Tuesday, October 31, 2006
The Cost of Free Energy
The True Cost of Free Energy
A free energy watercar is extremely probable, due to the massive amount of examination examples have received from the US military, NASA, and by the examination and proliferation of HHO and hydrogen gas water engines, many with nationally registered patents by independent scientists in America, Australia, New Zealand, Canada, Europe, the Philipines, and other "100%+" efficiency inventions. For example, in spring 2002, a patent was issued for a motionless electromagnetic generator producing some 100 times the power put into it. Japanese patents for electromagnetic devices and other engines producing 100%+ energy are also 'common'.
These items are not fantasy and do not draw energy from nothing. Examine statements at www.timetravelisforsuckers.blogspot.com for detail on 'zero-point' energy devices. Some draw energy from the universal constant, an ambient energy level that is present everywhere, even in empty vacuums devoid of matter. Some use the entrainment principle of wave synchronization to force vibrational atomics to change chemical structure. This is the most likely explanation for water splitting, and would account for the precise hertz level the electrons must be moving at for the process to work. More inventions and explanations abound at www.byronwine.com.
So many wonder, if these remarkable devices exist, why isn't GM using them? Why isn't the USGOV using them? The answers are the choices of certain key shareholders and officers, but we can speculate their motivations.
Oil experts estimate that there are "100 trillion dollars worth of oil" [$100T] underground right now, with the greatest collection in the hands of Saudi Arabia, followed by Iraq. This is a ridiculously large sum that can drive entire economies, the entire world economy, and change the history of mankind and isolate power at key bottlenecks. If there is an 'oil monopoly', and cars run only [95%+] on oil, then only those who control oil will have substantial automotive power. This plays a massive force in world commerce. More powerful than supply alone, price sets levels of domination, basically a Seringhetti pecking order, and can be used to track money movements and used as currency and payments. For example, the US NAVY was able to track every tanker than left Iraq. >50% of oil smuggled from Iraq during 1991-2003 went to a US company in Texas.
Oil Reserves: $100 Trillion
This does not count coal, uranium, or natural gas, which are also very highly valued.
This also does not include the hundreds of oil refineries found worldwide. Russia has hundreds, America has hundreds, Europe has plenty, the Middle East has hundreds, Asia has probably hundreds of them. A 'refinery' is not a SimCity 16-square sized building. Some of them take up entire SimCity sized maps, encompassing multi-square-kilometer facilities. These facilities could be themselves valued collectively at perhaps $2 trillion dollars.
Oil Refineries: $2 Trillion
Free energy devices, usually producing no immediately meaningful pollution, would also immediately replace all non-free power plant facilities. This means that all nuclear plants, and the world has over 400 operational nuclear reactors, with many plants having up to 4 reactors or more at a plant, with dozens of nations from Uruguay to Malaysia having plants. There are also hundreds of research plants, fuel processing facilities, refining plants, and uranium mines and their industries. China plans to open 2 new plants per year until 2020, according to the 2004 GE symposium. Note that Turkey Point nuclear plant in Florida was hit by Hurricane Andrew and shut down, while Three Mile Island and Chernobyl both had nuclear accidents, and both plants attempted to conceal the news!
A nuclear plant is 1:1.3 efficient, about 23%, and each KW capacity costs around $3200. This would make a 650MW plant cost a hair over 2 billion dollars. The world's collective energy production nuclear power plants probably cost in the vicinity of 800 billion dollars. The average nuclear power plant is not profitable until its 17th year of operation because of energy costs. The majority of nuclear plants are owned by private companies.
Geothermal energy could replace this cost without polluting, and could potentially decrease volcanic and earthquake activity. The majority of earth's caloric heat comes from earth, not from the sun. Geothermal energy is also $~2800/KW capacity, beating nuclear by a fair margin and producing no meaningful pollution.
Add onto this the world's coal plants. According to this site, 54% of American energy comes from coal power. We have 600 coal power plants in America, which produce more radiation from carbon isotopes, than nuclear plants produce in pure radiation, although nuclear waste is highly concentrated, and nuclear plants purposefully release radiation into the environment on a biweekly basis. According to wiki, a 500MW plant costs $650 million, and we have some 600 of them. As of 2004, a coal plant cost $1300/KW capacity. These plants and their background mines and refineries add up to $390 billion. They are all infrastructure, and free energy would turn their value to $0. Assuming that other nations combined have only about equally as many coal plants as America has, plus $20 billion in infrastructure, the total springs to $800 billion.
Alternative energy projects such as wind and solar plants would also likely become illusions. It is more probable, given the assumably probable existance of sufficient alternative energy technology, that wind and solar power are entirely red herrings, and designed to down-market non-oil power sources, and distract those who would search for alternatives with the 'likely competetors'. Yes, solar and wind power suck and cannot meaningfully replace oil or coal or nuclear power at their current production levels and our current demand. They will still be useful for low-draw operations.
World Coal and Nuke power plants: $1.6 Trillion
Then consider our automotive industries and oil companies and their factories and all cars on the road. As of Y2K, 51 of the 100 largest economic entities were corporations, not nations. In 2000 GM had a net worth of $176 billion dollars, ranking #23, just behind the nation of Turkey, and beating out the whole country of Denmark, with a $174 billion economy. Exxon-Mobil was #26 with $163 billion. Ford Motor was #27 also at 163 billion, and Daimler Chrystler was #28 at $160 billion. Poland was #29 at $154 billion. Mitsubishi and Toyota are #38 and #39 with $117 and $116 billion each. Royal Dutch is #43 with $105 billion. Israel is #46 with about $100 billion. BP is #56 at 83 billion, Volkswagen is #58 with 80 billion, and from there it becomes loose change with Honda and Nissan ranking #78 and #80 pulling in ~55 billion each. Also on this list are Boeing, Deutsche Bank, State Farm Insurance, Bangladesh, Fiat -#85, 51 billion, Toshiba, Siemens, and Mexico, which has an economy about as large as America's annual debt of $~500B. America's GDP in 2000 was ~8.7 trillion dollars. Today it is something like $13 trillion, but in American dollars, which is about equal to 8.7 trillion USD2000.
These figures are for the year 2000. Since then these companies have all grown at a rate of perhaps 4% per year, while the average salary has risen 0.3% per year for the past 25 years -NPR interview. Inflation defeats this salary increase. Cost of living has also increased. The collected major oil company annual sales on this list were $350 billion dollars. Numerous smaller companies, such as Venezuela's state oil company, and other traders, were not on this list, and presumably would bring the total oil revenue to ~450 billion dollars, when oil cost about a buck a gallon. Remember gasoline cheaper than bottled water? The total number of car sales in the year 2000 for the major companies listed comes to $973 billion, with total world car sales probably leveling out at $1.1 trillion dollars, that year. The world spent $1.095 trillion on armies and weapons and wars in 2005, I believe. In the years since 2000, with these companies growing at 4% per year would place their total revenue for 2006 at around $1.9 T in 2005-6.
All oil companies and their affiliated gasoline stations would become $0 value in the event of water energy. All automotive companies would need to scrap the majority, let's call it 85%, of their factories and lineup processes. All carburaters and fuel injection systems would need to be retooled, all exhaust systems rendered worthless, and likely new fuel cell and other technology items spliced in their place. Please note that these companies often have subcontractors whom are not listed in their revenue tree.
Actually, it is likely that only about 85% of automotive company sales and efforts would be destroyed per year, until it becomes fiscally impossible to continue production. This would take about 1-2 years. A market for replacement parts could continue for 10-20 years.
Also note that all oil traded in the world comes in Dollars, not Euros, not Yen, not Yuan. This conversion process is very lucrative for Americans and dollar traders everywhere. One of the major concerns of Saddam Hussein's regime was that he wanted to trade in Euros for the first time in 2003, shortly before we invaded him. Other media recently [October 2006] says that he had issued statements that he would cooperate fully with American forces shortly before our invasion, but that George Bush refused to acknowledge these statements.
Automotive and Oil sales: $1.9 Trillion
All passenger and cargo and other jets would need to be refitted, again at 85% of fleets or more per year. Fortunately, we are approaching the era of hypersonic scramjets, which run on hydrogen fuel anyway. Most alternative combustion fuel production methods would just make this process easier. However, the aerospace industry is a multi-billion dollar economy, and Boeing was listed in 2000 asa #74 with $58 billion. It's major competetors, Airbus, and other world companies, and passenger jet companies, would face major losses to the measure of billions-touching-trillions. The American military receives nearly $500 billion annually and has hundreds of petroleum fuelled jets. NASA's rockets and all our ~500 football field sized ICBMs, other missiles, military hardware vehicles, and a majority of our nation's warships are also fuelled with petroleum products. Some of our warships are nuclear powered. They would face special challenges that might make replacing 85% of them or more annually difficult to agree with. I am not counting military expenses apart from the annual budget, only geopolitical tactical considerations.
Aerospace Industry and Jets: ~$2 trillion + military
This brings the grand total of loss of capital and expense for the introduction of alternative fuels to ~$107.5 trillion dollars, not counting accumulated coal, natural gas, and uranium resources. Also on this bill are the 1st world's supremecy, as no one anywhere in the world would ever want for electricity ever again, which could easily produce virtual economic autonomy everywhere. In the event of such economic exuberance, the American Federal Reserve would lose all control over the value of the dollar and all world currencies, companies would no longer be able to maintain their obsoleted patents, factories and industrial magnates would no longer be able to maintain natural monopolies from costs of production, since the cost of production would decrease so rapidly and far from "removing" the energy market basically in its entirety, any person with such a machine and a modest amount of capital could start any production facility they chose.
The value of the commodities that capital could buy would also be deflated preposterously because of the corresponding industrial explosion from eliminating the majority of the cost of energy-intensive production efforts. Heavy industrial efforts, such as producing carbon fiber, would become cheaper than producing steel. Automotive and generating engines using the new technologies would become as expensive as the cost of their natural resources, plus tooling, plus profit of 8-10%, and still cost a fraction of what they do today, in 2006, in terms of manhours of labor and dollars. Natural resource harvesting, of plentiful metals, minerals, lumber, hemp, crops, could all be accomplished using non-polluting, free-to-run-continuously-and-for-years engines that themselves would eventually be made using robots.
Robotics could easily flood the market with any level of goods of any type within years. Maintenance of automated industrial production would become the major time and labor consuming cost of indsutrial production. Entrepreneurship and competition would become pure in almost every field because of the reduction of business expenses and cost of living.
The political and economic upheaval of the process would almost certainly bankrupt Duke Energy, the IMF and World Bank, most automotive production companies who do not embrace the shift, most financial institutions who do not embrace massive currency chaos, deflation and adjustment, and likely some major retailers unless they shift tactics. Any company that stands in the way of this shift will be brushed aside eventually either by the grinding halt of peak oil, or by the amazing tide of free water energy. You have until ~2010 at the very latest.
The Kyoto Treaty will be meaningless, no company will be able to produce a sufficient amount of CO2 to pollute the world substantially. Major polluters will be put out of business by more efficient and cleaner technologies. These new technologies will probably allow us to easily research new ways to clean up wastes and toxins and new medical procedures to treat diseases. Unfortunately, and depending on the level of chaos, returning to this level of infrastructural articulation will probably take 5-10 years after these shifts, which will themselves probably take 5-10 years, beginning as soon as water technology breaks out industrially, or as soon as we invade Iran or another oil entity, or ~2008 when peak oil will otherwise arrive.
This will cost us $107.5 trillion imaginary dollars, which represent potential labor, which will be replaced by an economic and social utopia. Your strength will be meaningless in this economy. Only your skill will be worth rewarding. A dollar will not produce an ear of corn that no one tended to. An existing machine could shovel a ditch for zero net units of energy. You can only trade a dollar for labor. Natural resources all belong to the ground. The ground and we, who came from dust, belong to God.
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