Sunday, April 30, 2006

Building pressure for a world war to secure oil supplies?

What are we fighting in Iraq for? What are we fighting in Afghanistan for? Why are we threatening Iran?

Think it's about ephemeral things such as establishing democracy and freedom? Think again. There are dozens of freedom-hating countries around the world that we don't threaten with our military. Some of those freedom hating countries had their leaders installed by the U.S. We aren't threatening those countries, only the ones in the Middle East.

This article outlines the growing danger of a world war fought to secure oil supplies: A battle for oil could set the world aflame International powers will do everything to protect their access to dwindling resources. We are mad not to have an alternative strategy (Will Hutton, Sunday April 30, 2006, The Observer)

The key piece is twofold. First is the incontrovertible fact that the U.S. and China both have very little domestic oil supplies. What has allowed our modern societies to flourish isn't technology, it's that the technology has cheap energy to drive it. We could have the same dazzling array of technology, but if the energy to drive the technology wasn't available the technology would be useless. And, this is a situation we all may be facing in a few years.

The U.S. imports over 60% of its oil needs. In the 1970's there were two oil embargo crisis, at a time when the U.S. imported only 35% of its oil needs, and which drove the U.S. into a recession. What would happen today if the supply of oil to the U.S. were to dry up?

At the same time China is experiencing rapid economic growth, which is in turn causing rapid growth in its energy demands.

The article discusses China's role in both the Sudan/Darfur fiasco, and the showdown against Iran. In both cases China has made oil deals with the countries in question, and at the same time are expected to veto any UN Security Council actions against those countries. Further, Iran and China have an oil deal, part of which is shipping oil from Iran to China via a pipeline through Central Asia. Such a pipeline is a strategic move that would keep the U.S. from enforcing anything against that oil, because our Navy is useless in reaching Central Asia.

Thursday, April 6, 2006

The coming world oil disruptions

I was in my young teens in the early 1970's when the oil embargo was used against the U.S. In the second oil embargo I was in college. Those two events really affected me and is what's driving me today to study energy supplies.

Stanford EMF: 80% Probability of Major Oil Disruption in Next Ten Years covers a study done by Hillard Huntington, Executive Director Energy Modeling Forum (EMF), Stanford University, which discusses the probabilities of another oil disruption.

Thinking about it now, this shouldn't be surprising. For example we are threatening Iran right now which could easily turn into a major oil disruption. And generally speaking, OPEC did it before (staging oil disruptions) so why wouldn't they do it again?

The thing that's really alarming is what the effect would be.

In the 1970's the recessions we had then were likely triggered by the oil embargo's. Those oil embargo's caused the price of oil to rise pretty high. Remember Carter's Windfall Profits Tax? President Enron nor Vice President Halliburton nor Secretary of State Chevron are likely to push for such a tax, but we have the same conditions today that occurred in the 1970's that prompted that tax.

In the 1970's the U.S. imported 35% of its' oil needs. Today we import 70% of our oil needs. If there were another oil disruption today, the effect on the U.S. would be far more dramatic than the effect in the 1970's.

Sunday, April 2, 2006

Ganging up on General Motors

General Motors has launched what is probably an ill-advised marketing website. At chevyapprentice.com/ they have a contest in which you can make a commercial for the 2007 Chevy Tahoe. The best commercial wins something.

However, what's happening is a bunch of people making activist type commercials.

Rather than something extolling the SUV, they're instead talking about global warming, destroyed environment and, in one case, a memorial from one brother to another who was sent to Iraq to fight for oil.

The site is very easy to use, and creating an advertisement is very simple. They offer some typical video clips of the type you see in car commercials, and they offer some sound tracks. You simply drag the clips into the order you want, and enter text to overlay on the clips.

Their web site is an example of a new kind of marketing activity. The Internet is allowing for greater ease in building "community" of a sort, where web sites serve as a meeting place for people to share with one another. In this case they are hoping for people to go COOL, make commercials, and share them with their friends. This should build a word-of-mouth viral spread of awareness over the web site. The gain they'll have is from their brand and logo being put in front of more eyeballs.

We don't know how many of the people using this site to make activist commercials versus SUV-loving commercials.

Here's some pointers collecting the advertisements people have made.

GM SUV spoofed by environmentalists

Video: Oops! Chevy gets trashed in commercial contest

One of the commercials I made

TreeHugger: Make Your Own SUV Ad

MOBJECTIVIST: Last gasp of a dying organization

Sustainablog: 'Chevy Apprentice' Becomes Activism Tool

Eco Blogger Call to Action: Make your own Chevy Advert

Network-Centric Advocacy: You MUST try This: Culture Jam Chevy and Global Warming: Sloganator II

Chevy Ads : Network Culture Jamming the Apprentice (whack at Trump, GM and SUVs)

Ganging up on General Motors

General Motors has launched what is probably an ill-advised marketing website. At chevyapprentice.com/ they have a contest in which you can make a commercial for the 2007 Chevy Tahoe. The best commercial wins something.

However, what's happening is a bunch of people making activist type commercials.

Rather than something extolling the SUV, they're instead talking about global warming, destroyed environment and, in one case, a memorial from one brother to another who was sent to Iraq to fight for oil.

The site is very easy to use, and creating an advertisement is very simple. They offer some typical video clips of the type you see in car commercials, and they offer some sound tracks. You simply drag the clips into the order you want, and enter text to overlay on the clips.

Their web site is an example of a new kind of marketing activity. The Internet is allowing for greater ease in building "community" of a sort, where web sites serve as a meeting place for people to share with one another. In this case they are hoping for people to go COOL, make commercials, and share them with their friends. This should build a word-of-mouth viral spread of awareness over the web site. The gain they'll have is from their brand and logo being put in front of more eyeballs.

We don't know how many of the people using this site to make activist commercials versus SUV-loving commercials.

Here's some pointers collecting the advertisements people have made.

GM SUV spoofed by environmentalists

Video: Oops! Chevy gets trashed in commercial contest

One of the commercials I made

TreeHugger: Make Your Own SUV Ad

MOBJECTIVIST: Last gasp of a dying organization

Sustainablog: 'Chevy Apprentice' Becomes Activism Tool

Eco Blogger Call to Action: Make your own Chevy Advert

Network-Centric Advocacy: You MUST try This: Culture Jam Chevy and Global Warming: Sloganator II

Chevy Ads : Network Culture Jamming the Apprentice (whack at Trump, GM and SUVs)