The modern economy relies heavily on relatively cheap oil. When its (at the moment still taken for granted) relatively low price changes, many other components of modern life will also change. Oil is being used for both energy and raw materials. When the economy based upon it starts reaching the limits of growth, people will be forced to define priorities. These priorities should be focused in three directions: existing technologies, possible new technologies and product lifecycle management.

Out of existing technologies, some of them are not being used as much as they should and some are still inventions waiting to become (sold and implemented) innovations. Also, a more sustainable approach (renewable energy, organic agriculture, local exchange of goods and global exchange of ideas) can consume a lot of money, time and human enthusiasm in comparison to a more careless attitude. It is not always wise to care about the future in a highly competitive global environment.

This is the moment in history with the fastest development in science and technology. Based upon previous experience, there is a good reason to believe that science and technology can solve many problems. Still, we cannot know for sure whether this will always be the case. In order to deal with peak oil, science and technology should focus on replacements for oil in agriculture (soil fertility), raw materials and energy. It can be challenging to develop these new technologies especially because it's uncertain what can really be done with the existing knowledge and resources on this planet. Also, peak oil is a very abstract phenomenon before it happens. It is complicated to fight an imaginary problem with imaginary solutions.

The same term of product lifecycle management can be used in marketing and production. Marketing is more focused on economic growth and problems and production is focused on solutions. These are two different approaches sharing the same world. Marketing encourages competition (isolated silos - recycle and interact with the rest of the world only if you must) and innovations for maximization of profit (more profit allows more new investments and chances for development). It feeds on consumerism and a constant lack of satisfaction with previous generations of the product (only new technologies are competitive and good for "cheating" while calculating the GDP growth). Profit can indeed be used for investments in development of new technologies (and implementation of those that already exist), but under the paradigm of constant competition and growth there is never enough profit. Also, the growth has its limits on a limited world.

When peak oil appears and hits the root of global economy and society, it will never go away. It will be just becoming increasingly tough. The whole story about peak oil can be applied to any natural resource. Actually, the challenge of limited natural resources (raw materials, infrastructure, urban vs. rural) will happen within a single lifetime of our generation. So, to existing technologies, new technologies and product lifecycle management, one must add the human component. Competition, monetary equivalents of value, specialization and growth (population and economy) are good as long as they serve human needs. The system should support people and not the other way round. An alternative approach to getting things done is possible unless proven opposite.

Even when the solution is at least partially visible, it can be challenging to implement it. The unsustainable approach to business as accumulating profit (power, influence, connections...) and the gap between rich and poor people is still growing. Even if corporations wanted to change their direction, their competition and stakeholders wouldn't easily allow them to do so. This is exactly the situation (stretching careless behaviour and debts to the limit) that has caused the financial crisis. Perhaps the crawling financial crisis will slow down the pace of global competition and become a chance for new approaches.

peak oil, resources

Last updated 448 days ago by Aleksandar Malečić