Wednesday, August 31, 2005
New breed, same as the old one
Posted by Living with Matilda at 5:43 PM
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"You are looking at a new breed of car," the TV advert declared, as a sleek, largish (of course, black) but nonetheless pretty ordinary looking vehicle rolled onto the screen. The ad was presented with such unusual gravitas that, for once, it won my attention.

"A revolution in driving experience. The future is here," the voiceover concluded.

Wow. Was the hydrogen fuel cell engine finally here? Or is this some new ultra-efficient hybrid electo-LPG vehicle?

Goodbye global warming and hello to a more sustainable tomorrow!

Alas not. It was the 3.6L, V6, All-Wheel-Drive Nissan Murano . It was the future of vehicle technology because it had a slightly different gear stick, or something. Oh, and heated front seats.

I had been duped into delaying fetching my coffee. This was no revolutionary vehicle. It was just another gas-guzzling, child munching SUV. No doubt complete with free can of spray-on mud to demonstrate to other parents dropping off at school that your rugged suburban lifestyle warrants running a vehicle that barely manages 8km per litre.

An advert this far removed from reality is surely in breach of the advertising code of ethics. (By my reckoning, at least contrary to Section 1.2 re deception and 1.4 re the environment. See http://www.advertisingstandardsbureau.com.au/PDF/AANACodeofEthics.pdf)

When the ads finished and the news continued the first item informed us that crude oil had reached the staggering price of $70 per barrel, before settling at $67 by the end of the day.

The trigger for the oil spike was Hurricane Katrina, threatening an already tight crude market with further minor short-term reductions in US supply. Underlying this trigger factor, the report continued, is soaring energy demand and habitual political instability in the Middle East.

OPEC has agreed to boost exports to try to calm fears. After all, spiralling oil prices only encourage market substitution.

But OPEC's actions will surely make little difference in the medium term. Instability in the Middle East looks set for the next century and demand is only heading in one direction. Even the weather is likely to get more volatile, due to global warming. Face it, high oil prices are here to stay.

Even the usually sanguine Economist magazine suggests that the $60-$70 mark could be the new equilibrium price we should all get used to . <http://www.economist.com/finance/displaystory.cfm?story_id=4321834>

So is this really the time to be investing $56,000 in an 'all new' Nissan Murano? But perhaps even more importantly, is this really the time for Brisbane City Council to be investing $700m in digging road tunnels for cars?

In tomorrow's transport system, there will undoubtedly be a role for personalised transportation, similar to that afforded by the petrol-driven car today. But the Nissan Murano is most definitely not part of this transport future.

Now is the time to reconsider our oil dependency. It is not going to run out tomorrow, but we do need to make the transition today, before its price begins to destabilise an economy thus far built on its cheap and plentiful supply.

We need
  • to reassess how, when and where we work. How about video conferencing, tele working or even just staggered work hours?
  • to start building our communities in ways that reduce our demand for powered transport. This will entail using land more efficiently, pulling in local services and employment opportunities to within walking/cycling distance
  • technology which reduces our short trip travel demand, rather than encourages us to drive 2km to the video shop
  • to invest in public transport rather than more road space for cars. Though this must sound like a broken record, even modest investments in bus corridors have boosted patronage. Now imagine $700m invested in Brisbane's public transport network, rather than sunk into road tunnels.
  • to make the transition to a service economy, which provides goods and services far more efficiently than outright private ownership. Do we all need an SUV when we challenge its capabilities just a few times per year?
  • an attitudinal change. Think seasonal dinners that reduce the 'food miles', changing our choice of leisure services or holidays or instead, just stop being so bloody lazy and reaching for the keys to our SUVs. We are time poor, because we try to squeeze in so much.

So while thus far the economic impacts of $70 per barrel have been modest and the medium term outlook is robust enough to have not precipitated a mass exodus from the exploration industry, the implications of a transition to rapidly increasing oil prices are potentially massive.

Our entire economic and social infrastructure is geared towards the continuing provision of a cheap, transportable and centralised energy source. If that disappears, Brisbane will be left with some very expensive ventilation shafts.

Posted by Living with Matilda at 5:43 PM






Disclaimer:
I am employed by Brisbane City Council. All views expressed in this blog are my own and in no way reflect the views of my employer.
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