Countries are using less oil due to the current recession. In the background, though, world oil supplies continue to decline.
The world oil supply is declining at a rate of six percent. This means that every year we have 5 million fewer gallons, due to natural decline rates. We are just not noticing it yet.By 2030, just to keep up, we would need to discover four new Saudi Arabias.
“Peak Oil” is the point where new oil supplies exactly equal the rate that present oil fields decline.
Fatih Birol, chief economist of the International Energy Association (IEA), said that if we do nothing, Peak Oil will be upon us in 10 years. The IEA has been a very conservative advisor to the 28 most advanced economies in the world.
Many folks who are knowledgeable about the workings of oil fields feel that Peak Oil will be upon us in four to five years.
Others feel we have already hit Peak Oil. Regardless, Peak Oil will affect us much sooner than climate change. So we need to switch to renewable energy sources sooner rather than later.
Here on the Big Island, we have geothermal. We need to be smart and make the switch as soon as possible.