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The cost of oil peaked above $140 a barrel this summer, nearly double the price a year earlier and 40% higher than worst-case scenarios discussed just months earlier. Gas prices followed suit, peaking well above $4 a gallon during peak driving season and sending drivers, carmakers and politicians all into fits. Heating oil prices started climbing to record levels months before heating season.

Jerome a Paris has an excellent (and long) article at TOD about the economics of wind power - The cost of wind, the price of wind, the value of wind. I'd like to try to clear some of the confusion that surrounds the economics of wind power, as it is often fed and used by the opponents of wind to dismiss it. As I noted recently, even the basic economics of energy markets are often wilfully misunderstood by commentators, so it's worth going in more detail through concepts like levelised cost and marginal cost, and identify how different electricity producers have different impacts on electricity (market) prices (which may or may not be reflected in retail prices) and have different externalities. Value for society of a generation source may also include other items that are harder to acount in purely monetary terms (and/or whose very value may be disputed), such as the long term risk of depletion of the fuel, or energy security issues, such as dependency on unstable and/or unfriendly foreign countries or vulnerable infrastructure.

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Getting a solar system installed on your house is decidedly complicated. There is no centralized system, only contractors who you may or may not be able to trust. Prices for installation vary wildly, as do prices for the modules themselves. But in California, where things are getting a bit more consolidated and simplified, one retailer is trying to make solar easy. And it's Wal-Mart. Or, Sam's Club in nine California stores: Corona, Murrieta, Glendora, Ontario, La Habra, Chino, Long Beach, Fountain Valley, and Torrance.

The presidential candidates are stumping hard. And while energy and environmental issues are getting frequent mentions, both the Republican and Democratic leaders are neglecting one area: geothermal energy. It now makes up just a sliver of the electricity generation pie. But experts at the Massachusetts Institute of Technology say that the technology could have far wider applications and be especially useful in times of high energy prices and carbon constraints. Not only is it much cleaner than fossil fuels but it also provides a continuous flow of energy -- all at a competitive prices.

The disconnect between peak oil concerns and the presidential race is almost total. As prices at the pump rise, each candidate is now talking about their so-called solutions to the problem. Despite clear new warning signs from Russia, Saudi Arabia, Mexico, and Nigeria that peak oil is nigh, the candidates remain unwaveringly oblivious to the true causes of rising fuel prices, preferring instead to dwell on irrelevant-actually, counterproductive-measures like suspending the federal gas tax during the summer months or taxing Big Oil. This is akin to putting a band-aid on a melanoma.

In four years, U.S. gas prices have doubled to more than $3.70 a gallon, and crude oil has tripled to around $125 a barrel. Allowing for inflation, that's higher than prices were during the 1978-83 oil shock that triggered a recession and sky-high interest rates. But . . .

The UK government's renewables consultation called for a green revolution in energy. In doing so, it created a perfect tabloid rod for its own back. The proposed cost-to-consumer calculated by the Department of Business were based on the vanishingly unlikely prospect of an oil price as low as $70 a barrel in 2020. Expected additions to UK energy bills, at that oil price, would be 10-13% for electricity and 18-37% for gas, the government said.

As gas prices climb and electricity prices follow, people looking for alternatives are turning to the wind. The popularity of wind energy is growing, but the turbines themselves are shrinking in size and cost, making affordable, personal wind power a reality.