Lauren Blosse Direct use of natural gas is the way to go

An important study has been released that adds weight to the argument that the “direct use” of natural gas is the best way to use the fuel.

Recently, the Gas Technology Institute reported that the increased direct use of natural gas in homes and businesses will reduce energy consumption, save energy costs and reduce CO2 emissions.  Direct use refers to using natural gas in a residential or commercial capacity such as space heating, water heating, cooking and clothes drying.

The study, “Validation of Direct Natural Gas Use to Reduce CO2 Emissions,” found that when a “societal subsidy”- such as a rebate or a tax credit- is put in place to encourage the use of natural gas appliances, major savings in energy costs, CO2 emissions, energy use, and electricity use, can be achieved.

Case in point: those types of subsidies would provide the following benefits by 2030 (when compared to the Energy Information Administration’s 2008 Annual Energy Outlook):

  • 1.9 Quads energy savings per year (enough energy to heat 35 million American homes for a year);
  • 96 million metric tons CO2 emission reduction per year (equivalent to taking 16 million cars off the road); and
  • $213 billion cumulative consumer savings.

Clearly, the direct use of natural gas results in monumental savings- of energy, money and greenhouse gases- for American consumers.

To view a copy of the report, please click here.

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Bruce Kauffmann Include energy efficiency/carbon footprint information in the EnergyGuide labeling program for home appliances

Perhaps you have heard about the American Clean Energy and Security Act of 2009 (ACES), which the House of Representatives passed by a 219 – 212 vote on June 26, and which now goes to the Senate for its consideration.  At more than 1,000 pages long, it contains a lot of provisions that most House members probably neither read nor understood, but for America’s natural gas utility industry there were several very positive provisions.  One in particular would expand the existing Federal Trade Commission EnergyGuide labeling program for home appliances — hot water heaters, for example — to include energy efficiency/carbon footprint information that is based on a “full-fuel-cycle analysis.”

Say what?

Right now, if a consumer walks into a store to buy a hot water heater, be it electric- or natural gas-powered, and wants to know how energy efficient and environmentally friendly that water heater is, he or she can look at an EnergyGuide label on the appliance, which will say that the appliance is XX percent efficient.  Usually that label will show that the electric water heater is more efficient than the natural gas water heater.

But that label only tells the potential customer how efficient that appliance is at the end-use — in other words how efficiently that appliance uses the energy it got from the electric outlet in the case of an electric water heater, or the burner tip in the case of a natural gas water heater.  That completely ignores how efficient, and environmentally friendly, was the process by which that energy, be it electricity or natural gas, traveled from its original source to the electric outlet or natural gas burner tip in the home or business.

So let’s factor in the efficiency of getting natural gas from the wellhead to the burner tip, compared to the efficiency of getting coal from a coal mine, or even natural gas from a wellhead, and then sending either that coal or gas to a generation plant to be turned into electricity, and finally delivering that electricity to the electric outlet.

Doing so, we find that from both an efficiency and environmental standpoint, the natural gas water heater is the clear winner.  Natural gas only loses about 10 percent of its useable energy in the journey from wellhead to burner tip.  By contrast, in the journey from the original source — the coal mine or wellhead — to the generation plant, and then on to the home as electricity, almost 70 percent of the useable energy is lost.  What is more, in the generation process a lot of carbon dioxide is released into the air, especially when coal, the dirtiest fossil fuel, is used to generate that electricity.

This far more accurate way of measuring energy efficiency is called “full-fuel-cycle analysis,” so labeling home appliances based on its determination of their energy efficiency and environmental superiority will allow consumers to make better informed and smarter choices about which home appliances they should purchase, thereby saving money, saving energy and cutting greenhouse gas emissions.

But don’t take it from me.  Take it from the National Academies of Sciences, which recently issued a report confirming the above and recommending that full-fuel-cycle analysis be used to determine the true efficiency of an end-use appliance, be it gas or electric.

Sounds like a good idea to me. What do you think?

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Dan Gibson Natural gas gives you the greenest beans

Andrew dropped by my desk the other day with a story he had come across in the printed version of the Post. It was a Slate article titled, “How to Buy the Greenest Beans: should I get dry bags or the canned kind?” by Nina Shen Rastogi. The story is an excellent analysis of the carbon footprint of canned beans as opposed to dry bagged beans.

You’ll enjoy reading the article’s analysis between the two (I won’t spoil the ending) but what struck me were some points that AGA tries to make on a daily basis were exhibited perfectly here.

Take a look at this passage where the author begins to talk about cooking the beans. “Cooking dried beans at a simmer on the stovetop—the most common method—can require anywhere from 30 minutes to three hours, even after a lengthy presoak. Based on some recorded energy figures provided by food researchers at the University of Bristol, cooking five ounces of beans for that long might require 1,400 to 5,600 BTUs on a gas stovetop or 4,100 to 16,500 BTUs on an electric stovetop.”

Read that again. “1,400 to 5,600 BTUs on a gas stovetop versus 4,100 to 16,500 BTUs on an electric stovetop.” That’s a big difference.

Have you heard about the concept of “direct use?” Natural gas loses about 10 percent of its useable energy in the journey from wellhead to burner tip, making natural gas 90 percent efficient when used in typical household appliances.  Compare that to electricity which loses almost 70 percent of its useable energy during delivery. And because natural gas is the cleanest burning fossil fuel, in addition to the efficiency gains, the direct use of natural gas would actually reduce greenhouse gas emissions.

Speaking of efficiency. Did you know that since 1970 the number of residential customers has increased by 71 percent to 27 million but total residential natural gas use has not increased?  This means there has been a decrease in use per residential customer of about 1 percent per year for the last 38 years. In other words, the average natural gas residential customer today uses 39 percent less natural gas than they did 38 years ago.  This translates directly into greenhouse gas emissions reductions on the order of 38 percent per residential customers. Check out these slides available online.

So, if you really want to go “green,” you may want to consider using high-efficiency natural gas appliances in your home and swap out your electric appliances where you can.

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Kristin Schrader Marcell Senate Energy Bill: Love It or Hate It?

Recently Dave Parker participated in the National Journal’s Energy and Environment Experts blog to respond to their question, “Senate Energy Bill: Love It or Hate It?” Please take a moment to read his response posted below and visit the National Journal Energy Experts blog to view the comments from others in this respected group.

The American Gas Association (AGA) is pleased that the Senate Energy and Natural Resources Committee recently approved legislation to support the development of U.S. natural gas resources along the Outer Continental Shelf, which will benefit consumers, the economy and the environment. Specifically, the committee approved an amendment offered by Senator Byron Dorgan (D-ND) that will provide significant new access in the Eastern Gulf of Mexico by opening this area beyond 45 miles of the Florida coast for oil and natural gas development.

The Dorgan amendment also included the “Destin Dome” natural gas discovery, which lies approximately 25 miles south of Pensacola and is expected to produce anywhere from 110 to 165 billion cubic feet of gas every year for the next 20 years. Access to the Eastern Gulf of Mexico, which is known to have vast resources of natural gas that are close to existing pipelines and other vital infrastructure, will not only help supply more domestic natural gas to consumers but will also ultimately help make America more energy secure.

AGA was also encouraged that the Senate Energy and Natural Resources Committee legislation included biogas as a qualified renewable for the Renewable Electricity Standard (RES).  Biogas can be sustainably produced as a product of our waste-producing (landfills, agricultural processes and animal farms) lifestyle.  This efficient process also captures methane that otherwise would have entered into the atmosphere.

And while not included in the Senate Energy Committee’s recent energy legislation, AGA will continue to educate policymakers about a recently released National Academies’ (NAS) report to Congress, which found that the Department of Energy should consider changing its measurement of appliance energy efficiency to one based on the full-fuel cycle. This measurement takes into account the amount of energy produced and lost from the point of production to the final point of use. This more accurate measurement would provide consumers with more complete information on energy use and environmental impacts.  For example, 70 percent of the total amount of fuels used in producing, generating and transmitting electricity is lost by the time that electricity reaches a customer. By contrast, producing and delivering natural gas directly loses only about 10 percent of its usable energy.

The NAS study also supports the “carbon footprint labeling” provisions championed by AGA that were recently included in the Waxman-Markey climate change legislation.  These provisions would expand the existing Federal Trade Commission EnergyGuide labeling program for appliances to include carbon footprint information.

AGA looks forward to working with Congress as it considers energy and climate change legislation that strives to improve our environment and energy security, while also encouraging the increased use of clean, abundant, domestic natural gas. As the cleanest fossil fuel, emitting only one carbon atom when burned, natural gas can play a major part in reducing carbon emissions.

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