Oil is running out.

August 3, 2009

We’ve been predicting this for some time, but today The Independent headlines a statement from Dr Fatih Birol, the chief economist at the International Energy Agency. He says oil is running out much more quickly than predicted and may have serious implications for the economic recovery. Of course once it’s gone, it’s gone, and many would argue that we can never return to the economic model of constant growth. Things must change! It’s becoming increasingly clear that whether we get our energy from solar, wind, nuclear or coal, prices are going up. As oil runs out the oil price will rise too. Today it’s back up around $70/barrel. Oil is used for almost all forms of transport, and there is no alternative in the short term. “Is your journey really necessary?” could become a constant question. Oil is also crucial to agriculture, both for driving the machinery and for producing the fertilisers and chemicals which modern agribusiness demands. Again, there is no short-term substitute.

Cyber Associates helps organisations plan for an uncertain future, to make best use of all resources and to develop a business model that’s not overtaken by events.

You can find the full Independent article here.