Battery Plants

Saw a friend yesterday whose water business took a tumble thanks to the plague shutting down business offices in our small burg. And though that sounds like the plot for another episode of ‘Your Dystopia,’ he said things were looking up, thanks to a new battery plant opening up outside of an even smaller burg a half hour away. Fossil fuels are not ending, but largely over, we agreed. Electric vehicles are very much the present, I may have said, sitting in a late-model guzzler. My water friend went back to his not-so-late model pickup, but the battery plants hung in the air a little longer, walled gardens of Babylon, with added strife and wi-fi.

What if battery plants were literal? Plants are already perfect energy storage dynamos – we just don’t know how they do it. We understand, but it’s still largely alchemical to us. I looked it up:

Imagine if farmers could grow batteries in their fields. Researchers are taking steps towards at least partially making that green dream a reality by using plant materials to make key components of energy storage devices. Pen-Chi Chiang and colleagues at the National Taiwan University review developments in this adventurous ambition in the journal Materials Today Energy.

“We consider the state-of-the-art challenges and issues for using plant-derived biomass materials for various energy storage applications, such as batteries and supercapacitors,” says Chiang.

Energy storage is an essential requirement for modern life. Without it, we couldn’t have cellphones, laptops, or electric vehicles. From consumer electronics to transportation, electrical energy must be stored and be available at the flick of a switch. Current systems, such as the lithium-ion batteries common in many devices, are made from limited resources, and bring environmental problems associated with their disposal.

Chiang points out that a sustainable future will increasingly depend on replacing existing technologies with those using renewable materials that can readily be recycled without damaging the environment.

One of the most promising approaches towards sustainable energy storage devices is to convert plant biomass into a material called “porous carbon”. This is a form of carbon that can be fabricated into three-dimensional ordered “nanostructures” with a variety of useful electrochemical properties.

I guess nanostructures are going to be our best tickets to being able to produce the capacities of plant lignin. It’s the inverse of why biomass is so hard to breakdown, in efforts tap its energy by making fuel. Seems a folly when you think about it like that. Instead of making fuel, figure how they work as batteries – which we seem to already grasp.

As is so often the case, a matter of which word we emphasize. Thinking big does not have to only mean going to Mars. Maybe if ‘Native American’ were two of the words represented by NASA, we might have already figured this out, not to mention a few other things.

Around to See It

Whether it’s color, cash, inexperience or the ins and outs of renewable energy development in general, I often find myself tacking away from the original intent of the meaning of the essence of this site. But then some new article comes out to bring it all back around:

Another conclave of the global great and good is looking at what should be done in the much trickier area of climate change. The premise of the Global Commission on the Economy and Climate is that nothing will be done unless finance ministers are convinced of the need for action, especially given the damage caused by a deep recession and sluggish recovery.

Instead of preaching to the choir the plan is to show how to achieve key economic objectives – growth, investment, secure public finances, fairer distribution of income – while at the same time protecting the planet.

The author provides us the Kennedy space-race analogy as an illustration of the kind of efforts and leadership needed to curtail the effects of climate change, which is fine and well-meaning enough. But then he drops the second Pop-Tart® by suggesting that we need first to show/guarantee business the long-term benefits of greening the economy. I have one: how about you get to still have an economy?

That’s what the whole question is about: do we have enough greed to stifle the impulse toward self-preservation?

Okay – no one can use Enough Greed as a band name or an album title, because I just thought of it and realized its multitudes. Individual songs are fine as long as WDGM is ID’d in the bridge someplace.

 

 

Aristocrats

When the Poor Man went dark a while back, it was indeed a low moment for the internets. But every now and then, new high points are established.

Here is one such from yesterday.

Bravo.

Awe… M’art

cb

With all of its localized shenanigans, it’s important to take a step back and see what big-picture Big Box looks like:

The brand-new Crystal Bridges Museum of American Art in the small northwest Arkansas city of Bentonville is the creation of Alice Walton, the daughter of the late Sam Walton, who founded Wal-Mart Stores Inc. (WMT), the largest retailer in the world.

Alice Walton, who is worth about $21 billion, has achieved her dream of building a top-tier museum that unabashedly celebrates American art in the American heartland. Crystal Bridges, in many ways, is an aesthetic success.

It’s also a moral tragedy, very much like the corporation that provided Walton with the money to build a billion-dollar art museum during a terrifying recession. The museum is a compelling symbol of the chasm between the richest Americans and everyone else. In 2007, according to the labor economist Sylvia Allegretto, the six Walton family members on the Forbes 400 had a net worth equal to the bottom 30 percent of all Americans. The Waltons are now collectively worth about $93 billion,according to Forbes.

Touche, monsieur. But what say you of the art?

But many of the paintings in Crystal Bridges hang in eloquent rebuke to the values of the company that has made the Waltons so very wealthy. Three paintings, in particular, struck me as especially pointed commentaries on the perverse values of Sam Walton’s heirs.

The first was Asher B. Durand’s “Kindred Spirits,” one of the greatest paintings to emerge from the Hudson River School. It celebrates the friendship of the painter Thomas Cole and the poet William Cullen Bryant, who are portrayed standing in an enchanted Catskill gorge.

“Kindred Spirits,” bought by the Walton foundation in 2005 from the New York Public Library for an estimated $35 million, is, in the words of the critic Rebecca Solnit, a tribute to “friendship freely given, including a sense of friendship, even passion, for the American landscape itself.”

It’s really worth re-acquainting oneself with the Saint-Just, Cardinal de Rohan and Charlotte Corday.

Other People’s Green

Unlike the usual, this article being neither art nor literature and hence relieved of that kind of importance can merely be instructive. Which it is in spades.

Indefensible Men by Ives Smith:

Since inequalities of privilege are greater than could possibly be defended rationally, the intelligence of privileged groups is usually applied to the task of inventing specious proofs for the theory that universal values spring from, and that general interests are served by, the special privileges which they hold.

Reinhold Niebuhr, Moral Man and Immoral Society

A year on from its brush with Armageddon, the financial services industry has resumed its reckless, self-serving ways It isn’t hard to see why this has aroused simmering rage in normally complacent, pro-capitalist Main Street America. The budget commitments to salvaging the financial sector come to nearly $3 trillion, equivalent to more than $20,000 per federal income tax payer. To add insult to injury, the miscreants have also availed themselves of more welfare programs in the form of lending facilities and guarantees, totaling nearly $12 trillion, not all of which will prove to be money well spent.

Wall Street just looted the public on a massive scale. Having found this to be a wondrously lucrative exercise, it looks set to do it all over again.

These people above all were supposed to understand money, the value of it, the risks attendant with it. The industry broadly defined, even including once lowly commercial bank employees, profited handsomely as the debt bubble grew. Compensation per worker in the early 1980s was similar to that of all non-government employees. It started accelerating in 1983, and hit 181 percent of the level of private sector pay by 2007. The rewards at the top were rich indeed. The average employee at Goldman Sachs made $630,000 in 2007. That includes everyone, the receptionists, the guys in the mail room, the back office staff. Eight-figure bonuses for big producers became standard in the last cycle. And if the fourth quarter of 2009 proves as lucrative as the first three, Goldman’s bonuses for the year will exceed bubble-peak levels.

The rationale for the eye-popping rewards was simple. We lived in a Brave New World of finance, where the ability to slice, dice, repackage and sell risk led to better outcomes for all, via cheaper credit and better diversification. We have since learned that this flattering picture was a convenient cover for massive risk-taking and fraud. The industry regularly bundled complicated exposures into products and dumped them onto investors who didn’t understand them. Indeed, it has since become evident that the industry itself didn’t understand them. The supposedly sophisticated risk management techniques didn’t work so well for even the advanced practitioners, as both top investment banks and quant hedge funds hemorrhaged losses. And outside the finance arena, the wreckage is obvious: housing market plunges in the U.S., UK, Ireland, Spain, the Baltics and Australia; a steep decline in trade; a global recession with unemployment in the U.S. and elsewhere hitting highs not seen in more than 25 years, with the most accurate forecasters of the calamity intoning that the downturn will be protracted and the recovery anemic.

With economic casualties all about, thanks to baleful financial “innovations” and reckless trading bets, the tone-deafness of the former Masters of the Universe is striking. Their firms would have been reduced to sheer rubble were it not for the munificence of the taxpayer—or perhaps, more accurately, the haplessness of the official rescuers, who threw money at these players directly and indirectly, through a myriad a programs plus the brute force measure of super low interest rates, with perilous few strings attached.

Yet what is remarkable is that the widespread denunciations of excessive banking industry pay are met with incredulity and outright hostility. It’s one thing to be angry over a reversal in fortune; it’s one of the five stages of grief. But the petulance, the narcissism, the lack of any sense of proportion reveals a deep-seated pathology at work.

Exhibit A is the resignation letter of one Jake DeSantis, an executive vice president in AIG’s Financial Products unit, tendered in March 2009 as outcry over bonuses paid to executives of his firm reached a fever pitch. The New York Times ran it as an op-ed. “I am proud of everything I have done,” DeSantis wrote.

I was in no way involved in—or responsible for—the credit default swap transactions that have hamstrung A.I.G. Nor were more than a handful of the 400 current employees of A.I.G.-F.P. Most of those responsible have left the company and have conspicuously escaped the public outrage….

[W]e in the financial products unit have been betrayed by A.I.G. and are being unfairly persecuted by elected officials.…

I take this action after 11 years of dedicated, honorable service to A.I.G. … The profitability of the businesses with which I was associated clearly supported my compensation. I never received any pay resulting from the credit default swaps that are now losing so much money. I did, however, like many others here, lose a significant portion of my life savings in the form of deferred compensation invested in the capital of A.I.G.-F.P. because of those losses.

Anyone with an operating brain cell could shred the logic on display here. AIG had imploded, but unlike a normal failed business, it left a Chernobyl-scale steaming hulk that needed to be hermetically sealed at considerable cost to taxpayers. Employees of bankrupt enterprises seldom go about chest-beating that they did a good job, it was the guys down the hall who screwed up, so they therefore still deserve a fat bonus check. That line of reasoning is delusional, yet DeSantis had no perspective on it. And there is the self-righteous “honorable service,” which casts a well-paid job in the same terms as doing a tour of duty in the armed forces, and the hyperventilating: “proud,” “betrayed,” “unfairly persecuted,” “clearly supported.”

And to confirm the yawning perception gap, the letter was uniformly vilified in the Times’ comment section, but DeSantis’s colleagues gave him a standing ovation when he came to the office.

The New York press has served as an occasional outlet for this type of self-righteous venting. Some sightings from New York Magazine:

[I]f someone went to Columbia or Wharton, [even if] their company is a fumbling, mismanaged bank, why should they all of a sudden be paid the same as the guy down the block who delivers restaurant supplies for Sysco…?

I’m attached to my BlackBerry. … I get calls at two in the morning. … That costs money. If they keep compensation capped, I don’t know how the deals get done.

It never seems to occur to them, as Clemenceau once said, that the graveyards are full of indispensable men. So if the cohort with glittering resumes no longer deems the pay on offer sufficiently motivating for them to get out of bed, guess what? People with less illustrious pedigrees will gladly take their places.

And the New York Times has itemized how the math of a successful banker lifestyle (kids in private school, Upper East Side co-op, summer house in Hamptons) simply doesn’t work on $500,000 a year. Of course, it omitted to point out that outsized securities industry pay was precisely what escalated the costs of what was once a mere upper-middle-class New York City lifestyle to a level most people would deem stratospheric.

Although the word “entitlement” fits, it’s been used so frequently as to have become inadequate to capture the preening self-regard, the obliviousness to the damage that high-flying finance has inflicted on the real economy, the learned blindness to vital considerations in the pay equation. Getting an education, or even hard work, does not guarantee outcomes. One of the basic precepts of finance is that of a risk-return tradeoff: high potential payoff investments come with greater downside.

But how did that evolve into the current belief system among the incumbents, that Wall Street was a sure ride, a guaranteed “heads I win, tails you lose” bet? The industry has seen substantial setbacks—the end of fixed commissions in 1975, which led to business failures and industry consolidation, followed by years of stagflation, punitive to financial assets and securities industry earnings; the aftermath of savings and loan crisis, which saw employment in mergers and acquisitions contract by 75 percent; the dot-com bust, which saw headhunters inundated with resumes of former high fliers. Those who still had jobs were grateful be employed, even if simultaneously unhappy find themselves diligently tilling soil in a drought year, certain to reap a meager harvest.

But you never heard any caviling about how awful it was to have gone, say, from making $2 or $3 million to a mere $400,000 (notice how much lower the prevailing peak numbers were in recent cycles). And if you were having trouble paying your expenses, that was clearly bad planning. Everyone knew the business was volatile. Indeed, the skimpy salaries once served as a reminder that nothing was guaranteed.

It’s long but go read the rest.

The N-D Conundrum

What turns GREED to GREEN? What turns GREEN to GREED? We all assume a symbiotic relationship – it’s what this whole semantic notion is about. The hope for a magic, transcendental spell check that does the trick for us, changes one to the other (for a fee, of course) might be a nice idea for a conceptual art installation – The Syntax of the Hyper Real or some such – but little else.

In terms of planetary peril, it appears to be a irreconcilable symbol inversion in the alphabet. The Gaia Theory would appear to be promising, except for its implication for ‘we the people’. But we even have to accept this, if we’re willing to be so heedless about using the atmosphere as a free dumping ground. This interview with its originator is compelling in a gallows sort of way. He hates carbon trading and says its a scam, but is there another way to get the D to go N without taxing ourselves, without charging for the free dumping ground? While many understand the reasons why it will be better to transition away from this economic model and move radically toward renewable energy, the fossil fuel endgame remains viable because it is… cheaper. This is a compelling moral argument, though not one we should make or defend intentionally.

It’s unpleasant to think that we will be wont to change our behavior until we are compelled to do so, that we are in some sense the rich who won’t say they hate the poor but are nonetheless able to simply turn their backs on the suffering the poor endure. After all, for people whose primary motivation is green greed grrr, what makes us do anything?