In 1978 the US consumed 19 billion barrels of oil per day, at the time of the Iran-Iraq War. As prices rose rapidly and calls for conservation became more common, US consumption fell to about 15 billion barrels per day by 1983. It was not until 1994 that our total consumption and imports reached the 1978 levels.
According to “The Economist” a virtual explosion of alternative energy plans is underway throughout this country and the world. Wind power, solar power, clean-burning coal, liquid coal, nuclear power, geothermal, tides, grain based, hydroelectric, electric cars, hybrid cars – you name it somebody with very deep pockets is investing heavily in it and putting the brain power behind it to make it commercially viable.
The American consumer, which is the golden goose of the oil cartel, is squawking and we think it's likely to continue. A limit seems to have been reached by many Americans: rich or poor, they seem to have decided that this mass export of our dollars to the sands of The Middle East has gone on too long with too little to show for it. We are changing our consumption and driving habits; we are challenging each other to use less energy.
We remember 9/11 and where most of those terrorists called home, and we know that in some way we have been dancing too long at the end of somebody else’s string.
The geese have finally begun to realize they are being fleeced. It ought to be interesting to see how OPEC backs out of this one.