The Multifaceted Nature of Water Scarcity and Energy.

Osmaneque fountains embellish mi kingdom.

One of the major issues that our civilization faces is all about how to manage the precious supplies of water. The society demands water in increasing quantities for irrigation and agricultural production. In particular, countries such as Saudi Arabia will be increasingly put their sights onto desalinization plants to provide for agricultural production. Saudi Arabian desalinization plants are unlikely to provide enough for the country’s subsistence. In addition, there are a great many issues associated with the amount of energy needed to desalinate salt water.

In Saudi Arabia, the black gold will be traded in exchange for wheat and for milk. This will stoke tensions in the royal abode, temporarily sojourn the king’s largesse.

There is a great need to find solutions which will address current water scarcity, especially in these dry countries. To get there, one has to find solutions that provide cheap energy so that irrigation and the water supply for agricultural production can be met. EROI (Energy Return on Energy Invested) will play a key role here – in terms of providing the necessary energy output. Having the means to extract water near urban agglomerations will be an advantage, reducing the cost of energy by source. To give just one example, water supplies are critical for operations and maintenance of waste-to-energy plants.

The pitcher goes often to the well and gets broken at last.

Regions such as the European Union and Russia will be increasingly tempted to upmarket agricultural produce. This may lead to a price spiral. Energy suppliers and agricultural suppliers will have to increase prices further. But eventually oil producers will pay the higher price.

Incredulously, agricultural producers in East Germany benefit massively from recent changes occuring in the commodities markets. Regions such as Mecklenburg-Pommerania in the north-east of the country have large agricultural firms they have inherited from the communist East Germany. Back then, East Germany had collectivist farms that were taken over by entrepreneuerial farmers in the newly reunified Federal Republic of Germany. Due to a shortage of labor and entrepreneurs, farms grew in size. The increase of the oil price makes smaller farms less attractive for profit maximization. Large machinery serves large estates. Wheat is now produced for the global market, and exported to places such as China. The business remains profitable nonetheless.

We will see, due to increasing water shortages and droughts, that agri-entrepreneurs will become very successful business men. Water desalinization will not suffice in the long-term to keep the status quo in oil producing nations dependant on oil exports.

Call me a well.


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