The real climate deniers
U.S. President Barack Obama announced what he called an historic climate change agreement with Chinese President Xi Jinping that would cut both countries' greenhouse gas emissions by close to a third during the next two decades. This was considered by some to be a face-saving deal at the APEC trade summit in China. Under the deal, the United States would agree to cut its carbon emissions between 26 to 28% from levels established in 2005 by 2025, which the White House says is achievable. China would get more leeway and agreed it would peak its carbon emissions no later than 2030 but would also increase the use of non-fossil fuels to 20% by 2030.
Of course, instead of engaging potential critics about the merits of the deal, the White House decided to insult them instead. This is always a good thing to do when you are trying to win someone over to your point of view. Instead of saying that the White House was ready to engage the new congress on the deal for the good of the country, the White House instead inferred that "leading climate deniers" in the Republican Party may try to spoil the President's agreement.
The White House, in its infinite knowledge, will argue that it have the moral authority to act because they say that global warming is a "settled science." They will point out that most scientists agree that the globe is warming the same way that 3 out of 4 dentists recommend Crest toothpaste and that 3 out of 4 choosey mothers choose Jiff.
The rebound from 2012's record low comes six years after the BBC reported that global warming would leave the Arctic ice-free by the summer of 2013. Maybe the real climate deniers are the ones that fail to acknowledge that so far the so-called science has been wrong.
From an economic standpoint the deal calls on more comic pain on the United States than China despite the fact that China is a much bigger polluter. Not to mention the fact that according to a report by the International Energy Agency, China will overtake the United States as the world's biggest oil consumer in two decades.
Russia on the other hand is cutting natural gas deals with China that will give them billions of dollars while we here in the United Sates we are cutting deals that will cost us billions. President Obama is one shrewd negotiator. Obama said he hopes the announcement will spur other nations to tackle climate change and if they do I hope they let the President negotiate the deal.
If the deal is done it will reduce long-term demand prospects for oil and coal and may make some investment in energy development be put on hold which may be a mistake if you get the warning from the International Energy Agency in its "World Energy Outlook" report today. They warn not to take the current oversupply of oil for granted. They say that U.S. shale production may be masking the worlds growing need for oil and gas. The IEA says that the "U.S. shale boom masks threats to global oil supply including Middle East turmoil, conflict in Ukraine and the difficulty of unconventional oil production beyond North America. The IEA warns the global energy system is in danger of falling short of the hopes and expectations placed upon it," the IEA said in its annual World Energy Outlook report today. "The short-term picture of a well-supplied oil market should not disguise the challenges that lie ahead as reliance grows on a relatively small number of producers." They warn that the U.S. production of "tight oil" from shale deposits will plateau in the next 10 years and eventually fall.
They also say that global oil demand will rise 16 percent to 104 million barrels a day in 2040, compared with 90 million last year, the Paris-based adviser to industrialized nations said. The pace of demand growth will slow to 1 percent a year from 2025 after climbing more than 2 percent annually in the last two decades developing nations of Asia will account for 60 percent of total demand growth in the period said. Oil use will probably decline in members of the Organization for Economic Cooperation and Development, which includes the United States, Germany and Japan. "For each barrel of oil no longer used in OECD countries, two barrels more are used in the non-OECD counties."