Saturday, October 2, 2010

Gas Is Going To $5 A Gallon, Consumer Spending Is Dead, And House Prices Will Fall Another 20%

Oil at $125 a Barrel, Gasoline at $5
John Hofmeister is the former president of Shell Oil and now CEO of the public-policy group Citizens for Affordable Energy. He paints a very stark (even bleak, as he gets further into the speech) picture of the future of energy production in the US unless we change our current policies. First, because of the aftereffects of the moratorium. It is his belief that the drilling moratorium will effectively still be in place until at least the middle of 2012. There won't even be new rules until the end of 2011, and then the lawsuits start.

Gulf oil production will be down by up to 1 million barrels a day. Imported oil is now 67% of oil usage but will go to 75% by 2012. He thinks crude oil will be up to $125 and gasoline between $4-$5 at the pump. And it will only get worse.
He describes the problem with the electricity from coal production. The average coal plant is 38 years old, with a planned-for life of 50 years. Our energy production capability is rapidly aging, and we are not updating it fast enough.
He argues that the fight between the right and the left has given us 37 years without a realistic energy policy, as policy gets driven by two-year political cycles but good energy planning takes decades. There are 13 government agencies that regulate the energy industry, with conflicting mandates that change very two years. There are 22 congressional committees that have some level of involvement and oversight of the energy industry.
Read more:  Here..

14 comments:

  1. fuckers are asset spoilers. Spill oil then fuck the people over with finansial burdens. you must stand up people, forget italy it is here now. If the senaters would print money harder we could stay away from that rpboelm but til then we are faced with bad stuff.

    - Sam

    ReplyDelete
  2. spill oil on themselfs and jack off with it and we sukers pays for its all. please print money so much, it will be worth so much more if htere is more, great that will solve all problems

    bad stuff coming now

    retarded sam

    ReplyDelete
  3. Thank you Sam for your thoughtful, reasoned analysis. You really should run for office.

    ReplyDelete
  4. this blog fell off the cliff

    ReplyDelete
  5. Watch 43:00-46:00
    http://www.youtube.com/watch?v=wGoEBnLRpss
    CARTER!Take those damn solar panels off the WHITE HOUSE roof.
    I just solved my money problem.Used the 10x multiplier & turned one dollar into $10.00.
    Must be magic!!
    I'm opening a BANK. LIFE'S GOOD!!!!

    4:54 I rode off the cliff at speed years ago LMAO.

    ReplyDelete
  6. I look forward to $5 per gallon gas, but $8 would be better. It would thin traffic on the roads and the extra cost would be nothing more than a blip for me. The added cost for groceries would also not affect me.

    And the cost for houses would also fall--surburbia would be affected by longer commutes (higher cost for that "luxury") and since there would be less overall disposable income after paying for more consumables, the prices must fall further.

    Bring on the austerity!! (for others, that is)

    ReplyDelete
  7. He is wrong. Oil has a better chance of going to 1 dollar then 5. If it goes to 5 I will just short it again and clean up.

    ReplyDelete
  8. Fine! if it gets the CBO to re figure the COLA and show something above 0 inflation, and maybe get uncle ben off his ass and raise the damned rates. so the friggin banks get off their ass and raise their rates on savings.

    ReplyDelete
  9. Bring on the NUCLEAR POWER, GENTLEMEN!!!!!
    With NUCLEAR POWER, we greatly reduce our need for oil.

    ReplyDelete
  10. Can't run Cars or jet aircraft on Nukes Bro :-(

    ReplyDelete
  11. 10 comments:
    Anonymous said...
    fuckers are asset spoilers. Spill oil then fuck the people over with finansial burdens. you must stand up people, forget italy it is here now. If the senaters would print money harder we could stay away from that rpboelm but til then we are faced with bad stuff.

    - Sam

    October 2, 2010 9:52 PM
    Anonymous said...
    spill oil on themselfs and jack off with it and we sukers pays for its all. please print money so much, it will be worth so much more if htere is more, great that will solve all problems

    bad stuff coming now

    retarded sam

    October 2, 2010 11:11 PM
    Anonymous said...
    Thank you Sam for your thoughtful, reasoned analysis. You really should run for office.

    October 3, 2010 1:43 AM
    Money printing Sam ,is colearly qualified and
    probably would run for office in either major party but cant afford to compete as the presnt officeholders have already got the game all sown up with cororate money power.

    The real job That Money printing Sam could do is not elected office, but Chairman of the Fed .

    The job is not vacant as it is held by Helicopter Ben who has much the same Ideas as Sam anyway .
    He prints money to bailout the american ponzi and to sell tho the coupon clipping bondholders of the public debt.

    Sam , is not qualified for that job anyway that is not an elected office that the rapple "we the people people" decide .

    America is a democratic "free enterprise" country the position that helicopter Ben holds is determined democraticaly in the capitalist way as it is in all capitalist corprations .
    The Shareholders of the Fed bank branches
    get an equal vote in proportion to the capital they have contributed.
    They own the Fed.
    That is the American way.
    Not mob democracy.
    Money talks and is in control and idealist bullshit walks Sam !

    ReplyDelete
  12. when ever did interest on savings or a COLA raise out pace inflation.

    ReplyDelete
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    ReplyDelete
  14. I'm not positive the place you are getting your info, however good topic. I must spend some time finding out much more or working out more. Thank you for excellent info I was searching for this information for my mission.

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    ReplyDelete

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