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AUSTRALIAN DIARY



ARCHIVES 1997-2007  --- ARCHIVES 2007 +
 
 
NOVEMBER 2012
 

SHALE ENERGY

The US is due for a strong recovery, mostly brought about by cheap (fracked) shale gas, and increasingly, shale oil.  Of course it will take quite a while for the rest of the world to wake up to that fact, and the news will mostly be muzzled by Green journalists & the Green movement which has succeeded in Europe and Australia in forcing high cost green energy on an uninformed public.

In the last few years the price of gas (natural gas) has fallen in the US by 70% to $3 per million BTU (one million BTU ~ one gigajoule).  On the rest of the pacific rim prices are $15/million BTU.

Gas can be used to produce electricity and even power automobiles.  Assuming 36% thermal efficiency, gas to generate electricity would cost about $30/Gigawatt hour (or 0.3 cents/Kilowatt hour) .  Or as a car fuel it would cost around one dollar to provide the same energy content as a gallon of petroleum fuel (Gas).

Of course in the US all the technology to supply and use fracked gas will take a while to disseminate.  Cars have to be converted (at about $1,000 each).  Gas turbine electric power stations must be built.  Distribution networks (gas pipelines, LPG bowsers) must be developed.  And all the Greenies over whose dead bodies these changes must occur must be, well, removed from their obstructive locations.

In the meantime, politics being what it is, do not expect any sudden retreat by European powers or Australia on implementation of the green revolution.  (The  Chinese and Indians might be a bit quicker on the uptake, although since the Europeans are buying their stuff, that fact might not be well publicised).  Too many Australian and European fortunes and political incomes depend on government regulations and the selling of the alarmist message and wind/solar power generators to the population.

And the logical connection between cheap power and the improving standard of living that will be enjoyed in the USA is not something that your average working Joe in Oz or Europe would make.  And excepting for a few warmist cynics, those who can make that connection can afford the higher cost of that power without a significant degradation of their lifestyle.  Or else they are part of the alarmist infrastructure.

The fact that many more European people will die of cold or other energy related causes than by global warming is not really relevant.  And anyhow, the world is overpopulated, right?

CRIMINALS IN GOVERNMENT

My own interpretation of recent revelations is that the Australian Labour Party is a criminal enterprise that previously owned the state governments (and therefore the police force) and was happily ripping off all and sundry.   Then (because of Work Choices) the ALP had to spend a shitload of money to take over the Federal government.  Such is the see-saw of Australian politics that they consequently lost power in most of the states.   Unfortunately for the ALP that means the criminal police are no longer under the control of a friendly (ALP) minister, and so those police can (and do seem to be) investigating criminal activity by politicians.  Consider:
  1. Eddy Obeid (Labour MP & powerbroker in NSW) is reported as stealing $100 million by purchasing land and manipulating mining permits.
  2. Julia Gillard, while partner in a top soliciting firm, knowingly and surreptitiously opened a fund for her partner that pretended to be a union fund, but was actually a slush fund.  Her partner then used that fund to steal about $1,000,000 from his union mates.
There are other minor matters.  Like Julia not getting her way on the UN Palestine vote.

A bit of corruption (a few $million here and there for travel or into a private bank account) is what we expect of our politicians. It is what we have learned to live with.

The key issue is transparency.  At least, with the Liberals, we the voters knew who was ultimately responsible.  We knew where (i.e. in whose wallet) the buck stopped.


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