190 comments on Richard Heinberg: Coal in the United States
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190 comments on Richard Heinberg: Coal in the United States
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It seems clear that the amount of coal produced (regardless of environmental impacts) will be the maximum the economy can sustain at a given price point. We cannot ignore the current peak in oil and impending peak in natural supplies in this equation. Considering oil alone, the price run-up cannot exceed a value that the percentage of the national GDP spent buying the oil exceeds 100% - obviously. Long before that point demand destruction will set in, with widespread economic contraction and reduction in total GDP, but the price of oil will also drop until the two are in balance again, probably at about 15-25% of GDP.
Of course, there will be some mitigation in that the economy will adapt to other sources of energy (or invests in energy conservation), but that process is probably (certainly !) going to be too slow to prevent 'overshoot' in the economy. In the case of overshoot, the economy will contract, and demand for coal will go down. So production will go down. Again, after (if...) the supply and demand for oil balance again, the economy will begin to recover, and the demand for coal with it. Just in time for the natural gas demand overshoot....
And so to the final phase, we reach an economy with coal the primary fossil energy source (once again). This time, we will discover the true cost (as percentage of GDP) that the economy will sustain, to extract energy to drive the economy. I suspect it will again be at or below 30% of (a much reduced) GDP. Total production will be lower than today. The more expensive seams will never be produced because they will never be economic.
On top of this we need to consider that the US is not an island. You import 60% of your oil, so the cost of those imports is seriously denting your economy already. A significant percentage of your natural gas is also imported, so again that damages your economic potential. Your coal is indigenous, and being the largest reserves in the world, you will become a next exporter of energy in the distant coal powered future. If the world economy hasn't fared worse than your own, so that they can afford it...
I have ignored nuclear and renewables in this, because the post is long enough already, and they will take too long to build up to prevent the overall dynamic.
Coal powered future is unlikely to happen. Can you spell "infrastructure bottlenecks"?
Railroads in US are already stretched thin, and about 40% of the cargo transported is... coal. Theoretically we can start upgrading the infrastructure, but historically there is a 10-15 year lag in doing that, so we are already maybe 20 years late, and counting. I expect any upgrades and expansions to hardly keep up with the declining quality of coal, let alone replace oil and natural gas.
Clearly a rapid demand pressure on the coal supplies could not be satisfied. Our only chance would be a quick ramp up of nuclear and renewables, so that coal supplies are relived, with a portion left for CTL to fuel transportation, where it can't go electric (jet fuels, heavy machinery, etc.). Personally I favor this path and I think this is exactly what will happen in the next decades.
At some point, won't it be more efficient to electrify/liquify the coal at the site of extraction and move the electricity/liquids than to transport the coal?
Unfortunately, this still requires infrastructure. Our electric grid needs serious upgrading. We will need to open new mines and expand other ones. This will require additional coal mining equipment and workers trained to do the necessary work. CTL plants seem to be quite big and complex. Adding enough of these to increase our gasoline production by even 5% would be a huge undertaking.
(In mischief) Can you spell pipeline? The reason that coal is not shipped by pipeline is more political than technical.
I think it will depend on how fast the oil supply declines as to whether we see much investment in CTL or not, again much of it is political (help the junior Senator from where?), if the crash comes earlier it is a technology that is available, and which works and has been tested at all scales. If the crisis is more drawn out then it is possible that another replacement might provide a significant alternative (but what?)
At the moment I suspect that electric cars will be one of the answers, but that requires power, and that requires power stations, and coal is still the most likely candidate. If solar costs more than 5 times coal costs, and is only realistically available in the Southern states we don't have, as you note, the infrastructure in place to shift it around, nor the economic incentive to put it in place.
"The reason that coal is not shipped by pipeline is more political than technical"
Can you expand on this? My guess is that such shipments will require enormous amounts of water. And at 1bln.tonnes annually even dry coal has similar volume than all oil ever piped in this country. Not sure it would be economical to build another pipeline system just for that.
Of course a large scale coal expansion may change this, but I'm not familiar with the technical details to have an opinion.
Coal has been piped in the past, and there was some work on creating "coal logs" that were made of coal particles and a binder that would sensibly fill most of the volume of the pipe, thereby reducing water needs. The only operating unit at the moment that I am aware of is at Black Mesa. There has been some talk about using air as a conveying fluid, but I am not sure how well that would work at longer distances.
I just did a quick Google, and found this :
(Obviously it is quite old, and was not implemented).
There are varying reports on how much water a pipeline would use - and sometimes it is difficult to separate out the facts, since the railways, for some obscure reason, seem to be dead set against them. There is more information on the coal log idea at this site.
Thanks, much appreciated. Makes you wonder why such low-tech transportation technology has not been implemented on the large scale already.
Anyway building pipelines would also take time and face similar constraints as with railroads. I stick to my initial claim that infrastructure coupled with depletion of the best sites will prevent coal from replacing oil and NG. In energy terms this would require more than tripling of coal production in US, and if we account for loss of efficiency if CTL is to replace the oil, this would require further almost doubling of it. Not even remotely possible IMO, not even in 50 years.
This report says it is at least 61% more expensive to transport coal over rail vs. generating electricity at the mine and sending it over HVDC transmission lines:
Economics of Mine Mouth Generation with HVDC transmission relative to Coal Transport
so they'll always be stretched thin? is that what you're saying?
This is almost exactly what I am saying. There are long lead times to build new infrastructure and it gets complicated when you combine that with resource depletion. For example you wouldn't like to build a new railroad to a coal mine, if this coal mine will have it's coal depleted in say 10 year, it just wouldn't make sense. There are number of other complications, some of them linked with peak oil and NG - for example price of diesel fuel goes up.
The bottom line is: if we hope for coal to take the role of replacing NG and oil, I expect coal mining and transport to suffer chronical bottlenecks and associated sky-high prices for many decades. It will simply come short. In the meantime depletion of the best sites will takeover any intermediate gains and we will arrive at "peak coal". Pretty much the way we arrived at peak oil.
you don't understand, it doesn't make sense if the profit isn't there. if coal prices go up and your profit if $1 billion, it does make sense to build a $50 million railroad if you're the coal company. if the RR builds it the calculation might be different. you can just dig up the tracks when you're done and recycle them, if you want to do that. you might want to leave the track there if you don't close the mine permenently. you might have scenic trips on the railroad. you might turn the old mine into an ATV area or a garbage dump. you might find you can ship something else on the RR when the mine closes like timber. maybe it'll connect to another RR.
Think you are overestimating the profit coal miners are making - as the article says the whole industry is worth 25bln. And if coal prices double or triple, let's say stay sustainably over $100-$200/ton, then other alternatives like nuclear or solar thermal will be the preferred choice, not coal. Basically coal will follow the fate of oil - oil will also never run out but it will just become too expensive to be practical.
I made a fictional estimation of profits. If it's not economical to build a RR to ship the coal the mine won't open till it is.
it doesn't make sense if the profit isn't there.
Huh. So there has to be a PROFIT for something to make sense?
Plenty of things humans do without a profit motive.
turn the old mine into an ATV area or a garbage dump.
So lets see - we are to believe your position in things. Yet here you suggest that ATVs will exist as 'needing an area' in the future? Where exactly will these ATVs get power - perhaps "we" don't need coal if there is so much cheap energy that ATVs can have a 'area'?
As for using a mine as a dump - yet another poorly thought out "idea".
I'll leave it to the other readers to reflect on your 'ideas' and their value.
Personally I favor this path ...
Why?
You mentioned infrastructure for coal. What about the infrastructure ramp-up needed for nuclear? Besides a ton of other issues.
I think the debate about peak oil is over. (True, the MSM hasn't adequately notified the public yet.) Peak hydrocarbons isn't far behind.
The new debate is whether the alternatives can come even remotely close to maintaining our current way of life OR whether we face a drastic and global retrenchment.
There was a little hint of that in the 5/27 WSJ article "Lofty Prices For Fertilizer Put Farmers in Squeeze". Deep in the article:
What I would love to see is one of the TOD crunchers tackle the issue of each of the alternatives to oil (nuclear, solar, bio, tidal, etc) one-by-one and examine the full range of resource, environmental, and infrastructure costs. My bet is that at the end of the day, nothing can come anywhere near replacing what we get from hydrocarbons. Therefore there is no choice but drastic retrenchment. And drastic retrenchment means reconnecting with the ultimate resources: soil, water and air (climate), i.e. precisely the resources we are damaging in order to get at the remaining hydrocarbons.
The only good news is that we are SOOO wasteful of energy that even the very first and obvious steps in conservation yield far greater yields than any new techno fixes.
The article, BTW, was excellent.
This is pretty much what I keep saying. We just might manage to be lucky enough to end up with a soft landing rather than a catastrophic crash and die off, but there is no way that the soft landing can be anyplace but at an economic level substantially below the present. Once the non-renewables are gone, we will have no choice but to live within the constraints of available renewables, and those constraints, by my estimates, suggest that a per capita GDP of maybe 25% of present is the most we can possibly hope for.
The future will consist of a long series of painful curtailments, giving up of things we have spent our whole lives enjoying, and surrendering our ambitions and expectations while we learn to adjust and accept ever-lower living standards. The sooner that one understands and accepts this, the easier and less painful it will all be.
If we don't crash and burn in the transition, I find the logic that we would have to accept a permanently low standard of living difficult to follow.
There is plenty of energy out there, it is just that we haven't bothered developing it, as fossil fuels were so cheap.
Given fairly cheap energy, then most things from agriculture to mining to cleaning the environment becomes a lot easier, and higher standards of living are the best guarantee of moving in time to a falling population.
There is plenty of energy out there, it is just that we haven't bothered developing it, as fossil fuels were so cheap.
This is of course true. The sun has plenty, the galaxy more, and the universe oodles. But the issue is: how much is available to us? Oil is the perfect fuel. It's compact and safely portable. NG has some other virtues. But from there it is a downhill slide.
Nature collected and stored and packaged hydrocarbons for us (well, if not for us, then who?) and we took it, and took it, ... . One might say the same for uranium, dense yes, but hardly portable and requiring a huge and advanced infrastructure, plus safety issues and costs before, during and after. Solar also requires an infrastructure, manufacture is not a small deal, and the end product is not ideally packaged for transport (therefore requiring conversion) -- and this is the key to our way of life, the global economy.
The key is that we vastly under-estimate, IMO, the very great virtues of oil and NG, relative to all other possible sources of energy. The other sources exist, but can they provide energy, after conversion, and after all the required resource inputs are costed (including the environmental ones -- which is all we have to fall back on the techno fixes fail) that will sustain anything near our present way of life?
I'm not capable of doing the required research. But just on the surface of it, it looks very problematic too me. The surface being exquisite quality of the oil resource for the modern economy. It's as if nature led us down the garden path -- here it is, take it, enjoy it -- ha, ha, you've used half of it up - now your on your own! Good luck.
But we do have brains. Science is just the collective human brain. Now we've got to use the collective brain to see where we are and what can be done.
The virtues of alternative sources like solar and nuclear are pretty pronounced too.
For a start, running a car on electric takes a fraction of the power that an ICE car does.
Once you've developed suitable batteries, which is no mean trick, but we ar nearly there, then the rest of the car is relatively simple compared to an ICE car.
Solar cells are much the same story, darn difficult to learn to build but providing scads of power, often right where it is needed once the art has been mastered.
Nuclear energy has been diverted from the obvious ways of producing it for civilian purposes, as it started as the creature of the. arms industry.
Molten salt fluoride reactors were completely useless for producing weapons grade materials and so did not get much of a look in, and early sixties prototypes were stopped.
Bad as they are at producing weapons material, they produce something like 50 times the energy for a given amount of fuel as current reactors, and waste is even less and decays far more quickly.
With only slightly more advanced reactors than today you then have a highly concentrated source of energy, and fuel for amny millions of years at minimum.
Ably assisted by wind power, geothermal and biogas then the idea that there is any reason not to have enough energy makes no sense.
For the liquid fuels that are still needed, if you have energy you can produce them, and technologies for that are rapidly being brought to practicality.
Conservation technologies like passivhaus, solar residential thermal, and air heat pumps can also provide a high degree of comfort using very little energy.
Right. We have very ample energy supplies to maintain and grow our advanced civilization into the foreseeable future. With the possible exception of battery technology, we also have all the technology pieces to transition to an electricity based transportation system and there is good reason to believe that those development will come.
The question is, do we have the time and the will to make the transition? I think the time issue is largely a matter of how long we will be in this current denial phase and how long we will spend on unproductive alternatives like ethanol and over intellectual reliance on wind and solar. Maybe the free market can take care of it or maybe it will require world war levels of deliberate societal mobilization. I hope I live long enough to see how it all plays out.
That's why I did not put in my penny's worth on what I planned to do in the event of $100/gallon oil.
No medicines + not much heat = no Dave in fairly short order, so extensive planning seems redundant! ;-)
I agree that the problem with renewables is that they are regarded as a magic wand, so we end up not only trying to reduce carbon emissions, simultaneously with coping with fossil fuels going into massive short supply, but many want us to do it with one foot in a bucket by not using the technology which we know how to do on a large scale for baseload generation by ruling out nuclear energy!
None of the fairly fanciful dangers remotely compare with the mass die-off of billions which would result from the failure of out technological civilisation.
Since in Britain we seem likely to once more lead the world, this time by freezing to death, I do not feel a great depth of gratitude to those who have been instrumental in saving us from the horrors of nuclear power.
Around 30GW out of a total of 75GW of generating capacity is due to go off line in the next 10-15 years, and they are relying on importing natural gas that doesn't exist to replace it plus heat our houses, and off-shore wind which won't be remotely affordable to make up the balance.
Meanwhile after 10 years of decrying nuclear power they have finally confronted reality that it is the only practical way of generating base-load for Britain, but too late to build it in a timely fashion.
Dave,
Matt Simmons, who I greatly admire, is fighting the last war in trying to get $100 trillion into new oil and gas development in the next ten years but then he is an oil man. I think those of us that are working on grand strategy, trying to rebuild the entire system, need to just forget about oil and gas. I think we do need to try to stop coal.
I think we need to articulate this vision of the solution better than it has been so far. I have been trying to push this idea of 60% nuclear, 20% renewables and 20% legacy (fossil fuels) of total energy by 2050. That's about 5,000 reactors. I wish I had the time to write an article. Maybe you, LevinK, AdvancedNano, Dezakin and I (who else?) could collaborate on it?
I actually think Brown has been making some good progress in turning GB around on nuclear after Blair ducked it for so long. The romantic greens who are fine with a big die-off can be very intimidating until you take them on.
Sterling
I'd go along with your percentages for the UK.
For places like the US which have better solar resources a higher percentage of it is practicable, and their wind resources are also very good.
The practical contribution of solar PV when tied to the grid in the UK is currently zero, as you just need to generate power in the winter when it is essentially unavailable.
Perhaps 100 modern nuclear reactors would run the UK just fine, with perhaps some ancillary contributions from other sources.
The biggest drive of all though needs to be on conservation, with not only good standards for new builds but retofitting of properties to drastically reduce space heating requirements. For residual needs air heat pumps would multiply the efficiency of electric heating by around 2.5 on existing buildings and 4 on new, and residential solar thermal could reduce hot water power needs by 50%.
Greenroof technology would not only help reduce heat loss but reduce heat island effects.
Here is a link to my blog on these subjects which however I have not recently updated, so some of the information is out of date or erroneous, notably I greatly underestimated the cost of off-shore wind, so the position on that is even worse than I indicate there, but OTOH new studies indicates that at least it correlates well with winter demand in the UK
http://energy-futures.blogspot.com/
EnergyFutures
I would add another name to your list, Euan Mearns, and suggest that it might be a good idea to contact him.
Here is my mail:
brittanicone2007 at yahoo dot co dot uk
can we have your calculations? how can you possibly predict not only how we'll use our energy but how we'll get it in say 25 years?
what if in five years sticking(literally) to your roof a bunch of solar panels will cost $1,000?
Well, of course it is ultimately true that none of us really knows the future, and just about everything that is posted here merely represents each person's best (and sometimes educated) guess. To that extent, I don't believe I'm out of line in contributing my own thoughts.
One thing I can predict with absolute certainty, though: eventually, the non-renewable resources WILL be depleted, and once we are at that point we will have no choice but to rely exclusively on renewable resources. Argue that point if you want, but I suspect you will be shouted down pretty quickly by heavier hitters than myself.
I start from that basic premise and work backwards. As to why I think that the US per capita GDP would have to be 75% lower in a sustainable, steady-state economy (which is the only type you can have with renewable-only resources), see the article by Francois Cellier posted last year: Ecological Footprint, Energy Consumption, and the Looming Collapse, particluarly my exchange with Dr. Cellier. Sustainability implies an ecological footprint of 1.8 ha/4.4ac per capita. All of the countries with relatively high human development index scores that manage to come anywhere close to this have per capita GDPs that are around 25% of the USA. This is not a hard figure, of course, and I suppose that one could spin out any number of scenarios that could result in both higher or lower figures. However, it seems to me as good as anything for thinking in terms of a likely end point in the transition from an economy based on non-renewables to one based solely on renewables.
It is important for people to understand that to my way of thinking, the above represents a best case scenario. I fully accept that things could end up much worse. The thing that separates me from doomers is that I believe that at least this best case scenario is still possible, that a catastrophic collapse and die off are not an absolute certainty.
An economy with a per capita GDP of around 25% of present suggests that we've only got one way to go: down. The big question of course, is how long we've got, and how steep the descent has to be. I'm hopeful that we'll have the better part of the century to make the transition; my fear is that it is all going to happen faster than that. My best guess is that we are at least going to be well on our way on the long-term descent path within the next decade or so, and will be remaining on it for the remainder of the lifetimes of just about everyone reading this, and probably long after that. No calculations, although Heinberg's calculations in this article suggest that the coal should hold out for most of this century, even allowing for massive switching from other FFs; thus, a slower descent on a shallower slope does seem to be the more likely outcome.
Yes, a breakthrough that makes a rooftop full of PV panels possible for $1,000 would certainly be helpful. But I doubt that it would very much change the fundamental assumptions driving my model (if one can call it that).
Keep in mind that GDP is throughput of not just the goods but all the bads and is not wealth. A significant reduction in GDP might not be as bad as it seems as first blush if one considers the uncounted flows of efficiency and conservation. I bought my first hybrid in 2002 and have already saved thousands of dollars over what would have been my gas expenditures if I had kept my previous vehicle. But those thousands of dollars will not be counted as part of my income or in the GDP.
In any event, perhaps we need another thought experiment post where people say what they would do if their income were reduced by 75%. If they have some time, perhaps they can avoid the worst consequences of such a downturn. Those who are already on the edge,however, are probably screwed regardless of what they do.
I heard a guy on the radio yesterday say we couldn't conserve because to do so would cut growth. That is the mentality we have to deal with.
That is the thing: We don't really get all that much improvement in our quality of life in exchange for our huge ecological footprint. Many would argue that in some ways we actually get a worse quality of life compared to some places (mainly in Europe) that are much more efficient in their resource use.
A good example of a country that is very close to being where we could hope to end up is Costa Rica. On a PPP basis, they are right at about 25% of US per capita GDP, and they are very close to that 1.8 ha per capita. Life must not be too bad there, because lots of Americans relocate there. I'm not saying that we should or would end up being exactly like CR - we are very different countries with very different circumstances. My point is just that life would not necessarilly have to be that terrible. For that matter, on an inflation-adjusted basis we were at 25% of 2008 per capita GDP in 1941. Life is possible at that economic level.
The constraints of renewable aren't so bad. The US DOE estimates that concentrating solar power would fall to about $0.05/kWh if produced in volume, and far more desert land exists for this than would be needed. It's also got the benefit of thermal storage, giving CSP its own local storage.
I think that might be your problem right there: you're mentally jumping from "today" to "all the fossils are gone", without taking into consideration what might be done in the intervening decades.
Solar and (especially) wind have hit the big time, and are being built at rapid rates (more wind capacity was installed than any other generating capacity in Europe last year, and wind was second-highest in the US). Any imminent decline in fossil fuel availability is just going to speed that up, as replacing that energy will be a big priority. Same with EVs, since they're so efficient - 1kWh of wind in an EV's battery replaces 6kWh of gasoline.
easy, people have money and want to invest it to make a profit. if they can make a profit they buy the infrastructure with their money. it's that easy.
look what happened the last time oil production dropped? energy production still grew.
http://peakoildebunked.blogspot.com/2008/01/328-peak-liquids-peak-energy...
"What about the infrastructure ramp-up needed for nuclear?"
Actually from all alternatives nuclear has the least infrastructural issues. They can build them and are building them near big demand centers, so adding additional power lines is pretty trivial. The same can not be said about coal mines, places with good wind or solar resources - all or most of which are remote and require costly infrastructure to bring the fuel or the power produced to the places it is consumed. In contrast a year long fuel for a nuclear power plant fits one truckload so this is not an issue at all.
"The only good news is that we are SOOO wasteful of energy that even the very first and obvious steps in conservation yield far greater yields than any new techno fixes."
I agree
Economists aren't agricultural scientists, unlike these guys:
"A switch to organic farming would not reduce the world's food supply and could also increase food security in developing countries, say the authors of a new study.
They claim their findings lay to rest the debate over whether organic farming could sustainably feed the world. Organic farming avoids or heavily restricts the use of synthetic pesticides and fertilisers, as well as livestock feed additives."
How about the US DOE does it instead? They have a fairly thorough analysis of wind power.
Wind is expected to provide about 8% of the world's electricity[1] in ten years, with a yearly build rate that would allow it to hit 20% by 2025. That's not even considering a crash program to replace energy; that's simply the new business-as-usual.
[1] Generated, not nameplate: 718GW x 30% capacity factor x 8800hrs/yr = 1900TWh, vs. a projeected 23,000TWh. For reference, that's enough electricity to power enough EVs to replace every car in the world: 1B cars x 6000mi/yr x 0.3kWh/mi = 1800TWh
I agree. And since it seem that it is the only viable way to get there that anyone has identified, I think it is almost inevitable, even though there is only a very small minority that now sees this. The debate is almost beside the point now since no one else has come up with a viable alternative.