Monthly Archives: July 2009

Chris McGill Natural gas market indicators

Posted on July 31, 2009 by Chris McGill | 2 Comments


090731.ngmi Natural gas market indicators

Natural gas to power generation, which tends to average about 15 Bcf per day from January to mid-May, has averaged 25 Bcf per day in July. July averages for the power generation market in 2007 and 2008 were also in the 25-26 Bcf per day range.

However, late July to early August has seen peaks in natural gas consumption for power of as much as 38 Bcf per day going back to 2007. Those peaks have not been seriously challenged so far in 2009. Along with reduced industrial natural gas consumption and a still strong supply position, daily markets have still balanced at a Henry Hub pricing point around $3.50 per MMBtu.

However, if predictions of a cold winter hold true, and if rumblings of economic recovery translate into to sustained growth in the near term, how the demand side of the gas equation interacts with what remains a robust supply picture may become a very interesting question in the coming months.

Visit this link to download the full Natural Gas Market Indicator. Topics covered include: Reported Prices, Weather, Working Gas in Underground Storage, Natural Gas Production, Rig Counts, Pipeline Imports and Exports, and LNG Markets.

Posted in Natural Gas | Tagged | 2 Comments

Dan Gibson Low Income Home Energy Assistance Program (LIHEAP) funding at $5.1 billion

Posted on July 29, 2009 by Dan Gibson | Comments Off


Good news on the LIHEAP front. Chairman Obey and the U.S. House of Representatives provided $5.1 billion in funding for the Low Income Home Energy Assistance Program (LIHEAP). The funds, included within the fiscal year 2010 Labor, Health and Human Services, and Education Appropriations Act will provide critical dollars to low-income Americans struggling to heat and cool their homes.




A great video on LIHEAP.

Vivian Lausevic, our LIHEAP guru, sent an email with more good news yesterday saying the Senate Labor, Health and Human Services and Education Subcommittee completed mark-up of the FY 2010 bill also providing full funding – $5.1 billion – for LIHEAP next year. The full committee is set to vote on the bill Thursday (tomorrow).

When we did LIHEAP Action Day back in February, there was real concern that this funding would drop. I’m glad to see it hasn’t. With the way the economy is, these funds will be critical in helping to keep many American families warm this winter.

Dave sums it up nicely when he says, “When the weather turns cold, families who are already struggling to make ends meet must struggle even harder or risk the ravages of living with little or no heat. With adequate funding, Congress can ease this situation and ensure these families stay on their feet financially, rather than fall into a dangerous downward spiral along with winter temperatures.”

LIHEAP is something that’s easy to get behind and the natural gas utilities do. Natural gas utilities provide more than $1.7 billion annually in program assistance to needy families.

Visit aga.org to read the full press release commending Chairman Obey and the U.S. House of Representatives.

Posted in energy, Natural Gas, people, winter heating | Tagged , | Comments Off

Dan Gibson Legislation to Promote Natural Gas Vehicles

Posted on July 27, 2009 by Dan Gibson | 6 Comments


As I’m making my daily rounds on the web, there are few subjects that come across my news feed more often than natural gas vehicles (NGV). The messages about the positive benefits surrounding NGV’s are abundant. In fact, those benefits are so positive that a bill, H.R. 1622, written by Rep. John Sullivan (R-OK), passed last week by an overwhelming 393-35 vote.

H.R. 1622 authorizes the Department of Energy to spend $30 million annually for a five-year period on research and development for natural gas vehicles.

Some highlights from our press release on H.R. 1622 and the benefits of NGV’s include:

  • Natural gas vehicles reduce carbon monoxide emissions by 70 percent and nitrogen oxide by nearly 90 percent when compared to most gasoline-powered vehicles.
  • Natural gas is available in extremely large quantities in the United States, with 100 years of supply of natural gas available today and new technologies coming online that have the power to unearth enough gas to supply the country for much longer. Video from the Potential Gas Committee press event here.
  • Natural gas costs one-third less than conventional gasoline at the pump.

You can read the full release about the legislation promoting natural gas vehicles here. You can also visit our friends at Natural Gas Vehicles for America.

If you have an NGV, feel free to leave a comment below on your experience.

Posted in Natural Gas | Tagged | 6 Comments

Dan Gibson Roger Cooper on Clean Skies: Natural gas nearly perfect

Posted on July 24, 2009 by Dan Gibson | Comments Off


As I’ve said before, I’m a big Roger Cooper fan. After seeing Roger’s interview with Clean Skies, my opinion hasn’t changed. Recently there’s been news going around that the natural gas industry hasn’t fared that well in the current climate legislation.

That’s really not the case.


Or at least that’s not the case when it comes to the part of the natural gas industry that AGA represents. AGA represents natural gas distribution utilities. To really understand what that means, check out Dave’s post on “Who is the American Gas Association.”

As Roger points out, AGA has had a detailed advocacy plan in place for years leading up to the current environment. The goals in that plan were largely accomplished in the latest legislation. Natural gas utility customers are not covered under cap and trade until 2016, four years after program begins. During that time natural gas will be getting 9 percent of allowances until 2025, which will mean hundreds and hundreds of millions of dollars to our customers.

Roger does a great job of explaining this during the interview and his last line is classic. He even gets a chuckle from Susan McGinnis, his interviewer.

Susan: “In general you would say the natural gas industry does not come out a loser…”

Roger: “How can we be a loser, we’re a nearly perfect fuel.”

icon smile Roger Cooper on Clean Skies: Natural gas nearly perfect

There’s more great information in the interview so you should watch it yourself.  It’s a little over four minutes and embedded at the beginning of this post. You can also watch Roger’s interview on Clean Skies or on the AGA YouTube channel.

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