Chevron's "Will You Join Us" website has a Sim City style game that challenges you to choose low impact energy sources for a city out to 2030:

http://willyoujoinus.com/

There are many opportunities to click on "Learn More" links, one of which for petroleum actually mentions peak-oil, but then promptly drops the ball by focusing on refinery capacity as the major constraint on supply.

You can achieve consistently high scores by making hydro, wind and solar well over 50% of your energy mix which are weighted for low economic and environmental impacts. I won't speculate on how realistic that is, but some of the more "laugh out loud" assumptions in the game include hydrogen, oil shale and biomass as viable industrial strength energy sources.

Your score can be affected by what appear to be random future events (You get a different set of events each time you play) that are revealed after you've finished choosing your energy mix. These range from grim scenarios of war and drought to rosy scenarios of reforestation and renewable energy, but the impact of any given event on the economy or security of your city generally seems to be minimal. Again, I won't speculate on how realistic that is.

Taken all together it seems to be about what you would expect from an energy corporation that has a vested interest in business-as-usual, the now standard greenwash of "build a few solar panels and windmills and everything will be fine". I can only wonder how quaint that may look 20 years from now.

Cheers,
Jerry

Without doubt, the major US oil companies and their lobbying group, the API, have become engaged in an increasingly intense and sophisticated public relations effort to paint a pretty picture and to show that Big Oil is part of the solution rather than part of the problem. The idea is get ahead of the issue and to define the debate in such a way that issues detrimental to the industry are pushed to the sidelines. It is the classical issue-marketing that one sees ad nauseum in political campaigns.

Their overall message seems to be:

1) While we may experience some minor supply problems now and then, we have things under control, and we can continue along on our present course.

2) Oil and gas is where it's at, and where it will be at for the foreseeable future. It's basically the only game in town.

3) Renewables, such as solar, wind, etc. are mainly feel-good measures and useful in their own right, but will never be all that important.

4) 'Energy security' is one of the critical 'challenges' facing the US in the years to come (the term energy security being a code-word for the crude but
a lot more honest, 'kick their ass and take their gas').

I think one has to be pretty dense not to see through this sort of self-serving corporate propaganda.

Permit me to ask a perhaps naive rhetorical question: while Big Oil is supposedly in favor of energy conservation and alternative energy, does it REALLY want you to use less of its products? I mean does it REALLY want next quarter's earnings to be less because people conserved more energy?

An oil company wants to sell oil. It does not NOT want to sell oil.

Big oil made oil available. It was the big auto makers advertising their oversize gas guzzling vehicles on TV that got the US some of the worse fuel economy miles/gallon ratings in the world. It was trial lawyers forcing manufacture of heavier vehicles by claiming they were unsafe. It is unsafe to get hit by a heavier vehicle and this makes drivers of large vehicles susceptible to lawsuits for wrongful death and injury. Heavier is less fuel efficient.

While gasoline levels were described as the lowest ever, refinery utilization was low. One oil company executive explained the new low sulphur rules imposed by EPA were making plants more complex and less easy to maintain. Crude inventories were higher than this time last year.

Natural gas is so low one company was shutting in production and canceling drilling runs. Not long ago Matt Simmons was writing that natural gas was about to fall off a steep cliff of decline. Natural gas closed below $5.65. After Katrina it rose to near $15.00. In some tight shale, offshore, and deep basins it is not profitable to drill for natural gas any more.

According to the EIA the residential price of natural gas in the USA has risen steadily by 13x in 40 years. Adjusted for inflation that's a 3.25x price increase.

http://tonto.eia.doe.gov/dnav/ng/hist/n3010us3a.htm

Historically the price of natural gas is not low at all. I'm not sure how to parse the rest of what you said.

Here's an EIA chart of consumer gas prices that shows a clear upward trend:

http://www.eia.doe.gov/oil_gas/natural_gas/info_glance/nggraph.gif

Re: NG now at low price. My understanding is (and others here can flesh it out) that there is relatively little storage space for NG. Thus as long as "production" and consumption are roughly equal, you'll get large price swings as one is a bit more than the other at various times.

One thing that postponed the day of reckoning is the wholesale move in recent years of NG-intensive industries (ammonia fertilizer and some kinds of plastics) from the USA to other parts of the world where NG is still relatively abundant. Another cause has been the relatively mild weather in the last couple of winters. If this winter or the next one happens to be colder than what used to be called normal, expect much higher prices.

With declining extraction of NG in N.America, summers getting hotter, and an on-going well-deserved aversion to additional coal plants, it won't take many more years for the price to start staying higher. Moreover, there is a certain amount of fuel-switching possible between oil and gas, as a few power stations can use either, vehicles can be re-fitted to run on compressed NG, and home and business owners can replace a heating system that runs on one with one that burns the other. Thus, as long as NG is priced a lot less per BTU than oil, such conversion keeps happening, and that means rising NG demand that will eventually equalize the prices of oil vs gas.

Finally, remember that $5 is still a lot higher than it was a few years ago. With drilling for NG becoming less and less productive (4x the wells for the same output) that $5 price is apparently not quite enough for some drillers. That will accelerate the decline, leading to higher prices later...

I, for one, would like to see some more fleshing out. While your comments partially explain some of the recent decline in NG prices, and that's the only point at issue, they don't explain all. I am surprised to see NG come so far back off its high of 15 or 13, whatever it was.

vtpeacenik,
there's quite a bit of natural gas storage in the US. The warm winters in the US over the last two years have meant the pipelines have had plenty of gas left in storage at the end of the last two winters, so the pipelines aren't purchasing more from producers and the producers are shutting in wells and slowing down drilling.

Most of the Barnett Shale was sold to investors with a orojected wellhead price of at least $7.00 per MCF, and those wells have rapid decline in prodution.Prices that are unstable make it difficult to raise money to drill .Bob Ebersole

USA NG consumption is running at a rate that looks like 23.6 TCF for 2007, same as 2003, but mix has changed a lot, with industrial down (fertilizer etc) and electricity generation up, and growing. USA production was down from the 2003 peak in 2004/5/6 but is about back to 2003 level this year. Drilling in ca June 2002 was 1100 wells/mo and in June 2007 was ca 2800 wells/mo, so 2&1/2x the drilling for the same production. Imports from Canada are down slightly this year, while LNG imports are up just about the same amount. Storage capacity now is very close to 3.6 Tcf, excluding line pack, up about 0.04 Tcf from last year. Storage just crossed 3.0 Tcf last week, and there are 8 to 10 weeks left in the injection period, with a mild fall being forecast. Gas available for storage is likely to exceed storage capacity by 100 to 400 Bcf before the end of the injection season, and that is why prices are (temporarily) down. If by late Sept the excess looks like 400 Bcf prices are likely to drop to the point where NG is temporarily substituted for coal for some electricity production, as a way to use the excess. I'm not sure what that price is, but it is probably near or below $4.00/kcf. As noted above a string of mild winters have balanced the situation nicely for NG, keeping prices from going real high. A "normal" winter this year will leave storage at the end of the withdrawal season low enough that it will not be possible to fully replenish storage during 2008. You can then expect NG prices in late Sept/early Oct 2008 >2x the same period in 2007, with the real possibility of a much higher spike. NG prices in early spring and fall are based much more on storage vs capacity than on supply vs demand. Murray

The price where gas is substituted for coal (in terms of loading/deloading) is around £0.25/(european)Therm depending on the relative efficiences of the gas plant and coal plant - what this relates to in $/kcf I'm not sure.

I don't think trial lawyers had anything to do with the decision making in Detroit, or in Torrance. Their decision making was driven by focus groups and what certain Americans wanted, and thought they wanted. Do you have any case cites on the wrongful death lawsuits? The verdicts woudl really have to be large to offset the profits made on each Escalade.

Amen. During the past few decades, the Detroit mantra has been "The more metal, the more margin."

Increase in weight may have been a factor in the early-to-late seventies when the first bumbling steps toward safety were taken, but in the intervening years, structural design innovations and new materials would have made it possible for Detroit to cut weight and maintain safety. You need only notice that we do have light cars on the road that meet safety ratings to see this.

However, Detroit found it much more profitable to sell massive amounts of metal to drag along under Bob Suburbia's ass, so they got to promoting that the vehicles were safer and more luxurious, with the unpublicized benefit of giving them more profits.

In reality, larger vehicles are not inherently that much safer than smaller vehicles, except when you increase the aggregate quantity of larger vehicles. Then, oddly enough, the probability that two vehicles with a significant weight differential increases and the safety of the small vehicle decreases, not because of anything inherent in the small vehicle, but because of systemic risk of collision with a vehicle of larger weight increases. So while Detroit has touting safety in the individual vehicle, systemically, it has been lowering safety by increasing the spread of vehicle weights. But it is more profitable, so all is well...

[It was trial lawyers forcing manufacture of heavier vehicles by claiming they were unsafe. It is unsafe to get hit by a heavier vehicle and this makes drivers of large vehicles susceptible to lawsuits for wrongful death and injury.]

While it is always fun to bash lawyers (until you need one, then suddenly they are your best friends), this statement seems pretty inaccurate. If anything, by your argument, trial lawyers would have made heavier vehicles less common by suing drivers who drove them. And I am unaware of any development in tort law that makes driving a heavier vehicle a basis for a personal injury suit. However, you are correct that if a driver is negligent and causes injury(a basis for a tort action), the damages may be greater becaue more injury was caused by the larger vehicle. But your statement as phrased is pretty misleading.

As a graduate student at Purdue U from 1959 to 1963 I did some work for API on opinion polling.

My job was to feed mark sense cards into computers to compute poll results.

Now there is really important stuff about the future of energy in the world.

So try to something postive. Not just words which go into the bit bucket.

best
http://www.prosefights.org/pnmelectric/pnmelectric.htm

http://www.prosefights.org/pnmgas/pnmgas.htm

I tried playing the game, only selecting renewables to power my city. It only let me select one unit of solar, and eventually I got a message telling me that I HAD to add oil to the mix. LOL!

Re: Chevron's "Will You Join Us" website and Sim City style game that challenges you to choose low impact energy sources for a city out to 2030:

The game is actually fun to play. I played it by ear, without knowing what the "optimum" scenario for high points should be, and came out about midpack compared to other players....a bit above mid when compared to only other American players (those dang Euro thinkers are apparently pretty sharp at this sort of thing! :-)

I completely refused to use any coal based on Kyoto and greenhouse gas assumptions, and instead highsided natural gas and wind, and put in one nuclear plant. The all around scenario seemed realistic to me....I also used no hydro or biomass, so I handicapped myself a bit, but since hydro is not available everywhere, and I think that biomass in most cases is a net energy sink....I installed solar as a more realistic option...then in the second round based on my assumptions upped the solar and the natural gas. Since there was no methane recapture option (which I see as an error of omision) and no provision specifically stated for plug hybrid autos (which I think will soon have a revolutionary impact) that was my best way forward.

I do not see shale oil as viable in anything like the next 20 to 30 years (even tar sand and hydrogen from renewables to my thinking has a far greater future) I left it clear out, and still came up with city that was viewed by the game as energy sufficient!

The game makes one think of how interesting it would be to do a dedicated complex type of online scenario simulation.....with much more complex parameters, including among other things, methane recapture, electric and plug hybrid cars given certain price and watt/hour storage parameters of batteries, solar with complex scenario building such as silicon vs. thin film vs. concentrating mirror and thermal hot water systems, at various price break points....various types of nuclear technologies, bermed housing, light rail, given various petroleum price points and ridership, on and on....it could be a very involved but useful game!

O.k., who's up to volunteer to set up the site as an offshoot of TOD and do the programming.....anyone? anyone? :-)

RC

As many of you are aware (including Jerry McManus) we're developing a dynamic systems model of energy flow and the economy for North America, with intentions to expand its scope to global next year. Nearly everyone who sees the proposal for a world energy model comments at some point, "This could be the basis for a really good game and learning tool", with Sim City as the oft-stated example for "look and feel" of such a game.

The user interface would be Sim City-like while behind it is the complete model with its differential equations, energy and ERoEI databases. The switches and levers available to the user for scenario control would be somewhat restricted compared to the academic version.

Next week we will inaugurate a new discussion forum for model development, and we will announce links for TOD readers.

- Dick Lawrence
ASPO-USA

Look forward to seeing this in its global implementation. Hope it's not too late by then.

Because modeling only the US gives, what, only between 5% and 25% of the system's overall effect and response regarding population pressure, climate change, resource and energy depletion.

Will the model include the effects of multiple dispersed disease outbreaks? Water shortages? Loss of heating in winter months? Food riots and famine? Chemical, biological, or nuclear wars? Terrorism? Social unrest, civil wars, revolution?

Will the model account for places like Zimbabwe, Iraq, and soon Iran?

Will the model account for human behavior that doesn't have access to the information that we do, i.e., the behavior of the unwashed masses?

Good for you. A great follow-on project would be something that could be scaled and fine-tuned for local communities. The Chevron simulation is a good start, but it assumes a relatively large city of fixed size, and allows no fine tuning for local conditions. It also has a relatively constrained mix of technology and policy options. Give us something with a good dashboard of controls and we would really have a useful tool.

I'm sorry to hear you've decided to go with the Sim City interface, I thought I made a pretty good case that it wouldn't serve the model well here. I would be much more interested in seeing a "Sim Policy Wonk" game as I believe that would better reflect the actual activities underlying the manipulation of the model and would be a better representation of the actual challenges involved.

Aside from the obvious deficiencies of the energy assumptions in the Chevron game I was really struck by the invisible unspoken assumption that powering cities full of cars is the primary challenge facing us. It is that assumption that must be rethought at the most fundamental level if we are to avoid the worst consequences of our behavior. A Sim City game would obviously fail to achieve that, just as surely the Chevron game has.

But, hey, as I'm well aware no one is listening to me, so best of luck with your efforts.

Cheers,
Jerry

PowerGrid is a eurogame based on deciding which kinds of power plants to buy, in what order, to grow your company faster than the other players. It's been very popular among boardgamers posting on boardgamegeek.com.
Those would have scored high on the energy sim game.