Oil and rail

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frank

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If you read the daily tribune or e-zine, or follow c-span, you'd probably believe, and maybe rightfully so, that Amtrak is about to expire. Extinction. Extinction happens when a system is annihilated, either by nature or by man-made circumstances. George Bush, in my mind the least forward thinking president in modern times, is attempting to annihilate Amtrak. And the sad fact about extinction is that it is final. Species can't be brought back from extinction. It is doubtful that Amtrak could be brought back either. It's a sad fact.

However, leaving Mr. Bush's and Mr. Mineta's arguments about a national rail service's ability to turn a profit far behind, as any person of meager intellect knows that this is an oxymoron, let's examine what lies ahead for Amtrak, or rather, for any national rail service with the upcoming, undeniable tribulations.

Times are changing rapidly. The availability of fossil fuels is dwindling. It's a bell curve, and we're either at the peak, or sliding down the backside now, depending on who you study. This is not an energy crisis. It's a change in the way civilization is ordered. But we all know down deep that we can't continue building and devouring Mother Earth as we have since the start of the industrial revolution. Down deep it must register that however painful this situation is, these things are or should be expected, or that it's simply natures way of balancing. As the Hopi Indians would say...."koyaanisqatsi", i.e. "a way of life that suggest a new way of living".....or simply, "life out of balance". I can't in my wildest dreams imagine anyone arguing otherwise.

Geophysicists concur that we are at or very near peak production of petroleum. That means that it's all downhill from here. Prices will continue to rise, albeit with some price volatility along the way, until we no longer have oil to fund our out of balance lifestyles. According to a state department white paper, the first expected signs are now showing up, the doubling of crude prices in just 2 years. The airlines are now showing their first signs of the extreme peril lying ahead. Just this week, Air France-KLM, the world's largest airline group, announced a $7.6 million dollar loss for January-March, even though revenues were up 5.4%. Hey folks, this isn't rocket science...hey!... for once it is rocket science! This loss is due to fuel costs. Are fuel costs going to decline? Maybe slightly, very short term, as there has been a small decline in crude prices over the last week or so.

But....and it's a big but, are they going to decline to levels when airlines were profitable? To levels half of what they are now? Doubtful. Other than a new wing design expected to streamline performance, there aren't any alternative technologies for jet engines like there are for cars and trucks such as hybrid or hydrogen. When you consider a flight from London to Bombay will typically burn 185,000 pounds of jet fuel, it's easy to see how this scenario can't be maintained in the face of perpetually climbing prices and downward supplies.

Now I'm sure you're asking....what does this have to do with railroads? Plenty. As you all know, rail travel, whether freight or passenger, is by far the most cost efficient means of transport available. I'm not interested in getting bogged down in dollars per person per mile here. I am well aware that Amtrak and other railroads are plagued by big labor and bureaucracy. I was raised with this stuff. I'm not just a railfan, my father was a former president of the Federal Railroad Administration, and I heard discourse after lecture between pass the peas and potatoes about labor and management and profitabilties. For a youngster, it was an education and indigestion all in one on many nights.

You would expect that since America is the largest producer of oil in the world, just ahead of Saudi Arabia, we would be faring well in this global dilemma. But we are also by far the largest consumer of oil, not by slim margins, but by Herculean proportions. Check this out....the United States produces 11.7% of the world's oil, and yet we consume 25.3% of the world's oil. Deficit? I reckon.

Compare this to other nations:

Saudi Arabia....produces 11.3%....consumes....1.9% OK, they're a kingdom, it doesn't count.

Russia....produces 10%....consumes....3.3%. Ouch.

Mexico, our labor force to the south, produces 4.7%....consumes....2.5%. Ouch again.

Iran....produces 4.6%....consumes 1.7%.

Americans are accustomed to having Lincoln Navigators and Cadillac Escalades to run the kids to soccer, or to go to the drug store for q-tips. Our dependence on oil reminds me of a heroin addict. He knows that what he's about to shoot will be short lived, even to the point that he's already starting to wonder where his next fix is going to come from. It's becoming painfully obvious of late that this situation, just like the difficulties the airlines are experiencing, is starting to smite the big 3, as SUV sales are plummeting nationwide. For the first time in history, Ford and GM's stock hit junk bond status, mostly because of SUV sales being down due to higher fuel prices. The value of used SUV's is dropping like a sack of bricks, also due to these factors.

So, now to the reincarnation of the guilded age of America's railroads.......how I wish. The truth is, the golden age of rails was a thing of beauty unsurpassed in America's short history. Being a lover of fine architecture, I place the streamliners pulling away from magnificent halls such as Union Station in D.C., with it's white granite and classic lines, as one of the prettiest sights in all of American history, right up there with the black and white photo of a native American in war paint. A national treasure.

Speaking of North American history, few would argue the impact that the rails have had on this nation's past. Having said that, I believe that America's rails are poised to once again establish themselves as a much needed, if not totally indispensable means of transportation. It probably won't be of the lavish, no expense spared gleaming art deco approach of Budd or Pullman. It will be the ability to move thousands of people hundreds or thousands of miles relatively efficiently all around this nation.

When oil availability starts it's descent, which again is only a matter of time, the airlines will be the first to go. And as I said earlier, they will go....poof! Like the dinosaurs. Exctinction. Next will be light trucks and automobiles, at least as we know them now. Right now, 67% of personal automobile travel and 50% of airline travel is discretionary. This will dry up quickly. As the aforementioned state department white paper states, unless we have a full decade to adapt our technologies before the peak in oil production hits, there will not be enough time to alter the grave consequences. You just can't get everyone to go out and by a hybrid vehicle all at once, and at present, there's no retrofit technology available. But even if you did, with gasoline prices continuing to climb over the years, who could afford to drive from NY. to La in a car that's even 50% more efficient? BTW, the railroads use only 0.3 million barrels per day, an almost inconsequential amount when compared to other modes of transportation.

I don't want to get into a doomsday scenario here, this is not the point of this essay. If you're worried about that, plant some radishes and carrots and by a 9mm. I don't want to go there. My aim is to point to the absolute and undeniable need for a national rail system. One that doesn't just try and meagerly hold on to what it has now, but one that flourishes and even extends it's reach to new routes, and sooner than later. I personally believe that this is not only common sense, but a matter of national security.

Don't be swayed by the short-sightedness of America's incumbent and his big energy bedfellows. Opening up the Arctic wilderness to drilling will have no effect on this scenario, save for the damage to the environment. It's too little too late. Building new refineries now on the soon to be abandoned military bases will only postpone the heroin fix for the short term. By several accounts, Saudi Arabia has already severely damaged their oil fields by pumping more than was feasible, thereby hastening this scenario. What can be done? I thought you'd never ask. Contact your representatives from mayors on up and explain the need for a long term approach to rail in America. Plant radishes. Start a grass roots movement to turn trails to rails. Grin when you hear the long, long, short, long of an engine. Plant carrots, hell, I don't know. Do what you can. It's in everyone's best interest.

Thanks for your time,

Frank
 
I'm with you, Frank. Well said. This administration is one of the worst we've had. Right now, the big oil companies are basking in record profit and soaking the American public. And the trains, a part of our history and culture, will suffer.
 
If push comes to shove, the entire rail system could be electrified, and with enough nuclear, hydro, and wind power it wouldn't run out of power even after oil is completey gone. Try running an extension cord to that airliner. This is, when you come right down to it, a crisis that completely eclipses Social Security. But this administration won't do a da****d thing about it. Social Security apparently deserves to be dismantled because the Dems started it. Big oil folks are W's friends so nothing whatever will be done about that. Remember the increases in fuel economy for new vehicles that the Clinton administration required from the automakers? W canceled them because it would have cost the manufacturers money. We lemmings are headed for the cliff, with the administration in the lead.
 
American's tend to have short memories. I remember very well the lines in '73 & '79. Plus, how the gov't was going to change things. Ha!

Now, they're buying big gas hogs again. Deja vu?

Anyway, trains are what the future should be in this country. They haul more passengers /mile than any other form of transportation.

I've written Mr. Bush and my Senators regarding my feeling about Amtrak. Let's hope all the letter writing will do some good.

:)
 
I agree with 90% of Frank's post, except the the part of declining oil reserves.

True, the oil companies are posting "record profits" every quarter! :angry: The "primary" reason for the price hike was caused by speculation in the "futures" market. As always, "panic" causes the market to fluctuate and with the political situations in the Middle East and South America, the oil companies took advantage of the situation. Of course, they say that changing from winter to summer gas creates a shortage and the Texas accident factors in also.

But here is the "real truth"! There is enough fossil fuel for the next 100 yrs! The biggest setback is the number of refineries! :huh: The last refinery to open was 1976. Think about it!!! <_< The "feds" have passed so many bills, it's made it impossible to build any major project. It takes 10-15 yrs to get the required permits to get the "go ahead" to make the preliminary proposals!

Don't trust the "Feds" for information. This administration is a bunch of "liers" and spends alot of money to influence what you think!!! :angry:

MJ B)
 
I'm curious where you got the info about their being enough oil for another 100 years. Maybe I read the wrong magazines and papers.

Even if their is enough oil for a while, the US will continue to import more & more oil. Our national reserves are apparently declining. That leaves us open to political and military problems.

:huh:
 
Miami Joe,

I'd be happy to compare sources with you as it relates to peaks in global oil. Most geologists believe that we've either peaked, or will next year or the year after. The most wild eyed optomististic view is of 2025, which is still very close by. That group is in the minority by far.

Amtrak WPK, you are right on with your comment on electrification. One of the saving graces, according to the white paper I referred to earlier, is the fact that most if not all of America's railbeds could be changed over from deisel to electric, to stave off the demise in global oil. America still has the motherload of coal, and this just might keep until alternative technologies come into being.

That concept should be addressed here. Ingenuity has many times saved the day. Necessity is the mother of invention, right? In the past, it usually was. But, this is a problem so big as to need inventions on such a scale as to dwarf anything before now.

This is not a IT problem such as the Y2K type of deal. It is the very framework of civilization as we know it. Our global economies are built upon it. Our global transportation and delivery systems are built upon it. Our agricultural systems are dependant on it. When was the last time you bought a tomato or grapefruit from your locale?

Frank
 
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