Tar Sands a Risky Bet for Investors

Long-term, the story is the same, if not worse, for investors. A new report released by Innovest Strategic Value Advisors says that even with a recovery in oil prices, tar sands projects will not be economically viable. It's an analysis that has left investors surprised and perplexed, according to Yulia Reuter, author of the report, who presented it last week at the annual Riskmetrics Canadian Proxy Season Briefing in Toronto.

Solve Climate

The idiocy of burning large amounts of clean natural gas to make large amounts of dirty oil in a way that leads to terrible water pollution, air pollution and habitat destruction simply blows the mind.

Similar Posts

  • British Columbia Introduces a Carbon Tax

    Wow, I am already proud of my future destination, a carbon tax, no less. One that will start off at $10 per tonne of carbon (2.4c per litre of gasoline, or about 9c a gallon) and rise by a factor of three in a few years…

    VICTORIA – Finance Minister Carole Taylor introduced an escalating carbon tax on most fossil fuels Tuesday, one she says recycles revenues back to taxpayers and businesses and is designed to ignite an environmental social movement in British Columbia and across Canada to fight climate change.And she’s handing every British Columbian $100 in June as seed money to get them thinking green.

    The Canadian Press: BC introduces carbon tax, but off-sets increased fuel costs with tax cuts

    The carbon tax advocacy center sets the required starter tax as 10c a gallon, BTW, so this measure by BC is no joke, it’s a serious effort to rein in CO2 emissions from the province. Carbon taxes are in general regressive as they are flat taxes, so the poor pay the same as the rich, but obviously will suffer more. So, what is the BC government doing to ensure that the poor don’t suffer?

    The carbon tax revenue, estimated to hit $1.8 billion over three years, will be returned to taxpayers through personal income tax and business tax cuts, she said.The government will introduce legislation that requires it to table an annual plan that shows how the carbon tax revenue will be returned to taxpayers, Taylor said

    Good words. But Taylor needs to realize that in the absence of well designed tax offsets, the people and businesses of BC will be at a temporary competitive disadvantage. It’s tricky to be an early adopter, but I am optimistic that BC will be the better for it.

    Wonderful, now the rest of Canada (and the US) needs to follow suit. And, I look forward to blogging about Canada already, exciting!

    Thanks of course to the grist for alerting me…

    Update: An economist allays my regressivity and harm to business fears

    Blogged with Flock

    Tags: ,

  • Night Shyamalan was right

    http://www.youtube.com/watch?v=lt5e5axzKBA

    What next, poison that kills entire swathes of people? I know that Night Shyamalan’s The Happening was panned for its atrociousness, but hey, the man is a prescient science fiction turns to fact maven if this story is any indication.

    Plants facing stressful conditions like drought produce their own aspirin-like chemical, US researchers say.

    The chemicals are produced as a gas to boost the plant’s biochemical defences, say scientists from the National Center for Atmospheric Research in Colorado.

    BBC NEWS | Science/Nature | Stressed plants ‘produce aspirin’.

    Methyl Salicylate, or Oil of Wintergreen is what makes Ben Gay!

  • |

    Pollution vs. Development? Hardly!

    It’s clean air vs. TV in poor India village – International Herald Tribune

    Across the developing world, cheap diesel generators from China and elsewhere have become a favorite way to make electricity. They power everything from irrigation pumps to television sets, allowing growing numbers of rural villages in many poor countries to grow more crops and connect to the wider world.

    The headline sucks, clean air vs. TV is not really the choice here. Is the implication that third worlders somehow need to make this a “choice”? It’s not as if the rest of the world has to make this “choice”! They do seem to have both. This is a situation where poor choices are made because of poor infrastructure. Other than the headline, it is a good article because it makes all the right points:

    1. Lack of infrastructure – No centralized power to remote areas
    2. Well meaning, but poorly executed subsidies – Cheap Diesel and Kerosene
    3. Subsidy induced corruption – Diesel/Kerosene pilfering
    4. Top down approaches to development – Throw the money, pay no attention to local experts, don’t follow up, then blame the lazy villagers!
    5. Competition for scarce resources with developed countries – Germany will outpay India for photovoltaics every time.

    Biomass burning as an alternative to diesel?

    Given the popularity of generators, perhaps the most promising alternative is a new type like the one at the edge of the village that contributes much less to air pollution and global warming. It burns a common local weed instead of diesel, costs half as much to operate, emits less pollution and contributes less to global warming.

    The main material is dhaincha, a weed commonly grown in India to restore nitrogen to depleted soils. The dhaincha grows 10 feet tall in just four months, with a three-inch-thick green stalk. Wood from shrubs and trees is used when there is not enough dhaincha.

    I am not a big fan of biomass burning, but using a weed that can be replanted repeatedly seems fairly harmless, especially compared to burning diesel.

    The project has succeeded partly because it has the active backing of one landlord family, the Sharans. Family members have gone on to successful business careers in big Indian cities and in Europe, and have dedicated themselves to helping their home village.

    Local involvement, especially by authority figures goes a long way in rural India.
    China does suggests another way forward.

    China has tried another approach: supplementing an expansion of electricity from coal-fired power plants with cheap rooftop solar water heaters that channel water through thin pipes crisscrossing a shiny surface.

    Close to 5,000 small Chinese companies sell these simple water heaters, and together they have made China the world’s largest market for solar water heaters, with 60 percent of the global market and more than 30 million households using the systems, said Eric Martinot, a renewable energy expert at Tsinghua University in Beijing.

    Not so hot during the monsoon, I guess! I remember a friend of mine having a solar heater in their home in the 1980’s. Their company used to make them, so it is old technology, with price being the prime barrier. It will work as a supplemental source, not as the prime source.

    Clearly, the wider availability and ubiquity of consumer electronics, and electricity-dependent agriculture has outpaced India’s, and to a lesser extent, China’s power infrastructure. It is easy to make a billion television, it’s not quite so easy to keep them powered!

  • Wow, Conventional Milk makes Twins!

    44m.jpgHoly tentacular twins, Batman! This is crazy news, the first study linking the incidence of twins with environmental factors. The culprit is growth hormone fed to cows to increase milk production. According to this Wikipedia article, a third of all dairy cattle use Monsanto’s rBGH (or rBST) brand Posilac®, so obviously, use is widespread.

    FEED – July 2006 (from the Union of Concerned Scientists)

    1. Engineered hormone in milk may be linked to twinning. A recent study found that women who consumed dairy products were five times more likely to give birth to twins than vegan women. The study suggested that the use of engineered bovine growth hormone/bovine somatotropin (BGH/BST) to boost milk production in dairy cows may be related to the higher level of twinning. BGH is known to increase twinning in dairy cows. In addition, the rate of human twinning is twice as high in the United States, where BGH is used, as in Britain, where BGH is banned. BGH affects twinning rate by increasing insulin-like growth factor (IGF), a protein produced in the milk of both animals and humans, that promotes ovulation and may help early-stage embryos survive. A separate study found that levels of IGF were 13 percent lower in vegan women than in women who consumed dairy products. Read a press release about the study, which was published in The Journal of Reproductive Medicine.

    If true, no woman should ever drink “conventional” milk (non-organic, non rGBH free, etc). Twins are fun, I love my twin nieces very much, but they are much more difficult to carry and deliver, and there are more complications.

    Scary, but I suspect this is the tip of the iceberg as far as environmental effects on childbirth are concerned.

  • |

    Common chemicals are linked to breast cancer

    The LA Times features a study arising from the Silent Spring institute.

    Common chemicals are linked to breast cancer – Los Angeles Times

    More than 200 chemicals — many found in urban air and everyday consumer products — cause breast cancer in animal tests, according to a compilation of scientific reports published today.

    Writing in a publication of the American Cancer Society, researchers concluded that reducing exposure to the compounds could prevent many women from developing the disease.

    The research team from five institutions analyzed a growing body of evidence linking environmental contaminants to breast cancer, the leading killer of U.S. women in their late 30s to early 50s.

    Experts say that family history and genes are responsible for a small percentage of breast cancer cases but that environmental or lifestyle factors such as diet are probably involved in the vast majority.

    “Overall, exposure to mammary gland carcinogens is widespread,” the researchers wrote in a special supplement to the journal Cancer. “These compounds are widely detected in human tissues and in environments, such as homes, where women spend time.”

    The scientists said data were too incomplete to estimate how many breast cancer cases might be linked to chemical exposures.

    The resources to come out of this study include two databases, one that summarizes animal mechanistic studies, and one that summarizes human epidemiological studies. It’s a good start and I hope these databases are continually expanded. The study was essentially a big lit review and data organization project.

    There are two major issues with the way carcinogenicity is studied. Firstly, animals other than humans are dosed at high levels to test for possible cancer outcomes. This leaves most researchers vulnerable to the charge that these high dose studies do not translate well to humans because the dose-response relationship at ambient levels is not well studied. So, the obvious criticism is that just because cancer endpoints were seen at high levels does not mean that the same thing will happen at low levels. This cuts both ways, though. We’re seeing with bisphenol A that low doses can cause more harm than intermediate doses. Another issue is the additivity of the interactions. Does 1 “dose” of PAH + 1 “dose” of PCB = 2 “doses” of PAH? We’re exposed to a whole host of chemicals all our lives, who knows which ones add, which ones subtract, which ones multiply, etc.

    Of course, as with most diseases, some macro variables dominate. For instance, the US has seen 8-9% decline in breast cancer incidence recently due to a decreased use of hormone replacement therapy. So, as with all diseases, taking care of some of these big ticket items is very important. One discouraging story I read today reported on a four percentage point decline in mammograms (70 to 66%) in women age 40 and older. Why? decreased access to health insurance and dropping the ball on promotion.

    The depressing fact of the matter is that the boring basics of good preventative healthcare, screening, good lifestyle and diet are the most important factors, and if we take care of these factors, we will make most health issues easier to deal with.