Energy Tomorrow Blog
Posted February 21, 2019
Update: Middleborough, Massachusetts, has joined parts of New York’s Westchester County on a list of places in the Northeast U.S. where they’ve announced moratoriums on new natural gas service.
As is true in Westchester, there’s not enough pipeline infrastructure to deliver natural gas to everyone in Middleborough who wants it. No question, the situation in Middleborough is unfortunate – as it is in sections of Westchester County affected by the natural gas moratorium there.
Blame short-sighted, agenda-driven opposition to constructing new natural gas pipelines or expand existing ones. Natural gas is near enough – in the Marcellus shale play in Pennsylvania that also extends into New York state.
Posted February 20, 2019
Earlier this month we talked about the unforced error of the administration’s tariff and quota policies that hamstring the economy, detailing the findings of recent report from the nonpartisan Congressional Budget Office. Now, new modeling has reviewed those suspicions in the context of the energy trade, and the indications are clear: The escalating trade wars could significantly limit the U.S. energy revolution and the benefits to Americans that it would otherwise bring.
The recent report, part of BP’s annual “Outlook,” a macro-look at the global energy system over the next 30 years, models a number of different scenarios including one in which global trade disputes persist and worsen. The results of this “less globalization” scenario indicate that the continuation of these policies would slow global GDP growth by 6 percent and energy demand growth by 4 percent in 2040. To make matters worse, the effect could be intensified in countries and regions most exposed to foreign trade – like the U.S.
Posted February 12, 2019
Recent tweet from the American Enterprise Institute’s Mark Perry includes a chart that vividly illustrates one of the biggest benefits of the U.S. energy revolution. First, it plots soaring U.S. net petroleum imports, which peaked at 60.3 percent in 2005, and then logs the plunge to just 12.1 percent last year. The thing that caught my eye in Perry’s tweet is that the time frame for his graph, 1957-2018, is pretty much the span of this blogger’s life.
Most importantly, in one generation, the United States has gone from steadily growing energy dependency to a nation that’s largely in control of its energy destiny. It’s a turnabout many of Americans never thought possible. Remarkable. Breathtaking. Or, as Perry tweets, amazing.
Posted February 6, 2019
Tuesday night’s State of the Union message was aimed at Washington finding common ground to work for the American people. President Trump said policymakers should embrace the “boundless potential of cooperation, compromise and the common good.” It struck a chord; more than seven in 10 Americans said they liked the speech’s approach and tone.
The challenge now is to move beyond rhetorical flourishes to action. Think: energy. In the quest for the common ground to do the common good, lawmakers can start with energy.Energy is America’s strong suit.
Posted February 5, 2019
Back in 2015, Pennsylvania Gov. Tom Wolf’s first year in office, we first likened his bid to hike taxes on natural gas production to killing the goose that lays golden eggs. That’s because over the years natural gas production has significantly benefited Pennsylvania – the nation’s No. 2 natural gas producer – in jobs, economic lift and impact fees paid by industry that have helped support public infrastructure, storm and water systems, public safety, housing and more, all over the commonwealth.
Negatively impacting a key Pennsylvania industry doesn’t make sense. Yet, in this new year, Wolf is back with a new tax scheme that could hamper natural gas production and its benefits – a proposal to borrow money to invest in infrastructure that would be paid back through a new natural gas production tax. Again, a tax on top of the impact fees industry already pays.
Posted January 31, 2019
As millions of Americans tune in this Sunday to watch football’s Big Game, many (myself included) are mostly watching for what comes during breaks in the action – the notorious Super Bowl commercials. And if you’ve watched a Super Bowl at any point in the last 40 years then you probably know the beer brand Budweiser as a longtime fixture, with ads featuring the Budweiser Clydesdales running since at least 1975, and this year will be no different. Budweiser has previewed a 2019 Super Bowl ad that has just about everything: Clydesdales, April the Dalmatian, Bob Dylan…and wind turbines.
Posted January 24, 2019
On a day when the U.S. Energy Information Administration (EIA) published its new Annual Energy Outlook – forecasting that the U.S. will become a net energy exporter next year through 2050, growing natural gas share in fueling electricity and rising liquid natural gas exports – API President and CEO Mike Sommers talked about sustaining and growing the engine of all these trends and more: the U.S. energy revolution.
The reason is simple: Where U.S. energy is and where it could go hinge on extending that revolution – to support economic growth, increase U.S. security in the world and help advance environmental and climate goals.
Sommers’ remarks at the U.S. Energy Association’s State of the Energy Industry Forum outlined the key goals for the American energy sector.
Posted January 23, 2019
Con Edison’s moratorium on new natural gas service to homes and businesses in the southern part of affluent Westchester County, just north of New York City, is a wakeup call to the entire state on the folly of stalling or blocking needed pipeline infrastructure.POLITICO has the story. Basically, the natural gas utility says there’s insufficient pipeline capacity to meet the area’s growing need for natural gas, which is underscored during peak heating periods. You know, like right now.
Posted January 16, 2019
Welcome to America’s Generation Energy – Americans from all walks of life who have unique opportunities for work, prosperity, health and quality of life thanks to abundant U.S. natural gas and oil.
Our industry is helping lead the way. We’re delivering record volumes of the natural gas and oil that power and support modern life, and we’re doing so with lower emissions and cleaner, more efficient products and operations.
Posted January 14, 2019
The U.S. set new natural gas and oil production and export records in the fourth quarter of 2018, even as the administration's trade war with China continued to escalate. As 2018 trade figures have become clear, an emerging consequence was decreased U.S. liquefied natural gas (LNG) cargoes to China, which fell by around 20 percent from 2017, as these shipments became subject to a 10 percent Chinese import tariff effective Sept. 24.
Americans should care about the health of these U.S. natural gas exports because growing markets for domestic natural gas can generate economic growth at home by helping stimulate additional natural gas development, more than is needed to supply domestic demand; attract multi-billion-dollar U.S. investments in infrastructure – including pipelines, natural gas processing, LNG liquefaction, export facilities and shipping – and the high-quality jobs and wages that accompany these; and more.