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 What's the Big Deal?

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We got through the 20th century using conventional sources of energy to generate electricity.  Why change now?  

According to the Department of Energy (DOE), here is the breakdown of the primary energy sources generating electricity, as of July 2004:

  Non-Renewable Sources U.S.
Consumption
Virginia Consumption
Coal 50% 31%
Natural Gas 17% 13%
Oil 3% 15%
Nuclear 20% 22%
Renewable Sources    
Hydroelectric 7% 20%
Other Renewable Sources 3% 0%

While all sources of energy have inherent problems, the burning of fossil fuels is, by far, the worst for the environment.

How to Assess Energy Risks

In selecting sources of energy, we have to ask ourselves these questions:

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How reliant are we on this source of energy?

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How much control do we have over its supply?

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What is the impact of major reductions in supply?

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What ability do we have to ensure steady supply and stable prices?

The answers we get for oil and natural gas are not reassuring, especially since one-third of the United States' oil comes from the Middle East today.

How Much Longer Can We Rely on Fossil Fuels?

Worldwide demand for fossil fuels is growing at a staggering rate, due primarily to strong growth in huge developing countries, like China and India.  At the same time, oil production is not keeping up with demand and there is a lot of debate about exactly how much oil is left in the ground worldwide.  In October 2003, CNN reported on a Swedish university study  that estimated that the world's oil reserves are up to 80% less than previously thought. 

This imbalance of supply and demand is the true underlying cause of the recent record run-up of oil prices.  Between October 2003 and October 2004, light sweet crude oil prices rose from under $30 per barrel to over $55 per barrel.  That was an increase of over 80% in one year and came after a 20% run-up due to the U.S. invasion of Iraq.

As a result of this imbalance, we are not likely to see oil prices below $50 a barrel ever again.  There is also a strong chance that prices will continue to rise to over $100 a barrel in the next 5 years as demand from these huge emerging countries continues to drive the markets. The U.S.'s reliance on fossil fuels is jeopardizing national energy security.

Today, coal-fueled power plants generate 54% of electricity in the U.S.  They are the largest industrial source of air pollution.  The Union of Concerned Scientists estimates that an average coal-burning power plant burns 1.4 million tons of coal each year,

Generating... Which contributes to...
3.7 million tons of carbon dioxide Global warming
10,000 tons of sulfur dioxide Acid rain
10,200 tons of nitrogen oxide Smog and respiratory problems
500 tons of small airborne particles Chronic bronchitis and aggravated asthma
720 tons of carbon monoxide Headaches, even at low levels
170 pounds of mercury Poisoning of the food supply
225 pounds of arsenic Cancer, even at very low levels

The numbers show that coal-fueled power plants are the largest contributors to acid rain, respiratory disease and global warming. 

For more information, visit:

NREL on Why Renewable Energy is Important
NREL on Energy Security
CNN article on World Oil and Gas Reserves
The Union of Concerned Scientists on Environmental Impact of Fossil Fuels
U.S. Department of Energy (DOE)

 


 

Copyright © 2004 Chesapeake Renewable Energy, LLC                                     
Last modified: 11/12/08