Peak oil is real, BUT NOT FOR THE PLANET! It is beleived the planet is still making crude oil (not sure how it's made and where it comes from. We use to think they came from decaying dinosaurs, hence the name "fossil fuels", but we now know this is not the case).
Peak oil applies only to a specific oil field. Just like when you pull the stopper on a bath tub, oil fields do run out of oil. Current technology allows us to only pump about 60% of a typical field, the other 40% is unrecoverable. At that point the pressure drops too low and the field cannot be pumped. They can try and raise the pressure by pumping saltwater in the field, but that only has limited effects.
Examples of peak oil. Production of crude oil in Oklahoma peaked in 1927 (no typo!), the US in 1970. The largest only field, the Ghawar field in Saudi Arabia (5 to 6 million barrels a day are pumped from this field), peaked in production in 1981 (it is now estimated that ARAMACO, the Saudi oil company now pumps 2 to 4 million barrels of salt water a day into the field to keep the pressure up. ARAMCO does not give public stats, these are guesses.)
The other problem is demand. This is NOA A US story, it is a world story. China and India demand more and more everyday. No amount of US conservation can offset their growing appetite for oil.
For example the US has 40,000 miles of highway. In 1989 China had 150 miles (one highway between Shanghai and Bejing). By 2008 it will have 50,000 miles of highway. So, in the last 19 years, China has built a highway system greater than the U.S. and they are not even close to being done!
Another stat, the US has 9 cities of more than 1 million in population. China has 156, India has 65!!! They all want cars.
If new sources are not found, the US could competely stop using oil and the price will still top $100. China, India and the third world account for the vast majority of new demand. SUVs are a rounding error.
Bio-fuels are not now, or will be, feasibile. If the entire world-wide corn and sugar crop where used for energy, it would only account for 20% of US demand, 5% of world demand. Of course if this happened, food would be unaffordable and millions would starve. But hey gas would be cheaper.
Hydogren can never work, ever! To make fuels cells, you have th "crack" hydorgen. This requires heating it up. Where do we get the energy to heat it? Crude oil! So to make hydogren cells equivlent of 1 million bearrels of crude oil requires you to burn about 1 million barrels of crude oil in the first place. In the end you wind up using more energy under hydogren, exactly the opposite of what you're trying to achieve.
It's a tough problem. One the US cannot solve alone. The answer is in China and India. They need to go back to living in mud huts, walking and riding bicycles. Their desire to own a car is the problem, not our desire to drive SUVs. Somebody needs to stop Bono, if Africa gets their act together, they will want cars too and many million of barrels will also need to go to them.