Elegant Distractions

Think Watermellon (green on the outside, red on the inside) energy policies are a good idea? Look at what is happening in South Africa right now and how the domino effect could cripple the entire world economy.

For an exceptional look at what happens to countries where the overall energy policies are dictated by imbeciles, lackwits, and lawyers (although I may be redundant in listing all three), look to South Africa, formerly an economic and industry powerhouse (pun intended) on the African continent. The country is now in a deepening economic crisis because they let all of the released inmates from the environmental asylum dictate policy, didn't build new power plants or maintain the existing ones appropriately, and so now they can't mine gold, platinum, and palladium at anything near normal production rates. A good part of the recent run ups on those metals' prices is because of the reduced production. There are rotating power outages around the country for everyone, and SA industry is being reined in significantly, obviously reducing the quality of living for the ordinary person.

The reductions in platinum and palladium production, BTW, will start to really sting the energy industry soon. Platinum and palladium are essential catalysts in the petroleum industry, and while acting catalytically, are depleted from their substrates or poisoned, requiring replacement of the overall substrate and catalyst periodically. Refineries typically do this at "turnarounds" where pretty much the entire refinery is shutdown for major maintenance, including such things as catalyst switchouts. The increasing costs on rare metals will cause the coming rounds of turnarounds to be much more expensive.

But why are turnarounds important ? Well, here in the United States, certain imbeciles, lackwits and suchlike folk consider that refineries shutting down for major maintenance is all part of a conspiracy to keep distillate (read - gasoline and diesel) prices high. The fact that the refinery capability vs. demand is balanced on a razor's edge in many places (California and greater Chicago area being two fine examples) and that shutdowns are postponed until the last possible moment means that when a refinery goes to turnaround or "crashes", it's a pretty significant event.

And failures at refineries are both spectacular and deadly.

Call me crazy but I really do believe that this is exactly the outcome the Marxists in the the Church of Warmenology are working tirelessly towards. Unable to have totalitarianism and viable economies they are now trying to destroy capitalism from within.