• 3 minutes "Biden Is Running U.S. Energy Security Into The Ground" by Irina Slav
  • 6 minutes How Far Have We Really Gotten With Alternative Energy
  • 9 minutes "How to Calculate Your Individual ESG Score to ensure that your Digital ID 'benefits' and money are accessible"
  • 5 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 8 days 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 7 days Energy Armageddon
  • 6 hours "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 2 days "Forget Oil, The Real Crisis Is Diesel Inventories: The US Has Just 25 Days Left" by Zero Hedge - 5 Stars *****
  • 3 days "The Global Digital ID Prison" by James Corbett of CorbettReport.com
  • 6 hours Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 2 days "Europe’s Energy Crisis Has Ended Its Era Of Abundance" by Irina Slav
  • 3 days The Federal Reserve and Money...Aspects which are not widely known
  • 4 days Is Europe heading for winter of discontent with extensive gas shortages?
  • 7 days Сryptocurrency predictions
  • 4 days Goldman Betting on Cryptocurrencies
  • 12 days Putin and Xi Bet on the Global South
Charles Kennedy

Charles Kennedy

Charles is a writer for Oilprice.com

More Info

Premium Content

U.S. Gas Production Set To Fall On Lack Of Pipelines

  • EIA: U.S. gas production and consumption could fall if no new interstate pipelines are built.
  • Lack of new pipeline infrastructure could lead to higher gas and electricity prices.
  • Pipeline bans will not lead to any significant carbon dioxide emission declines.

U.S. natural gas production will decline by 5 percent by 2050, and consumption will shed 4 percent if no new interstate pipelines are built, the Energy Information Administration said in its latest Annual Energy Outlook.

This, in turn, will lead to higher gas prices, the authority also said, and this will, in turn, lead to higher electricity prices.

“The higher natural gas prices that result from capacity constraints primarily affect natural gas consumption in the U.S. electric power sector, which is more price-sensitive than the residential, commercial, and industrial sectors,” the EIA explained.

The share of natural gas in power generation is set to decline in the scenario of no new interstate natural gas pipelines but not by much. According to the EIA, in that scenario, the share of gas in 2050 will constitute 31 percent of the total, compared with 34 percent under the agency’s reference scenario.

Yet, in absolute terms, the lack of new interstate gas pipelines will reduce gas-fired power generation by 11 percent in 2050 compared to the reference scenario.

At the same time, any bans on new interstate pipelines—a prerogative of the federal government—will not lead to any significant carbon dioxide emission declines.

“We project that restricting interstate U.S. natural gas pipeline capacity would only slightly lower energy-related carbon dioxide (CO2) emissions in the United States relative to the Reference case,” the EIA wrote. “Total CO2 from all fuel sources in 2050 are 4% lower in the No Interstate Natural Gas Pipeline Builds case than in the Reference case.”

One more thing that the EIA did not include in its report, but energy expert David Backmon raised as an issue this week in a podcast, is the link between interstate gas pipeline capacity and increased U.S. LNG exports to Europe, per President Biden’s commitment to Brussels to make up for a solid portion of Russian gas. Without more pipelines, Blackmon argued, U.S. LNG producers would find it difficult to boost exports sufficiently.

By Charles Kennedy for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News