Demand for natural gas is going way up
Posted: Mon Mar 25, 2019 9:27 am
US emerging as a LNG powerhouse . Rigzone .
According to the DOE, since the startup of Cheniere Energy’s Sabine Pass LNG export terminal in February 2016, about 2 trillion cubic feet (Tcf) of domestically-produced LNG have been exported to 34 different countries. Cheniere Energy was the first major LNG exporter, but they were joined last year by Dominion Energy, which opened its Cove Point LNG export terminal. This is just the tip of the iceberg, however, as the LNG export market is projected to surge over the next three decades. You can thank the shale boom for that. LNG export growth is the latest example of how the U.S. shale boom has disrupted global oil and gas markets. Advances in hydraulic fracturing and horizontal drilling turned an expected natural gas deficit into a huge surplus. The Energy Information Administration (EIA) is betting that the next big surge of demand is going to come from LNG exports. In its Annual Energy Outlook (AEO) 2019 with projections to 2050, the EIA projects that U.S. LNG exports will quintuple from an average of 2.8 Bcf/d in 2018 to 14 Bcf/d by 2050. The EIA projects a 5.1 percent annual growth rate in LNG exports from 2018 to 2050.
Natural gas generates the most electricity . Abliene Reporter News .
Natural gas continues its streak as the leading fuel to generate electricity across the U.S. The Energy Information Administration (EIA) reports natural gas accounted for 62 percent of the new utility-scale additions in 2018 followed by wind with 21 percent and solar photovoltaic with 16 percent. Overall, 31.3 gigawatts (GW) of generating capacity was added last year, which had the largest additions since 2003 with 48.8 GW. Even though the future for natural gas consumption for electricity generation looks good, total demand for fossil fuels has been declining. “The declining trend in fossil fuel consumption by the power sector has been driven by a decrease in the use of coal and petroleum with a slightly offsetting increase in the use of natural gas. Changes in the fuel mix and improvements in electricity generation technology have also led the power sector to produce electricity with consuming fewer fossil fuels,” EIA stated in a report on May 29, 2018.
Gas shortages give New York an early taste of the Green New Deal . LBK News . Opinion.
The combination of hydraulic fracturing and horizontal drilling has enabled Texas, Pennsylvania and other states to produce record quantities of natural gas, some of which is being frozen (liquefied), loaded into giant ships, and transported to customers in places like Chile, China and India. Thanks to the environmental policies of Gov. Andrew Cuomo, New York has missed out on this windfall. Now, in a preview of what life might be like under the Democrats’ proposed Green New Deal, some New Yorkers are about to face a natural gas shortage. Consolidated Edison, the energy utility that provides gas and power to the New York City area, announced last month that beginning in mid-March it would ‘no longer be accepting applications for natural gas connections from new customers in most of our Westchester County Service Area.’ The reason for the shortage is obvious: The Cuomo administration has repeatedly blocked or delayed new pipeline projects.
According to the DOE, since the startup of Cheniere Energy’s Sabine Pass LNG export terminal in February 2016, about 2 trillion cubic feet (Tcf) of domestically-produced LNG have been exported to 34 different countries. Cheniere Energy was the first major LNG exporter, but they were joined last year by Dominion Energy, which opened its Cove Point LNG export terminal. This is just the tip of the iceberg, however, as the LNG export market is projected to surge over the next three decades. You can thank the shale boom for that. LNG export growth is the latest example of how the U.S. shale boom has disrupted global oil and gas markets. Advances in hydraulic fracturing and horizontal drilling turned an expected natural gas deficit into a huge surplus. The Energy Information Administration (EIA) is betting that the next big surge of demand is going to come from LNG exports. In its Annual Energy Outlook (AEO) 2019 with projections to 2050, the EIA projects that U.S. LNG exports will quintuple from an average of 2.8 Bcf/d in 2018 to 14 Bcf/d by 2050. The EIA projects a 5.1 percent annual growth rate in LNG exports from 2018 to 2050.
Natural gas generates the most electricity . Abliene Reporter News .
Natural gas continues its streak as the leading fuel to generate electricity across the U.S. The Energy Information Administration (EIA) reports natural gas accounted for 62 percent of the new utility-scale additions in 2018 followed by wind with 21 percent and solar photovoltaic with 16 percent. Overall, 31.3 gigawatts (GW) of generating capacity was added last year, which had the largest additions since 2003 with 48.8 GW. Even though the future for natural gas consumption for electricity generation looks good, total demand for fossil fuels has been declining. “The declining trend in fossil fuel consumption by the power sector has been driven by a decrease in the use of coal and petroleum with a slightly offsetting increase in the use of natural gas. Changes in the fuel mix and improvements in electricity generation technology have also led the power sector to produce electricity with consuming fewer fossil fuels,” EIA stated in a report on May 29, 2018.
Gas shortages give New York an early taste of the Green New Deal . LBK News . Opinion.
The combination of hydraulic fracturing and horizontal drilling has enabled Texas, Pennsylvania and other states to produce record quantities of natural gas, some of which is being frozen (liquefied), loaded into giant ships, and transported to customers in places like Chile, China and India. Thanks to the environmental policies of Gov. Andrew Cuomo, New York has missed out on this windfall. Now, in a preview of what life might be like under the Democrats’ proposed Green New Deal, some New Yorkers are about to face a natural gas shortage. Consolidated Edison, the energy utility that provides gas and power to the New York City area, announced last month that beginning in mid-March it would ‘no longer be accepting applications for natural gas connections from new customers in most of our Westchester County Service Area.’ The reason for the shortage is obvious: The Cuomo administration has repeatedly blocked or delayed new pipeline projects.