Sur de Texas Pipeline Would Advance North American Energy Integration
Posted July 8, 2019
The U.S. natural gas and oil industry is driving the American economy, delivering affordable, reliable and abundant energy to manufacturers, businesses and American families. Around the world, pipeline infrastructure remains the safest, cleanest way to transport energy to consumers. Attempts to block important infrastructure projects could inadvertently harm energy consumers and undermine American energy leadership.
The recently completed Sur de Texas natural gas pipeline, which will bring much-needed clean, affordable and reliable natural gas from the U.S. Permian Basin to Mexican customers, perfectly embodies the important trading relationship between Mexico and the United States. The project will deepen U.S.-Mexico energy trade, benefit Mexico’s consumers whose demand for reliable energy continues to grow and work toward the U.S. administration’s goal of energy leadership. However, there continue to be attempts to arbitrarily block the use of this critical energy lifeline, which if not brought online could harm Mexican consumers and Mexico’s economy.
The Sur de Texas pipeline is the largest single-source of foreign direct investment in Mexico (2017), amounting to $2.5 billion, and it would ensure reliable flow of natural gas from Texas to Mexico for the generation of electricity. Bringing this pipeline online would also help to improve Mexico’s carbon footprint, thanks to cleaner natural gas, as well as expand markets for U.S. energy exports.
Blocking this critical project could limit opportunities for U.S. energy exports, while having negative repercussions on Mexico’s economy. Authorizing the startup of the pipeline is currently in the hands of the Mexican government, specifically the Comisión Federal de Electricidad (CFE) – the state-owned electric utility of Mexico. Given the pipeline’s benefits, the U.S. administration should work diligently with Mexico’s government to resolve any remaining issues and to ensure that it becomes operational as quickly as possible.
North American energy markets are deeply integrated and interconnected, and Mexico is the top export market for U.S. pipeline natural gas and for U.S. petroleum products like jet fuel and gasoline. Free flow of energy products between U.S., Mexico, and Canada ensures the most efficient and reliable energy production and delivery to energy consumers in all three countries.
Bringing Sur de Texas online would strengthen the North American energy trade and make North America’s power generation cleaner for generations to come thanks to American natural gas.
About The Author
Mark Green joined API after a career in newspaper journalism, including 16 years as national editorial writer for The Oklahoman in the paper’s Washington bureau. Previously, Mark was a reporter, copy editor and sports editor at an assortment of newspapers. He earned his journalism degree from the University of Oklahoma and master’s in journalism and public affairs from American University. He and his wife Pamela have two grown children and four grandchildren.
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