Energy production - including electricity generation,
transportation, and heating is based on following sources
in order of importance:
◦
oil and gas
◦
coal
◦
U235 based nuclear fission
◦
hydro-electric
◦
other renewables
The following graph illustrates their relative
importance, based on 2005 data. Its naive projections are
demand based, disregarding actual supply availability.
Regarding oil, the projections are off already now, as its
production has not increased since 2005.
For each of these sources, the point where demand exceeds
supply is estimated - this is called peak point. A peak
energy source is either replaced by an other one, or total
industrial output falls, resulting in permanent recession.
Oil and gas are by far the most important and hardest to
replace energy sources today. From heating to
transportation to fertilizer production, so much depends
directly on their availability. A prediction of future
supplies can be made from the history of oil field
discoveries, as shown on the following graph.
It is clear from the graph that despite
sophistication of discovery tools the age of large and
frequent discoveries is in the past - even the recent
sub-sea field off the Brazilian coast does not change this
fact. While there is scientific debate about the amount of
oil in the Earth's deep crust, the amount of remaining oil
within production reach has been steadily declining even
though it can be now brought up from over 3 km depth. At
the current rate, 4 times more oil is being produced than
what is being newly discovered. This implies that the point
of peak must close, in fact recent data implies that global
oil production has peaked during 2005!
How do we know that this is not just a temporary setback?
While it cannot be known for sure, it is a strong evidence
that total output did not increase during mid-2005 to
mid-2007 period of strong economic growth. Deliberate
holding back of production is also unlikely, as OPEC has a
poor record of enforcing its own production quotas.
What aggravates future production further is that remaining
oil is in more and more difficult places and is often of
worse quality, decreasing energy return on energy
investment ratio for oil production:
◦
before 1950s it was 100 to 1
◦
during 1970s it was 30 to 1
◦
since 2000 it is 10 to 1
Recent pull-back of oil prices does not make the point of
supply deficiency much further away: as shown in the
previous chapter, any demand reductions are very temporary
due to the nature of economic system. Taking the most
optimistic scenario of demand reduction replay like in late
1970s / early 1980s, demand would be back to mid 2008
levels in less than 30 years, and will be impossible to
satisfy by then. The pessimistic scenario is outlined in an
interview with Matt Simmons (MS) by Bud Conrad (BC):
BC: Let's discuss that for clarification. We know that
flow rates are what we measure to understand whether
we're at peak or not. In M. King Hubbert's work, peak oil
is calculated using the total resource base, but your
point is that we may still have oil that we're just not
able to produce in an economic way.
MS: If it's in the ground and you can barely get it out,
it's as irrelevant as me looking out over Penobscot Bay
and saying "There's a vast amount of hydrates about a
thousand miles from here, a thousand feet underwater."
Well, so what? That's not useful energy.
BC: If it takes more energy to dig up that last barrel of
oil than it produces, then there's no sense in trying.
MS: And another important concept is that if you're lucky
enough to find a highly pressurized field and it turns
out to be condensate, which is sometimes called natural
motor gasoline, you can literally bypass the refinery --
because it's been baked in the ground -- and put it right
in your car. It doesn't run perfectly, but it runs. With
the heavy oil out of Canada, you have to expend energy to
make it ooze out of the ground, and once it's oozed out
of the ground, you still have totally unusable oil.
BC: You still have to go through a fairly hefty
process...
MS: ...of upgrading, and then finally diluting it with
high-quality oil before it can flow. So one is total junk
oil, and the other is the Rolls Royce of petroleum.
BC: The world needs to understand that we've been using
up the Rolls Royces first because they're more available.
The harder-to-find and harder-to-refine stuff is what's
left. I think that's misunderstood.
MS: Oh, it's totally misunderstood. Sour, heavy oil is
really not worth very much.
BC: We're probably in more serious a situation than most
people would realize, and it's no better with natural
gas. Switching gears for a moment, do you think the rise
of LNG will be enough to keep up with declines in natural
gas discovery and subsequently in natural gas production?
MS: Well, first of all, the problem with LNG is that if
we try to develop a spot market out of LNG, the odds of
it ending in bankruptcy are about 90%.
BC: Who goes bankrupt?
MS: All the players. The cost to produce and distribute
LNG is so high that to make LNG work in any sort of
financial reality, you would need a 25- or 30-year
guaranteed supply. And then you can amortize it over 25
or 30 years. If you're going on a spot supply, you've got
to write it off over 10 years and then you'll need $40
per million BTU to make the economics work. The other
thing is that about 35% of the hydrocarbon value gets
chewed up in the process of cryogenically freezing
natural gas, transporting it, and then re-gassing it.
BC: In your opinion then, LNG is not an economically
viable solution. We won't do it.
MS: We shouldn't do it. But it turns out that
high-quality natural gas - sweet, high-quality natural
gas - is just like sweet oil. It's basically in decline.
BC: And therefore also harder to find, despite our
original hope of about a decade ago. Clean energy was
going to fix everything through natural gas for
electricity and everything else.
MS: Yes, and using natural gas for electricity turned out
to be an unbelievably stupid decision. Using electricity
for heat was equally stupid. Natural gas should be
refined to one use and one use only, and that's creating
instantaneous and high-efficiency heat.
There are some publications and journal articles assuring
readers that new and huge oil reserves are just around the
corner, so no need to worry about false alarms of peaking
oil. Most frequent examples are Canadian tar sands or
'enhanced oil recovery' techniques, which get more
percentage of underground reserves into barrels. Upon
closer inspection, the logic of how these great reserves
delay the moment of peaking oil extraction peels away like
layers of onion.
Let's investigate the case of 'enhanced oil recovery',
which looks most promising on the face of it. Currently 20%
- 40% of the reservoir's original oil can be extracted,
using so-called primary and secondary recovery. The
expectation is that with 'enhanced oil recovery'
techniques, which generally involves injecting of
pressurized CO2 gas into the oil field to make oil come up,
around 30% - 60% of the original oil could be recovered. So
if we got to around peak extraction rate in 100 years, how
many more years do we gain by a 50% increase of extractable
reserves till peak extraction rate? The correct answer is
of course not 50 years, as recent production rates have
been much higher than rates of early 20th century; so the
theoretical feasibility is 20 - 25 years extra time. A
further disappointment is the realization that one third of
this additional oil must be burned right away to produce
the required quantity of CO2, to pressurize it underground,
and to drive the process recirculating the CO2 that comes
back with the additional oil. This means pushing out the
date of peak oil only by 14-16 years in the best case. Upon
closer analysis, one needs to compare flow rates of
original extraction versus flow rates enabled additional
capacity, and also consider the speed at which technology
for additional capacity can be deployed. Such analysis has
been done by Dr Robert Hirsch. The first clue is to look at
historic example of geographic regions which are already
past their peak extraction rate. Taking the example of USA
oil production, it is observed that neither price increases
or technology advances have succeeded reversing the
relentless decline of production rate past its peak rate:
The set of possible mitigation tools for world oil
production peak are the following: efficient vehicles,
gas-to-liquids (GTL), Heavy oil and tar sands, coal
liquefaction, enhanced oil recovery (EOR). Their impact in
terms of million barrels per day of additional production
is estimated to develop as follows:
To be noted about this estimation is that enhanced oil
recovery only provides a minor contribution; so much for
the presumption that it could possibly delay the timing of
peak oil production. The biggest contribution comes from
production of heavy oils, which look good by the number of
barrels but not good in terms of energy content, and from
tar sands, which are by the way environmentally destructive
to reprocess. The second biggest contributor is coal
liquefaction; as the analysis further down will show, this
methods is viable for around 15 years only because of coal
production will also peak subsequently. The interesting
question concerns the combined impact of these mitigation
tools; are they sufficient to delay peaking oil production.
In the analysis of Dr Hirsch the answer is no if they are
applied at the time of peak; any substantial delaying
requires a global crash program of all these tools applied
at least 10 years prior to peak of traditional oil
production. The dashed line of following charts shows
demand evolution, while solid line shows evolution of
traditional production:

The inescapable conclusion is that oil peak cannot be
mitigated if it indeed took place in 2005. Delaying would
be equally difficult even if peak proves to happen only by
2020: the credit crisis and subsequent collapse in oil
prices has removed the prospect of investing in mitigation
techniques and even stopped most oil exploration
investments. Furthermore, coal liquefaction and
gas-to-liquids technique will be not possible after 2020
for the shortfall of coal and natural gas production -
about half of envisioned mitigation capacity just would not
be present.
Some journals nevertheless cheer up readers with mitigation
tools straight out of science fiction - presented as proven
methods. Here is one such example from July 2005 edition of
Business Week journal:
The latest idea is called MEOR, for microbial enhanced
oil recovery. Various labs around the world are
engineering special bugs that generate CO2 biologically,
along with detergent-like chemicals that help flush oil
out of rocks. The microbes can be cultivated underground
or in well-side vats. Because they grow explosively, the
Energy Dept., which is funding several research projects,
says MEOR technology may be the most cost-effective of
all tertiary processes.
MEOR is already used in Venezuela, China, Indonesia, and
the U.S. to treat deposits of heavy oil -- a
molasses-thick form of oil. Researchers at Oak Ridge
National Laboratory hope to develop new armies of
bioengineered bugs that can infiltrate underground rocks
and turn the gunky stuff into the sweet-flowing crude
that erupts like the gushers in Hollywood movies.
MEOR has proven to be a disappointment at the
sites where it has been tested and will remain a Hollywood
fantasy. Perhaps it should have occurred to involved people
that above-ground oil depositories which were used as
lighting lamp oil during antique and medieaval times would
have never existed if microbial recovery worked; bacteria
would have eaten these reserves in first place. The idea
however cannot be theoretically excluded - it's just a slim
chance to succeed where Nature's evolution failed.
Back from Hollywood to reality, 80% - 90% of all oil
infrastructure equipment is operating beyond its originally
intended lifetime. Replacing any substantial part of this
infrastructure would mean not only production downtime, but
would also divert large amounts of energy for steel
production - we are talking about massive steel structures.
It can be stated with high certainty that the era of
tensions over remaining dividing remaining oil resources is
at the door. How well is Europe going to fare in a scramble
to secure oil supplies? Not very well at all, as the
following figure suggests. There are no significant
reserves in Europe. About 50% world oil reserves are in
areas militarily occupied by USA (yellow color) and 7% is
in Russia (green color). Because of their overwhelming
military power, these two countries hold the ace for
securing their share of resources from other areas. Without
sufficient replacement energy source, they would extract a
heavy price from Europeans in exchange for access to some
remaining oil and gas supplies - establishing a system of
domination before running out themselves of supplies.
Coal is generally regarded to be a vast remaining energy
resource, that can be used to compensate for declining oil
production rates and service increasing energy demand. This
would materialize in the form of more coal-fired power
plants and oil from coal conversion. Despite such general
understanding, there is not any firm resource data
supporting such conclusion. The Energy Watch Group's 2007
report states the unreliability of coal remaining coal
estimates as their most important conclusion:
This paper attempts to give a comprehensive view of
global coal resources and past and current coal
production based on a critical analysis of available
statistics. This analysis is then used to provide an
outlook on the possible coal production in the coming
decades. The result of the analysis is that there is
probably much less coal left to be burnt than most people
think.
The first and foremost conclusion from this investigation
is that data quality of coal reserves and resources is
poor, both on global and national levels. But there is no
objective way to determine how reliable the available
data actually are. The timeline analyses of data
performed here suggest that on a global level the
statistics overestimate the reserves and the resources.
In the global sum both reserves and resources have been
downgraded over the past two decades, in some cases
drastically.
For some countries such as Vietnam proven reserves have
not been updated for up to 40 years. The data for China
were last updated in 1992... According to past
experience, it is very likely that the available
statistics are biased on the high side and therefore
projections based on these data will give an upper
boundary of the possible future development.
For estimating peak production, it is more reliable to
extrapolate data of historic production rates than to base
projections on reserve estimates. Prof. David Rutledge has
used this method on national production rates, and found
good correlation between extrapolating production rates and
ultimate extraction levels. Here is his production rate
extrapolation for total coal production:
Ultimately mined amount of coal is estimated at 60% of
current reserve estimates - much in line with past reserve
overestimation rates on national levels. Reaching peak coal
production rates happens when cumulative production reaches
somewhere between 50% and 70% of ultimate amount fit -
implying a peak production rate in terms of coal mass
between 2020 and 2030. The stability of ultimate production
estimate implies also a high certainty of the estimated
peak time; by 2030 about 70% of all coal will be mined,
that is ever going to be produced! As with the case of oil,
closest and highest quality coal field have been mined
first, meaning less energy content per mass for remaining
coal reserves and also transportation-related energy loss.
Replacing missing oil and gas capacity from coal will not
be possible when resource scarcity hits.
Considering the operation of current U235 based nuclear
power plants, remaining resources provide a temporary
relief at best. Working with the optimistic estimate of
remaining U235 resources, Prof. Jeffrey Freidberg estimates
that U235 based power plants offer up to 20 years relief
from energy scarcity if total demand is satisfied from this
technology:
An assessment of economically realistic U235 mining rates
estimates a scarcity of U235 supply after 2030. This date
of U235 demand exceeding available supplies depends
strongly on the amount of oil, gas, and coal energy
replaced by nuclear fission.
Considering the substantial capital investment and energy
requirement to build nuclear power plants, it is not useful
to embark on a massive expansion of U235 based nuclear
power plants anymore. Nuclear fission reactors are
generally designed for 60-years operation - as above figure
shows, newly built reactors will eventually run out of U235
fuel. Essentially, the only reason why Uranium shortage has
not yet become apparent is the drastic slowing of new
nuclear reactor constructions in Europe and USA since
mid-1980s.
There is fortunately one remaining nuclear fission option,
which has been proposed by physicist Eugene Wigner as early
as the 1950s, but has been swept aside by military
priorities favoring U235-based reactor design: the Thorium
based nuclear fission reactor design. Being kept out of the
information loop in the age global news, the general public
has very little knowledge of taken design choices that have
shaped the nuclear industry so far. Here is how advocates
of Thorium based fission reactors summarize this option,
quoted from www.energyfromthorium.com :
Whenever the construction of a nuclear reactor is
delayed because of a false hope in "renewable" energies
that never materialize, a coal or natural gas plant has
to be built instead, polluting the air we breathe and
driving global warming faster and faster. But even
conventional nuclear reactors produce waste, and because
they use only a tiny fraction of the energy in uranium,
that resource is also being depleted.
Enter Thorium. Half a century ago, a different kind of
nuclear reactor was invented, one that burns Thorium - an
inexhaustible supply of fuel, and much cheaper than the
enriched-uranium fuel used by current reactors. It can
even use the nuclear waste from other reactors as fuel!
The Liquid Fluoride Thorium Reactor, or LFTR for short,
operates at low pressures, so it could never explode and
its liquid-fuel design makes it physically impossible to
overheat.
Unfortunately, it was the Cold War - energy was still
cheap, global warming was just a theory, and the LFTR
wasn't good for making weapons-grade plutonium, so it was
abandoned. Now, a growing group of scientists and
engineers are working to bring the LFTR back to life - to
free us from filthy coal and turn stockpiles of nuclear
waste into the clean, cheap energy we need.
A working prototype of the Liquid Flouride
Thorium Reactor has been even built in the USA during 1960s
as a research project. The theory of such reactor's
operation has been worked out: there are no scientific
challenges, only engineering challenges associated with
commercialization of a new energy source. Thorium is
abundant enough on the Earth for providing reliable energy
in the foreseeable future to any economic growth scenario!
Moreover, thorium fueled fission reactors can also run on
U238 fuel; there are vast stockpiles of such fuel because
99% of mined uranium is U238 isotope. The next chapter is
dedicated to describing such reactor design.
Hydro-electric power is generally the most attractive among
renewable energy sources, combining high power density and
constant availability. Some lucky regions will continue to
rely on this power source. Its current share of about 15%
power contribution cannot be grown in the future, and is
expected to shrink significantly for the combination of
following reasons:
◦
growing electric power needs by growing economy
◦
growing electric power needs as transportation gradually
moves over electric power after peak oil
◦
some poorly designed hydroelectric projects loose output
power fairly quickly because of siltation
An example of siltation effect is documented by McCully:
Sedimentation due to build up of river carried
material behind the dam (especially in glacial rivers)
can quickly reduce the dams lifetime, and significantly
effect the amount of power produced. Sedimentation in the
Sanmexia dam in China reduced energy generation from
1,200MW to only 250MW after only 3 years. Annual average
hydro plants in the USA produce only 46% of expected
generation according to industry.
Altogether, hydro-electric power could
contribute around 10% of future power need in the
optimistic scenario.
Among other renewable energy sources, wind energy is the
largest contributor, with around 1% of contribution. The
energy that it produces is currently more expensive than
fossil-based alternatives because of high maintenance costs
and relatively short lifetime of wind turbines - about 15
years - this difference could level out in the future as
traditional energy sources peak. In comparison with the
nuclear fission option, while there are claims of similar
operating expenses, such claims are suspicious for
mechanical reasons. Simply put, the power density per
turbine is low, and the required maintenance of a vast
array of units with moving parts is necessarily costly. A
recent article in Der Spiegel magazine illustrates this
point:
After the industry's recent boom years, wind power
providers and experts are now concerned. The facilities
may not be as reliable and durable as producers claim.
Indeed, with thousands of mishaps, breakdowns and
accidents having been reported in recent years, the
difficulties seem to be mounting. Gearboxes hiding inside
the casings perched on top of the towering masts have
short shelf lives, often crapping out before even five
years is up. In some cases, fractures form along the
rotors, or even in the foundation, after only limited
operation. Short circuits or overheated propellers have
been known to cause fires. All this despite
manufacturers' promises that the turbines would last at
least 20 years.
Wind power today is artificially kept alive through
public subsidies. It certainly has a long-term role as
energy source if operating costs prove to be low enough in
comparison to nuclear fission option - this role however
should be viewed in proper context. When recipients of
public funding recycle some supporting grants into a
self-gratifying PR campaign, which miscommunicates this
context, one has a reason for suspicion:
Solar energy is a negligible contributor at the moment, but
its share is should increase in the future. Solar thermal
plants, where mirrors concentrate sunlight and thereby heat
a circulating fluid seem a more attractive alternative than
direct photo-voltaic conversion. The main reason is that
with photovoltaic power generation it takes 3-4 years to
generate back the energy invested in the first place for
production of photo-voltaic panels - with solar thermal
plants the payback time is about half year. Solar thermal
plants are furthermore more resilient against short-term
disruptions, such as a cloud passing by. Solar energy has
enough capacity to make up for some shortage of traditional
energy sources when resource scarcity hits.
While in theory it is possible that most of world energy
production is based on solar and wind energy - it remains
just that; a theoretical possibility. Relying mostly on
these sources would face following challenges in the
European context:
◦
The issue of land use - hindering solar energy to greater
degree than wind energy. While full reliance on solar
energy takes only a few percentage of a country's land
area, reservation of such quantities of land faces endless
controversies and challenges in absence of dictatorial
measures.
◦
Part of the electric grid would need to be rebuilt too, as
solar and wind plants are not at the suitable places for
the grid, but rather the grid connects places where it is
feasible to build these plants.
◦
The intermittent nature of sunny days and windy hours means
that capacity must over-provisioned. The biggest challenge
is that the number of continuously cloudy days is
unpredictable, and can sometimes last for weeks - more
often so in some countries than others. Taking into account
the number of sunny days per year, the varying daily
intensity peaking at noon, and energy consumption during
dark hours one easily arrives at 5 times over-provisioning.
But wait, the energy needs to be first stored and then
converted back to electricity. Current thoughts on storing
reserve energy involve either gravitational water pumping
or hydrogen production. Because of the remorseless laws of
thermodynamics, both conversion into reserve energy and
re-conversion into electricity means energy losses:
optimistically just around 50% of total. This means that
when relying mainly on solar power, 10 MW of solar
capacity must be brought online for each replaced or added
MW!
The last point above is the most severe, it means not only
high infrastructure costs, but also unfavorable payback
times on energy invested into manufacturing and building
the power plants - even with solar thermal solution. Energy
payback time on the order 5 years is not an affordable
luxury when traditional energy sources peak.
Advocates of wind and solar say this is not a fair example
because solar and wind can complement each other. Let's see
whether wind energy results in more favorable ratios. Wind
turbines run around 30% capacity even at most favorable
locations, but the more general number is 25% at suitable
locations. The rest of the time wind is too high or too
low. The result is 4 times capacity over-provisioning
relative to a stable energy source, without accounting
storage conversion losses. As expected lifetime of wind
turbines can be about 15 years IF current design and
quality issues are remedied, one has to factor in energy
cost of replacement parts. The full steel structure of a
wind turbine costs half a year of nominal energy wind
energy output to produce, in terms of energy costs.
Assuming that only half of the steel needs replacement upon
lifetime expiration, and factoring in 25% availability,
about 2 years of energy production is spent on
manufacturing replacement parts. That is more than 10% of
expected lifetime. Factoring in replacement energy costs
and the optimistic assumption of 50% energy loss at storage
conversion and re-conversion, the conclusion is that over 9
MW of wind capacity must be brought online for each
replaced or added MW. This is very similar result to solar
energy consideration. The energy payback time on initial
power capacity construction is on the order of 5 years as
well.
No matter how one slices and dices reliance
on combination of wind and solar energy, the result is
around 9 to 10 times required nominal capacity increase and
around 5 years energy payback time on initial construction.
An ardent supporter of wind and solar energy would
say: 'But wind is often blowing when sun is not shining,
and sun is shining when wind is not blowing. With some
smart combination of wind and solar energy it should be
possible to come up with not much more than 2 times
capacity over-provisioning and only rarely use stored
energy from a reservoir here and there'. The problem with
such reasoning is not only the possibility of cloudy and
windless weather, but mainly the varying amount of produced
energy output, which cannot be fed directly into a stable
grid. It is instructive to look at the graph of temporal
variations in wind energy output near Vancouver - in ideal
location for wind energy.
Temporal variations of solar power output depend on the
weather scenario:
To suggest that some linear combination of above
graphs results in constant output is nonsense. That of
course does not stop some journals from making such claims
- without supporting details of course. Balancing between
solar plants does not work - cloudy weather may extend over
large regions, and also the sun sets at same time over all
plants. Regarding balancing of wind output power among a
number of farms, what is the probability that multiple
random graphs of above nature balance to a reliable
constant? It is very-very close to zero. The extent to
which variable wind power output can be utilized in power
grids have been analysed by several researchers. In his
'Techno-economic Optimization of Integrating Wind Power
into Constrained Electric Networks' research work, Jessi
Maddaloni concludes that wind power can be utilized at 10%
total power contribution at best; output capacity would
need to be strongly capped at higher output rate to retain
grid stability. The graph on the right illustrates this
result for the electric grid of Vancouver, which was the
subject of this study.
Mathematical modelling of power generation options for
Vancouver area has been done by Pablo C. Benítez et al,
arriving at similar conclusions. Their findings are
summarized as follows:
We developed a mathematical optimization model to
assess the impacts of introducing intermittent renewable
energy sources into an electrical grid. ... This
information is crucial for any system operator wishing to
evaluate the efficiency of the electricity market. Our
model also integrates power generation with energy
storage. This provides a planning tool for the system
operator that could help the operator maximize the
benefits of storage facilities, reduce price spikes and
offset the intermittence of wind power. Finally, the
model is sufficiently flexible so that different types of
generators or energy storage devices can easily be added
and sensitivity analyses performed. The application to
Vancouver Island indicates that wind power cannot provide
a dependable increase in generating capacity or reduce
the need for undersea [power importing] cables.
One may wonder how is it possible then that
some media reports show massive investment into wind power
by private investors as 'proof' that wind power is the
right choice, assuring there is no need to look further
than watching where 'smart money' is moving into. An
example of one such newspaper report:
In 2007, decentralized renewables worldwide attracted
$71 billion in private capital. Nuclear got zero. Why?
Economics.
Economics indeed; such reports generally omit
that these projects have hidden externality costs, that
resolve the apparent paradox:
◦
Taxpayer subsidies, that accompany such investment
◦
Cost of other reactors kept at reduced or idling capacity
to make up variations of wind output
◦
Increased grid operating costs, associated with managing of
variable input
◦
Finally, cost per kW capacity comparisons usually omit
interesting circumstance. Most notably, when comparing wind
energy costs to nuclear energy costs, journalists often
forget to mention that they are comparing 15 years lifetime
plants to 60 years lifetime plants of other fuel sources,
that they are comparing factory-design (wind power) to
custom-design (current nuclear projects), that they are
comparing partially available capacity to 24/7 capacity,
and that they are comparing a technology designed primarily
for military objectives (current nuclear) to a technology
designed purely for power generation (wind). The outcome of
such comparison is totally arbitrary, and provides
desinformation instead of insight.
Lastly, there is the idea of building thermal solar
installations around North Africa, and supply Europe
through high-voltage direct current (HVDC) lines. The
following diagrams show the envisioned electricity grid,
and best-case transmission losses with thyristor based line
commutated converter type HVDC transmission (LCC HVDC):

With this concept, it could be theoretically possible to
achieve only 4-5 times capacity over-provisioning,
resulting from following factors:
◦
1.5 times over-provisioning due to daily output variations
and occasional rains / sandstorms
◦
30% transport and AC conversion losses
◦
2 times over-provisioning for stored energy conversion and
re-conversion
However political realities make such projects suitable
only for countries with large desert areas, like USA or
China. The biggest obstacle is not the required
international effort for construction of HVDC grid
infrastructure; it is political. European countries will
aim for a local or regional solution; in the wake of
Russian gas supply interruptions in 2006 and 2009, no
country is desiring to swap one type of energy dependence
for an other external dependence. The conclusion is that
Europe could not do better than 9-10 times capacity
over-provisioning, if it were to rely mostly on combination
of wind and solar energy.
Therefore the long term role of solar and wind energy is
the role of additional energy source, supplementing a
stable main source of energy without capacity
over-provisioning. Together, they could contribute around
20% of the energy need in optimistic scenario. Ideally, the
main source of energy that they supplement can be
dynamically run at higher or lower capacity, in order to
accommodate for the varying output of these renewables.
There are some other claims to renewable energy
sources. These fall into three categories:
◦
Negligible in terms of potential energy capacity or
applicable only at local scale in special locations. Wave
tidal energy is an example of such case.
◦
Prohibitively expensive as long as any other energy option
exists. Solar power from orbiting giant satellites is an
illustrative example.
◦
A pure con, designed to profit from public funding. This
category can be identified through the 'bootstrap
challenge': can such design be demonstrated in a way that
uses only produced energy output to run related operations
and transportation, and also to build required plant and
machinery? How long would it take to get back the energy
invested into building capacity up in the first place?
Above picture speaks better than thousand words on this
category.
In conclusion, peaking means that within less than 20 years
it will be impossible to satisfy energy demand from
traditional resources - no matter what combination of oil,
gas, coal, and U235 based nuclear fission is attempted.
Europe is going to be particularly disadvantaged in the
post-peak period against countries with substantial fossil
reserves or desert areas. The only currently available
technology option for gradual replacement of declining
resources and for further growth of energy intensity is the
following choice:
◦
Up to 30% of energy demand from renewable resources,
meaning hydro-power at 10% and solar / wind power at 20%.
◦
At least 70% of energy demand must come from Thorium-based
nuclear fission.
Fortunately these two sources of energy complement each
other well in the sense that output capacity from the
Thorium-based liquid core reactor design can be dynamically
adjusted, compensating for variations solar and wind energy
output, so that the electric grid is stabilized.
As described in the previous chapter, the most likely
scenario associated with peaks of traditional energy
capacity is denial of long-term planning all the way to
actual energy scarcity symptoms, and then a mad rush for
some quick fix, as if required information has not been
available all the way.
The author is nevertheless hopeful that post-peak energy
problems would be avoided through informed citizen
activism. The next chapter therefore introduces the
Thorium-based nuclear fission reactor design, and the
subsequent chapters look at nuclear fusion energy, as a
prospective alternative energy source in the future.