Ugo Bardi on the end of cars…..

25 05 2017

The Coming Seneca Cliff of the Automotive Industry: the Converging Effect of Disruptive Technologies and Social Factors

This graph shows the projected demise of individual car ownership in the US, according to “RethinkX”. That will lead to the demise of the automotive industry as we know it since a much smaller number of cars will be needed. If this is not a Seneca collapse, what is? 

Decades of work in research and development taught me this:

Innovation does not solve problems, it creates them. 

Which I could call “the Golden Rule of Technological Innovation.” There are so many cases of this law at work that it is hard for me to decide where I should start from. Just think of nuclear energy; do you understand what I mean? So, I am always amazed at the naive faith of some people who think that more technology will save us from the trouble created by technology (the most common mistake people make is not to learn from mistakes).

That doesn’t mean that technological research is useless; not at all. R&D can normally generate small but useful improvements to existing processes, which is what it is meant to do. But when you deal with breakthroughs, well, it is another kettle of dynamite sticks; so to say. Most claimed breakthroughs turn out to be scams (cold fusion is a good example) but not all of them. And that leads to the second rule of technological innovation:

Successful innovations are always highly disruptive

You probably know the story of the Polish cavalry charging against the German tanks during WWII. It never happened, but the phrase “fighting tanks with horses” is a good metaphor for what technological breakthroughs can do. Some innovations impose themselves, literally, by marching over the dead bodies of their opponents. Even without such extremes, when an innovation becomes a marker of social success, it can diffuse extremely fast. Do you remember the role of status symbol that cell phones played in the 1990s?

Cars are an especially good example of how social factors can affect and amplify the effects of innovation. I discussed in a previous post on Cassandra’s Legacy how cars became the prime marker of social status in the West in the 1950s, becoming the bloated and inefficient objects we know today. They had a remarkable effect on society, creating the gigantic suburbs of today’s cities where life without a personal car is nearly impossible.

But the great wheel of technological innovation keeps turning and it is soon going to make individual cars as obsolete as would be wearing coats made of home-tanned bear skins. It is, again, the combination of technological innovation and socioeconomic factors creating a disruptive effect. For one thing, private car ownership is rapidly becoming too expensive for the poor. At the same time, the combination of global position systems (GPS), smartphones, and autonomous driving technologies makes possible a kind of “transportation on demand” or “transportation as a service” (TAAS) that was unthinkable just a decade ago. Electric cars are especially suitable (although not critically necessary) for this kind of transportation. In this scheme, all you need to do to get a transportation service is to push a button on your smartphone and the vehicle you requested will silently glide in front of you to take you wherever you want. (*)

The combination of these factors is likely to generate an unstoppable and disruptive social phenomenon. Owning a car will be increasingly seen as passé, whereas using the latest TAAS gadgetry will be seen as cool. People will scramble to get rid of their obsolete, clumsy, and unfashionable cars and move to TAAS. Then, TAAS can also play the role of social filter: with the ongoing trends of increasing social inequality, the poor will be able to use it only occasionally or not at all. The rich, instead, will use it to show that they can and that they have access to credit. Some TAAS services will be exclusive, just as some hotels and resorts are. Some rich people may still own cars as a hobby, but that wouldn’t change the trend.

To have some idea of what a TAAS-based world can be, you might read Hemingway’s “Movable Feast”, a story set in Paris in the 1920s. There, Hemingway describes how the rich Americans in Paris wouldn’t normally even dream of owning a car (**). Why should they have, while when they could simply ride the local taxis at a price that, for them, was a trifle? It was an early form of TAAS. Most of the Frenchmen living in Paris couldn’t afford that kind of easygoing life and that established an effective social barrier between the haves and the have-nots.

As usual, of course, the future is difficult to predict. But something that we can say about the future is that when changes occur, they occur fast. In this case, the end result of the development of individual TAAS will be the rapid collapse of the automotive industry as we know it: a much smaller number of vehicles will be needed and they won’t need to be of the kind that the present automotive industry can produce. This phenomenon has been correctly described by “RethinkX,” even though still within a paradigm of growth. In practice, the transition is likely to be even more rapid and brutal than what the RethinkX team propose. For the automotive industry, there applies the metaphor of “fighting tanks with horses.”

The demise of the automotive industry is an example of what I called the “Seneca Effect.” When some technology or way of life becomes obsolete and unsustainable, it tends to collapse very fast. Look at the data for the world production of motor vehicles, below (image from Wikipedia). We are getting close to producing a hundred million of them per year. If the trend continues, during the next ten years we’ll have produced a further billion of them. Can you really imagine that it would be possible? There is a Seneca Cliff waiting for the automotive industry.

(*) If the trend of increasing inequality continues, autonomous driven cars are not necessary. Human drivers would be inexpensive enough for the minority of rich people who can afford to hire them.

(**) Scott Fitzgerald, the author of “The Great Gatsby” is reported to have owned a car while living in France, but that was mainly an eccentricity.

Feeding 9 billion

16 01 2017

I have just been tipped off to this fantastic Joel Salatin video…… I think it’s ironic that Eclipe, a fan of Polyface Farm, is in complete disagreement with Joel who is totally anti hi-tech farming. In fact, like me, Joel believes in walking away from the Matrix (exemplified in this video by McDonald’s), and he lets both barrels go at the establishment…..


“But Can’t Technical Advance Solve the Problems?”

16 07 2016

More from Ted Trainer…..


Ted Trainer

Ted Trainer.


The “limits to growth” analysis argues that the pursuit of affluent lifestyles and economic growth are the basic causes of the many alarming global problems we are running into.  We have environmental destruction, resource depletion, an impoverished Third World, problems of armed conflict and deteriorating cohesion and quality of life in even the richest countries…essentially because the levels of producing and consuming going on are far too high.  There is no possibility of these levels being maintained, let alone spread to all the world’s people. We must shift to far lower levels of consumption in rich countries. (For the detail see Trainer, 2011.)

The counter argument most commonly raised against the limits case is that the development of better technology will solve the problems, an enable us to go on living affluently in growth economies.  Almost everyone seems to hold this belief. It has recently been reasserted as “Ecomodernism.” (For the main statements see Asaef-Adjaye, 2016, and  Blomqvist, Nordhaus Shellenbeger, 2015. For a detailed critique see Trainer 2016a.)

It is not surprising that this claim is regarded as plausible, because technology does constantly achieve miraculous breakthroughs, and publicity is frequently given to schemes that are claimed could be developed to solve this or that problem.  However there is a weighty case that technical advance will not be able to solve the major global problems we face.

The Simpler Way view is that technical advances cannot solve the big global problems and therefore we must change to lifestyles and social systems which do not generate those problems.  This could easily be done if we wanted to do it, and it would actually enable a much higher quality of life than most of us have now in consumer society.  But it would involve abandoning the quest for affluent lifestyles and limitless economic growth…so it is not at all likely that this path will be taken.

The problems are already far too big for technical advance alone to solve.

Most people have little idea how serious the main problems are, or how far beyond sustainable levels we are. Here are some indicators of how far we have exceeded the limits to growth.

  • The 2007 IPCC Report said that if greenhouse gas emissions are to be kept to a “safe” level they must be cut by 50-80% by 2050, and more after that. The 50% figure would mean that the average American or Australian would have to go down to under 5% of their present per capita emission rate. Some argue that all emissions should cease well before 2030. (Anderson and Bows, 2009, Hansen, 2008, Spratt, 2014.
  • By 2050 the amount of productive land on the planet per capita will be 0.8 ha (assuming we will stop damaging and losing land.)  The present amount required to give each Australian their lifestyle is 8 ha.  This means we are 10 times over a sustainable amount, and there is not the slightest possibility of all the world’s people ever rising to anywhere near our level.
  • Australians use about 280 GJ of energy per capita p.a.  Are we heading for 500 GJ/person/y by 2050?  If all the world’s expected 9.7 billion people were to live as we live world energy supply would have to be around 4,500 EJ/y…which is 9 times the present world energy production and consumption.
  • Almost all resources are scarce and dwindling. Ore grades are falling, and there have been food and water riots. Fisheries and tropical forests are in serious decline. Yet only about one-fifth of the world’s people are using most of these; what happens when the rest rise to our levels?
  • Many of the world’s ecosystems are in alarmingly rapid decline.  This is essentially because humans are taking so much of the planet’s area,  and 40% of the biological productivity of the lands.  We are causing a holocaust of biodiversity die-off mainly because we are taking the habitats other species need.  Of about 8 billion ha of productive land we have taken 1.4 billion ha for cropland, and about 3.5 billion ha for grazing.  We are depleting most of the fisheries.  The number of big fish in the oceans is down to 10% of what it was. We are destroying around 15 million ha of tropical forest every year.  And if all 9 billion people expected are going to live as we do now, resource demands would be about 10 times as great as they are now.  There are many other environmental impacts that are either past the limits biologists think are tolerable, or approaching them, including the rate of nitrogen release, ozone destruction, chemical poisoning of the earth and atmospheric aerosol loads. (Rockstrom, 2009.)
  • The World Wildlife Fund estimates that we are now using up resources at a rate that it would take 1.5 planet earths to provide sustainably. (WWF, 2014.) If 9.7 billion are to live as we expect to in 2050 we will need more than 20 planet earths to harvest from.

These are some of the many ways in which we have already greatly exceeded the planet’s capacity to meet human demands, and they define the task the tech-fix believer is faced with.  So ask the tech-fix optimist, “If technology is going to solve our problems, when is it going to start?  Just about all of them seem to be getting worse at present.”

Now add the absurdity of economic growth.

These and many other facts and figures only indicate the magnitude of the present problems caused by over-production and over-consumption.  To this alarming situation we must now add the fact that our society is committed to rapid and limitless increases in “living standards” and GDP; i.e., economic growth is the supreme goal.

If we Australians have 3% p.a. economic growth to 2050, and by then all 9.7 billion people will have come up to the “living standards” we will have by then, the total amount of economic production in the world each year will be about 20 times as great as it is now.  The present amount of production and resource use is grossly unsustainable, yet we are committed to economic system which will see these rates multiplied 20 times by 2050.

And note that most of the resources and ecosystems we draw on to provide consumer lifestyles are deteriorating. The WWF’s Footprint index tells us that at present we would need 1.5 planet Earth’s to provide the resources we use sustainably. So the Tech-fix advocate’s task is to explain how we might cope with a resource demand that is 20×1.5 = 30 times a currently sustainable level by 2050…and twice as much by 2073 given 3% p.a. growth.

Huge figures such as these define the magnitude of the problem for technical-fix believers.  We are far beyond sustainable levels of production and consumption; our society is grossly unsustainable, yet its fundamental determination is to increase present levels without limit.  If technical advance is going to solve the problems caused by all that producing and consuming it must cut resource use and impacts by a huge multiple…and keep it down there despite endless growth.  Now ask the tech-fix believer what precisely he thinks will enable this.

Faith-based tech-fix optimism.

At this point we usually find that the belief in tech–fix is nothing but a faith, and one that has almost no supporting evidence.   Because technology has achieved many wonders it is assumed that it will come up with the required solutions, somehow.  This is as rational as someone saying, “I have a very serious lung disease, but I still smoke five packs of cigarettes a day, because technical advance could come up with a cure for my disease.”  This argument is perfectly true… and perfectly idiotic.  If you are on a path that is clearly leading to disaster the sensible thing is to get off it.  If technology does come up with solutions then it might make sense to get back on that path again.

The tech-fix optimist should be challenged to show in detail what are the grounds for us accepting that solutions will be found, to each and every one of the big problems we face.  What precisely might solve the biodiversity loss problem, the water shortage, the scarcity of phosphorus, the collapse of fish stocks, etc., and how likely are these possible beak-throughs?   Does it not make better sense to change from the lifestyles and systems that are causing these problems, at least until we can see that we can solve the resulting problems?

It should be stressed that the argument here is not to deny or undervalue the many astounding advances being made all the time in fields like medicine, astronomy, genetics, sub-atomic physics and IT, or to imply that these will not continue. The point is that technical advance is very unlikely to come up with ways that solve the resource and environmental problems being generated by affluent lifestyles.  The argument is that when the magnitude of the task (above) and the evidence on the significance of technical advance for resource and ecological problems is considered (below), tech-fix faith is seen to be extremely unwarranted … and the solutions have to be sought in terms of shifting to a Simpler Way of some kind.

Amory Lovins and Factor 4 or 5 reductions.

For decades Amory Lovins has been possibly the best known of several people who argue that technical advances could cut resource use per unit of GDP considerably.  He says we could in effect have 4 times the output with the same impact.  (Von Weizacher and Lovins, 1997).  But the above numbers make it clear that this is far from sufficient.  If by 2050 we should cut ecological impact and resource use in half (remember footprint and other indices show this is far from enough), but we also increase economic output by 20, then we’d need a factor 40 reduction, not Factor 4…and resource demand would be twice as high in another 23 years if 3% growth continued.

The factors limiting what technical advance can do.

It is important to keep in mind that there are several factors which typically determine the gains a technical advance actually enables are well below those that seem possible at first.  Engineers and economists make the following distinctions.

  • “Technical potential.”  This is what the technology could achieve if fully applied with no regard to cost or other problems.
  • Economic (or ecological) potential”.  This is usually much less than the technical potential because to achieve all the gains that are technically possible would cost too much.  For instance it is technically possible for passenger flights to be faster than sound, but it is far too costly.  It would be technically possible to recycle all lead used, but it would be much too costly in dollars and convenience to do so. Some estimate that it would be technically possible to harvest 1,400 million ha for biomass energy per year, but when ecologically sensitive regions are taken out some conclude that the yield could only be 250 million ha or less. (World Wildlife Fund, 2010, p. 181.)  The WWF study quotes Smeets and Faiij (2007) as finding that it would be technically possible for the world’s forests to produce another 64 EJ/y of biomass energy p.a., but Field, Campbelo and Lobell (2007) conclude that only 27 EJ/y can be obtained, under 2 per cent of the Smeets and Faiij figure.
  • What are the net gains?  Enthusiastic claims about a technical advance typically focus on the gains and not the costs which should be subtracted to give a net value.  For instance the energy needed to keep buildings warm can be reduced markedly, but it costs a considerable amount of energy to do this, in the electricity needed to run the air-conditioning and heat pumps, and in the energy embodied in the insulation and triple glazing.

The WWF Energy Report (2010) claims that big savings can be made in building heating and cooling, but their Figs. 3 – 11 and 3 – 12 show that although their measures would reduce heat used in buildings by 90%, electricity used would increase c. 50% (and there is no reference to what the embodied energy cost of manufacturing the equipment and insulation might be.)  The graphs don’t seem to show any net reduction in building energy use.

The Green Revolution doubled food yields, but only by introducing crops that required high energy inputs in the form of expensive fertilizers, seeds and irrigation.  One result was that large numbers of very poor farmers went out of business because they couldn’t afford the inputs.

Similarly, it is possible to solve some water supply problems by desalination, but only by increasing the energy and greenhouse problems.

  • What is socially/politically possible?  Then there are limits set by what people will accept.  It would be technically possible for many people in Sydney to get to work by public transport, but large numbers would not give up the convenience of their cars even if they saved money doing so.  The energy efficiency of American cars is much lower than what is technically possible, and in fact lower than it was decades ago … because many people want energy-intensive vehicles.  Australians are now building the biggest and most energy wasteful houses in the world.  A beautiful, tiny, sufficient mud brick house could be built for less than $10,000…but most people would not want one.  These examples make it clear that the problems of over-consumption in many realms are mainly social rather than technical, and that they can’t be solved by technical advance.  The essential tech-fix issue is to do with whether or not the problems can be solved by technical advances which allow us to go on living and consuming as we were before, or whether we must change to values and behaviour that don’t cause problems.
  • The Jevons or “rebound” effect.  Then there is the strong tendency for savings made possible by a technical advance to be spent on consuming more of the thing saved or something else.  For instance if we found how to get twice the mileage per litre of petrol many would just drive a lot more, or spend the money saved on buying more of something else.  The Indians have recently developed a very cheap car, making it possible for many more low income people to drive, consume petrol and increase greenhouse gases.

So it is always important to recognise that an announced technical miracle breakthrough probably refers to its technical potential but the savings etc. that it is likely to enable in the real world will probably be well below this.

Some evidence on technical advance in the relevant fields.

Again the focus here is on fields which involve high resource or ecological impacts and demands, not on the many advances being made in fields like medicine or particle physics. It should not be assumed that in general rapid, large or continuous technical gains are being routinely made in the relevant fields, especially in crucial areas such as energy efficiency. Ayres (2009) notes that for many decades there have been plateaus for the efficiency of production of electricity and fuels, electric motors, ammonia and iron and steel production.  The efficiency of electrical devices in general has actually changed little in a century (Ayres, 2009, Figs. 4.1 and 4.19, p. 127.)  “…the energy efficiency of transportation probably peaked around 1960”.  (p. 126), probably due to increased use of accessories.  Ayres’ Fig. 4.21a shows no increase in the overall energy efficiency of the US economy since 1960. (p. 128.)  He notes that reports tend to publicise particular spectacular technical advances and this can be misleading regarding long term average trends across whole industries or economies.

We tend not to hear about areas where technology is not solving problems, or appears to have been completely defeated.  Not long ago everyone looked forward to super-sonic mass passenger flight, but with the demise of Concorde this goal has been abandoned.  It would be too difficult and costly, even without an energy crunch coming up.  Sydney’s transport problems cannot be solved by more public transport; more rail and bus would improve things, but not much because the sprawling city has been build for the car on 70 years of cheap oil.  Yes you could solve all its problems with buses and trains, but only at an infinite cost.   The Murray-Darling river can only be saved by drastic reduction in the amount of water being taken out of it.  The biodiversity holocaust taking place could only be avoided if humans stopped taking so much of nature, and returned large areas of farmland and pasture to natural habitat. (For an extremely pessimistic analysis of what future technology might achieve, see Smith and Positrano, 2010.)

Most indices of technical progress, efficiency and productivity show long term tapering towards ceilings.  “But what about Moore’s law, where by computer chip power has followed a steep upward curve?”  Yes in some realms this happens, for a time, but the trend in IT is highly atypical.  (By the way, the advent of computers has not made much difference at all to the productivity of the economy; indeed in recent decades productivity growth indices for national economies have fallen.  This is identified as “The Productivity Paradox.”)

There are two important areas where recent trends seem to run counter to this argument; the remarkable fall in the costs of PV panels and the advent of new batteries. However the significance of these is uncertain. The PV cost is largely due to latge subsidies, very cheap labour, and the general failure of the Chinese economy to pay ecological costs of production. (On the enormous difference the last factor makes see Smith, 2016.)  Thus the real cost, and that which we will have to pay in future is likely to be much higher.  (… the EIA thinks costs will probably rise before long.), The significance of the new battery technology is clouded by the fact that costs would have to fall by perhaps two-thirds before they could be used for grid storage without greatly increasing the cost of power, and it is not likely that there is enough Lithium to enable grid level storage of renewable energy.

The crucial “decoupling” issue.

The fundamentally important element in the tech-fix or ecomodernist position is the belief/claim that resource demand and ecological impact can be “decoupled” from economic growth, that is, that new ways will enable the economy to keep growing and “living standards”, incomes and consumption to continue rising without increasing resource use or environmental damage (or while keeping these down to sustainable levels.) The following passages deal with considerable evidence on decoupling and show this belief to be extremely implausible, to put it mildly.

What about the falling “energy intensity” of the economy?”

The fact that the “energy intensity” of rich world economies, i.e., ratio of GDP to gross energy used within the country has declined is often seen as evidence of decoupling but this is misleading. It does not take into account the large amounts of energy embodied in imports, i.e., energy use we benefit from but does not show up in our national accounts.  (below.) Possibly more important is the long term process of “fuel switching”, i.e., moving to forms of energy which are of “higher quality” and enable more work per unit. For instance a unit of energy in the form of gas enables more value to be created than a unit in the form of coal, because gas is more easily transported, switched on and off, or converted from one function to another, etc. (Stern and Cleveland, 2004, p. 33, Cleveland et al., 1984, Kaufmann, 2004,  Office of Technology Assessments, 1990, Berndt, 1990, Schurr and Netschurt, 1960.)

What about productivity increases?

It is commonly thought that the power of technology is evident in the constantly improving productivity of the economy.  Again this is misleading, firstly because productivity gains have been low and decreasing in recent decades and this is a constant concern and puzzle among economists and politicians. Even the advent of computerisation has had a surprisingly small effect, a phenomenon now labelled the “Productivity Paradox.”

The overlooked role of energy in productivity growth and decoupling.

Most of the productivity growth that  has taken place now seems to have been due not to technical advance but to increased use of energy. Previous analyses have not realized this but have analysed only in terms of labour and capital input “factors of production”. Agriculture is a realm where technical advance has been predominantly a matter of increased energy use. Over the last half century productivity measured in terms of yields per ha or per worker have risen dramatically, but these have been mostly due to even greater increases in the amount of energy being poured into agriculture, on the farm, in the production of machinery, in the transport, pesticide, fertilizer, irrigation, packaging and marketing sectors, and in getting the food from the supermarket to the front door, and then dealing with the waste food and packaging. Less than 2% of the US workforce is now on farms, but agriculture accounts for around 17% of all energy used (not including several of the factors listed above.) Similarly the “Green Revolution” has depended largely on ways that involve greater energy use.

Ayres, et al., (2013), Ayres, Ayres and Warr (2002) and Ayres and Vouroudis (2013) are among those beginning to stress the significance of energy in productivity, and pointing to the likelihood of increased energy problems in future and thus declining productivity. Murillo-Zamorano, (2005, p. 72) says “…our results show a clear relationship between energy consumption and productivity growth.” Berndt (1990) finds that technical advance accounts for only half the efficiency gains in US electricity generation. These findings caution against undue optimism regarding what pure technical advance can achieve independently from increased energy inputs; in general its significance for productivity gains appears not to have been as great as has been commonly assumed.

The productivity trend associated with this centrally important factor, energy, is itself in serious decline, evident in long term data on EROI ratios. Several decades ago the expenditure of the energy in one barrel of oil could produce 30 barrels of oil, but now the ratio is around 18 and falling. The ratio of petroleum energy discovered to energy required has fallen from 1000/1 in 1919 to 5/1 in 2006. (Murphy, 2010.) Murphy and others suspect  that an industrialised society cannot be maintained on a general energy ratio under about 10. (Hall, Lambert and Balough, 2014.)

So when we examine the issue of productivity growth we find little or no support for the general tech-fix faith.  It is not the case that technical breakthroughs are constantly enabling significantly more to be produced per unit of inputs. The small improvements in productivity being made seem to be largely due to changes to more energy-intensive ways, and energy itself is exhibiting marked deterioration in productivity (ie, as evident in its EROI.) Some analysts (e.g., Ayres, 2009, Ayres et al., 2013) believe that any gains occurring now will probably disappear with coming rises in energy scarcity and cost.

Lets examine ewhere materials are used; not general GDP

Evidence on low past and present decoupling achievement.

The historical record suggests that at best rates of decoupling materials and energy use from GDP have been very low or less than zero; i.e., some important measures show materials or energy use to be increasing faster than GDP. It is important not to focus on national measures such as “Domestic Materials Consumption” as these do not take into account materials in imported goods.  For example the OECD (2015) claims that materials used within its countries has fallen 45% per dollar of GDP, but this figure does not take into account materials embodied in imported goods. When they are included rich countries typically show very low or worsening ratios. The commonly available global GDP (deflated) and energy use figures between 1980 and 2008 reveals only a 0.4% p.a. rise in GDP per unit of energy consumed.   Tverberg () reproduces the common plot for global energy use and GWP, showing an almost complete overlay; i.e., no tendency for energy use to fall away from GWP growth.

Weidmann et al. (2014) show that when materials embodied in imports are taken into account rich countries have not improved their resource productivity in recent years. They say “…for the past two decades global amounts of iron ore and bauxite extractions have risen faster than global GDP.” “… resource productivity…has fallen in developed nations.” “There has been no improvement whatsoever with respect to improving the economic efficiency of metal ore use.”

Giljum et al. (2014, p. 324) report only a 0.9% p.a. improvement in the dollar value extracted from the use of each unit of minerals between 1980 and 2009, and that over the 10 years before the GFC there was no improvement. “…not even a relative decoupling was achieved on the global level.” Their Fig. 2, shows that over the period 1980 to 2009 the rate at which the world decoupled materials use from GDP growth was only one third of that which would have achieved an “absolute” decoupling, i.e., growth of GDP without any increase in materials use. It must be stressed here that, as they point out, these findingss would have been worse had the production of much rich world consumption not been outsourced to the Third World (that is, had energy embodied in imports been included.)

Diederan’s account (2009) of the productivity of minerals discovery effort is even more pessimistic. Between 1980 and 2008 the annual major deposit discovery rate fell from 13 to less than 1, while discovery expenditure went from about $1.5 billion p.a. to $7 billion p.a., meaning the productivity expenditure fell by a factor in the vicinity of around 100, which is an annual decline of around 40% p.a. Recent petroleum figures are similar; in the last decade or so discovery expenditure more or less trebled but the discovery rate has not increased.

A recent paper in Nature by a group of 18 scientists at the high-prestige Australian CSIRO (Hatfield-Dodds et al., 2015) argued that decoupling could eliminate any need to worry about limits to growth at least to 2050. The article contained no support for the assumption that the required rate of decoupling was achievable and when it was sought (through personal communication) reference was made to the paper by Schandl et al. (2015.)  However that paper contained the following surprising statements, “ … there is a very high coupling of energy use to economic growth, meaning that an increase in GDP drives a proportional increase in energy use.”  (They say the EIA, 2012, agrees.) “Our results show that while relative decoupling can be achieved in some scenarios, none would lead to an absolute reduction in energy or materials footprint.” In all three of their scenarios “…energy use continues to be strongly coupled with economic activity…”

The Australian Bureau of Agricultural Economics (ABARE, 2008) reports that the energy efficiency of energy-intensive industries is likely to improve by only 0.5% p.a. in future, and of non-energy-intensive industries by 0.2% p.a. In other words it would take 140 years for the energy efficiency of the intensive industries to double the amount of value they derive from a unit of energy.

Alexander (2014) concludes his review of decoupling by saying, ”… decades of extraordinary technological development have resulted in increased, not reduced, environmental impacts.”  Smil (2014) concludes that even in the richest countries absolute dematerialization is not taking place. Alvarez found that for Europe, Spain and the US GDP increased 74% in 20 years, but materials use actually increased 85%. (Latouche, 2014.) Similar conclusions re stagnant or declining materials use productivity etc. are arrived at by Aadrianse, 1997, Dettrich et al., (2014), Schutz, Bringezu and Moll, (2004), Warr, (2004), Berndt, (undated), and Victor (2008, pp. 55-56).

A version of the decoupling thesis is the “Environmental Kuznets Curve”, i.e., the claim that as economic development takes place environmental impacts increase but then decrease. The evidence on this thesis indicates that it is not correct. Greenhouse gas emissions give us a glaring example. Alexander concludes his review, (2014),  “If the EKC hypothesis sounds too good to be true, that is because, on the whole, it is false.”

These sources and figures indicate the apparently total lack of support for the ecomodernists’ optimism. They are assuming that there can be massive absolute decoupling, i.e., that by 2050 energy, materials and ecological demand associated with $1 of GDP can be reduced by a factor of around 30. There appears to be noecomodernist literature that even attempts to provide good reason to think a general absolute decoupling is possible, let alone on the required scale. (I have made about five attempts to have such evidence sent to me from the leading ecomodernist authors, without receiving any.)

            The changing components of GDP.

There is another consideration that makes the situation much worse. Over recent decades there has been a marked increase in the proportion of rich nation GDP that is made up of “financial” services. These stand for “production” that takes the form of key strokes that move electrons around.  A great deal of it is wild speculation, making risky loans and making computer driven micro-second switches in “investments”. These operations deliver massive increases in income to banks and managers, commissions, loans, interest, consultancy fees.  These make a big contribution to GDP figures. In one recent year 40% of US corporate profits came from the finance sector. It could be argued that this domain should not be included in estimates of productivity because it misleadingly inflates the numerator in the output/labour ratio.

This means that the most significant measures will be to do with industries that use material and ecological inputs.  The crucial question is, in those industries that are causing the pressure on resources and ecosystems is significant decoupling taking place? However when output per worker in the production of “real” goods and services such as food and vehicles, or aged care is considered we do not seem to find reassuring evidence of decoupling.  Again agricultural industry provides some of the best examples. Over the last 50 years there has been a huge increase in energy used in fuel, pesticides, fertilizers, transport, packaging, marketing and waste treatment. Kowalski (2011) reports that between 1960 and 2010 world cereal production increased 250%, but nitrogen fertilizer use in cereal production increased 750%. Between 1997 and 2002 the US household use of energy on food increased 6 times as fast as use for all household purposes. (Canning et al., 2010.)

The enormous implications for energy demand.

The main ecomodernist texts make clear that if the technical advances envisaged could not take place unless there was extremely large scale increase in the amount of energy produced.  They look forward to shifting a large fraction of agriculture off land into intensive systems such as high rise greenhouses and acquaculture, massive use of desalination for water supply, processing lower grade ores, dealing with greatly increased amounts of industrial waste (especially mining waste), and constructing urban infrastructures for billions to live in as they propose shifting people from the land to allow more of it to be returned to nature.  They do not think renewable energy sources can provide these quantities of energy, so their proposals would have to involve very large numbers of fourth generation nuclear reactors (which run on plutonium). How large?

If 9 billion people were to live on the per capita amount of energy Americans now average, world energy consumption in 2050 would be around x5 (for the US to world average ratio) x10/7 (for population growth) times the present 550 EJ p.a., i.e., around 3,930 EJ. The nuclear generating capacity needed would be around 450 times as great as at present.

And the baseline is deteriorating…

The general “limits to growth” analysis of the global situation makes it clear that the baseline on which ecomodernist visions must build is not given by present conditions such as resource availability. As Steffen et al. (2015) and many others stress the baseline is one of not just deteriorating conditions, but accelerating deterioration.

It is as if the ecomodernists are claiming that their A380 can be got to climb at a 60 degree angle, which is far steeper than it has ever done before, but at present it is in an alarming and accelerating decline with just about all its systems in trouble and some apparently beyond repair. The problem is the wild party on board, passengers and crew dancing around a bonfire and throwing bottles at the instruments, getting more drunk by the minute. A few passengers are saying the party should stop, but no one is listening, not even the pilots. The ecomodernist’s problem is not just about producing far more metals, it is about producing far more as grades decline, it is not just about producing much more food, it is about producing much more despite the fact that problems to do with water availability, soils, the nitrogen cycle, acidification, and carbon loss are getting worse.  It can be argued that on many separate fronts halting the deteriorating trends is now unlikely to be achieved. Yet the ecomodernist wants us to believe that the curves can be made to cease falling and to rise dramatically, without abandoning the quests for affluence and growth which are responsible for their deterioration.  Stopping the party is not thought to warrant consideration.

This is not an argument against technology.

Research and development and improving things are obviously important and in The Simpler Way vision we would have more resources going into technical research than we have now despite a much lower GDP, because we would have phased out the enormous waste of resources that occurs in consumer-capitalist society.  But it is a mistake to think that the way to solve our problems is to develop better technology.  That will not solve the problems, because they are far too big, and they are being generated by trying to live in ways that generate impossible resource demands. The big global problems have been caused by our faulty social systems and values.  The solution is to develop ways and systems that don’t generate the problems, and this requires movement away from affluent, high energy, centralised, industrialised, globalised etc., systems and standards. Above all it requires a shift from obsession with getting rich, consuming and acquiring property. It requires a willing acceptance of frugality and sufficiency, of being content with what is good enough.

Hundreds of years ago we knew how to produce not just good enough but beautiful food, houses, cathedrals, clothes, concerts, works of art, villages and communities, using little more than hand tools and crafts.  Of course we should use modern technologies including computers (if we can keep the satellites up there) where these make sense.  But we don’t need much high-tech to design and enjoy high quality communities.

Some of our most serious problems are to do with social breakdown, depression, stress, and falling quality of life.  These problems will not be solved by better technology, because they derive from faulty social systems and values.  Technical advances often make these problems worse, e.g., by increasing the individual’s capacity to live independently of others and community, and by enabling machines to cause unemployment. Especially worrying is the fact that ecomodernist dreams would involve massive globally integrated professional and corporate run systems involving centralised control and global regulatory systems (e.g., to prevent proliferation of radioactive materials from all those reactors.  Firstly this is not a scenario that will have a place for billions of poor people.  It will enable a few super-smart techies, financiers and CEOs to thrive, making inequality far more savage, and it will set impossible problems for democracy because there will be abundant opportunities for those in the centre to sdrure their own interests, to be corrupt and secretive. (See Richard Smith’s disturbing account of China today: 2015.)

(For a detail account of The Simpler Way vision of a sustainable and satisfactory society see The Simpler Way website, and  in particular


ABARE, (2008), Australian Energy Projections to 2029-30.

Anderson, K., and A.  Bows, (2009), “Radical reframing of climate change agenda”, Tyndall Centre, Manchester University,

Asafu-Adjaye, J., et al., (2015), An Ecomodernist Manifesto, April,

Ayres, R. U., The economic Growth Engine, Cheltenham, Elgar, 2009.

Ayres, R. U., et al., 2013, ”The underestimated contribution of energy to economic growth”, Structural Change and Economic Dynamics, 27, 79 – 88.

Berndt, E. R., (1990), “Energy use, technical progress and productivity growth: a survey of economic issues”, The Journal of Productivity Analysis, 2:, pp.  67-83.

Blomqvist, L., T. Nordhaus and M. Shellenbeger, (2015), Nature Unbound; Decoupling for Conservation, Breakthrough Institute.

Canning, P. et al., (2010), Energy Use in the US Food System, USDA.

Cleveland, C. J., R. Costanza, C. A. S. Hall, and R. K. Kaufmann “Energy and the U.S. economy: A biophysical perspective.” Science, 225: (1984), pp., 890-897.

Field, C.B., Campbell, J.E. and Lobell, D.B. (2007), “Biomass energy: the scale of the potential resource”, Trends in Ecology and Evolution, Vol. 13 No. 2, pp. 65-72.

Hansen, J., et al., (2008), “Target atmospheric CO2; Where Should humanity aim?”, The Open Atmospheric Science Journal, 2, 217 – 231.

  1. K. Kaufmann, (2004), “A biophysical analysis of the energy/real GDP ratio: implications for substitution and technical change”, Ecological Economics , 6: pp. 35-56.
  2. K. Kaufmann, (2004), “The mechanisms for autonomous energy efficiency increases: A co-integration analysis of the US energy/GDP ratio”, Energy Journal , 25(1), pp.  63-86.

Office of Technology Assessment, (1990), Energy Use and the U.S. Economy, US Congress, OTA-BP-E-57, U.S. Government Printing Office, Washington DC.

Rockstrom, J., (2009) “A safe operating space for humanity”, Nature, 461:24 (Sept.), pp. 472 – 476.

  1. Schurr, and B. Netschert, (1960), Energy and the American Economy, 1850-1975, Baltimore, Johns Hopkins University Press.

Smeets, E., and A. Faaij, (2007), “Bioenergy potentials from forestry in 2050 —  An assessment of the drivers that determine the potentials”, Climatic Change, 8, 353 – 390.

Smith, R., (2015), China’s communist-capitalist ecological apocalypse”, Real-world Economic Review, 71.

Spratt, D., (2014),The real budgetary emergency and the myth of ‘burnable carbon”, Climate Code Red, 22 May.

Stern, D. and C. J. Cleveland, (2004), “Energy and Economic Growth”, in C. J. Cleveland (ed.), Encyclopedia of Energy. San Diego: Academic Press.

Trainer, T, (2011), The Simpler Way; Outline of Our Perspective,

Trainer, T., (2016a), The extreme implausibility of Ecomodernism, (This critique overlaps considerably with this argument against the Tech Fix position.)

Von Weizacker, E. and A. B. Lovins, (1997), Factor Four : Doubling Wealth – Halving Resource Use : A New Report to the Club of Rome, St Leondards, Allen & Unwin.

World Wide Fund for Nature, (2011), The Energy Report, WWF and Ecofys.

Harquebus’ latest newsletter….

30 06 2016

Howdy all.

The state and quality of main stream journalism (MSJ), including that at our own ABC and despite what they might think of themselves, has deteriorated to the point of being totally useless. Instead of news, we get stories about cats in schools, fanfares about stupid celebrities making stupid remarks and any other triviality that might distract their audiences from the real world and the little that does resemble credible news, is either government propaganda, incomplete, misleading or a combination of all three. The credibility of MSJ is now non existent.

The collapse of Venezuela, shattered climate records, the release of Arctic methane and CO2, unsustainable global debt, Bilderberg meetings and the sixth mass extinction event currently under way are never mentioned. Our environment continues to be destroyed, the oceans polluted and fished to exhaustion, finite resources are wasted on corporate profits while poverty and overcrowding due to unsustainable population growth continue unabated and the fault lies squarely with MSJ which, has failed to hold those responsible to account.
Tony Jones, Australia’s most popular TV journalist, is the worst of the lot. For decades he has reveled in his popularity while all that sustains us is destroyed in the pursuit of growth and profit. He and his MSJ peers must change or we can kiss our sorry little behinds goodbye and if they think that they and theirs are somehow going to be exempt from the bloody mess that will inevitably befall us then, they are even more stupid than the ignorant fools who govern us.
Aussie journalists are only slightly more trustworthy than the corporate bought and paid for politicians that they serve. How proud they must be.

“Sometimes I wonder whether the world is being run by smart people who are putting us on, or by imbeciles who really mean it.” — Mark Twain Here is my usual list of links which, also proves my point.



“As the economy unwinds, doctors are now stealing hospital food to feed their families.”
“”We want food!” Looting and riots rock Venezuela daily”
“With delivery trucks under constant attack, the nation’s food is now transported under armed guard. Soldiers stand watch over bakeries. The police fire rubber bullets at desperate mobs storming grocery stores, pharmacies and butcher shops. A 4-year-old girl was shot to death as street gangs fought over food.”

“Half of the world has passed the point of maximum energy consumption. This point is marked by large scale economic crisis. Asia Pacific is approaching that point now.”

Trans-Pacific Partnership will barely benefit Australia, says World Bank report”
The average Australian worker will not benefit in any way shape or form from this agreement.”

“The EPA states that methane is a greenhouse gas that could have 25 times the impact of carbon dioxide over the next century.”

“The melting of the permafrost represents one of humanity’s greatest fears for it contains vast amounts of methane, a greenhouse gas much more potent than carbon dioxide.”
“we are now experiencing the highest level of relative and absolute global inequality at any point in human history.”
“the 21st Century will be a new dark age of luxury for a few and barbaric suffering for most. ”
“the UN warns bluntly that world population, now well over seven billion ‘has reached a stage where the amount of resources needed to sustain it exceeds what is available
“Mexico’s wells are running dry.
You would almost not know if you took your news from television or the mainstream media. It is like a closely guarded secret — the aunt in the attic.”

“We have forgotten the lessons of the 1760s, 1850s, and 1920s. We have let Economic Royalists hijack our democracy, and turn our economy into their money machine. Now the middle class is evaporating, infrastructure is crumbling, and pressure is reaching a breaking point. Anti-establishment candidates are on the rise, and no one knows how things will turn out.”

“Australian scientists report that many surviving corals affected by mass bleaching from high sea temperatures on the northern Great Barrier Reef are the sickest they have ever seen.

“In 2009, Obama promised to help “rid the world of nuclear weapons” and was awarded the Nobel Peace Prize. No American president has built more nuclear warheads than Obama.”

“Thus, if tomorrow a war were to break out between the US and Russia, it is guaranteed that the US would be obliterated.”
“If attacked, Russia will not back down; she will retaliate, and she will utterly annihilate the United States.”

“Whether we believe that innovation and technology ultimately make the world better or worse, there is now overwhelming evidence that they are unsustainable in any case. Between economic over-extension, energy over-dependence, and the ruination of our atmosphere and other environments by our civilization and its technologies, it is now almost inevitable that we will soon see a collapse that will make the Great Depression, and perhaps even the five previous great extinctions of life on Earth, look like nothing.
“Modern technology requires cheap energy, and, notwithstanding the recent power games between the US and Russia temporarily and artificially driving down oil prices, we are quickly running out of it.”
“the evidence supports their theory that his death was in no possible way a suicide, as has been reported by police and the mainstream media.”

“Having successfully used the EU to conquer the Greek people by turning the Greek “leftwing” government into a pawn of Germany’s banks, Germany now finds the IMF in the way of its plan to loot Greece into oblivion .”

“All references to climate change’s impact on World Heritage sites in Australia have been removed from a United Nations report.”
“Australia’s Department of the Environment requested that Unesco scrub these sections from the final version.”

Peak oil mates, peak oil. Those that deny it do not understand it.
“when oil companies (and governments) talk about oil supply, they include all sorts of things that cannot be sold as oil on the world market including biofuels, refinery gains and natural gas plant liquids as well as lease condensate.”
“If what you’re selling cannot be sold on the world market as crude oil, then it’s not crude oil.”

“You’d think this would be pretty big news.  The Prime Minister of one of the biggest economies in the world just made a presentation saying we are on the brink of collapse not only in Japan but worldwide and it was mostly swept under the rug.
“The same globalist elites who are orchestrating the coming collapse own all the major media companies.  They don’t want Joe the Plumber and main street to get an inkling that something is wrong until it is too late… just like in 2008.”

“Neoliberalism hasn’t delivered economic growth – it has only made a few people a lot better off.”
“Ocean plastic has turned up literally everywhere. It has been found in the deep sea and buried in Arctic ice. It has been ingested with dire consequences by some 700 species of marine wildlife.”
“inflate another bubble. In other words, do more of what failed spectacularly.
This process of doing more of what failed spectacularly appears sustainable for a time, but this superficial success masks the underlying dynamic of diminishing returns:”
“If our leaders had made better decisions since the last crisis, things could have turned out differently.  But instead, they continued to conduct business as usual, and now we will reap what they have sown.”

“The high-profit, low-risk nature of environmental crime is matched by the low funds and uncertain priorities given to fighting it by many decision-takers.”

“That $1.3 trillion bubble was enough to bring down several major banks and cause cascading damage across the global financial system.
Today’s bubble is EIGHT TIMES the size of the last one”

“The Arctic is on track to be free of sea ice this year or next for the first time in more than 100,000 years”
“Scientists have monitored greenhouse gas methane – once frozen on the sea bed – bubbling up to the surface at an alarming rate.”
“We’re on a runaway train, scientists are blowing the whistle, but politicians are still shovelling coal into the engine.”

“A husband should be allowed to lightly beat his wife if she defies his commands and refuses to dress up as per his desires; turns down demand of intercourse without any religious excuse or does not take bath after intercourse or menstrual periods.”

“That has left economists and fund managers worried the unconventional measures are setting the stage for exactly what central banks are trying to prevent—another financial crisis.”

“Australia has amassed a huge pile of debt—over 120% of GDP—and most of it is mortgage debt on overvalued real estate. Now that Australia’s economy, which was driven by commodity exports to China, has tanked, a lot of this debt is being turned into interest-only loans, because Australians no longer have the money to repay any of the principal.”
“as conditions deteriorate further, the Australians will become unable to afford taxes and utilities.”

“the internet has fallen into the hands of large corporations and governments and become the “world’s largest surveillance network”.”

“if you care to avoid vaporization and, assuming we do avoid it, live a life other than serfdom, you must wake up and realize that your most deadly enemy is Washington, not the hoax of “Russian aggression,” not the hoax of “Muslim terrorism,” not the hoax of “domestic extremism,” not the hoax of welfare bankrupting America, not the hoax of democracy voting away your wealth, which Wall Street and the corporations have already stolen and stuck in their pockets.”

“We are heading into a very dark time…a time where technology will be used to enslave, not enlighten or uplift mankind.”

“Its fast-growing stalk yields one of the strongest and most useful fibers known, used in superior paper, canvas, ropes, insulation, cardboard, clothing, shoes and plastic — plastic that is, by the way, biodegradable. This one plant can provide many of the products an industrial society needs, sustainably, while drastically reducing pollution, energy consumption, deforestation, fossil fuel use and providing income for millions of farmers”
“Both hemp and marijuana are cannabis plants. Hemp is cannabis sativa and marijuana is cannabis indica. So when regulators wanted to prevent people from getting high on cannabis indica, they criminalized cannabis, which included cannabis sativa, which made it illegal to use one of the most useful and sustainable crops the world has ever known.”

“There is no such thing as sustainable agriculture. It does not exist.”

“The economic reality, evident to anyone who isn’t a spin doctor for the Coalition or a journalist for The Australian, is that we have a weak economy, unable to finance our expected living standards.”

“The last station on Earth without a 400 parts per million (ppm) [CO2] reading has reached it.”
“That’s the first time it’s passed that level in 4 million years (no, that’s not a typo).”
“the planet as a whole has likely crossed the 400 ppm threshold permanently”

“Seven climate records set so far in 2016”

“What will corporations blame when they can’t use “tighter money supplies” as an excuse?”


Harry aka Harquebus
Salisbury North.
South Australia.

How “Green” is Lithium?

17 04 2016

Originally published on the KITCO website in 2014….. interesting how this makes no mention of NiFe batteries, they are simply ‘under the radar’……


The market for battery electric and hybrid vehicles is growing slowly but steadily – from 0.4% in 2012 to 0.6% in 2013 and 0.7% in 2014 (year-to-date) in the United States alone.

Consumers buy these vehicles despite lower gas prices out of a growing conscience and concern for the environment. With this strong attraction to alternative energy, grows the demand for lithium, which is predominantly mined and imported from countries like Bolivia, Chile, China and Argentina.

Within the U.S., only Nevada, future home of Tesla’s new “Gigafactory” for batteries, produces lithium. However, the overall ecological impact of lithium ion batteries remains somewhat unclear, as does the “well-to-wheel” effort and cost to recharge such batteries.

To fully grasp the relevance and environmental impact of lithium it is important to note that lithium ion batteries are also found in most mobile phones, laptop computers, wearable electronics and almost anything else powered by rechargeable batteries.

Dozens of reports are available on the ecological impact of lithium mining. Unfortunately, many of them are influenced by the perspective of the organizations or authors releasing them. Reducing the available information to studies carried out by government bodies and research institutes around the world, a picture emerges nonetheless:

  • Elemental lithium is flammable and very reactive. In nature, lithium occurs in compounded forms such as lithium carbonate requiring chemical processing to be made usable.
  • Lithium is typically found in salt flats in areas where water is scarce. The mining process of lithium uses large amounts of water. Therefore, on top of water contamination as a result of its use, depletion or transportation costs are issues to be dealt with. Depletion results in less available water for local populations, flora and fauna.
  • Toxic chemicals are used for leaching purposes, chemicals requiring waste treatment. There are widespread concerns of improper handling and spills, like in other mining operations around the world.
  • The recovery rate of lithium ion batteries, even in first world countries, is in the single digit percent range. Most batteries end up in landfill.
  • In a 2013 report, the U.S. Environmental Protection Agency (EPA) points out that nickel and cobalt, both also used in the production of lithium ion batteries, represent significant additional environmental risks.

A 2012 study titled “Science for Environment Policy” published by the European Union compares lithium ion batteries to other types of batteries available (lead-acid, nickel-cadmium, nickel-metal-hydride and sodium sulphur). It concludes that lithium ion batteries have the largest impact on metal depletion, suggesting that recycling is complicated. Lithium ion batteries are also, together with nickel-metal-hydride batteries, the most energy consuming technologies using the equivalent of 1.6kg of oil per kg of battery produced. They also ranked the worst in greenhouse gas emissions with up to 12.5kg of CO2 equivalent emitted per kg of battery. The authors do point out that “…for a full understanding of life cycle impacts, further aspects of battery use need to be considered, such as length of usage, performance at different temperatures, and ability to discharge quickly.”

Technology will of course improve, lithium supplies will be sufficient for the foreseeable future, and recycling rates will climb. Other issues like the migration of aging cars and electronic devices to countries with less developed infrastructures will, however, remain. As will the reality of lithium mining and processing. It is therefore conceivable that new battery technologies (sea water batteries or the nano-flowcell, for instance) will gain more importance in years to come, as will hydrogen fuel cells.

We will report about the pros and cons of each of these alternatives in future issues of Tech Metals Insider.

Bodo Albrecht,

After capitalism, what comes next? For a start, ethics

31 07 2015

Jenny Cameron, University of Newcastle; Katherine Gibson, University of Western Sydney, and Stephen Healy, University of Western Sydney

If the comments generated by the recent publication of excerpts from Paul Mason’s forthcoming book, Postcapitalism: A Guide to Our Future, are anything to go by, its release at the end of the month should kick up a storm.

Mason’s book is about a seismic economic shift already underway, one that is as profound as the transformation from feudalism to capitalism. In the excerpts, Mason observes that:

… whole swaths of economic life are beginning to move to a different rhythm.

The shift is evidenced by developments such as collaborative production and the sharing economy. Mason attributes this economic transformation to advances in information technology, particularly the global networks of people and ideas that are now possible.

Such large-scale pronouncements inevitably generate an equally strong pushback, albeit in very different ways. For example, some comments on the published excerpts align with Fredric Jameson’s observation that sometimes for the Left:

… it is easier to imagine the end of the world than to imagine the end of capitalism.

Other comments are more aligned with climate-change denialism and the sentiment that “it is easier to desire the end of the world than to desire the end of capitalism”.

For those of us who research and practise in the area of what might be called “diverse economies”, Mason’s provocations are welcome. They help to shed light on the array of economic activities that are usually ignored in discussions about economics and they provide an opportunity to debate our economic future.

Enabling but not guaranteeing a better future

Mason’s is a technologically focused vision of transformation. Information technology provides both the catalyst and the means for transitioning from capitalism to a new post-capitalist world. This world will be characterised by “a new way of living” and “new values and behaviours” as unrecognisable to us today as the gritty world of belching factories and waged work would have been to the landed gentry and tenant farmers of pre-industrial Europe.

But there is one important difference between Mason’s post-capitalism and the capitalist and feudal systems that preceded it. The reshaped economic system will, according to Mason, offer hitherto unrealised economic freedoms and liberties with:

… the whole of human intelligence one thumb-swipe away.

There is no doubt that information technology is transforming the lives we can now lead. But technology does not in and of itself guarantee a better future. The much-vaunted “successes” of the sharing economy do not necessarily improve the precarious and exploitative working conditions of those who sign up. For instance, drivers are finding this with Uber, the app-based ride-service that is networked across 58 countries and had, in December 2014, an estimated value of US$41 billion.

Where information technology is generating better futures it seems to rest on explicit ethical commitments that are developed independent of online apps and cyber networks.

For example, in Japan, Fureai Kippu (literally “ticket for a caring relationship”) is based on a commitment to caring for the elderly. Volunteers earn “time credits” by providing care to elderly people. They can transfer these credits to relatives or friends who need care, or they can save the credits for their own future use.

Fureai Kippu emerged in the 1980s, building on a tradition of volunteerism and reciprocal assistance. Technological advances have enabled the network to spread geographically. There are now schemes in London, Los Angeles and Switzerland, and credits earned in these locations can be transferred to relatives or friends elsewhere, including Japan.

Mayumi Hayashi talks about the successes of Fureai Kippu in providing elderly care in Japan.

Technology is augmenting relations of care for others. Technology does not bring these relations into being.

The ethics of the new economies

In our research on the diverse economic practices that exist outside the purview of mainstream economics, we find people are forging new types of economies around six ethical concerns:

  • What do we need to survive well?
  • What happens to surplus, or what is left over after our survival needs have been met?
  • How do we act responsibly to those whose inputs help us to survive well (whether other people or the environment)?
  • How much and what do we consume in order to survive well?
  • How do we care for the commons – the gifts of nature and intellect that we rely on?
  • How do we invest so that future generations can also live well?

For us, these are the different rhythms around which new forms of economic life are taking shape. Like Mason we see these new forms as the building blocks of a “post-capitalist” world (as we wrote about almost ten years ago in A Postcapitalist Politics). Unlike Mason, we see innovations in information technology and networking as supporting rather than driving the economic changes that will be needed.

Our route to post-capitalism foregrounds the ethical dimensions of economic life, and how technologies and regimes of governance might:

  1. Foster less “me”- and “now”-focused subjects of history;
  2. Support more responsible interactions with the ecologies in which we live.

Mason rightly points out that post-capitalism calls forth new types of human beings. He looks to:

… young people all over the world breaking down 20th-century barriers around sexuality, work, creativity and the self.

While we too welcome the widespread acceptance of transformations that feminist and queer politics initiated, there is a worrying undertone of hyper-individualism and libertarianism if we limit ourselves to these examples.

We find glimpses of post-capitalist subjects on a wider canvas of how people are transforming the ways they take responsibility for other humans and “earth others” (or what Pope Francis calls our common home). Think, for example, of the workers in Argentina who, after recovering rundown factories in the 2000s, said things such as:

The factory isn’t ours. We are using it, but it belongs to the community … The profits shouldn’t go to us … but to the community.

We find glimpses in how the people of Norway manage their sovereign wealth fund by foregrounding the well-being of future generations. As one Norwegian economist explained:

We cannot spend this money now; it would be stealing from future generations.

Instead funds are invested for the future and increasingly in investments, such as clean-energy technologies, that will also benefit environmental futures.

Technology and networks in themselves are not liberation. But they can serve to sensitise us to the indivisible nature of people and planet, and to amplify our capacities to empathise, work together and find a way forward on a planet that is damaged, but not beyond repair. In our view, this is the post-capitalism our present circumstances require.

The Conversation

Jenny Cameron is Associate Professor, School of Environmental and Life Sciences at University of Newcastle.
Katherine Gibson is Professor of Economic Geography, Institute for Culture and Society at University of Western Sydney.
Stephen Healy is Senior Research Fellow, Institute for Culture and Society at University of Western Sydney.

This article was originally published on The Conversation.
Read the original article.

A Degrowth Response to an Ecomodernist Manifesto

29 05 2015

Originally published on the Resillience website, I thought my followers would find this interesting….  having said that, the more work like this I read the more pessimistic I feel anything will be done!  Such is the momentum of the ‘Ecomodernists’

Critique Summary

Authors and Endorsers: Jeremy Caradonna, Iris Borowy, Tom Green, Peter A. Victor, Maurie Cohen, Andrew Gow, Anna Ignatyeva, Matthias Schmelzer, Philip Vergragt, Josefin Wangel, Jessica Dempsey, Robert Orzanna, Sylvia Lorek, Julian Axmann, Rob Duncan, Richard B. Norgaard, Halina S. Brown, Richard Heinberg

A group known as the “ecomodernists,” which includes prominent environmental thinkers and development specialists such as Ted Nordhaus, Michael Shellenberger, Stewart Brand, David Keith, and Joyashree Roy has recently published a statement of principles called An Ecomodernist Manifesto (2015). Many of the authors of the Manifesto are connected to an influential think tank called The Breakthrough Institute.
The Manifesto is an attempt to lay out the basic message of ecomodernism, which is an approach to development that emphasizes the roles of technology and economic growth in meeting the world’s social, economic, and ecological challenges. The ecomodernists “reject” the idea “that human societies must harmonize with nature to avoid economic and ecological collapse,” and instead argue that what is needed is a reliance on technologies, from nuclear power to carbon capture and storage, that allow for a “decoupling [of] human development from environmental impacts.”
The Manifesto has already received strong criticism from an array of commentators, but none of these assessments has yet critiqued it from the perspective of “degrowth,” which is an approach that sees the transition to sustainability occurring through less environmentally impactful economic activities and a voluntary contraction of material throughput of the economy, to reduce humanity’s aggregate resource demands on the biosphere. From a degrowth perspective, technology is not viewed as a magical saviour since many technologies actually accelerate environmental decline.
With these disagreements in mind, a group of over fifteen researchers from the degrowth scholarship community has written a detailed refutation of the Ecomodernist Manifesto, which can be read here. The following is a summary of the seven main points made by the authors of this critique:
1. The Manifesto assumes that growth is a given. The ecological economists associated with degrowth assume that growth is not a given, and that population growth, inequalities, and the decline of cheap and abundant fossil fuels, which spurred the unprecedented growth of the global economy over the past century, means that the limits to growth are either being reached or will be reached in the very near future. The ecomodernists, by contrast, scoff at the idea of limits to growth, arguing that technology will always find a way to overcome those limits. Graham Turner, Ugo Bardi, and numerous others have shown through empirical research that many of the modelled scenarios, and the fundamental thesis, of the Club of Rome remain as relevant as ever—that is, that the human endeavour is bumping up against natural limits. Richard Heinberg has shown that the production of conventional oil, natural gas, and heavy oil all peaked around 2010, despite, but also due to, continued global reliance on fossil fuels, which still make up over 80% of the world’s primary source of energy. The history of industrialism to date suggests that more growth will be coupled with increasing environmental costs. Thus the Manifesto does nothing to question and rethink the growth fetish that has preoccupied (and negatively impacted) the world since at least the 1940s.
2. Ecomodernists believe in the myth of decoupling growth from impacts. Long the fantasy of neoclassical economists, industrialists, and many futurists decoupling is the idea that one can have more of the “good stuff” (economic growth, increased population, more consumption) without any of the “bad stuff” (declines in energy stocks, environmental degradation, pollution, and so forth). Yet to date, there has been no known society that has simultaneously expanded economic activity while reducing absolute energy consumption and environmental impacts. In terms of carbon-dioxide emissions, the only periods over the past century in which global or regional emissions have actually declined absolutely have occurred during periods of decreased economic activity (usually a political crisis, war, or a recession). While it is true that many countries have reduced their carbon intensity in recent decades, meaning that they get more bang for their energy buck, efforts to decouple GDP-growth from environmental degradation through technological innovations and renewable energies have failed to achieve the absolute emissions reductions and reductions in aggregate environmental impacts necessary for a livable planet. In short, absolute decoupling has not occurred and has not solved our problems.
3.  Is technology the problem or the solution? The ecomodernists cannot decide. The Manifesto is open and honest about the impact that modern technologies have had on the natural world, and especially emissions from fossil-fueled machines. However, as an act of desperation, the ecomodernists retreat to the belief that risky, costly, and underachieving technologies, such as nuclear power and carbon capture and storage, will solve the climate crisis and energize the sustainable society of the future. The reality, however, is that nuclear power provides less than 6 percent of the world’s energy needs while creating long-term storage nightmares and present-day environmental hazards. We cite Chernobyl and Fukushima as obvious examples. From the point of view of degrowth, more technology is not (necessarily) the solution. The energy crisis can be addressed only by reductions in throughput, economic activity, and consumption, which could then (and only then) create the possibility of powering global society via renewables.
4. Ecomodernism is not very “eco.” Ecomodernism violates everything we know about ecosystems, energy, population, and natural resources. Fatally, it ignores the lessons of ecology and thermodynamics, which teach us that species (and societies) have natural limits to growth. The ecomodernists, by contrast, brazenly claim that the limits to growth is a myth, and that human population and the economy could continue to grow almost indefinitely. Moreover, the ecomodernists ignore or downplay many of the ecological ramifications of growth. The Manifesto has nothing to say about the impacts of conventional farming, monoculture, pesticide-resistant insects, GMOs, and the increasing privatization of seeds and genetic material. It is silent on the decline of global fisheries or the accumulation of microplastic pollution in the oceans, reductions in biodiversity, threats to ecosystem services, and the extinction of species. Nor does it really question our reliance on fossil fuels. It does argue that societies need to “decarbonize,” but the Manifesto also tacitly supports coal, oil and natural gas by advocating for carbon capture and storage. Far from being an ecological statement of principles, the Manifesto merely rehashes the naïve belief that technology will save us and that human ingenuity can never fail. One fears, too, that the ecomodernists support geoengineering.
5. The Manifesto has a narrow, inaccurate, and whitewashed view of both “modernity” and “development.” The Manifesto’s assertions rest on the belief that industrialized modernity has been an undivided blessing. Those who support degrowth have a more complex view of history since the 18th century. The “progress” of modernity has come at a heavy cost, and is more of a mixed blessing. The ecomodernists do not acknowledge that growth in greenhouse gas emissions parallels the development of industry. The core assumption is that “development” has only one true definition, and that is to “modernize” along the lines of the already industrialized countries. The hugely destructive development path of European and Neo-European societies is the measuring stick of Progress.
6. Ecomodernism is condescending toward pre-industrial, agrarian, non-industrialized societies, and the Global South. The issue of condescension is particularly stark in the Manifesto. There is not a word about religion, spirituality, or indigenous ecological practices, even though the authors throw a bone to the “cultural preferences” for development. Pre-industrial and indigenous peoples are seen as backwards and undeveloped. The authors go so far as to say that humans need to be “liberated” from agricultural labour, as though the production of food, and small-scale farming, were not inherent goods. There is no adoration for simple living, the small scale, or bottom up approaches to development.
7. The Manifesto suffers from factual errors and misleading statements. The Manifesto is particularly greenwashed when it comes to global deforestation rates. It suggests that there is currently a “net reforestation” occurring at the international scale, which contradicts the 2014 Millennium Development Report that shows that afforestation and reforestation have, in fact, slowed deforestation rates, but that the world still suffered a net loss of forested land between 2000 and 2010 by many millions of hectares. Research by the United Nations Food and Agriculture Organization and the World Wide Fund for Nature confirms the reality of net forest losses. Further, the Manifesto makes dubious claims about net reductions in “servitude” over the past few centuries, and the role played by pre-historical native peoples in driving the megafauna to extinction.
In sum, the ecomodernists provide neither a very inspiring blueprint for future development strategies nor much in the way of solutions to our environmental and energy woes.