Future Energy eNewsJuly 5, 2002
For those who missed my first CNN appearance and called for a transcript, here it is. IRI hopes it serves as a wake-up call for the world's complacent majority. This news segment, about halfway through the show, had the title, "Alternative Energy" which ran across the top of the screen. The full hour transcript is available from:http://www.cnn.com/TRANSCRIPTS/0206/25/mlld.00.html
We also emailed correspondent Casey Wian the attached PowerPoint slides which anyone may study carefully and reprint as you wish. They include Hubbert's peak and OPEC's history of production. The disturbing question is how can DOE's "Ref. Case" projection be justified, hoping against hope that OPEC will double their output in 20 years, while OPEC oil is running out? (http://www.eia.doe.gov/oiaf/aeo/index.html) Dr. Gately, from NYU, presented at last year's DOE/EIA Annual Energy Outlook 2001, and proved that neither OPEC's prices nor profits could increase with any increased oil production (see "OPEC Revenue"). His entire shocking set of illustrations are on the DOE website, besides the recent DOE AEO 2002 contradictory and unfounded projections.
CNN "Moneyline" with Lou Dobbs, June 25, 2002 -- Alternative Energy
DOBBS: The United States is more independent on oil imports than ever. Nearly 2/3 of our oil now originates overseas. And that has prompted the government to begin to offer incentives to companies to develop unconventional energy sources. Casey Wian reports from Los Angeles.
CASEY WIAN, CNN FINANCIAL CORRESPONDENT (voice-over): Capstone Turbine makes power generators that run on a wide range of fuels. During California's energy crisis, Capstone's business was booming and its stock soared above $90 a share. But now that interest in generators has waned, Capstone stock has fallen below $2.
AKE ALMGREN, PRES. & CEO, CAPSTONE TURBINE: We think we're well- positioned for the market when it will take off on a more significant basis. But I think in the short-term there's a big concern about exactly when it's going to happen. WIAN: Capstone is just one example of how alternatives to petroleum based energy have struggled to gain acceptance. Despite the emergence of solar, geothermal and wind-generated electricity and battery and fuel cell powered cars, cheaper oil and natural gas still supply about 2/3 of the nation's energy.
The United States now relies on imports for nearly 60 percent of its oil. During much of the 1980s it was about 1/3. That's risky because of the prospect of a politically motivated supply disruption and because scientists now believe global oil supplies will peak, then begin declining by the end of the decade.
TOM VALONE, PRES., INTEGRITY RESEARCH INST.: We're pretending that business as usual will supply all our needs. But there's an impending oil crisis that we're basically seeing, will actually bite us sooner than we're expecting it. And it's better to prepare for it now.
WIAN: There are signs of preparation. In Michigan, home of the auto industry, state lawmakers are considering tax breaks for alternative energy companies. The U.S, Senate wants to require 10 percent of electricity to be generated from renewable sources by 2020. And a growing number of big companies have committed to address global climate change. Steps include reductions in fossil fuel use.
(on camera): But in California, a law requiring 10 percent of all new cars sold here be non-polluting by next year has been derailed by legal challenges and lack of consumer demand.
Casey Wian, CNN Financial News, Los Angeles.
DOBBS: Coming up next, what began as a rally ended as a sharp sell-off on Wall Street. We'll tell you about another disappointing performance for investors.
And NASA has grounded all four space shuttles indefinitely. We'll tell you why, next. Stay with us.
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