HF 995

2nd Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A resolution
memorializing the Governor to take action to prepare a plan of response and
preparation to meet the challenges of Peak Oil.

WHEREAS, world oil production is nearing its point of maximum production (Peak Oil)
and within a few years thereafter will enter a prolonged period of irreversible decline leading to
ever-increasing prices; and

WHEREAS, the United States has only two percent of the world's oil reserves, produces
eight percent of the world's oil, and consumes 24 percent of the world's oil, of which nearly 70
percent is imported from foreign countries; and

WHEREAS, the decline in global oil production threatens to increase resource competition
and geopolitical instability, and lead to greater impoverishment and global economic crisis; and

WHEREAS, national oil companies own approximately 80 percent of remaining oil
reserves and 55 percent of remaining gas reserves, and resource nationalism is increasingly
dominating decisions of oil and gas development and trade relationships; and

WHEREAS, the availability of affordable petroleum is critical to the functioning of our
transportation system, the production of our food and of petrochemical-based consumer goods,
the paving of roads, the lubrication of all machinery, and myriad other parts of the economy; and

WHEREAS, Minnesota is entirely dependent on external supplies of petroleum, including
the crude oil processed in refineries within the state; and

WHEREAS, price signals of petroleum scarcity are likely to come too late to trigger
effective mitigation efforts in the private sector, and governmental intervention at all levels of
government will likely be required to avert social and economic adversity; and

WHEREAS, the Department of Energy-sponsored study (the Hirsch Report) on mitigation
of Peak Oil demonstrated that a 20-year lead time is required for effective mitigation; and

WHEREAS, alternative sources of transport fuels from coal and natural gas both require
high-energy inputs and increase total carbon emissions, and biomass-based fuels are incapable of
being produced in sufficient quantity to offset the anticipated decline in petroleum production; and

WHEREAS, substitution of petroleum with other fossil fuels threatens even greater damage
to water, air, soil, and species diversity through their extraction and combustion; and

WHEREAS, North American production of natural gas most likely peaked in 2002, and an
increasing percentage of Minnesota's electricity supply is generated from natural gas; and

WHEREAS, Minnesota has demonstrated leadership in confronting challenges of
environmental quality and energy security, promoting environmental and economic equity, and
has a rich diversity of citizens committed to maintaining the state's long-term viability; NOW,
THEREFORE,

BE IT RESOLVED that the Legislature of the State of Minnesota acknowledges the
challenges of Peak Oil; and

BE IT FURTHER RESOLVED that the Legislature supports the undertaking of a statewide
assessment study in order to inventory state activities and their corollary resource requirements,
evaluating the impact in each area to a decline in petroleum availability and to higher prices, with
the aim of developing a comprehensive state plan of action and response to Peak Oil; and

BE IT FURTHER RESOLVED that the governor task appropriate state agencies to develop
a statewide assessment; and

BE IT FURTHER RESOLVED that the Secretary of State of the State of Minnesota is
directed to prepare an enrolled copy of this memorial and transmit it to the Governor of the
State of Minnesota.