Global Energy 101or

500 QBTU

Understanding Global Energy

is

Easier Than You Think

GlobalQBTU.com

Information@globalqbtu.com

This presentation was taken from The Global Energy Handbook, available through

Amazon.com, Barnes & Noble and other sources

2

Energy from a Global Perspective

This presentation is unlike any you have ever seen on energy. We take off the rose-colored glasses, we look at energy from a pragmatic and global perspective to give you a basic and essential understanding of:

Where energy comes from and how it is used

Why the demand for energy is always increasing

Why conservation and efficiency are not solving the problem

When reading about energy do you ask

―but what does this really mean?‖

Then you should find this presentation to be useful

This presentation will change the way you

think about our global energy situation

Some Questions Addressed Here

The answers to these questions will surprise you,

they are not what you would normally think

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Can energy be described in a simple, more consistent way?

What is the difference between energy production and energy consumption?

Where is most energy actually consumed?

How much energy is used by households and autos?

How much have energy costs really increased?

What if everyone drove a fuel-efficient car or switched to fluorescent bulbs?

How much can solar and wind really do for us?

Why is the demand for energy always increasing?

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Why can’t energy be explained in

simple, consistent terms? It can . . .

Are You Confused About Energy?

32 Billion barrels of oil yearly!

1.7 Billion gallons of gasoline daily!

67 EJoules of electricity yearly!

6.5 Billion short tons of coal yearly!

370 Gigawatts of nuclear power!

9 Gigawatts of solar power!

etc., etc. ……!

A chart used to explain energy (DoE /EIA/Sandia)

No wonder; the way energy information is presented has us all

confused, it might as well be written in a foreign language

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The BTU is a relatively small amount of energy; a canof soda contains about 150 Calories or 600 BTU

Global energy is measured in quadrillion BTU or QBTU*

The U.S. Energy Information Agency (EIA) uses QBTU

The only thing you will need to keep in mind is:

Millions > Billions > Trillions > Quadrillions*

106 > 109 > 1012 > 1015

The BTU Approach to Global Energy

Global energy production is approaching

500 QBTU per year

The BTU approach allows you to see the whole

global energy picture, not just pieces of it

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Total energy produced is referred to

as Prime Source Energy or PSE

Global Energy Production in QBTU

Oil – 189 QBTU

Gasoline – 75 QBTU

Electricity – 64 QBTU

Coal – 130 QBTU

Nuclear – 28 QBTU

Solar – 0.02 QBTU

Here is the energy data

given earlier, but now in

consistent QBTU terms

Here are the prime

sources of global energy

Note the relatively small percentage

of “alternative” energy sources

0

50

100

150

200

250

QB

TU

Global Prime Source Energy QBTU per Year

500 QBTU

87% Fossil

1.6% Alternatives

5.5% ea.

7

0

100

200

300

400

500

600

700

800

900

1000

1960 1970 1980 1990 2000 2010 2020 2030 2040

QB

TU

Figure 2-6: World Prime Source Energy Growth (from EIA Fig 10)

Where we

have been

Where we seem

to be going

2.0 % Yearly

Growth

470 QBTU

How Fast is Global Energy Use Increasing?

500 QBTU

The answer: very fast

(More about this later)

220 QBTU

8

500 Q

End-use energy consumption is only 74%

of total global energy production

Lost

Energy*

QBTU

307 Q

193 Q

Gasoline, diesel,

fuel oil, natural gas,

coal, biofuels, etc.

Electricity

Generation

Directly

Used

Energy Production and End-Use Consumption

Consumed

Electricity

129 Q

64 Q

372 Q

Total Energy

Production

Electricity

Generation

End–Use

Consumption

307 Q

64 Q

Direct-Use

Consumption

Electricity

Consumption

Energy production and end-use consumption are not the same

thing; these often get confused in media reporting

* Energy conversion, reserves, transmission losses

Total End-Use

Consumption

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To ElectricityGeneration

DeliveredElectricity

193 Q

The Significance of Electricity Losses

Consider this next time you look at your electricity

bill or read something about electric cars

QBTU

129 Q

Lost

64 QEnd-Use

Consumption

Energy Conversion,

Reserve and

Transmission

Losses

For every kilowatt-hour of electricity used, three

kilowatt-hours of energy are required to produce it!

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Industrial Transport Residential Commercial

QBTU

Where Global Energy Goes

4 Q

246 Q

103 Q

93 Q

58 Q

Energy losses129 QBTU

59 Q 37 Q28 Q

The industrial and commercial sectors

use the lion’s share of global energy

Global energy users are divided into four major sectors; industrial, transportation, residential and commercial

500 QBTU Total

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Home

Heating

Air

Condition

Appliances

Plus*

Home

Lighting

32 Q9 Q

27 Q6 Q

500 Q

All Global

Energy

Residential Energy

Households use 19% of all global energy

(11% for electricity, 8% for heating fuel)

Water

Heating

Clothes

Dryer

13 Q 5 Q

QBTU

Residential

Sector

93 Q

55 Q Electricity - 11%

25 Q Natural Gas – 5%

11 Q Fuel Oil – 2.2%

2 Q Biofuel – 0.4%

18%

92 QBTU total – 19% of global energy

* kitchen appliances, electronics, indoor and outdoor tools,

yard equipment and anything else that plugs-in

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Electricity

Generation

Residential

Electricity

Residential

Lighting

193 Q

55 Q 7 Q(1.4%)

500 Q

All Global

Energy

Electricity Flow-Down

Residential lighting accounts for

only 1.4% of all global energy

QBTU

Home lighting is 10 to 15% of residential energy,

but how much is this in terms of global energy?

11%

surprised?

39%

To answer this we must turn the telescope

around and look at entire flow-down of

global energy, not just home lighting

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What you don’t see directly:

Typical family’s share of all

energy used in the U.S.

What you see directly:

Utilities and gasoline bills

U.S Overall Energy Consumption

We consume three to four time more

energy than we think we do

In millions of BTU (MBTU)

Everything else:

Consumer goods and

services

Government

Education

Health

Food

Clothing

Entertainment

Travel

etc.

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0.00

0.02

0.04

0.06

0.08

0.10

0.12

0.14

0.16

0.18

1970 1975 1980 1985 1990 1995 2000 2005 2010

Dolla

r per

Kw

t hr

2008 Adjusted

Dollars

Then Year

Dollars

Figure 5-7: Electricity Rates - Inflation Adjusted

energy data tables>inflat

They haven’t; electricity rates have generally

been coming down since 1980

Electricity Rate History

How much have electricity rates increased, relative to inflation, over the past three decades?

2010

2010

surprised?

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All Fossil Oil Transport Gasoline Motor Vehicles

436 Q

189 Q

97 Q 76 Q61 Q

500 Q

All Energy

Petroleum Energy Flow-Down

Motor vehicles use only 12% of all

global energy production

QBTU

Yes, we use a lot of gasoline, but the real

question is; how much global energy is

actually used by motor vehicles*?

* cars and light trucks

12%

surprised again?

To answer this we must turn the telescope

around and look at the entire global energy

flow-down, not just the use of gasoline

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The cost of gasoline is now back at the

―Energy Crises‖ peak of the early 1980s

Gasoline Cost: Inflation Adjusted

2010 Adjusted Dollars

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0.00E+00

5.00E+03

1.00E+04

1.50E+04

2.00E+04

2.50E+04

Gasoline Lithium-ionadvanced

Lithiun-iontypical

Ni MetalHydride

LeadAcid

BT

U p

er

Lb

Figure 6-3b: Energy Content for Battery Types Compared to Gasoline

ev battery chain>auto

Energy Storage: Batteries vs. Gasoline

The specific energy of our most advanced

battery is still far below that of gasoline

Think about this the next time you read something about electric vehicles

GAS

BATTERY

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Yes, costs are coming down for solar and wind, but

Solar and wind can only produce electricity

They are only part-time workers

There is no viable way (yet) for mass storing their energy

Because of these inherent limitations, solar and

wind can only be supplemental energy sources

Electricity generation requires about 40% of global energy

production

Assuming (optimistically) that solar and wind combined work at

least 40% of the time, then by simple math;

40% x 40% equals 16% of our global energy needs

What can solar and wind energy do for us?

at least until massive storage capability becomes a reality

Solar and Wind Energy?

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Growing biofuels requires large amounts of farmland

which otherwise could be used to grow food

Relatively large amounts of energy are required for production;

(60% of the energy in ethanol is fossil fuel based*)

Biofuels can only be a supplemental

source of global energy

What can biofuels realistically do for us?

Cellulosic plant sources grown on marginal land and low-energy

production techniques (termites, algae, bacteria, etc.) to produce

biofuels remain a future possibility, but until then . . .

* Official USDA output/input production ratio of 1.67 (disputed by many as being too high)

Biofuels?

Costs are coming down, but

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Energy Savings Initiatives: Looking Back

We are now using energy 2 to 3 more efficiently, but

consumption continues on its relentless rise

Since the early 1970’s great strides have been made in conservation, efficiency and public awareness of energy

Auto mpg has doubled

More efficient appliances

Building codes revised

Clean Air Act initiated

Recycling becomes routine

Earth Day & Earth Summit

Drive less, car pool

Lower our thermostats

Use fluorescent bulbs

Get energy-eff. windows

Buy a fuel-efficient car

Use a clothes line etc.

500 QBTU2010

220 QBTU1970

720 QBTU2030

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Energy Demand Keeps Growing Because . . .

“Energy does not hold still while we try to fix it”

Nearly two billion people still do not have electricity

Several billion others would like to own an automobile

Billions more would like to have bigger, better homes

Everyone would like to become big-time consumers like us

Can we blame them?

Yes, the worlds population is increasing, but the demand for

energy from those of us already here is increasing even faster

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Most energy use is considered necessary and useful,

at least by those using it

Most energy savings initiatives focus on our cars and homes, i.e.

personal solutions

Personal Solutions Are Not Working

Global energy demand is increasing at 2.0% yearly

despite all of our emphasis on ―Personal Savings‖

Do you know of anyone who thinks they waste energy?

But most energy is consumed in the Industrial and Commercial Sectors (i.e., on the goods and services we buy)

Conservation and improved efficiency have not translated into reduced energy consumption

Personal energy savings, although helping, are not solving the

global energy problem

What if every household in the world switched from incandescent bulbs to

fluorescent light bulbs?

Global energy consumption would be reduced by 3.5 QBTU or 0.7%

Some What-If Examplesfrom the Global Energy Handbook

What if every family reduced their household electricity consumption by 10%?

Global energy consumption would be reduced by 5.5 QBTU or 1.1%

With the demand for global energy increasing at 2.0%

yearly, savings like these are quickly washed away

23

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Today there are over 800 millioncars in the world

Looking at gasoline savings alone does

not give the whole energy picture

Some What-If Examplesfrom the Global Energy Handbook

What if average auto fuel-efficiency went from today’s 22 mpg to 44 mpg by 2030

2010 2020 2030

QBTU

If mileage rose to 44 mpg avg.

If mileage stayed at 22 mpg avg.

500 Q

720 Q

680 Q

Unfortunately, global energy consumption would not be reduced, only slowed down slightly

The other uses of energy (non-auto)will continue to grow, regardless

By then (2030) there will be nearlytwo billion cars in the world

It will take about 20 years for theworld fleet to reach 44 mpg avg.

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Near-Term vs. Long-Term Solutions

In discussions on energy many will say ―not to worry‖;

everything will be run using renewable energy sources —

solar and wind with mass storage capability; biofuels grown

on arid land; platforms in space beaming down energy and

nuclear fusion.

Do not deny the possibility of these, just point that they are

far-term solutions, hopefully for our grand children or their

grand children, they are not near-term solutions

In most discussions on global energy the first casualty

is the distinction between near and far-term solutions

The global energy perspective given here is for the near-term;

the next 30 years or so when diminishing fossil-fuel supplies

combine with the dire predicted effects of greenhouse emissions

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Energy Consumption vs. Consumer Spending

At the same time we are also bombarded to consume more: designer clothes, the latest high-tech gadgets, fast foods, new and better cars

Unfortunately, energy consumption and consumer

spending are two sides of the same coin

Energy consumption is bad

Consumer spending is good

a least in the way our global

economy is currently structured

Energy and spending are treated as two separate things in the media:

We are constantly bombarded with pleas to save energy:

drive less, turn down the heater, shut off the computer, use

fluorescent bulbs, install energy-efficient appliances

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What Do You Think?

If you like the way global energy is

presented here go to

gloalqbtu.com

To contact the author with

questions or comments go to

information@golbalqbtu.com

You now should have a better understanding of global energy

You should see why conservation and improved efficiency

have not been able to reduce the demand for energy

You should see why the solution goes far beyond the

commercial and political slogans we hear daily

And freely pass this on to anyone else that may be interested

This presentation was taken from The Global Energy Handbook, available through

Amazon.com, Barnes & Noble, Robertson Publishing and other sources

28

GlobalQBTU.com

Information@globalqbtu.com

This presentation was taken from The Global Energy Handbook,

available through Amazon.com, Barnes & Noble, Robertson Publishing

and other sources