More than a year after the terrorist attacks on the World Trade Center Towers and the Pentagon, the worlds is a mope dangerous place than ever before. And, at the heart of our collective fear is the struggle to control oil, the one critical resource without which our global economy and modern society could not exist. Can a combination of technological innovation, global cooperation and strategic thinking take oil off the international chessboard of politics and replace it with the ultimate energy carrier, lighter-than-air, and potentially non-polluting hydrogen?

We heat our homes and businesses, run our factories, power our transportation and light our cities with fossil fuels. We communicate over distances with electricity derived from fossil fuels, grow our food with the help of fossil fuels and produce our clothes and home appliances with petrochemicals. Indeed, virtually every aspect of modern existence is made from, powered with, or affected by fossil fuels.

In recent months U.S. government concern over the availability of oil in the Middle East has intensified because of the escalating violence between Israel and the Palestinians, the prospect of war with Iraq, and the likelihood of more terrorist attacks by the Al Qaeda network. Now, an even deeper worry is beginning to surface.

Experts have been saying that we have another 40 or so years of cheap recoverable crude oil left. Now, however, some of the world's leading petroleum geologists are suggesting that global oil production could peak and begin a steep decline much sooner, as early as the end of this decade, sending oil prices through the roof. Non-OPEC oil-producing countries are already nearing their peak production, leaving most of the remaining reserves in the politically unstable Middle East. Increasing tensions between Islam and the West are likely to further threaten our access to affordable oil. Rising oil prices will assuredly plunge developing countries even further into debt, locking much of the Third World in the throes of poverty for years to come. In desperation, the U.S. and other nations could turn to dirtier fossil fuels--coal, tar sand and heavy oil--which will only worsen global warming and imperil the Earth's already-beleaguered ecosystems.

Rethinking Homeland Security

As horrible as the attacks of September 11, 2001 were, they were symbolic acts on the parts of the perpetrators, designed to destroy the icons of American economic and military power. What has government officials and business leaders in the U.S. and the European Union really worried is the prospect that, next time, Al Qaeda terrorists will strike at the heart of the system, the power grid itself, crippling a large swath of the economy and paralyzing urban society. How justified are the fears?

Unfortunately the power grids in North America and Europe are increasingly vulnerable to disruption by terrorists. Even before the September 11 attacks, government officials worried that American power plants, transmission lines and the telecommunications infrastructure could be targets for terrorists. In 1997, the President's Commission on Critical Infrastructure Protection issued a warning that cyber-terrorists' next target might be the computer programs at the power switching centers that move electricity around the country. Disrupting the electrical grid could wreak havoc on the nation's economic and social infrastructures. Richard A. Clarke, who heads the cyber-terrorism efforts of the Bush administration, warns of an "Electronic Pearl Harbor." A combination of cyber-attacks and physical attacks could lay waste to the nation's oil and gas pipelines, power stations and transmission lines with devastating effects on the economy.

Government officials are well aware of the vulnerabilities, but not sure if a system so complex and expansive and so centralized in its command and control mechanisms can ever really be completely secured against terrorist attacks.

Because of all these factors, many, including Christopher Flavin, president of the Washington, D.C.-based Worldwatch Institute, believe that the future belongs to decentralized, renewable energy. Although they acknowledge that fossil fuels will continue to provide energy, and that a transmission and distribution infrastructure will still be necessary to get hydrogen to retail customers, these experts see a renewable future. Flavin points out that the market for oil is growing at less than 1.5 percent per year, while the wind and photovoltaic (PV) markets are now doubling in size every three years.

The "Forever Fuel"

While the fossil-fuel era is entering its sunset years, a new energy regime is being born that has the potential to remake civilization along radical new lines. Hydrogen is the most basic and ubiquitous element in the universe. It is the stuff of stars and, when properly harnessed and made from renewable sources, it is the "forever fuel," notes author and alternative energy proponent Peter Hoffman. It produces no harmful C[O.sub.2] emissions when burned; the only byproducts are heat and pure water. We are at the dawn of a new economy, using hydrogen as the energy carrier, which will fundamentally change the nature of our financial markets, political and social institutions, just as coal and steam power did at the beginning of the Industrial Age.