Will the Credit Crunch be Good, or Bad for the Environment?
Published: Tuesday, January 27th, 2009
The straight answer, when talking about home energy considerations, is yes, the credit crunch will be good for the environment.
As an aside, the credit crunch is generally good for the environment. Less money around means less car miles, less lorry and van miles, less ship miles and less air miles. A world economy in recession means a slowdown in most things and that means a slowdown in fossil fuel burning.
Ironically, for the last decade, let us be honest, governments and people alike have only paid lip-service to the threat of global warming. Only a minority of people have become spooked with the disappearing ice caps, worse global weather and changing world habitats. And relatively few people have changed their lifestyles to accommodate the threats we face.
But now, as government’s take on the arguably more pressing problem of keeping the world economies ticking, global warming has taken a back seat as regards the media’s agenda. And people have followed suit; now it’s keeping your job that’s vital, not so much checking the water table in Asia.
And for the home the same thing is happening. Ironically, in the boom time, everyone was obsessed with the price of rocketing oil, gas and electricity, but what with the large amounts of credit and disposable income washing about, the majority of the working population didn’t really have to worry too much. Like rising petrol prices, it was just another thing that came with the high standard of living.
For pensioners and those on benefits though, the sky-high energy prices were a taste of things to come. If you are on a set income, which only caries a few percentage points from year to year, how do you cope with the 50% rise in gas prices, or the near 400% rise in oil prices. The fact is most can’t cope with such rises and either they take money from somewhere else, or go cold.
And now, as most of the working population begins to wonder if they will have a job in the next couple of months, suddenly the idea of ignoring the household fuel bill doesn’t seem so clever. People are pulling in their belts, just in case the wages stop.
So, basically, whereas the hike in fuel prices might not had such an effect on the world’s global warming problems (because high prices reflect an ever growing world economy), the lower fuel prices are not so much great because it costs cheaper, but because they now reflect recessionary times.
So, lights get turned off, thermostats get switched down, heating timers get turned off for longer periods, there are fewer baths taken and less standing under those outdoor heaters.
The result, a respite for the environment, a break from over-consumption.
The problem is, of course, when things start to recover (as they will, given the cyclical nature of the world’s history), once again consumption will pick-up and once again the environment will be under threat.
The only hope is, that during the downturn, someone will come up with some key answers to the problem of global warming.
Guest Article by Neil Camp
Related Posts






My name is Alan Potts and I'm the Editor of the Gasboiler-BUYability web site and Managing Director of BUYability Limited. You can connect with me or keep up to date with new posts on this blog via the following social media sites: 








