Final
Economic Development and the Environment
ECONOMIC DEVELOPMENT
Votes:
Action Taken:
<none>
<none>
10:11 AM -- Economic Development and the Environment, Mr. Steve Andrews, American Association for the Study of Peak Oil, and Mr. Matt Baker, Environment Colorado
Mr. Steve Andrews, American Association for the Study of Peak Oil, distributed information on an upcoming Denver World Oil Conference (Attachment D). He began his presentation on how "peak oil" will change our transportation future (Attachment E). World oil production will peak, it is just a matter of when. Some energy analysts predict that world oil production will peak by 2015. He stated that there are 84 million barrels of oil consumed daily, with 21 million barrels a day being consumed by the U.S. The supply of efficient hybrids are having a slow impact. They represent only 0.1 percent of automobiles and represent only a little over 1 percent of total auto sales. A U.S. Department of Energy report indicated that a peak in oil production will cause higher energy costs and volatility and that without timely mitigation, the economic, social, and political costs will be unprecedented. Also, dealing with the problem will be extremely complex and will require a lot of time and money. He concluded by stating that the issue of peak oil should impact the state's thinking about its economic future. Representative Borodkin commented that Colorado needs to think of itself as part of the global economy.
Mr. Matt Baker, Environment Colorado, and advisory board member, discussed the issue of global warming due to greenhouse gases. He commented on the potential affects of global warming on Colorado, including the possibility of less snowpack which will impact the state's water supply, the tourism industry, the agriculture industry, and the overall economy. He provided information on certain states that are taking action to deal with global warming. New Mexico implemented a policy to reduce emissions and California implemented a policy to import less energy that causes emissions of greenhouse gases. He stated that global warming could benefit Colorado by increasing economic activity in the renewable energy industry. He also explained that the state needs to consider the issue of global warming when it makes decisions about how its invests in infrastructure.
Mr. Baker continued by discussing the selling of emissions credits by energy efficient businesses to other businesses that do not have the technology to reduce emissions. He explained that Colorado needs to implement a similar policy. Ms. Perez asked Mr. Andrews about the impacts of when oil production declines. Mr. Andrews explained that many groups are considering the issue and evaluating options. He stated that it is mostly a grass roots effort at this time. However, some elected officials are beginning to address the issue. The short-term solution is more efficient use of energy, not alternative fuels. He discussed other alternatives, such as converting gases to liquids for energy.
Representative Borodkin commented on the need to continue discussing the issue.