Energy Tomorrow Blog
Posted October 21, 2021
API President and CEO Mike Sommers joined other energy industry CEOs on a panel hosted by the American Association of Blacks in Energy this week that focused on the energy transition, inclusion in the workforce of the future and equity in access to affordable, reliable and sustainable energy.
It was a good conversation that underscored the need to develop a broad range of energy sources, including natural gas, oil and renewables, to secure America’s future energy security.
Posted October 19, 2021
Advancing the use of 3D printing in natural gas and oil operations – a technology that can significantly reduce lead times and drive efficiency, safety and other technological improvements across all oil and gas segments – is the focus of API’s newest standard released this week.
The first edition of Standard 20S – the first of its kind for our industry – supports oil and gas uses of 3D printing, where three-dimensional objects are created under computer control, usually layer by layer. For our industry, 3D printing to create additively manufactured metallic components can bring critical manufacturing functions closer to where components will be used, while maximizing production capability, reducing supply chain stresses and reducing emissions.
Posted October 15, 2021
News item #1: Because energy demand has continued to significantly outpace supply, the U.S. Energy Information Administration (EIA) expects U.S. households will spend more money on heating costs this winter compared to last winter – for electricity, natural gas, propane and heating oil.
News item #2: Again, largely due to the demand-supply mismatch that’s further tightened energy markets and put upward pressure on prices, White House officials continue to wrestle with the impacts of higher consumer energy costs, including gasoline.
News item #3: Coal use has climbed, complicating U.S. efforts to reduce carbon dioxide emissions. Bloomberg reports U.S. power plants are projected to burn 23% more coal this year, the first increase since 2013, driven by higher natural gas prices. …
Taking all of this in, let’s make this point: There’s affordable, reliable energy available in the U.S., right now – American natural gas and oil.
Posted October 8, 2021
Connecting some of the dots in the U.S. Energy Information Administration’s new International Energy Outlook released this week, we see projections for continued global energy demand growth and increasing use of renewable energy, supported by natural gas and oil out to the year 2050.
EIA’s projections underscore a point we’ve been making for some time – that natural gas and oil are the world’s leading energy sources today and will be tomorrow.
Posted September 29, 2021
Europe’s ongoing energy crisis (noted recently here) should give pause to U.S. policymakers who’re leading a head-long rush to a near future in which Americans’ daily lives and the U.S. economy will be virtually dependent on intermittent energy sources such as wind and solar.
We’ve made the case that dropping natural gas and oil from the U.S. energy portfolio, heavily relying on come-and-go energies, is unwise, bordering on foolishness. It’s disconnected from reality, a reality that’s playing out right now in Europe.
Posted September 27, 2021
Initiatives in more than two dozen U.S. cities to phase out or straight-up ban natural gas service in new homes and buildings could set up Americans for one heck of a stomach punch. And we’re not just talking figuratively.
The Wall Street Journal reports that several dozen U.S. municipalities, including New York and Denver, have either passed or proposed measures that restrict or ban natural gas in new buildings or those that have had substantial renovation. The gut punch for Americans comes in what that reality would look and feel like – heat pumps and electric appliances in place of natural gas-fueled furnaces, water heaters, ovens and stoves.
Posted September 22, 2021
Three things to keep in mind as we mark Climate Week:
First, industry-led initiatives continue reducing greenhouse gas emissions; second, natural gas helps cut carbon dioxide emissions and address energy poverty; and third, the natural gas and oil industry continues to think strategically while acting tactically.
Posted September 15, 2021
We’ve long made the point that natural gas is the essential partner for the growth of wind and solar energy (see here, here and here). You simply must have a partnering energy source, in sufficient quantity, to fuel power generation and maintain reliability when the wind doesn’t blow and/or the sun doesn’t shine.
Just ask Europe and California. Both are experiencing conditions that make this case.
The two also underscore the flaw in policy proposals that exclude natural gas from the future energy mix – as does the Clean Electricity Performance Program (CEPP) now being debated in Congress.
Posted September 14, 2021
It’s pretty easy to get lost in the trees of The Environmental Partnership’s newest results data, contained in its new annual report – including the new flare management program’s reported 50% decrease in flare volumes from 2019 to 2020, plus hundreds of thousands of surveys and hundreds of millions of component inspections. Those numbers are important, but there’s another big story behind them.
It’s a story of progress – tangible, beneficial, significant progress by the natural gas and oil industry toward a lower-carbon future and a smaller environmental footprint. The numbers show industry’s steady progress in lowering emissions even as it continues to produce the affordable, reliable energy Americans use every single day.
Thoughtful analysis supports the case we’ve been making, that the U.S. and the world need both.
Posted August 27, 2021
The Biden administration’s plan to hold its first ever oil and natural gas lease sales this year is a positive sign after it paused new leasing on federal lands and waters for nearly seven months. The question is whether this is a significant policy shift for the administration, which will be determined by what actually happens and how swiftly it occurs.
It must be remembered that it has been more than two months since the administration was ordered to lift its leasing pause by a federal judge, and the administration is continuing its appeal of the court’s ruling. Again, it’s fair to ask whether this week’s announcement is a policy change – or something else while the legal case continues?
The answers to that question and others are critically important to future oil and gas development in federally controlled reserves, much of which requires sizeable investment and lengthy planning.