Monday, January 16, 2012

Global Warming - Financial Investment to 2050


Rev 16 Jan 2012


How do financial institutions invest when it is known that human races are to end 2050-2099 Cristian Era (CE)?

Since European and U.S. world leaders and neo communist politicians are determined to retain national dependence upon hydrocarbon economies (coal, oil, natural gas), while ignoring the obvious ending of human races, the wisdom of any long-term investment is in considerable doubt. Over time, political global warming responses are unpredictable. There is no capable world leadership representing the need of continuing human races.  U.S. politicians and news media are locked into the 2012 CE election campaign. Since the 1990s CE, UN responses to global warming were undermined by the corruption of carbon reduction sounding schemes . There is no economic precedence for end human races institutional investments.

Without now reducing natural and human greenhouse emissions Earth’s average temperature shall soon exceed a level that is capable of sustaining human races. Without political changes, the one hundred and sixty thousand year journey of modern man ends 2050-2099 CE.  Global warming is the world’s greatest growing security threat.

The science of global warming is clear. Global warming greenhouse gas human hydrocarbon emissions since preindustrial 1750s (or since the 1712 Newcomen engine) have increased and accumulated.  In turn, these human hydrocarbons have resulted in increased global temperature (about 0.8 oC) and Arctic subsea permafrost destabilization.  Huge Arctic methane clathrate deposits have increased release of natural methane, which is accelerating the global warming process.  Prior to 2099 CE, even without increased natural methane emissions, human hydrocarbon emissions are projected to exceed life terminating +5 oC temperature increase.  The only thing that is certain about current financial institution investments is that the human races terminate 2050-2099 CE.                

Centres of political and financial gravity for current financial investments should guide strategic investments. Due to global warming, over time these gravity centers will fail individually or in combination until the end is complete:

- Increased negative consequences of regulation (economic)
- Major systemic financial failure (economic)
- Natural and Human Greenhouse gas emissions (environmental) increase temperature
- Global governance failure (geopolitical)
- Water supply and food resources crisis are eminent (environmental)
- Unsustainable population growth (societal) outstrip redistribution of Earth’s resources
- Critical systems failure (technological)
- Persistent extreme weather (environment)
- Extreme volatility in energy and agriculture pricing (economic)
- Increased post 2017 CE costs to reduce global warming temperature increase (economic)  

Since the 1990s CE, alternative renewable energy has been promoted as a political scheme for corruption.  None of the US$100s billions spent on renewable energy projects have REDUCED any amount of global temperature increase. Real responses to global warming have been delayed for decades. The only energy source that has the capability to save human races is nuclear energy.  However, nuclear energy has been renounced by European and U.S. neo communists and too many world leaders. In place of nuclear energy there is carbon-cap-and-trade.  

Carbon markets are part of multinational political corruption and siphoning off funding directed to environmentally friendly sounding projects. Carbon markets across the world were valued at 96 billion euros (US$122.63 billion) last year, up 4 percent on 2010. The value of the EU Emissions Trading System (ETS), the world's biggest carbon market, grew by 6 percent to an estimated 76 billion euros (US$97.08 billion).  Overall traded volume in so-called EU Allowances (EUAs), including options and auctions, reached around 6 billion euros (US$7.66 billion) last year, a 17-percent increase on 2010. The EU carbon market is also the biggest buyer of carbon credits issued under the Kyoto Protocol's Clean Development Mechanism (CDM), which awards rich country investments in emissions-reduction claimed projects in the developing world. U.N.-issued Certified Emission Reductions (CERs) at 17.8 billion euros (US$ 22.74 billions) in 2011. The Kyoto Protocol's Joint Implementation market, which issues carbon credits to emissions-reduction projects in developed countries, saw its value grow by 40 percent to 716 million euros (US$ 914.62 million). The North American carbon market's value also declined, falling to 221 million euros (US$ 282.31 million) in 2011. The carbon markets’ shuffle of carbon credits results in huge politically connected special interest profits.  Carbon markets are the “smoking gun” of government sponsored global warming corruption.  Although the markets are huge, none of the carbon trading has resulted in any REDUCTION of global warming temperature increase.

Left Democrats “stimulated” the U.S. economy with an expensive ‘American Recovery and Reinvestment Act’ (ARRA 2009) that included over $90 billion in unproductive “climate change” alternative renewable energy investments.  However, all Congresses have funded nothing that would reduce global warming TEMPERATURE INCREASE.  Additionally in 2009 CE, although compete the Yucca Mountain project that is necessary for the U.S. clean nuclear fuel cycle was stopped by congressional left Democrat neo communists. It appears that most of ARRA stimulus funding was arranged to feed government funds to left Democrat supporters and voter districts with very little stimulus of U.S. capitalism or reduction of global warming. Congress has ignored global warming to provide for political special interests, which supports a charge of congressional gross political negligence.

The President of the United Sates must task the U.S. Secretary of Defense to provide timely global warming solutions within 2012 CE.

World leaders continue to build hydrocarbon energy plants that results in 2017 CE “infrastructure lock-in” of the global “carbon budget.” Unless there is quick identification of the emerging and future global warming threat, there is now certainty that human races survival ends 2050-2099 CE.  But there is no certainty that the global warming threat is to be soon identified with recommendations. It has been suggested that the U.S. Department of Defence identify and make global warming response recommendations.  However, this is a U.S. election year and little interest in global warming demonstrated by President Obama, or the U.S. Congress, or the media.  Perhaps in 2013 CE or later there might be some political guidance for financial institution investments in 2050-2099 CE end human life.   

After decades of dismantling nuclear energy and increasing nuclear facility costs, the time to complete significant nuclear global nuclear output-increase would exceed 10 years, which is beyond the hydrocarbon energy plants 2017 CE  “infrastructure lock-in” of the global “carbon budget.” Institutional investment in nuclear energy continues to be a risky political investment, which increases certainty of carbon budget infrastructure lock-in.
 
However, hydrocarbon investments due remain supported by many world leaders and politicians.  Investment futures within hydrocarbon energy facilities are supported with favorable regulations and a large union labor force. The investment draw back of hydrocarbon industry is that hydrocarbon investments increase global warming emissions with resultant pulling-in of human life termination-point.  With everyone dead sooner, investors in the hydrocarbon industry receive lower returns on investment.                  

When coal emissions (as it is burned 2000 CE) are considered to be 100, greenhouse gas emissions from nuclear, would be 4. Wind and hydro would also be 4-emissions. Solar is 8 and natural gas is 10-emissions. However, wind, solar, and hydro energy are significantly limited energy sources.  There are substantial releases of carbon dioxide and methane emitted during coal, oil, and natural gas production, distribution, and use. Note that methane's 20-year global warming potential is an interaction with carbon monoxide, oxidants, sulphates aerosols molecules and other chemical actions.  Dependent upon chemical composition of the atmosphere, GWP of methane is 53 to 75 and can be as high as 120 times greater than carbon dioxide (which has a GWP equal one). Methane from natural sources, coal, oil, and natural gas are significant contributors to end human races global warming. All human uses of hydrocarbon coal, oil, natural gas result in increased global warming temperature.    

"We should use nuclear power to reduce global warming"

Letter to Ed SunHerald.com
Friday, Jan. 13, 2012

Congress should move immediately to reduce or eliminate the combustion of all fossil fuels and facilitate procedures to accelerate the construction of nuclear power plants to reduce global warming.

Global warming refers to the rising average temperature of earth’s atmosphere and oceans which is predicted to increase coastal flooding. In the last 100 years, earth’s average surface temperature increased by about 0.8° C (1.4° F).

Studies show that greenhouse gases (and carbon dioxide in particular) are at the top of the list of the energy sector’s environmental impacts, and the source of human-made climate change. The largest source of greenhouse gases is the coal-burning power generation industry. To address the global warming problem, it is clearly necessary to stop burning coal to generate electric power and convert to a process with less carbon dioxide emissions.

A study published in 2000 by the International Energy Agency compared emissions per kilowatt-hour for each of the major sources of energy. If coal emissions (as it is burned 2000) are considered to be 100, emissions from nuclear, wind and hydro would be 4, solar 8 and natural gas 10.  

When considering installing power generating facilities, the “footprint” or actual space or land required must be considered. For example, a 1,000-megawatt nuclear plant or coal burning plant takes up about a third of a square mile, a solar panel array over 50 square miles, and a 1,000-megawatt wind farm requires over 200 square miles.

Another factor to be considered is the amount of waste material produced by each type of power generation. A 1,000-megawatt nuclear plant converts 20 tons of fuel a year into 20 tons of waste. The same size coal plant burns 3 million tons of fuel a year and produces 7 million tons of carbon dioxide, which goes into the earth’s atmosphere.

By RICHARD WALDSMITH
Bay St. Louis

There is not much guidance for financial institution’s global warming investment. Global financial institutions and markets will just have hold back on investments until politicians decide upon the date and regulations for human life termination.