The price of oil has surged in recent months, producing hardships for individuals and businesses alike. The cause for this phenomenon appears to be mulifactorial: increasing worldwide demand (especially in developing nations), political unrest in oil producing countries, limited refinery capacity, speculation and a diminished U.S. dollar are all playing a role. But, despite the pain levied on consumers, we are, in many ways, beginning to appreciate the true cost of using oil as fuel.
Though I have some personal doubts regarding the degree to which human industry is responsible for global warming, there is little doubt that we are have produced 100% of the environmental pollution; the procurement, transport and burning of fossil fuels have contributed significantly to the pollution and destruction of natural habitat. Recognizing that high oil prices and consumer stress are providing an opportunity, U.S. oil companies are renewing their efforts to drill in ANWR and other environmentally-sensitive areas. But, as we and they know, the benefits from such a policy change would not be realized for years and, by then, the worldwide demand would absorb any increased production.
There is evidence that the higher cost of oil is beginning to change our lifestyle. Auto use is down, train cargo transport is up, mass transit ridership is increasing and the shift to clean, renewable energy sources is getting a much-needed boost. Hopefully, such trends, combined with conservation measures, will end our long love affair with fossil fuels.
