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JFCOM/Mattis on Peak Oil
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At present, investment in oil production is only beginning to pick up, with the result that production could reach a prolonged plateau. By 2030, the world will require production of 118 MBD, but energy producers may only be producing 100 MBD unless there are major changes in current investment and drilling capacity.

By 2012, surplus oil production capacity could entirely disappear, and as early as 2015, the shortfall in output could reach nearly 10 MBD.

A severe energy crunch is inevitable without a massive expansion of production and refining capacity. Such an economic slowdown would exacerbate other unresolved tensions, push fragile and failing states further down the path toward collapse, and perhaps have serious economic impact on both China and India. At best, it would lead to periods of harsh economic adjustment. One should not forget that the Great Depression spawned a number of totalitarian regimes that sought economic prosperity for their nations by ruthless conquest.

The Chinese are laying down approximately 1,000 kilometers of four-lane highway every year, a figure suggestive of how many more vehicles they expect to possess, with the concomitant rise in their demand for oil. The presence of Chinese "civilians" in the Sudan to guard oil pipelines underlines China's concern for protecting its oil supplies and could portend a future in which other states intervene in Africa to protect scarce resources. The implications for future conflict are ominous, if energy supplies cannot keep up with demand and should states see the need to militarily secure dwindling energy resources.

Another potential effect of an energy crunch could be a prolonged U.S. recession which could lead to deep cuts in defense spending (as happened during the Great Depression). Joint Force commanders could then find their capabilities diminished at the moment they may have to undertake increasingly dangerous missions. Should that happen, adaptability would require more than preparations to fight the enemies of the United States, but also the willingness to recognize and acknowledge the limitations of America's military forces. The pooling of U.S. resources and capabilities with allies would then become even more critical. Coalition operations would become essential to protecting national interests.
Posted by: Nimble Spemble 2010-04-13
http://www.rantburg.com/poparticle.php?ID=294552