be such a bad thing(*): did we really want to turn the Earth into a bowling ball?





2019: World Economy Is Reaching Growth Limits; Expect Low Oil Prices, Financial Turbulence

10 01 2019

Posted on January 9, 2019 by Gail Tverberg

Another incisive self explanatory article by Gail Tverberg explaining the recent volatility and what outcomes we can expect from that this coming year (and next) MUST READ.

Financial markets have been behaving in a very turbulent manner in the last couple of months. The issue, as I see it, is that the world economy is gradually changing from a growth mode to a mode of shrinkage. This is something like a ship changing course, from going in one direction to going in reverse. The system acts as if the brakes are being very forcefully applied, and reaction of the economy is to almost shake.

What seems to be happening is that the world economy is reaching Limits to Growth, as predicted in the computer simulations modeled in the 1972 book, The Limits to Growth. In fact, the base model of that set of simulations indicated that peak industrial output per capita might be reached right about now. Peak food per capita might be reached about the same time. I have added a dotted line to the forecast from this model, indicating where the economy seems to be in 2019, relative to the base model.

Figure 1. Base scenario from The Limits to Growth, printed using today’s graphics by Charles Hall and John Day in Revisiting Limits to Growth After Peak Oil with dotted line at 2019 added by author. The 2019 line is drawn based on where the world economy seems to be now, rather than on precisely where the base model would put the year 2019.

The economy is a self-organizing structure that operates under the laws of physics. Many people have thought that when the world economy reaches limits, the limits would be of the form of high prices and “running out” of oil. This represents an overly simple understanding of how the system works. What we should really expect, and in fact, what we are now beginning to see, is production cuts in finished goods made by the industrial system, such as cell phones and automobiles, because of affordability issues. Indirectly, these affordability issues lead to low commodity prices and low profitability for commodity producers. For example:

  • The sale of Chinese private passenger vehicles for the year of 2018 through November is down by 2.8%, with November sales off by 16.1%. Most analysts are forecasting this trend of contracting sales to continue into 2019. Lower sales seem to reflect affordability issues.
  • Saudi Arabia plans to cut oil production by 800,000 barrels per day from the November 2018 level, to try to raise oil prices. Profits are too low at current prices.
  • Coal is reported not to have an economic future in Australia, partly because of competition from subsidized renewables and partly because China and India want to prop up the prices of coal from their own coal mines.

The Significance of Trump’s Tariffs

If a person looks at history, it becomes clear that tariffs are a standard response to a problem of shrinking food or industrial output per capita. Tariffs were put in place in the 1920s in the time leading up to the Great Depression, and were investigated after the Panic of 1857, which seems to have indirectly led to the US Civil War.

Whenever an economy produces less industrial or food output per capita there is an allocation problem: who gets cut off from buying output similar to the amount that they previously purchased? Tariffs are a standard way that a relatively strong economy tries to gain an advantage over weaker economies. Tariffs are intended to help the citizens of the strong economy maintain their previous quantity of goods and services, even as other economies are forced to get along with less.

I see Trump’s trade policies primarily as evidence of an underlying problem, namely, the falling affordability of goods and services for a major segment of the population. Thus, Trump’s tariffs are one of the pieces of evidence that lead me to believe that the world economy is reaching Limits to Growth.

The Nature of World Economic Growth

Economic growth seems to require growth in three dimensions (a) Complexity, (b) Debt Bubble, and (c) Use of Resources. Today, the world economy seems to be reaching limits in all three of these dimensions (Figure 2).

Figure 2.

Complexity involves adding more technology, more international trade and more specialization. Its downside is that it indirectly tends to reduce affordability of finished end products because of growing wage disparity; many non-elite workers have wages that are too low to afford very much of the output of the economy. As more complexity is added, wage disparity tends to increase. International wage competition makes the situation worse.

growing debt bubble can help keep commodity prices up because a rising amount of debt can indirectly provide more demand for goods and services. For example, if there is growing debt, it can be used to buy homes, cars, and vacation travel, all of which require oil and other energy consumption.

If debt levels become too high, or if regulators decide to raise short-term interest rates as a method of slowing the economy, the debt bubble is in danger of collapsing. A collapsing debt bubble tends to lead to recession and falling commodity prices. Commodity prices fell dramatically in the second half of 2008. Prices now seem to be headed downward again, starting in October 2018.

Figure 3. Brent oil prices with what appear to be debt bubble collapses marked.

Figure 4. Three-month treasury secondary market rates compared to 10-year treasuries from FRED, with points where short term interest rates exceed long term rates marked by author with arrows.

Even the relatively slow recent rise in short-term interest rates (Figure 4) seems to be producing a decrease in oil prices (Figure 3) in a way that a person might expect from a debt bubble collapse. The sale of US Quantitative Easing assets at the same time that interest rates have been rising no doubt adds to the problem of falling oil prices and volatile stock markets. The gray bars in Figure 4 indicate recessions.

Growing use of resources becomes increasingly problematic for two reasons. One is population growth. As population rises, the economy needs more food to feed the growing population. This leads to the need for more complexity (irrigation, better seed, fertilizer, world trade) to feed the growing world population.

The other problem with growing use of resources is diminishing returns, leading to the rising cost of extracting commodities over time. Diminishing returns occur because producers tend to extract the cheapest to extract commodities first, leaving in place the commodities requiring deeper wells or more processing. Even water has this difficulty. At times, desalination, at very high cost, is needed to obtain sufficient fresh water for a growing population.

Why Inadequate Energy Supplies Lead to Low Oil Prices Rather than High

In the last section, I discussed the cost of producing commodities of many kinds rising because of diminishing returns. Higher costs should lead to higher prices, shouldn’t they?

Strangely enough, higher costs translate to higher prices only sometimes. When energy consumption per capita is rising rapidly (peaks of red areas on Figure 5), rising costs do seem to translate to rising prices. Spiking oil prices were experienced several times: 1917 to 1920; 1974 to 1982; 2004 to mid 2008; and 2011 to 2014. All of these high oil prices occurred toward the end of the red peaks on Figure 5. In fact, these high oil prices (as well as other high commodity prices that tend to rise at the same time as oil prices) are likely what brought growth in energy consumption down. The prices of goods and services made with these commodities became unaffordable for lower-wage workers, indirectly decreasing the growth rate in energy products consumed.

Figure 5.

The red peaks represented periods of very rapid growth, fed by growing supplies of very cheap energy: coal and hydroelectricity in the Electrification and Early Mechanization period, oil in the Postwar Boom, and coal in the China period. With low energy prices,  many countries were able to expand their economies simultaneously, keeping demand high. The Postwar Boom also reflected the addition of many women to the labor force, increasing the ability of families to afford second cars and nicer homes.

Rapidly growing energy consumption allowed per capita output of both food (with meat protein given a higher count than carbohydrates) and industrial products to grow rapidly during these peaks. The reason that output of these products could grow is because the laws of physics require energy consumption for heat, transportation, refrigeration and other processes required by industrialization and farming. In these boom periods, higher energy costs were easy to pass on. Eventually the higher energy costs “caught up with” the economy, and pushed growth in energy consumption per capita down, putting an end to the peaks.

Figure 6 shows Figure 5 with the valleys labeled, instead of the peaks.

Figure 6.

When I say that the world economy is reaching “peak industrial output per capita” and “peak food per capita,” this represents the opposite of a rapidly growing economy. In fact, if the world is reaching Limits to Growth, the situation is even worse than all of the labeled valleys on Figure 6. In such a case, energy consumption growth is likely to shrink so low that even the blue area (population growth) turns negative.

In such a situation, the big problem is “not enough to go around.” While cost increases due to diminishing returns could easily be passed along when growth in industrial and food output per capita were rapidly rising (the Figure 5 situation), this ability seems to disappear when the economy is near limits. Part of the problem is that the lower growth in per capita energy affects the kinds of jobs that are available. With low energy consumption growth, many of the jobs that are available are service jobs that do not pay well. Wage disparity becomes an increasing problem.

When wage disparity grows, the share of low wage workers rises. If businesses try to pass along their higher costs of production, they encounter market resistance because lower wage workers cannot afford the finished goods made with high cost energy products. For example, auto and iPhone sales in China decline. The lack of Chinese demand tends to lead to a drop in demand for the many commodities used in manufacturing these goods, including both energy products and metals. Because there is very little storage capacity for commodities, a small decline in demand tends to lead to quite a large decline in prices. Even a small decline in China’s demand for energy products can lead to a big decline in oil prices.

Strange as it may seem, the economy ends up with low oil prices, rather than high oil prices, being the problem. Other commodity prices tend to be low as well.

What Is Ahead, If We Are Reaching Economic Growth Limits?

1. Figure 1 at the top of this post seems to give an indication of what is ahead after 2019, but this forecast cannot be relied on. A major issue is that the limited model used at that time did not include the financial system or debt. Even if the model seems to provide a reasonably accurate estimate of when limits will hit, it won’t necessarily give a correct view of what the impact of limits will be on the rest of the economy, after limits hit. The authors, in fact, have said that the model should not be expected to provide reliable indications regarding how the economy will behave after limits have started to have an impact on economic output.

2. As indicated in the title of this post, considerable financial volatility can be expected in 2019if the economy is trying to slow itself. Stock prices will be erratic; interest rates will be erratic; currency relativities will tend to bounce around. The likelihood that derivatives will cause major problems for banks will rise because derivatives tend to assume more stability in values than now seems to be the case. Increasing problems with derivatives raises the risk of bank failure.

3. The world economy doesn’t necessarily fail all at once. Instead, pieces that are, in some sense, “less efficient” users of energy may shrink back. During the Great Recession of 2008-2009, the countries that seemed to be most affected were countries such as Greece, Spain, and Italy that depend on oil for a disproportionately large share of their total energy consumption. China and India, with energy mixes dominated by coal, were much less affected.

Figure 7. Oil consumption as a percentage of total energy consumption, based on 2018 BP Statistical Review of World Energy data.

Figure 8. Energy consumption per capita for selected areas, based on energy consumption data from 2018 BP Statistical Review of World Energy and United Nations 2017 Population Estimates by Country.

In the 2002-2008 period, oil prices were rising faster than prices of other fossil fuels. This tended to make countries using a high share of oil in their energy mix less competitive in the world market. The low labor costs of China and India gave these countries another advantage. By the end of 2007, China’s energy consumption per capita had risen to a point where it almost matched the (now lower) energy consumption of the European countries shown. China, with its low energy costs, seems to have “eaten the lunch” of some of its European competitors.

In 2019 and the years that follow, some countries may fare at least somewhat better than others. The United States, for now, seems to be faring better than many other parts of the world.

4. While we have been depending upon China to be a leader in economic growth, China’s growth is already faltering and may turn to contraction in the near future. One reason is an energy problem: China’s coal production has fallen because many of its coal mines have been closed due to lack of profitability. As a result, China’s need for imported energy (difference between black line and top of energy production stack) has been growing rapidly. China is now the largest importer of oil, coal, and natural gas in the world. It is very vulnerable to tariffs and to lack of available supplies for import.

Figure 9. China energy production by fuel plus its total energy consumption, based on BP Statistical Review of World Energy 2018 data.

A second issue is that demographics are working against China; its working-age population already seems to be shrinking. A third reason why China is vulnerable to economic difficulties is because of its growing debt level. Debt becomes difficult to repay with interest if the economy slows.

5. Oil exporters such as Venezuela, Saudi Arabia, and Nigeria have become vulnerable to government overthrow or collapse because of low world oil prices since 2014. If the central government of one or more of these exporters disappears, it is possible that the pieces of the country will struggle along, producing a lower amount of oil, as Libya has done in recent years. It is also possible that another larger country will attempt to take over the failing production of the country and secure the output for itself.

6. Epidemics become increasingly likely, especially in countries with serious financial problems, such as Yemen, Syria, and Venezuela. Historically, much of the decrease in population in countries with collapsing economies has come from epidemics. Of course, epidemics can spread across national boundaries, exporting the problems elsewhere.

7. Resource wars become increasingly likely. These can be local wars, perhaps over the availability of water. They can also be large, international wars. The timing of World War I and World War II make it seem likely that these wars were both resource wars.

Figure 10.

8. Collapsing intergovernmental agencies, such as the European Union, the World Trade Organization, and the International Monetary Fund, seem likely. The United Kingdom’s planned exit from the European Union in 2019 is a step toward dissolving the European Union.

9. Privately funded pension funds will increasingly be subject to default because of continued low interest rates. Some governments may choose to cut back the amounts they provide to pensioners because governments cannot collect adequate tax revenue for this purpose. Some countries may purposely shut down parts of their governments, in an attempt to hold down government spending.

10. A far worse and more permanent recession than that of the Great Recession seems likely because of the difficulty in repaying debt with interest in a shrinking economy. It is not clear when such a recession will start. It could start later in 2019, or perhaps it may wait until 2020. As with the Great Recession, some countries will be affected more than others. Eventually, because of the interconnected nature of financial systems, all countries are likely to be drawn in.

Summary

It is not entirely clear exactly what is ahead if we are reaching Limits to Growth. Perhaps that is for the best. If we cannot do anything about it, worrying about the many details of what is ahead is not the best for anyone’s mental health. While it is possible that this is an end point for the human race, this is not certain, by any means. There have been many amazing coincidences over the past 4 billion years that have allowed life to continue to evolve on this planet. More of these coincidences may be ahead. We also know that humans lived through past ice ages. They likely can live through other kinds of adversity, including worldwide economic collapse.