As your question states, oil will not last forever. By the time that it is run out (or dangerously low) we will hopefully have developed the technology to truly rely on renewable energy source like wind, water and solar. Also, these sources will hopefully be commonplace and affordable to everyone.
As stated above, it would be great if we can come up with enough alternative energy technology to reduce our need for oil based fuels, but here are some of the consequences experts are predicting if we do get past peak oil and have not weaned ourselves from the need for oil.
Our food costs will go up dramatically as it is very fuel intensive to fertilize, harvest, process and ship foods to our local stores. Pharmaceuticals and plastic prices would increase and our society may deteriorate into a state of war and fammine.
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