I have also heard that we have reached the "midpoint or peak" of oil production, some guy recently published a book on this, cant remember the title. Most likely the electricity grid will be the last energy sector to be affected by oil shortages. The transportation sector will be hardest hit and most likely first. I keep hearing about natural gas and propane reserves being pretty substantial. Perhaps this will be the transition energy source as oil prices rise above that of CNG. If China centered on propane or cng for motive transportation, they could have the suv's and not worry to much about smog. I must say I really do like the electric car angle to all this. To bad with all the hype in the 1980's the electric car market evaporated. Most have in-city driving needs without much range needed. Besides if one worked the electric car scheme from the standpoint of RE based technologys for recharging, then the utility grid would not be overloaded. But theres no way, the instant switch of energy infrostructure thats desired, is going to materialize. Its going to be a slow agonizing process. Just my opinion. Also we should be considering conserving what oil is avalible for trucking and commercial fleets. If the prices rise to sharply on oil this will effect the economy in some negative ways. so right now, were 30 years ahead of the game.