Peak oil and energy policy--a critique
Energy policy has frequently been based upon assumptions about future oil prices. At the end of the 1970s it was assumed oil prices would continue to rise. Now a similar assumption pervades policy design. This article critiques the peak oil hypotheses which lie behind these forecasts and policy beliefs, and considers that, from a climate change perspective, the challenge is too much not too little fossil fuel reserves. The coming of shale gas, its fungibility with oil via the electrification of transport, along with technological advances in increasing the depletion rates of existing wells and new reserves, together undermine that assumption that rising oil prices will rapidly make renewable and other low-carbon technologies cost competitive without subsidies. The paper suggests indexing carbon prices to the oil price, infrastructure investment, strategic storage, and a focus on market failures provides a superior approach to energy policy rather than relying on forecasts of oil prices and picking winners. Copyright 2011, Oxford University Press.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
When requesting a correction, please mention this item's handle: RePEc:oup:oxford:v:27:y:2011:i:1:p:68-91. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Oxford University Press)or (Christopher F. Baum)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.