Two Energy Futures from Shell Oil

This week Shell oil published an article by their chief executive Jeroen van der Veer that presents two scenarios of global energy development – Scramble and Blueprints. Shell has long been a leader in scenario planning. Other Shell scenarios and previous Shell scenarios are also available online.

…the distant future looks bright, but much depends on how we get there. There are two possible routes. Let’s call the first scenario Scramble. Like an off-road rally through a mountainous desert, it promises excitement and fierce competition. However, the unintended consequence of “more haste” will often be “less speed,” and many will crash along the way.The alternative scenario can be called Blueprints, which resembles a cautious ride, with some false starts, on a road that is still under construction. Whether we arrive safely at our destination depends on the discipline of the drivers and the ingenuity of all those involved in the construction effort. Technological innovation provides the excitement.

Regardless of which route we choose, the world’s current predicament limits our room to maneuver. We are experiencing a step-change in the growth rate of energy demand due to rising population and economic development. After 2015, easily accessible supplies of oil and gas probably will no longer keep up with demand.

As a result, we will have no choice but to add other sources of energy – renewables, yes, but also more nuclear power and unconventional fossil fuels such as oil sands. Using more energy inevitably means emitting more CO2 at a time when climate change has become a critical global issue.

Continue reading

Paul Saffo: Forecasting must embrace uncertainty

Futurist Paul Saffo recently gave a talk “Embracing Uncertainty – the secret to effective forecasting” at the Long Now foundation. The talk (mp3) and Stewart Brand’s summary are online on the Long Now Foundation website. The talk is similar to his article in Harvard Business Review Six Rules for Effective Forecasting (see also Podcast interview). His six rules are:

  1. Define a Cone of Uncertainty
  2. Look for the S Curve
  3. Embrace the Things That Don’t Fit
  4. Hold Strong Opinions Weakly
  5. Look Back Twice as Far as You Look Forward
  6. Know When Not to Make a Forecast

Saffo writes about forecasting:

The role of the forecaster in the real world is quite different from that of the mythical seer. Prediction is concerned with future certainty; forecasting looks at how hidden currents in the present signal possible changes in direction for companies, societies, or the world at large. Thus, the primary goal of forecasting is to identify the full range of possibilities, not a limited set of illusory certainties. Whether a specific forecast actually turns out to be accurate is only part of the picture—even a broken clock is right twice a day. Above all, the forecaster’s task is to map uncertainty, for in a world where our actions in the present influence the future, uncertainty is opportunity.

Unlike a prediction, a forecast must have a logic to it. That’s what lifts forecasting out of the dark realm of superstition. The forecaster must be able to articulate and defend that logic. Moreover, the consumer of the forecast must understand enough of the forecast process and logic to make an independent assessment of its quality—and to properly account for the opportunities and risks it presents. The wise consumer of a forecast is not a trusting bystander but a participant and, above all, a critic.

Mobile phones and global communication

The spread of mobile phones across the developing world has been extremely rapid in the past few years (e.g. 4X increase between 2001-2005 in Africa).

Teledensity

The BBC reports on the annual Information Economy report from the UN conference on trade and development:

It was now well-established, said the report, that greater use of technology in businesses, schools and at home could raise standards of living and help people prosper.

In many developing nations the mobile phone had become the standard bearer for these changes, it said.

“In Africa, where the increase in terms of the number of mobile phone subscribers and penetration has been greatest, this technology can improve the economic life of the population as a whole,” it said.

In rural communities in Uganda, and the small vendors in South Africa, Senegal and Kenya mobile phones were helping traders get better prices, ensure less went to waste and sell goods faster.

The take up of mobiles was allowing developing nations to “leapfrog” some generations of technology such as fixed line telephones and reap more immediate rewards, said the report.

Greater use of computers in small businesses in countries such as Thailand made staff boost productive, it said. A study of Thai manufacturing firms showed that a 10% increase in computer literate staff produced a 3.5% productivity gain.

The developing world was also catching up in terms of net availability. In 2002, said UNCTAD, net availability was ten times higher in developing nations. In 2006, net availability was only six times higher.

Nitrogen transfer from sea to land via commercial fisheries

Roxanne Maranger an ecologist at the University of Montreal and other have a neat paper in Nature Geoscience Nitrogen transfer from sea to land via commercial fisheries that shows that commercial fishing removed substantial amounts of nitrogen from coastal oceans. They show that while fertilizer run-off into the ocean and fishery removal of nitrogen have increased over the past forty years, the increase in nitrogen inputs has been faster. Consequently the proportion of nitrogen removed from coastal zone has dropped from a global average of about 60% in 1960 to about 20% in 2000. This trend as well as the spatial pattern of nitrogen withdrawal are shown in figure 1 of their paper:

Nature GeoScience

Figure 1. a, Total amount of N in fertilizer run-off (Tg N yr-1=1012 g N yr-1) delivered to the global ocean (left axis, blue line) and N returned as fish biomass (left axis, red line) per year over time. The orange line (right axis) is the proportion of fish N removed relative to fertilizer N exported (ratio fish N:fertilizer N) reported as a percentage. b, The ratio of fish N removed to fertilizer N entering 58 different large marine ecosystems (LMEs) for the year 1995.

The paper shows that fishing can help reduce the impacts of nitrogen pollution. But that nitrogen pollution that destroys fisheries, through the creation of anoxic “dead zones”, can make nitrogen pollution even worse by removing a major source of nitrogen withdrawals. Similarly, overfishing the reduces the amount of fish biomass that can be removed from a system will make the system more vulnerable to eutrophication.

Embrace decay

Oudolf Garden - New York Times

Things grow, and things fall apart. One often neglected aspect of ecological design is embracing decay. The New York Times writes about Dutch garden designer Piet Oudolf who does embrace decay in A Landscape in Winter, Dying Heroically. The article also includes a photo gallery.

“Normally, people who garden would have cut this back by now,” he said. “The skeletons of the plants are for me as important as the flowers.”

For Mr. Oudolf, in fact, the real test of a well-composed garden is not how nicely it blooms but how beautifully it decomposes. “It’s not about life or death,” he said, admiring the dark, twisting lines of the fennel. “It’s about looking good.”

Over three decades, Mr. Oudolf’s sometimes unconventional ideas about what looks good have helped make him a star in Europe — where his work has inspired an “ecology meets design” gardening movement called New Wave Planting by its followers — and have also begun to win him fans and jobs in the United States. He has done the planting design for important new gardens in Millennium Park in Chicago and the Battery in New York, and for the park that will cover the elevated High Line rail bed in Lower Manhattan when it opens in September. These landscapes, like all his projects, embody and advertise his fundamental aesthetic doctrine: that a plant’s structure and form are more important than its color.

“He’s gotten away from the soft pornography of the flower,” said Charles Waldheim, the director of the landscape architecture program at the University of Toronto. “He’s interested in the life cycle, how plant material ages over the course of the year,” and how it relates to the plants around it. Like a good marriage, his compositions must work well together as its members age.

via Pruned

Mapping Coastal Eutrophication

Current industrial agricultural practices produce a tradeoff between agricultural production and the quality of coastal ecosystems, because agricultural fertilizers that increase crop yields lead to the creation of low oxygen hypoxic areas in areas which receive a lot of nutrient rich runoff.

The World Resources Institute and Virginia Institute of Marine Science, has updated Diaz et al’s recent map of coastal eutrophication. They identify 169 hypoxic areas, 233 areas of concern, and 13 systems in recovery.

Coastal Eutrophication WRI 2008

The WRI Earthtrends weblog writes about the project:

The map shows three types of eutrophic zones:

(1) Documented hypoxic areas – Areas with scientific evidence that hypoxia was caused, at least in part, by an overabundance of nitrogen and phosphorus. Hypoxic areas have oxygen levels low enough to inhibit the existence of marine life.

(2) Areas of concern – Systems that exhibit effects of eutrophication, including elevated nitrogen and phosphorus levels, elevated chlorophyll levels, harmful algal blooms, changes in the benthic community, damage to coral reefs, and fish kills. These systems are impaired by nutrients and are possibly at risk of developing hypoxia. Some of the systems may already be experiencing hypoxia, but lack conclusive scientific evidence of the condition.

(3) Systems in recovery – Areas that once exhibited low dissolved oxygen levels and hypoxia, but are now improving. For example, the Black Sea recovery is largely due to the economic collapse of Eastern Europe in the 1990s, which greatly reduced fertilizer use. Others, like Boston Harbor in the United States and the Mersey Estuary in the United Kingdom also have improved water quality resulting from better industrial and wastewater controls.

Given the state of global data, the actual number of eutrophic and hypoxic areas around the world is likely to be greater than the 415 listed here. The most under-represented region is Asia. Asia has relatively few documented eutrophic and hypoxic areas despite large increases in intensive farming methods, industrial development, and population growth over the past 20 years. Africa, South America, and the Caribbean also have few reliable sources of coastal water quality data.

A more detailed analysis of this data set will be available in February 2008 in a policy note entitled Eutrophication and Hypoxia in Coastal Areas: A Global Assessment of the State of Knowledge (a list of related publications can be found here.

Rural ecosystem service transition

Rich people moving to attractive rural areas are transforming the economy of those areas from resource extraction to an experience economy (see also Inequality and an ecosystem service transition). A Wall Street Journal article The New American Gentry (Jan 19th) describes this trend, and includes a large map that highlights areas that have experienced large increases in people who live off investment income rather than salaries. These areas include parts of the inland west, N Wisconsin, Michigan, and Minnesota, the New England.

Affluent retirees and other high-income types have descended on these remote areas, creating new demand for amenities like interior-design stores, spas and organic markets. … With the Internet allowing people to work from almost anywhere, the distinction between first and second homes has become blurred. Many people are buying retirement property while they’re still employed. Millions of soon-to-retire baby boomers, say demographers, will propel this trend for years to come.”What we’re seeing is a class colonization,” says Peter Nelson, an associate professor of geography at Middlebury College and an expert on rural migration. “It really represents a shift in the nature of the economy from a resource-extraction economy to an aesthetic-based economy.”

Rural America makes up about three-quarters of the nation’s land mass, but has just 17% of the population, about 50 million people. Many mining towns and Great Plains’ farming communities have stagnating or shrinking populations while more scenic communities are soaking up new residents.

One indicator of rural gentrification: An increase in residents’ total dividend, interest and rent income. That measurement, tracked by the Commerce Department, is a sign that new residents — usually retirees — are living off their investments rather than salaries. In Teton County, Wyo., home of Jackson Hole Mountain Resort, total dividend, interest and rent income has risen 177% between 1996 and 2005, one of the largest increases in rural America.

Climate foresight and building resilience

In a WorldChanging article Conservation Easements, Climate Foresight and Resilience Alex Steffen asks if “resilience” is a good way to describe the need for resilience:

If the nature of even non-catastrophic climate change is to make the world much more unpredictable, adaptation is impossible in a meaningful sense.What is possible is planned resilience: we can make our own systems more rugged and distributed, our natural systems protected and managed in ways that best preserve their ability to respond to (and incorporate) disturbance while preserving ecosystem services and biodiversity. We can plan to become good at dealing with chaos. But that is quite different than adapting to a singular change, and it takes dramatically different kinds of priorities.

Now, “Resilience!” is not exactly be the battle-cry we’re looking for. Anyone else got a suggest about how we might compellingly describe the goal here?

Fish Piracy Feeds the Global Rich

A New York Times article Europe’s Appetite for Seafood Propels Illegal Trade describes how fisheries collapse is leading roving bandits to scoop up the world’s valuable fish leaving little behind for local fishers:

Fish is now the most traded animal commodity on the planet, with about 100 million tons of wild and farmed fish sold each year. Europe has suddenly become the world’s largest market for fish, worth more than 14 billion euros, or about $22 billion a year. Europe’s appetite has grown as its native fish stocks have shrunk so that Europe now needs to import 60 percent of fish sold in the region, according to the European Union.

In Europe, the imbalance between supply and demand has led to a thriving illegal trade. Some 50 percent of the fish sold in the European Union originates in developing nations, and much of it is laundered like contraband, caught and shipped illegally beyond the limits of government quotas or treaties. The smuggling operation is well financed and sophisticated, carried out by large-scale mechanized fishing fleets able to sweep up more fish than ever, chasing threatened stocks from ocean to ocean.

Kim Stanley Robinson on nature, architecture, and society

Geoff Manaugh recently interviewed ecological science fiction writer Kim Stanley Robinson about ecology, architecture and socieities on BLDGBLOG.  Manaugh writes:

Robinson’s books are not only filled with descriptions of landscapes – whole planets, in fact, noted, sensed, and textured down to the chemistry of their soils and the currents in their seas – but they are often about nothing other than vast landscape processes, in the midst of which a few humans stumble along. “Politics,” in these novels, is as much a question of social justice as it is shorthand for learning to live in specific environments.

Robinson responds to a question about the idea that catastrophe can allow new forms of social organization to emerge:

It’s a failure of imagination to think that climate change is going to be an escape from jail – and it’s a failure in a couple of ways.

For one thing, modern civilization, with six billion people on the planet, lives on the tip of a gigantic complex of prosthetic devices – and all those devices have to work. The crash scenario that people think of, in this case, as an escape to freedom would actually be so damaging that it wouldn’t be fun. It wouldn’t be an adventure. It would merely be a struggle for food and security, and a permanent high risk of being robbed, beaten, or killed; your ability to feel confident about your own – and your family’s and your children’s – safety would be gone. People who fail to realize that… I’d say their imaginations haven’t fully gotten into this scenario.

It’s easy to imagine people who are bored in the modern techno-surround, as I call it, and they’re bored because they have not fully comprehended that they’re still primates, that their brains grew over a million-year period doing a certain suite of activities, and those activities are still available. Anyone can do them; they’re simple. They have to do with basic life support and basic social activities unboosted by technological means.

And there’s an addictive side to this. People try to do stupid technological replacements for natural primate actions, but it doesn’t quite give them the buzz that they hoped it would. Even though it looks quite magical, the sense of accomplishment is not there. So they do it again, hoping that the activity, like a drug, will somehow satisfy the urge that it’s supposedly meant to satisfy. But it doesn’t. So they do it more and more – and they fall down a rabbit hole, pursuing a destructive and high carbon-burn activity, when they could just go out for a walk, or plant a garden, or sit down at a table with a friend and drink some coffee and talk for an hour. All of these unboosted, straight-forward primate activities are actually intensely satisfying to the totality of the mind-body that we are.

So a little bit of analysis of what we are as primates – how we got here evolutionarily, and what can satisfy us in this world – would help us to imagine activities that are much lower impact on the planet and much more satisfying to the individual at the same time. In general, I’ve been thinking: let’s rate our technologies for how much they help us as primates, rather than how they can put us further into this dream of being powerful gods who stalk around on a planet that doesn’t really matter to us.

Because a lot of these supposed pleasures are really expensive. You pay with your life. You pay with your health. And they don’t satisfy you anyway! You end up taking various kinds of prescription or non-prescription drugs to compensate for your unhappiness and your unhealthiness – and the whole thing comes out of a kind of spiral: if only you could consume more, you’d be happier. But it isn’t true.

I’m advocating a kind of alteration of our imagined relationship to the planet. I think it’d be more fun – and also more sustainable. We’re always thinking that we’re much more powerful than we are, because we’re boosted by technological powers that exert a really, really high cost on the environment – a cost that isn’t calculated and that isn’t put into the price of things. It’s exteriorized from our fake economy. And it’s very profitable for certain elements in our society for us to continue to wander around in this dream-state and be upset about everything.

The hope that, “Oh, if only civilization were to collapse, then I could be happy” – it’s ridiculous. You can simply walk out your front door and get what you want out of that particular fantasy.