API hails EIA data showing American consumers are paying less due to abundant natural gas
WASHINGTON, October 6, 2016 – Today API Executive VP Louis Finkel highlighted the Energy Information Administration (EIA) announcement that consumers are benefiting from lower electricity costs due to clean and abundant natural gas.
“EIA’s latest report on electricity prices shows that American consumers are benefiting from clean, abundant natural gas,” said Finkel. “Due to advancements in hydraulic fracturing and horizontal drilling, the United States has become the number one producer of oil and natural gas in the world and the market has increasingly adopted natural gas for electricity generation. As a result, we are also the world leader in reducing carbon emissions, which are near 20-year lows. This is a win-win thanks in large part to American innovation and free markets.”
During the first six months of this year, customers paid 12.4 cents per kilowatthour, on average, or 0.7 percent lower than the same period in 2015, according to the EIA. The agency said that if this trend continues the annual average residential electricity prices would decline for the first time since 2002.
API is the only national trade association representing all facets of the oil and natural gas industry, which supports 9.8 million U.S. jobs and 8 percent of the U.S. economy. API’s more than 625 members include large integrated companies, as well as exploration and production, refining, marketing, pipeline, and marine businesses, and service and supply firms. They provide most of the nation’s energy and are backed by a growing grassroots movement of more than 30 million Americans.