Whilst the world economy is critically dependent on oil, the sticky black liquid is referred to as ‘Black Gold’ and a passport to wealth and security for any country fortunate enough to be blessed with large easy-to-extract reserves. For Norway this has certainly been the case; the country has been prudent with its oil revenue and built up huge reserves which should underpin the country’s finances well beyond the end of oil. For the Middle East, oil is beginning to look like a curse, allowing autocratic (and sometimes despotic) rulers to remain in control. Oil revenue allows them to buy off opposition and purchase weapons to enforce their rule. In addition, the economic imbalances of oil leave many exporting countries ill-prepared to pay their way in the world beyond the era of oil.
When the world makes the transition away from oil (inevitable, only the timing is uncertain) the image of oil will shift from ‘Black Gold’ to ‘Dirty Oil’ – the term already in use by environmentalists for the oil extracted from the tar sands of Canada. This image makeover is small but important, as it will signal real commitment to reducing oil dependency. Instead of countries outbidding each other to purchase black gold they will compete to lead in the technologies that make dirty oil unnecessary.
It is unlikely that the world will learn quickly to live without conventional oil whilst there are supplies that are easy to extract. As the oil price rises, making unconventional oil commercially viable, the energy intensive extraction techniques and environmental damage will be highlighted. A well head in the desert is not a particularly negative image; it is associated with power and wealth. The large expanse of wasteland from oil sand extraction, where once there was virgin forest, is a powerful negative image of dirty oil.
The shift in perception from ‘black gold’ to ‘dirty oil’ is just terminology but in a world dominated by ubiquitous media, images are a very powerful force (as advertisers know well). There is no alternative in the short-term to reliance on oil but the path to a sustainable future becomes much clearer and more politically acceptable when the image in people’s minds of ‘black gold’ is replaced by ‘dirty oil’.
You are absolutely right to mention the behaviours of autocratic in oil rich countries to buy off their opposition to regime in power.
ReplyDeleteNot dis-similarly our supposed democracies often backed by the Global Elite sets agendas for leaders of The West. I bet Cameron didn't know that he will be made to protect and save the Libyan civilian after Hague's carefully choreographed incorrect inflammatory declaration that Gaddafi may have fled to Venezuela, encouraged the crowd to storm the main square in Tripoli leading to bloodshed.
Tonight BBC dispatches will be showing "Dirty Gold" to discourage the hoarding of gold and buying jewelery from High Street. Conveniently this will enable The Fed and Bank of England to engage in more money printing (quantitatively easing) with absolutely no increase in gold reserve.
There is no alternative except that all working people will be paid with devalued currencies. Cunning way of keeping the wages low