Sustainable vs. Distributed

‘Sustainable’ is the mot du jour, the death knell of fossil hydrocarbons. ‘Distributed’ is the real powerhouse.

Energy independence was the American war cry of the 20th century. Petrol for Winston Churchill was a legitimate war aim during the Great War as he wanted to transition the Royal Navy from coal to petrol. Today Russia has Europe over a barrel of oil. Now imagine a world powered by wind and solar energy, all energy would be distributed, not centralized in a few nations. War over energy would become a thing of the past.

The Captain

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Today Russia has Europe over a barrel of oil. Now imagine a world powered by wind and solar energy, all energy would be distributed, not centralized in a few nations.

This is another part of Russia’s miscalculation. They have just proven themselves to be an unreliable supplier.

Imagine Tesla (and don’t get too excited). The supplier of… let’s say the touch screens… all of a sudden says “you do what we want or we will stop deliveries of touch screens”. What would Tesla do? They would as quickly as possible find alternative sources of touch screens. If the touch screen manufacturer had a monopoly, Tesla would figure out how to design their cars without touch screens.

That is what has happened in the last 2 weeks. Europe was wary of buying Russian oil & gas, but it was the cheapest source around and Russia had never cut off supplies. Now that Russia has threatened to cut off the supply, Europe no longer views Russian supply as reliable and they will spend the next several years finding both other supplies (LNG ports) or eliminate the need for the oil and gas completely with locally produced wind and solar and other sources.

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