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Peak Problems

Introduction

Peak points come into place when talking about to fossils. First of all, this is because fossils occur naturally and can be easily replenished (Ayuma 2000). Exact prime dates are difficult to predict. The difficulty exists because of the extraordinary geological complexities, demand elasticity, political influences among others. Peak oil is always a point in time, when the global oil production reaches its maximum rate. Peak phosphorus is also a point in time, where the maximum rate of international phosphorus production is under realization. Peak points give way to recession, which is not a desired state (Jeff 2000).

Phosphorus is an essential part of living things together with nitrogen and potassium. Three hundred and fifty two million tons are essential in production of sufficient algae to stand in for oil derived fuels. Phosphate could also be extracted from burnt and dried algae. This suggested substitute for conventional oil and phosphate that are difficult to achieve with the growing world population. Moreover, the growth in population leads to high oil and phosphorus demand, thus, leaving small amounts to be used for the growth of algae. Phosphorus is essential majorly in agriculture, when it comes to the manufacture of fertilizers, which are necessary for plants growth.

 

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Summary

Since peak always leads to recession, the forces of demand and supply end up contradicting. As demand rises due to population increase, supply declines due to resource depletion. Thus, it simply means that oil and phosphorus will be expensive to acquire and limited too. At peak phosphorus, the supply of phosphate will be below the limit. This renders some fertilizers phosphorus free and, therefore, incapable. Thus, it will lead to the reduction of food production, and food products that rely on phosphorus for output, like wheat, will become expensive to obtain. The farmer will, thus, spend more coins to get the fertilizer compared to when he did not expect it. Since the farmer does no intention of making losses, he or she will pass the additional production cost to the wheat supplier who also passes the extra expense to the end consumer.

The price hike brings about the difficulty in obtaining food; therefore, there is a dependence on its substitute. This will make the cost of the replacement climb over, making it difficult for the customer to meet the provisions cost and starve to death.  As for those who will be able to meet the extra cost to get it, the extra coin is a stray from their resources. Therefore, there will be less money in their pockets and less liquid capital in the economy. Such a financial situation brings about inflation.

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Lack of enough phosphorus during peak can contribute to reduced agriculture.  Since agriculture contributes to a reduction in pollution by availability of trees to replenish the polluted air through gaseous exchange, the level of pollution will increase. Trees also cause a lot in maintaining the water catchment areas. If they do not exist because of lack of phosphorus at peak, the water catchment areas will dry up. Dryness will mean little water available to meet the ever increasing demand. Bearing in mind the fact that water is life, many will fail to survive due to lack of it.

Peak phosphorus connects to peak oil in various ways, because the machines that are applied in the mining of phosphorus are oil powered. Besides, the pesticides are used for agriculture, where phosphorus is a significant part of the fertilizer that is developed from crude oil. Farm equipment use oil refined fuels to operate. Thus, it means that peak oil and peak phosphorus might occur at similar times (Ferlin 2008).

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There are many problems associated with peak oil, for example, a rise in oil prices, which arise due to oil distribution not being able to meet oil demand. It happens, because peak oil gives way to recession, where oil supply is limited and because of its scarcity contradicting with its demand. Therefore, it forces the suppliers to spend some extra money in acquiring it. The suppliers then try to pass over the extra cost to avoid making losses. Thus, it makes the product under question so expensive that the ultimate consumer finds it hard to purchase (Jomino 2010).

In most cases, the end consumers are food processors. The processing of some foods requires the use of an oil powered device. In the process of avoiding losses, they will ensure that the cost of food includes the additional fee they incurred. This makes food being essential and, therefore, expensive to buy. Some oil related products, like cooking gas, cooking oil, paraffin, petroleum jelly, body lotions, hair oils among others, will also become costly, thus, making the life of the final consumer a living hell financially (Suleiman 1990).

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Another problem associated with peak oil is the increase in public transportation fare, because oil related fuels that are necessary for the working of public vehicles are shooting up drastically. First of all, this comes about because of the petrol stations passing on the additional fee they incurred, when purchasing the oil to the final consumer. Public means providers are also in the tendency to avoid losses, like transportation costs. Thus, transportation becomes costly for the consumer (Hainja 2012).

Conclusion

It is clear that peak oil can also contribute to urban migration, because peak oil refineries require an additional support to sort out their duties. These refineries, mostly located in urban places, have some job vacancies, which people from the rural areas will apply for. Therefore, this will make these individuals migrate to urban places, which will contribute heavily to dense population in urban places. Since most urban places have limited resources to support its population, this migration will create a twist in its resources, besides since peak oil gives way to recession (Junior 2004). It means lack of employment opportunities, and, therefore, most of these individuals are redundant. These people will be futile, and since they have to endure, they will look for any means of earning a living, even if it means stealing. Therefore, there may be theft increase in these urban places (Junior 2004).

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There is no doubt that peak oil and phosphorus are always intertwining in many ways. It is easy, not necessarily for an economist, to predict eminent, high level of inflation. It goes with no say that we have to stop depletion of these fossil resources to avoid all the mishaps that come with their peak points (Celestine 2000). Some of the ways to avoid overuse are farming methods that aim at reducing fuel, fertilizer and pesticide input, and recycling of phosphorus. Other types of fuels, like bio fuel instead of oil, should also be encouraged (Jonathan 1999).

Therefore, this will assist in effective utilization of fossil resources, postponing their peak points and eventually avoiding the adverse effects that come with them. 

 

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