Media coverage of Peak Oil debate increases

Back on August 3 when the price of oil rose to $62/barrel, the Watchdog raised the issue of alternate fuels such as ethanol and biodiesel. On August 16, we speculated on how high fuel prices might impact on rural communities.

ABC ONLINE now reports that The RACV says some low income earners in country Victoria will be forced to keep their cars off the road if petrol prices continue to rise.

The Australian media has certainly increased its coverage of the Peak Oil debate and alternate energy options. Here are the news items for just one day (29 Aug 2005):

---

ABC ONLINE reports:
United States crude oil futures surged more than $US4 in opening trade on Monday, hitting a record high above $US70 a barrel after Hurricane Katrina forced Gulf of Mexico producers to shut in more than a third of their output.

ABC ONLINE reports:
Rising oil prices shake ASX. The Australian share market has slipped as skyrocketing oil prices prompt fears of a dampening in the global economy.

THE AGE reports:
Air New Zealand says soaring jet fuel prices could cut its earnings by 40 per cent in 2005/06.

THE ADVERTISER (Adelaide) reports:
SPENDING on retail goods softened in July as rising oil prices hit consumer confidence and prompted households to cut back.

THE COURIER MAIL reports:
THERE'S a band of 53 Suncorp Metway agribusiness staff who are encouraged to fill up their cars with ethanol-blended fuel.

THE AGE reports:
AUSTRALIA'S nascent biofuels sector will take a step forward today with the launch of the $37.6 million float by Axiom Energy. Following the float, Axiom will take possession of a Laverton plant that produces 10 million litres of biodiesel a year from waste cooking oils and expand it to a capacity of 100 million litres by July. Axiom will also build two plants producing low sulphur diesel from waste plastics on the same site.

---

Summary

With fuel prices reaching $1.32/litre in Sydney, the experts tell us to expect $1.40/litre for petrol within a week. You wouldn't have believed that a month ago!

The news items above show us that as the price of oil rises, the economy becomes more nervous, big business sees loss of profits, the retail industry sees a slowdown and everyone is looking for alternatives.

---

Read: Andrew McNamara on Queensland's Oil Vulnerability Task Force for current government thinking on the Peak Oil debate.
Read: Costello warns over high oil price
Read: Costello defends petrol tax as prices soar

---