HURT no more for NOW !!!

It have been 3 months since the last posting and oil have peak at USD147 per barrel and now hovering around USD40 per barrel .
What happen to the prediction that it could fly to USD200 , who knows ?
Today I got to take out the main picture of " Yep's It's gonna hurt " for now until the time comes by again .
Many prediction have been made on oil with most of the consumption of world oil being as per chart below :

Part of the prediction in the chart is true but due to US recession occuring now demand for oil have drop thus bringing down the price of oil .

The low oil price is not good in a sense that companies will curtail the spending on R & D to find source of renewable energy therefore slowing down the efforts of reducing the effect of Global Warming .

I remember being to a few companies which are heavy user of diesel fuel for heating purposes and gather that when Nymex oil future were above USD100 per barrel all are gearing up to change to biomass due to its lower price and insignificant fluctuation in prices . I would guess as of now none is intending to do so as price of diesel have drop back to RM1.50 per liter for industrial usage .

When will this industrialist change their mind set as oil will not continue to be low and continous burning of fossil fuel is not helping the humane cause of reducing global warming .

In short , Malaysians are not only short sighted but reluctant to move out of their comfort zone as compared to Europeans which have been changing to wood pellet heating instead of gas for the last 10 years or so .

The encouraging change over to biomass heating in house hold in Europe are due to a few factor list as below :

1 ) high government tax on fossil fuel , noticeably Europe Gas Price is over double the Rest of The World, click Link : " Gas Prices Around The World " on the sidebar

2 ) availability of convenient automated heating stove and proper fuel in wood pellet

3 ) the caring way of Europeans which are moving to complying to KYOTO PROTOCOL even though price of wood pellet are just a fraction cheaper than Heating Fuel

None of the above factor exist in Malaysia ( or even outside Europe ) thus making it difficult to convince consumer to change over to biomass for heat and power .

Malaysia Government are at least now holding the price of Industrial Diesel at RM1.50 per liter to encourage industrialist to find ways to reduce fossil fuel consumption although Nymex oil at USD40 per barrel would translate to RM1.10 per liter . These is an encouraging effort by the Government which should be applauded .

The government should do more by using the tax collected on the diesel by giving grant to companies which change from fossil fuel to biomass . These is widely practice in Europe and even Japan to encourage usage of biomass .

Here is a link to Peak Oil cartoon .

Don't worry it did not happen as yet .

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