Energy Tomorrow Blog
Posted May 8, 2015
The Hill: Sen. Lisa Murkowski (R-Alaska) took her biggest step to date toward a large-scale overhaul of federal energy policy on Thursday, introducing 17 bills she said could make up parts of an energy reform package this session.
The bills cover a myriad of topics, from electricity reliability to the Strategic Petroleum Reserve to the production of methane, hydropower or helium. Any of the bills could make up the backbone of a broad energy reform effort, something Murkowski, the chairwoman of the Senate Energy and Natural Resources Committee, has made one of her top priorities this session.
“Does this mean all of them are going to part of a broader bill? No,” she said at a briefing with reporters. “But does it mean these are my ideas I would like to have folks catch up on? Yes, absolutely.”
One high-profile piece of legislation missing from the slate introduced Thursday: a bill to lift the federal ban on crude oil exports. Murkowski said she will release that bill separately next week.
Posted April 28, 2015
EIA: In its recently released Annual Energy Outlook 2015 (AEO2015), EIA expects the United States to be a net natural gas exporter by 2017. After 2017, natural gas trade is driven largely by the availability of natural gas resources and by world energy prices. Increased availability of domestic gas or higher world energy prices each increase the gap between the cost of U.S. natural gas and world prices that encourages exports of liquefied natural gas (LNG), and, to a lesser extent, greater exports by pipeline to Mexico.
The AEO2015 examines alternate cases with higher and lower world oil price assumptions, which serve as a proxy for broader world energy prices given oil-indexed contracts, as well as with higher assumed U.S. oil and natural gas resources. These assumptions significantly affect projected growth in annual net LNG exports after 2017. Net LNG exports make up most of the natural gas exports in most cases. By 2040, LNG exports range from 0.2 trillion cubic feet (Tcf) in the Low Oil Price case to 10.3 Tcf in the High Oil and Gas Resource case. For comparison, 2040 natural gas net exports by pipeline range from 1.1 Tcf in the High Oil Price case to 2.9 Tcf in the High Oil and Gas Resource case.
Posted April 24, 2015
The Hill Op-ed (U.S. Reps. Calvert and Israel): These days there doesn’t seem to be many things Democrats and Republicans can agree on, but after a recent bipartisan Congressional Delegation trip to Ukraine, we came back in agreement on one thing. Visiting Kiev, and speaking with Ukraine’s leaders it is clear that while their economy is faltering, there are steps that we can take, in addition to sanctions, that will hamper Russia’s economy and future border advances. …
… It has become clear to us, and many others, that the U.S. is sitting on a unique opportunity to advance our economic and national security goals. By increasing our ability to export natural gas – in the form of liquefied natural gas or LNG – to Europe, the U.S. can weaken Russia’s strategic stronghold while boosting our domestic economy by increasing energy exports.
Posted March 27, 2015
Posted March 26, 2015
A welcome development in the larger effort to see the U.S. become a major player in the global energy marketplace: groundbreaking ceremonies this week at Maryland’s Cove Point liquefied natural gas (LNG) facility.
Gov. Larry Hogan joined other golden shovel-wielding dignitaries at Cove Point, built as an LNG import terminal but which is undergoing a $3.8 billion expansion to allow LNG export capability.
Cove Point and other proposed LNG export terminals are the key needed infrastructure for the world’s leading producer of natural gas to get its LNG to market.
Posted March 24, 2015
Posted March 23, 2015
Washington Times op-ed (O’Keefe): Last month the White House submitted President Obama’s annual economic report to Congress. Nestled in the findings is a compelling case for lifting the country’s antiquated ban on natural gas exports.
“An increase in U.S. exports of natural gas, and the resulting price changes, would have a number of mostly beneficial effects,” the report states, for domestic employment, geopolitical security, our energy industry and the environment. The report ticks off numerous benefits — “create jobs in the short run,” “lower natural gas prices around the world,” “promote the use of cleaner energy abroad” — that make clear the question is not whether the United States should reconsider restrictions on natural gas exports, but when will policymakers step up to economic reality.
The value of lifting export restrictions on domestically produced liquefied natural gas (LNG) is becoming glaringly apparent. The Obama administration’s latest report not only adds to the body of evidence indicating now is the time to act, it reaffirms that doing so aligns with the president’s priority of promoting clean, sustainable energy here at homeand abroad.
Posted March 4, 2015
AEI Carpe Diem Blog: The Energy Information Administration (EIA) released new state crude oil production data last week for the month of December, and one of the highlights of that monthly report is that oil output in America’s No. 1 oil-producing state – Texas – continues its phenomenal, eye-popping rise. Here are some details of oil output in “Saudi Texas” for the month of December and the economic impact that production is having on the state and national economies:
For the ninth straight month starting in April 2014, oil drillers in Texas pumped out more than 3 million barrels of crude oil every day (bpd) during the month of December.
Posted February 25, 2015
Posted February 24, 2015