Slide Show | March 2011
Eight Reasons We’re Using Less Oil
istockphoto
But here's a bright spot: Americans are using less oil -- a trend that’s sure to continue. U.S. oil consumption peaked in 2005, at about 21 million barrels per day, and the trend is expected to continue for the rest of the decade. What's going on? Here are eight reasons America will keep reducing its thirst for oil.
By Jim Patterson, Associate Editor, The Kiplinger Letter
March 2011
Slide Show
Eight Reasons We’re Using Less Oil
Uncle Sam’s Tougher Fuel Economy Rules
istockphoto
Washington isn’t stopping there -- regulators are working on even stricter rules for model years 2017 through 2025, with final targets expected to range from 47 to 62 mpg for cars and light trucks. These conservation moves spell a huge reduction in oil use. Uncle Sam’s Tougher Fuel Economy Rules
Slide Show
Eight Reasons We’re Using Less Oil
Electric Cars: Who Needs Gasoline?
Photo by Mark Finkenstaedt for Chevrolet
Meanwhile, Nissan’s all-electric Leaf and Chevy’s plug-in hybrid Volt run on electrons and never or seldom need gas. Look for more manufacturers to join the electric-car rollout in the next few years, particularly as battery costs decline. Electric Cars: Who Needs Gasoline?
Slide Show
Eight Reasons We’re Using Less Oil
Guzzlers Out, Gas Sippers In
Photo courtesy Hyundai
Until a year ago, the only gas-powered, nonhybrid car in the U.S. that could manage that trick was Daimler’s smart fortwo, a tiny two-seater. Meanwhile, lots of older gas guzzlers were retired as part of Uncle Sam’s recent cash-for-clunkers program. Guzzlers Out, Gas Sippers In
Slide Show
Eight Reasons We’re Using Less Oil
We're Logging Fewer Miles on the Road
istockphoto
The trend continued into 2007 and accelerated dramatically in 2008 -- down to just over 1.6 million -- when expensive oil pushed gas prices over $4 per gallon. The consensus among analysts is that the trend will continue. As the age-old axiom puts it: The cure for high prices is...high prices. We're Logging Fewer Miles on the Road
Slide Show
Eight Reasons We’re Using Less Oil
The Miracle of GPS
istockphoto
Meanwhile, railroads -- also a user of diesel fuel -- are switching to lighter rail cars, more-efficient locomotives and friction-reducing rails to cut their consumption. The Miracle of GPS
Slide Show
Eight Reasons We’re Using Less Oil
Smarter Toll Collection
istockphoto
E-ZPass and other such electronic systems will grow more prevalent as cash-strapped states look for ways to cut toll collecting expenses, including salaries for toll collectors. It’s a small change that can save millions of gallons of fuel each year. Smarter Toll Collection
Slide Show
Eight Reasons We’re Using Less Oil
Switching to Natural Gas
Mario Roberto Duran Ortiz
But vehicle use of natural gas is poised to soar in coming years as new fields are tapped, driving the price of natural gas to rock bottom. It’s cheap, too -- engines burning compressed natural gas cost less to operate than oil-powered models. Truckers are eying a switch to liquefied natural gas that produces the same power as big diesel engines at about $1.50 less per gallon. Switching to Natural Gas
Slide Show
Eight Reasons We’re Using Less Oil
Filling Up with Corn (and Garbage)
istockphoto
Though cars running on E85 get fewer miles per fill-up, the cost of a gallon of E85 is now about 50¢ cheaper than a gallon of gasoline. That’s getting people’s attention. Biofuels will make even greater inroads as production expands from grains to nonfood materials such as algae, switchgrass and, yes, even household trash that’s now thrown into landfills. Filling Up with Corn (and Garbage)
