All posts with the tag 'AlanBlume.com'

My 2 Cents about $20 A Gallon

Have you read $20 Per Gallon: How the Inevitable Rise in the Price of Gasoline Will Change Our Lives for the Better by Christopher Steiner? It’s a very interesting read as he predicts what the future will look like with rapidly rising oil prices. Like most predictive works, there are some things which seem plausible, and others that do not. His basic premise, the inevitable depletion of oil reserves and incremental rise in gas prices seems very likely. However, there are two key factors that are not truly addressed. First, the author presupposes that there will be no cost effective replacement for oil before gas hits $20 a Gallon, if ever. He argues that oil is so cheap, there is no alternative that could provide a cost effective replacement. I’m not ready to buy into that argument; I believe that a combination of greed and technology (is that contemporary capitalism?) can still provide a viable solution. Secondly, and more applicable to the theme of my blog and upcoming book (Your Virtual Success: Finding Profitability in an Online World) is the extremely positive impact of virtual business on energy consumption. Imagine the reduction in consumption if half of the current workforce worked from home instead of commuting to an office. The reduction in energy consumption would be staggering. Combined with solar, wind, hydro and emerging green technologies, and we could see a dramatic change in consumption. Will this happen overnight? No, but it certainly could happen before we see gas hit $20 a gallon.

Going Postal

It seems pretty strange that the U.S. government still delivers mail six days a week. After all, the postal service has been running at a deficit for years, in some cases, multibillion dollar deficits. At the moment, it does seem reasonable to have mail delivery services a few days a week. After all, we still get some bills and checks in the mail, though the trend is clearly moving to on-line banking and direct deposit. You may receive the occasional important letter or notification, and a favorite catalog from time to time. To accomplish this, according the United States Postal Service Web site (www.usps.com), these items are delivered by, “685,000 career employees and 101,000 non-career staff, making it the second-largest employer in the United States (behind Wal-Mart). The Postal Service employs more workers on U.S. soil than General Motors, Ford and Chrysler combined.” The site goes on further to say, “The USPS operates the largest fleet of commercial vehicles in the country—some 212,000 vans and trucks.” That’s a lot of vehicles, a lot of gas and a huge expense! Imagine the energy savings if we stopped sending junk mail, encouraged opt in email, cut down on the USPS delivery days, and encouraged electronic signatures for legal documents. Imagine the post office needing 100,000 or even 150,000 fewer vehicles! But even this logic is faulty. It won’t be long before most traditional catalogs are replaced by cheaper, faster, better on-line versions. It won’t be long before people stop writing hand written letters and notes. When was the last time your twelve year old wrote a letter and mailed it to a friend? The last time my 20-year-old daughter wrote a letter was six years ago when she was in summer camp and didn’t have access to a computer. My 33 year old nephew receives all his bills on-line, and is still using the same book of traditional bank checks received in his first order. It won’t be long before traditional mail is almost completely supplanted by email, eBilling, Instant Messaging and digital documents. And all of these events will move us into a progressively more pervasive on-line existence and a more environmentally friendly communication and distribution system. Don’t go postal, go virtual.