From oilslick to tyranny

10 10 2017

A prosperous society is an orderly society.

Just found this……  says it all really.  I expect that one day Australia will also be ‘disunited’, I can see how easily Tasmania would cease to trade with the rest of Australia for starters…. republished from ExtraNewsfeed.

People with full bellies, stable homes and secure employment do not allow themselves to be involved in civil disorder. Unfortunately we are living on borrowed money in a bankrupt society. When our debts catch up with us, society will collapse, violent disorder will ensue and martial law will be inevitable. Pre-oil, despotic rule was the norm and democracies did not exist; we are going to return to that era.

The hallmark of the tyrant is already being stamped on the nation for anyone willing to recognise it. Suppression of truth is already in hand, information on climate change has been removed from government websites. It is the preparation for your future governance. No names are given here, because no-one will recognise the opportunist until he makes his grab for ultimate power. It will not be who you expect it to be.

forget Wall St., this is what world bankruptcy looks like:

Oil is our prime source of energy, ‘alternatives’ cannot power our industrial infrastructure.

Any business that continually burns through its assets at ten times the rate of replacement can be said to be bankrupt; that describes the global economy. Fossil fuels are the only asset we have, because everything else is a derivative of coal oil and gas inputs. Without heat, nothing can be manufactured. We elect politicians to lie on our behalf, because we want to be told that our resources and growth are infinite. In return for our votes, they are happy to do this. Everyone is complicit in the grand deceit, to accept the truth would destroy the existence of all of us.

So to perpetuate that lie there is a collective insistence that the global economy must continue to function to a very simple (but ultimately nonsensical) formula:

the more fuel we burn, the greater our gross domestic product. The faster we burn it, the higher our percentage growth.

Our machines and the (finite) fuels that move them now form the sinews that hold all nations together. They feed us, provide heat, light and transport, and with equal importance, stabilise international democracies and political systems.

No matter how complex or mundane your current job, whether garbage collector or brain surgeon, someone, somewhere is producing sufficient surplus energy to support it.

Prosperity is not an infinite right

Collective prosperity at the global level depends on cheap surplus fossil fuel energy. For 2 centuries we have been able to use those fossil fuels as collateral for future debt, to build ever bigger machines to extract elemental resources from the earth. This has been our great burning, because extracted materials of themselves are of no use to us unless we use heat to process them into desirable commodities.

That excess heat is altering our climate beyond human tolerance.

But heat provides our industrial growth economy: fuels must be consumed to sustain it and provide continued employment to make things that are ultimately thrown away in order to consume more to enable our debts to be continually carried forward. Our system of rolling debt depends on increasing energy input ad infinitum. So the one who asserts that climate change is a hoax gets voted into office, granting permission to burn our planet forever.

Without economic stability, democracy cannot survive.

Fuel resources have been a once-only gift of nature, and there are no viable substitutes. When they are no longer freely available, the effects will be catastrophic and force the events outlined here because the availability of surplus energy directly underpins our economic system. Without surplus energy you cannot have a modern democratic society. Be under no illusions, on current trends the events outlined here are certain. Only timing is in question by a few years either way.

Our global bank balance in oil has been falling for 70 years.

We are living on legacy oil. Oilwells cannot be refilled by votes, prayers or money.

We have created an industrial economy that is entirely predicated on a single factor: converting explosive force into rotary motion. Those six words separate us from the economics of the horsedrawn cart, windmill and sailing ship. They also separate us from the disease and deprivation that was the lot of our forebears only a century or two ago. Only fossil fuels can supply that explosive force at the rate we need.

The global industrial economy is now an interlocked progressive whole. It will not allow isolationism to function, neither will it allow a return to a previous era and downsized economic environment. We demand more, you have heard the aspiring tyrant’s words that promise more.

Political promises evaporate when there is insufficient energy to support them.

The notion of “Saudi America” is reassuring, but the facts are not.

Despite the rhetoric and posturing, reality cannot be ignored: the USA produces around 9 Million barrels of oil a day, but uses 0ver 19MBd. (2016). This imbalance is not going to change, despite collective belief to the contrary.

Price fluctuations and the ebb and flow of gluts should be ignored. If the cost of oil rises to a level that sustains the producers, users can’t afford to buy it; if it falls, oil producers can’t afford to extract it. This is the economic vice that is inexorably crushing the global industrial system as oil supplies decline.

Real wages fall in lockstep with oil depletion.

As surplus energy falls away, so does real income. We have substituted debt for income and allowed that debt to grow to mask the reality of our situation. We are stealing from our own future and from generations unborn to stay solvent. It might be called intergenerational larceny. When our great grandchildren arrive they will find nothing left for them to burn.

We are already in the phase of expending too much energy to get energy, which is why real income has been static for 30 years. We live in an energy economy, not a money economy. Wages are paid from energy surpluses, not printing presses, and that surplus has been gradually reducing.

The mirage of infinity.

The killer factor is Energy Return on Energy Invested, EROEI. Over the last 150 years civilisation has been built based on coal that returned an EROEI of 50:1, and oil that returned 100:1. Those ratios of return provided the cheap surplus energy that created our industrial infrastructure, and led to the expectation of infinite affluence.

We cannot maintain our current lifestyle using expensive fuels which give a return ratio of only 20:1 (and falling), which is what the best oilwells deliver.

Around 14:1 our society might hold together in a rudimentary sense if consumption could be balanced at that level, but 80 million new people arrive on the planet each year. They demand to be housed clothed and fed, spreading available resources even thinner. The mothers of the next 2 billion people are alive now. They will reproduce as a matter of personal survival, taking global population beyond 9 billion by mid century, guaranteeing our fall off the ‘energy cliff’.

The Energy Cliff:

There are numerous interpretations of the ‘energy cliff’, offering different return ratios that will supposedly allow our industrial society to function. 14:1, 12:1 even 8:1. The exact figure is irrelevant, right now we are entering the ‘elbow curve’ of the cliff, pinning our energy hopes on PV, wind, nuclear and tarsands; the ultimate downturn is inescapable. Wind and solar farms cannot supply sufficient concentrated energy to replace oil.

oil-gas-war-graffitiWe are 7.5 billion people on a planet that, pre-oil, supported between 1 and 2 billion. By any reckoning, 5 billion people do not have a future, let alone 2 billion more due over the next 30 years.

We must burn fuel to maintain what we have, but the act of burning destroys what we have. This is contrary to human instinct, so the only recourse will be armed conflict to take what others have. All wars are about survival and acquisition of resources. Conflict will drain what little energy we have left and finally exhaust any survivors.

When we reach the point of having only shale or tar sand oil or wind turbines returning 5:1, there will not be enough surplus energy in our industrial systems to provide the economic momentum we need, and maintain the necessary machinery to power the system.

When our wheels stop turning, we stop eating. Our situation is as brutally simple as that. Electric vehicles cannot function outside a hydrocarbon based infrastructure, and no transportation can exist beyond the extent of its purpose. A collapsed economy removes any such purpose. Battery power will not deliver fresh water and remove your wastes, and there isn’t going to be a bucolic utopia where we all become rural gardeners. We don’t know how, there isn’t enough room and probably not enough time. Hungry people will not allow a second harvest.

But the demand for answers will persist, a search for those responsible for our misfortunes, and insistence that our lives are restored to the ‘normality’ of previous times. Already the finger pointing rhetoric of the despot is being cheered on a wave of ignorance and bigotry: lock up opponents and dissenters, suppress the media, remove the unwanted, ignore the laws.

When that (and more) is done, all will be well. They are words from recent history, overlaid on our own time. We thought fascism was impossible in civilised nations; as long as prosperity held for all, that was true. As prosperity fails, it is stirring again, with an appetite easily fed but never sated.


As energy supplies deplete, the industrial economy will enter its terminal phase, still under collective denial. But no nation can hold together without the fuel sources that created it. Secession will become inevitable, into five, six, seven or more regions in the USA, along racial, religious, political and geographic lines. The faultlines are already there, with no energy base there will be nothing to stop ultimate breakup. Other conglomerations of states and provinces will also disintegrate. The EU, Russia, China, Africa will react and deny, but the end result will be the same: Energy depletion = social collapse.

As civil unrest takes hold, governments will act in the only way they know how: violent suppression to restore order. This will mean military intervention and imposition of martial law as civil breakdown becomes widespread.

At that point your elected leader will assume the role of dictator and suspend the constitution. Once established, godly certainties among those around him will cloak this in righteousness and subvert it into a theocracy of the worst kind. That will make it easier to identify the heathen and justify any form of retribution. It will be fascism cloaked in holy orders. It will not be the first time: Hitler’s army had “Gott Mitt Uns” stamped on their belt buckles.

Those who support him will become part of the new order. Those who do not will be dismissed from office, either voluntarily or by force. Police and military will fall in behind whoever pays their wages, and enforce the new regime. Totalitarian states have shown that there is never a shortage of willing hands to perform unpleasant tasks. They are always ready and waiting to be recruited.

The inevitability of regional secession will inflame regional differences, and spark civil war(s). It will be the time of petty states and tyrannies, each regime desperate to resist the decline into a different lifestyle, certain that the mess can be ‘fixed’, and only ‘they’ can fix it by enforcement of ideology. Yet without the power of fossil fuels there will be an inexorable regression to the brutalities of medievalism, with power resting only in the command of muscle.

Eventually they will be forced to accept each other’s existence, for no better reason than there will be insufficient means to do anything about it.

Welcome to the (dis) United States of America.

So what of the years to come? The dictator’s power will grow for a time, and make life unpleasant for millions, but ultimately his Reich will extend only to the door of his bunker. No doubt he will remain in his seat of imagined power for as long as possible, issuing incoherent commands that cannot be fulfilled because there will be insufficient energy to do so, just as his predecessor discovered 75 years ago.

You can follow me on twitter

or my book “The End of More”

might give a clearer insight into how we got into the mess in the first place.


The era of gnashing teeth

6 02 2017

Since Trump’s election to the Oval Office, there has been an unbelievable amount of teeth gnashing going on all over the internet….. HOW could it possibly have come to this..?

To me, the answer is as clear as a bell. People all over the world can sense that everything ‘is turning to shit’, if you pardon my fluent French. The economies of the world are faltering (in real sense, not GDP money throughput), unemployment is high, manipulated to lower figures with creative accounting, the climate is falling apart causing food shortages in Europe, and the Middle East appears as a seething hot bed of war and terrorism.

The problem lies in the fact nobody knows why this is happening, because they have been conned for years by governments everywhere telling them everything is fine, we just have to ‘return to growth’.

Trump convinces enough Americans to vote for him so he can make America great again, because neither he nor his voters have the faintest idea America is actually on the cusp of collapse.

In France, Marine Le Pen wants to make France strong again……. and just like in America, this resonates with the electorate who now look like they may make her the country’s first woman President, and the first from the extreme right.

Here in Australia, we have a similar rise from the right, with Pauline Hanson and her one nation party making scary inroads into popularity rating. A recent article in the Sydney Morning Herald states:

In the aftermath of Mr Trump’s US election victory, where he strongly advocated reviving that nation’s manufacturing industry, nearly 83 per cent of surveyed Australian said they strongly agreed (42 per cent) or agreed (40.5 per cent) with the notion we are too reliant on foreign imports. Only 6 per cent disagreed.

Support for an expansion of Australia’s manufacturing sector was robust regardless of age, gender, income or locality.

This unsurprising finding comes from the Political Persona Project, a comprehensive attempt to profile different types of Australians based on their lifestyles, social values and politics. Fairfax Media in collaboration with the Australian National University and Netherlands-based political research enterprise Kieskompas conducted the project which revealed there are seven types of Australians, representing seven dominant patterns of thinking in Australian society.

Manufacturing has been declining since the 1970’s, which coincides with the USA’s Peak Oil, in case no one noticed….. then, one in four Australian workers were employed in the sector. This downturn has gathered pace in recent years with over 200,000 manufacturing jobs lost between 2008 and 2015. But no mention of dropping net energy, or an energy cliff. The manufacturing sector now accounts for only about one in 13 Australian workers. The decline means Australia is relying more on foreign producers to supply manufactured goods……… not to mention we have to import over 90% of our liquid fuel requirements, with likely no more than 3 or 4 years before this turns to 100%.

Underpinning the nostalgia for manufacturing was a strong feeling of having been left out of the new economy, said Carol Johnson, Professor of Politics and International Studies at the University of Adelaide.

Might this have anything to do with the fact that since the Thatcher/Reagan era, the economy was converted from an energy based one to a money based version…..?

“Manufacturing still matters to the economy and Australians know it,” he said.

“The public’s gut instinct is absolutely right.”

How much more wrong could they actually be……..?