Tough oil...

Peak Oil

Be Prepared for a Lot More Eco-Disasters: We're Entering the Age of 'Tough Oil'

Yes, the oil spewing up from the floor of the Gulf of Mexico in staggering quantities could prove one of the great ecological disasters of human history. Think of it, though, as just the prelude to the Age of Tough Oil, a time of ever increasing reliance on problematic, hard-to-reach energy sources. Make no mistake: we’re entering the danger zone. And brace yourself, the fate of the planet could be at stake.

ow, in the rush to develop hard-to-reach reserves in Alaska, the Arctic, and deep-offshore waters, we’re returning to a particularly dangerous version of those swashbuckling days. As energy companies encounter fresh and unexpected hazards, their existing technologies -- largely developed in more benign environments -- often prove incapable of responding adequately to the new challenges. And when disasters occur, as is increasingly likely, the resulting environmental damage is sure to prove exponentially more devastating than anything experienced in the industrial annals of the nineteenth and early twentieth centuries.

While poor oversight and faulty equipment may have played a critical role in BP’s catastrophe in the Gulf, the ultimate source of the disaster is big oil’s compulsive drive to compensate for the decline in its conventional oil reserves by seeking supplies in inherently hazardous areas -- risks be damned.

So long as this compulsion prevails, more such disasters will follow. Bet on it.

It is going to be interesting in the next few years.