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Politics : Politics of Energy -- Ignore unavailable to you. Want to Upgrade?

To: Brumar89 who wrote (5716)	3/6/2009 8:33:51 AM
From: RetiredNow	Read Replies (1) \| Respond to of 86355

Actually, it is. The big automakers are in an all out race to put cheap electric cars on the road at mass scale. That will dramatically reduce the need for oil. One estimate of US oil consumption I read a long time ago was that 2/3rds of US oil consumption was due to transportation needs. If over the next 20-25 years, we get to most cars being electric, then at the very least we'll cut oil consumption in this country by 50%. And since we typically lag the rest of the world in things like this, imagine the global consumption cut in oil. What if demand for oil decreased by 1/3rd from 80mbpd to 55mbpd, while supply remained constant? Oil prices would collapse long before we reached a 1/3rd cut in demand. We are seeing the very beginning of this scenario play out. I think you guys are too dismissive of technological change and the speed at which it can move whole industries in a new direction.