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Preparing for the Post-
 Fossil Fuel Economy

          Jay Warmke
             Blue Rock Station




  © 2011, Blue Rock Station
Columbus Green Building Forum

         This program is a registered educational program with the
         Columbus Green Building Forum and AIA/CES . The
         content within the program is not created or endorsed by
         the Columbus Green Building Forum and AIA/CES nor
         should the content be construed as an approval of any
         product, building method, or service. Information on the
         specific content can be addressed at the conclusion on the
         program, by the Registered Provider.

         Credit earned for completing this program will
         automatically be submitted to the Columbus Green
         Building Forum. Completion certificates can be obtained
         by contacting the Provider directly.




© 2011, Blue Rock Station
Learning Objectives:
       1. Participants will learn how the evolution of fuel
       over the past century has led to building practices
       as well as how cities and society has organized
       itself.
       2. Participants will be exposed to how these fuel
       systems (for heating/cooling, electrical, and
       transportation) will change dramatically over the
       coming decades.
       3. Participants will also learn how traditional raw
       materials used for construction will dramatically
       increase in cost, if available at all - and what
       alternatives may arise.
       4. We will explore how these changes may
       dramatically impact how buildings are
       constructed, as well as how society will organize
       itself (cities, suburbs, green areas, etc).

© 2011, Blue Rock Station
What is Blue Rock Station?




  © 2011, Blue Rock Station
What is Blue Rock Station?




  © 2011, Blue Rock Station
What is Blue Rock Station?




  © 2011, Blue Rock Station
What is Blue Rock Station?

                     “Pollution is nothing
                     but the resources we
                     are not harvesting.
                     We allow them to
                     disperse because
                     we've been ignorant
                     of their value.”
                     - R. Buckminster Fuller




  © 2011, Blue Rock Station
The Year is 1911
World population, 1.7 billion
40,000 Model T's produced, double from
  1910




 © 2011, Blue Rock Station
The Year is 2011
 EVERYTHING is about to change
                       AGAIN...

                                    we are
                              entering the
                            post-petroleum
                                  economy



© 2011, Blue Rock Station
The GaiaStatic Century?

                            Leave her
                            like you
                            found her.




© 2011, Blue Rock Station
What are we assuming?
          In the future, there will be more
        people on the planet




 © 2011, Blue Rock Station
The bottom line...
                            But w hat about Me?




© 2011, Blue Rock Station
8 New “Americas”




© 2011, Blue Rock Station
The Numbers are SO Huge
             For Example:
             US uses 3,741,485,000 MW-h per y


             Give everyone a 60 W light bulb and
             let them use them for 8 hours per
             day...
             Add 1,576,800,000 MW-h per y or
             about 42% of the annual US use




  © 2011, Blue Rock Station
What are we assuming?
           In the future, there will be more
        people on the planet
           Things that we use - that cannot
        be replaced - will eventually begin
        to run out




 © 2011, Blue Rock Station
So, how did we get here?
1974
1956




    © 2011, Blue Rock Station
In One Generation...

              1933




© 2011, Blue Rock Station
© 2011, Blue Rock Station
What are we assuming?
           In the future, there will be more
        people on the planet
           Things that we use - that cannot
        be replaced - will eventually begin
        to run out
           When more people want a
        limited something, it will cost more.




 © 2011, Blue Rock Station
It is not about running out!
           • 4% production drop will result
             in 177% increase in cost
           • Estimate 3-10% drop each
             year
               “There will be an average of two-percent
              annual growth in global oil demand over
              the years ahead, along with,
              conservatively, a three-percent natural
              decline in production from existing
              reserves.”
           - VP Dick Cheney


  © 2011, Blue Rock Station
Wonderful world of compounding...
              Even at half that rate...
              • 2010 $3.00 per gallon
              • 2011 x 139% = $4.17
              • 2012 x 139% = $5.80
              • 2013 x 139% = $8.06
              • 2014 x 139% = $11.20
              • 2015 x 139% = $15.57



     © 2011, Blue Rock Station
What are we assuming?
           In the future, there will be more
        people on the planet
           Things that we use - that cannot
        be replaced - will eventually begin
        to run out
           When more people want a
        limited something, it will cost more.
           It’s gonna get worse before it
        gets better


 © 2011, Blue Rock Station
The Oil Economy
         The energy contained in One Barrel
         of oil contains the equivalent of
         25,000 human hours of labor
         (12 people working 40 hrs per week)
         Currently 1 barrel = $100
         25,000 hrs x $8 = $200,000




© 2011, Blue Rock Station
2006




  © 2011, Blue Rock Station
The Electrical Grid
 Worldwide demand
will double over next
             40 years




      © 2011, Blue Rock Station
So where is it coming from?




   © 2011, Blue Rock Station
Coal?
2.5%
60 years




    © 2011, Blue Rock Station
Nuclear?

                             1977
                            Build one brand new
                            billion-watt nuclear
                            power plant every 1.6
                            days until the year
                            2050, they will
                            generate only about 8
                            terawatts.




© 2011, Blue Rock Station
Natural Gas?




© 2011, Blue Rock Station
© 2011, Blue Rock Station
Peak Oil!




© 2011, Blue Rock Station
So, what's Next?
          "The Americans will always do
       the Right Thing…after they have
       exhausted all the Alternatives."

                            - Winston Churchill




© 2011, Blue Rock Station
Green Technology
         
             Solar
         
             Wind
         
             BioMass
         
             Hydro
         
             Ocean Power
         
             Hydrogen


© 2011, Blue Rock Station
© 2011, Blue Rock Station
Wind?
                            • Currently only
                            2.3% of electricity
                            in US

                            • 20% by 2030

                            • Capacity has
                            grown 50% each
                            year

© 2011, Blue Rock Station
Wind?

                            • 2010 study
                            shows potential of
                            37 petawatts
                            annually – 9 times
                            the current
                            electrical
                            consumption


© 2011, Blue Rock Station
Solar Power?

    2010, installed PV
              doubled
                     
                         Costs
           dropped 30%




     © 2011, Blue Rock Station
© 2011, Blue Rock Station
Solar Power?

    US Solar Doubled
        again in 2011
                      
                          69% of
             US electricity
                   from solar
                          by 2050
    
        From Scientific American



        © 2011, Blue Rock Station
So where WILL it come from?
                                                  ien cies
                                          Effic
           a tion
       serv
 Con
                                              Fossil Fuels




                                                Renewables
                                   lec tric
                             e
                       Hy dro


       © 2011, Blue Rock Station
What if we cut Energy in Half?




    © 2011, Blue Rock Station
Green Technology
                            Cost of Fossil
                            Fuels



                                   2007
                                   Utility-Scale Wind
                            Cost of
                            Renewable
                            Energy




© 2011, Blue Rock Station
Green Technology
                            Cost of Fossil
                            Fuels



                                   2015
                                   Residential Solar
                            Cost of
                            Renewable
                            Energy




© 2011, Blue Rock Station
Green Technology

                                Moore's
                                Jay's Law


                            Cost of
                            Renewable
                            Energy cut in half
                            every 4 years




© 2011, Blue Rock Station
Energy is NOT the Problem




  © 2011, Blue Rock Station
Energy is NOT the Problem
           It (the Sun) provides enough energy
           in one minute to supply the world's
           energy needs for one year. In one
           day, it provides more energy than our
           current population would consume in
           27 years. In fact, "The amount of
           solar radiation striking the earth over
           a three-day period is equivalent to the
           energy stored in all fossil energy
           sources." - NASA



  © 2011, Blue Rock Station
Ask Yourself...

              What will the world
               look like when
               energy is free, and
               everything else is
               very very
               expensive?


© 2011, Blue Rock Station
How will it affect...

              Transportation?
              City Structures?
              Buildings?
              The Economy?



© 2011, Blue Rock Station
Who am I talking about...

               The Rich?
               Middle Class?
               The Poor?




 © 2011, Blue Rock Station
Downwardly Mobile...

              as globalization
               begins to level the
               playing field.




© 2011, Blue Rock Station
Transportation – Short Term
       Transition to electric – so all
       buildings require integration
       of vehicles as load as well as
       storage
       devices




   © 2011, Blue Rock Station
What about Systems
          Smart Grid creating peer-to-
           peer energy systems.
          AC or DC or Wireless?
          Independent versus
            municipal systems
             ($3.5 million for sewers for
             200 homes?)



© 2011, Blue Rock Station
Power Integrated into Everything




     © 2011, Blue Rock Station
Transportation – Long Term
       Ruralification of City
       Centers?
        – City clusters for social
          interaction and resource
          conservation
        – Rural give up access for
          space. Will virtual
          packaging change this?


   © 2011, Blue Rock Station
So What is Virtual Packaging?
        Already exists on Internet
          – Amazon.com or I-tunes
          – Is local inventory
            required?
          – Virtual Main Street
          – Cooperative delivery

            So how does this change
             the design of
             retail/commercial?
    © 2011, Blue Rock Station
What about Virtual Housing?
When CGI is cheaper than real... what then?
                   We live in “fake homes” now,
                    why not take the plunge?




      © 2011, Blue Rock Station
Communal Housing
Independent dwellings contain only what we
  need, all other “activity rooms” shared.
                – Result, larger livable space,
                   smaller units per person
                             »      Entertainment Room
                             »      Kitchen
                             »      Dining Room
                             »      Bedroom
                             »      Bathroom
                             »      Foyer
                             »      Study
        © 2011, Blue Rock Station
Building Materials
            He who has the most garbage,
             wins (cradle to cradle).
            Balance energy efficiency with
             material costs.




© 2011, Blue Rock Station
Water
Access to water will determine where you
 live.
              – Is Chicago the next great
                 city?




      © 2011, Blue Rock Station
The GaiaStatic Century
Pack out what you Pack in...


                   “May you live in Interesting
                     Times”
                            » Chinese Curse




      © 2011, Blue Rock Station
There will be problems...




 © 2011, Blue Rock Station

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2011 expo-post fossil-fuel

  • 1. Preparing for the Post- Fossil Fuel Economy Jay Warmke Blue Rock Station © 2011, Blue Rock Station
  • 2. Columbus Green Building Forum This program is a registered educational program with the Columbus Green Building Forum and AIA/CES . The content within the program is not created or endorsed by the Columbus Green Building Forum and AIA/CES nor should the content be construed as an approval of any product, building method, or service. Information on the specific content can be addressed at the conclusion on the program, by the Registered Provider. Credit earned for completing this program will automatically be submitted to the Columbus Green Building Forum. Completion certificates can be obtained by contacting the Provider directly. © 2011, Blue Rock Station
  • 3. Learning Objectives: 1. Participants will learn how the evolution of fuel over the past century has led to building practices as well as how cities and society has organized itself. 2. Participants will be exposed to how these fuel systems (for heating/cooling, electrical, and transportation) will change dramatically over the coming decades. 3. Participants will also learn how traditional raw materials used for construction will dramatically increase in cost, if available at all - and what alternatives may arise. 4. We will explore how these changes may dramatically impact how buildings are constructed, as well as how society will organize itself (cities, suburbs, green areas, etc). © 2011, Blue Rock Station
  • 4. What is Blue Rock Station? © 2011, Blue Rock Station
  • 5. What is Blue Rock Station? © 2011, Blue Rock Station
  • 6. What is Blue Rock Station? © 2011, Blue Rock Station
  • 7. What is Blue Rock Station? “Pollution is nothing but the resources we are not harvesting. We allow them to disperse because we've been ignorant of their value.” - R. Buckminster Fuller © 2011, Blue Rock Station
  • 8. The Year is 1911 World population, 1.7 billion 40,000 Model T's produced, double from 1910 © 2011, Blue Rock Station
  • 9. The Year is 2011 EVERYTHING is about to change AGAIN... we are entering the post-petroleum economy © 2011, Blue Rock Station
  • 10. The GaiaStatic Century? Leave her like you found her. © 2011, Blue Rock Station
  • 11. What are we assuming? In the future, there will be more people on the planet © 2011, Blue Rock Station
  • 12. The bottom line... But w hat about Me? © 2011, Blue Rock Station
  • 13. 8 New “Americas” © 2011, Blue Rock Station
  • 14. The Numbers are SO Huge For Example: US uses 3,741,485,000 MW-h per y Give everyone a 60 W light bulb and let them use them for 8 hours per day... Add 1,576,800,000 MW-h per y or about 42% of the annual US use © 2011, Blue Rock Station
  • 15. What are we assuming? In the future, there will be more people on the planet Things that we use - that cannot be replaced - will eventually begin to run out © 2011, Blue Rock Station
  • 16. So, how did we get here? 1974 1956 © 2011, Blue Rock Station
  • 17. In One Generation... 1933 © 2011, Blue Rock Station
  • 18. © 2011, Blue Rock Station
  • 19. What are we assuming? In the future, there will be more people on the planet Things that we use - that cannot be replaced - will eventually begin to run out When more people want a limited something, it will cost more. © 2011, Blue Rock Station
  • 20. It is not about running out! • 4% production drop will result in 177% increase in cost • Estimate 3-10% drop each year “There will be an average of two-percent annual growth in global oil demand over the years ahead, along with, conservatively, a three-percent natural decline in production from existing reserves.” - VP Dick Cheney © 2011, Blue Rock Station
  • 21. Wonderful world of compounding... Even at half that rate... • 2010 $3.00 per gallon • 2011 x 139% = $4.17 • 2012 x 139% = $5.80 • 2013 x 139% = $8.06 • 2014 x 139% = $11.20 • 2015 x 139% = $15.57 © 2011, Blue Rock Station
  • 22. What are we assuming? In the future, there will be more people on the planet Things that we use - that cannot be replaced - will eventually begin to run out When more people want a limited something, it will cost more. It’s gonna get worse before it gets better © 2011, Blue Rock Station
  • 23. The Oil Economy The energy contained in One Barrel of oil contains the equivalent of 25,000 human hours of labor (12 people working 40 hrs per week) Currently 1 barrel = $100 25,000 hrs x $8 = $200,000 © 2011, Blue Rock Station
  • 24. 2006 © 2011, Blue Rock Station
  • 25. The Electrical Grid Worldwide demand will double over next 40 years © 2011, Blue Rock Station
  • 26. So where is it coming from? © 2011, Blue Rock Station
  • 27. Coal? 2.5% 60 years © 2011, Blue Rock Station
  • 28. Nuclear? 1977 Build one brand new billion-watt nuclear power plant every 1.6 days until the year 2050, they will generate only about 8 terawatts. © 2011, Blue Rock Station
  • 29. Natural Gas? © 2011, Blue Rock Station
  • 30. © 2011, Blue Rock Station
  • 31. Peak Oil! © 2011, Blue Rock Station
  • 32. So, what's Next? "The Americans will always do the Right Thing…after they have exhausted all the Alternatives." - Winston Churchill © 2011, Blue Rock Station
  • 33. Green Technology  Solar  Wind  BioMass  Hydro  Ocean Power  Hydrogen © 2011, Blue Rock Station
  • 34. © 2011, Blue Rock Station
  • 35. Wind? • Currently only 2.3% of electricity in US • 20% by 2030 • Capacity has grown 50% each year © 2011, Blue Rock Station
  • 36. Wind? • 2010 study shows potential of 37 petawatts annually – 9 times the current electrical consumption © 2011, Blue Rock Station
  • 37. Solar Power?  2010, installed PV doubled  Costs dropped 30% © 2011, Blue Rock Station
  • 38. © 2011, Blue Rock Station
  • 39. Solar Power?  US Solar Doubled again in 2011  69% of US electricity from solar by 2050  From Scientific American © 2011, Blue Rock Station
  • 40. So where WILL it come from? ien cies Effic a tion serv Con Fossil Fuels Renewables lec tric e Hy dro © 2011, Blue Rock Station
  • 41. What if we cut Energy in Half? © 2011, Blue Rock Station
  • 42. Green Technology Cost of Fossil Fuels 2007 Utility-Scale Wind Cost of Renewable Energy © 2011, Blue Rock Station
  • 43. Green Technology Cost of Fossil Fuels 2015 Residential Solar Cost of Renewable Energy © 2011, Blue Rock Station
  • 44. Green Technology Moore's Jay's Law Cost of Renewable Energy cut in half every 4 years © 2011, Blue Rock Station
  • 45. Energy is NOT the Problem © 2011, Blue Rock Station
  • 46. Energy is NOT the Problem It (the Sun) provides enough energy in one minute to supply the world's energy needs for one year. In one day, it provides more energy than our current population would consume in 27 years. In fact, "The amount of solar radiation striking the earth over a three-day period is equivalent to the energy stored in all fossil energy sources." - NASA © 2011, Blue Rock Station
  • 47. Ask Yourself... What will the world look like when energy is free, and everything else is very very expensive? © 2011, Blue Rock Station
  • 48. How will it affect... Transportation? City Structures? Buildings? The Economy? © 2011, Blue Rock Station
  • 49. Who am I talking about... The Rich? Middle Class? The Poor? © 2011, Blue Rock Station
  • 50. Downwardly Mobile... as globalization begins to level the playing field. © 2011, Blue Rock Station
  • 51. Transportation – Short Term Transition to electric – so all buildings require integration of vehicles as load as well as storage devices © 2011, Blue Rock Station
  • 52. What about Systems Smart Grid creating peer-to- peer energy systems. AC or DC or Wireless? Independent versus municipal systems ($3.5 million for sewers for 200 homes?) © 2011, Blue Rock Station
  • 53. Power Integrated into Everything © 2011, Blue Rock Station
  • 54. Transportation – Long Term Ruralification of City Centers? – City clusters for social interaction and resource conservation – Rural give up access for space. Will virtual packaging change this? © 2011, Blue Rock Station
  • 55. So What is Virtual Packaging? Already exists on Internet – Amazon.com or I-tunes – Is local inventory required? – Virtual Main Street – Cooperative delivery So how does this change the design of retail/commercial? © 2011, Blue Rock Station
  • 56. What about Virtual Housing? When CGI is cheaper than real... what then? We live in “fake homes” now, why not take the plunge? © 2011, Blue Rock Station
  • 57. Communal Housing Independent dwellings contain only what we need, all other “activity rooms” shared. – Result, larger livable space, smaller units per person » Entertainment Room » Kitchen » Dining Room » Bedroom » Bathroom » Foyer » Study © 2011, Blue Rock Station
  • 58. Building Materials He who has the most garbage, wins (cradle to cradle). Balance energy efficiency with material costs. © 2011, Blue Rock Station
  • 59. Water Access to water will determine where you live. – Is Chicago the next great city? © 2011, Blue Rock Station
  • 60. The GaiaStatic Century Pack out what you Pack in... “May you live in Interesting Times” » Chinese Curse © 2011, Blue Rock Station
  • 61. There will be problems... © 2011, Blue Rock Station