Monthly Archives: July 2010

Adam Cloch Natural Gas Market Indicators

Reasonably strong daily volumes of natural gas to power generators that reached 32 Bcf per day and more cut into storage injections during July, however, market price movements have remained docile. The hurricane season tends to be concentrated in late August and September, so the potential for supply disruptions is not over but the current NYMEX pricing strip points to price stability for the balance of the summer.

Regarding natural gas demand, natural gas to power generation and industries are both up over eight percent year-to-date in 2010 compared to 2009, remembering that ’09 demand went into the tank with the economic recession. Overall U.S. gas demand is up about 3.6 percent in 2010 but, as noted above, the slight surge in consumption has not upset current or near-term acquisition price expectations among indices and analysts.

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.

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Jennifer O'Shea Beating the Heat with Summer LIHEAP Action Day

As we continue to experience record high temperatures throughout the country, it couldn’t be a better time than now to help bring attention to the critical need for Low Income Home Energy Assistance Program (LIHEAP) funding. On July 28, along with the Edison Electric Institute (EEI) and National Fuel Funds Network (NFFN), we hosted a Summer LIHEAP Action Day to build awareness about this valuable program that saves lives every year.

The purpose of the event was to bring together LIHEAP advocates and recipients from across the county to help convince Congress to fully fund LIHEAP at $5.1 billion for FY11 and encourage an increase to $7.6 billion as outlined in Rep. Ed Markey’s (D-MA) Energy Assistance for American Families Act. President Obama proposed LIHEAP funding for FY11 at a level of $3.3 billion, down from $5.1 billion in FY10 and FY09.

We also called on Congress to release the remaining 2010 LIHEAP contingency resources–$100 million—to help vulnerable Americans who cannot afford to cool their homes during these blazing summer months.

Throughout the day there were various activities, and one of the most exciting events was the press conference we hosted on Capitol Hill where we were fortunate to be joined by Congressman Gene Green and Congresswoman Sheila Jackson Lee. Both from Texas, they certainly understand how high the mercury can rise, and how dangerous high temperatures can be for those without energy assistance. We were happy to have them with us to echo our calls for LIHEAP funding—for both heating and cooling.

You can see some of the photos of the press conference at the end of this post. You can see more photos from the day’s events on our Flickr stream.

Another highlight of Summer LIHEAP Action Day was when Dave Parker and Rep. Edward Markey (D-Mass) were presented with awards from NFFN. Dave Parker was awarded the Sister Pat Kelly Achievement Award, NFFN’s highest energy assistance recognition award. This award is given to individuals who have demonstrated superior achievements in goals set by NFFN: increasing public awareness and understanding of low-income energy issues; influencing energy-related policies beneficial to low-income people; assisting in the creation and development of fuel funds; promoting communication and coordination among parties concerned with low-income energy issues on national, regional, and statewide levels. Rep. Markey (D-Mass) was presented with The Extra Mile Award, which recognizes legislative achievement on behalf of LIHEAP.

Here are photos of Dave and Rep. Markey receiving these prestigious awards.

Rep. Markey (D-Mass) with The Extra Mile Award, which recognizes legislative achievement on behalf of LIHEAP. Dave Parker with the Sister Pat Kelly Achievement Award, NFFN’s highest energy assistance recognition award.

While the cold winter months seem distant as we read the temperatures these days, our next LIHEAP Action Day will be here before we know it. Make sure to mark your calendar for February 9, 2011 so you can join us in the nation’s capital as we continue to make sure LIHEAP funding is available for those who need it most.

And don’t forget to post your thoughts about LIHEAP below in the comments—we always like to hear how this great program is helping folks throughout the nation.

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Adam Cloch “The Future of Natural Gas,” Meet Dr. Ernest J. Moniz, MIT

The Natural Gas Roundtable was formed more than 40 years ago to advance the dialogue on issues regarding natural gas and energy policy. They’ve certainly done that. Just recently I’ve been able to attend events featuring Chairman Gensler, Dr. Stelzer and a great panel on the outlook of the natural gas industry for 2010 to name just a few.

The next roundtable will feature Dr. Ernest J. Moniz, of the Massachusetts Institute of Technology (MIT). Moniz is part of the group at MIT that is working on The Future of Natural Gas, a study that analyzes the role of natural gas in a carbon constrained environment. This study is the third in a series and while not yet final the preliminary report has been in the news quite a bit lately. The first two parts of the series were The Future of Nuclear released in 2003 and the Future of Coal, released in 2007.

The study takes the position that natural gas will play a leading role in reducing greenhouse-gas emissions over the next several decades, largely by replacing older, inefficient coal plants with highly efficient combined-cycle gas generation. From the release on the report:

“The report includes a set of specific proposals for legislative and regulatory policies, as well as recommendations for actions that the energy industry can pursue on its own, to maximize the fuel’s impact on mitigating greenhouse gas. The study also examined ways to control the environmental impacts that could result from a significant expansion in the production and use of natural gas — especially in electric power production.”

“Much has been said about natural gas as a bridge to a low-carbon future, with little underlying analysis to back up this contention. The analysis in this study provides the confirmation — natural gas truly is a bridge to a low-carbon future,” said MITEI Director Ernest J. Moniz in introducing the report  . . . “For the next several decades, however, natural gas will play a crucial role in enabling very substantial reductions in carbon emissions.”

Some links you might find helpful:

A brief summary of the study at MyEcoProject

The release on the study from MIT (lots of info, six pages)

The interim report at MIT

This Natural Gas Roundtable is scheduled for Tuesday, July 27, 12:30 p.m. at the University Club in Northwest DC. If you’d like to attend just contact Ella at 202-824-7207 or at eproctor@aga.org by COB on Monday.

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Adam Cloch Renewable Gas – Vision for a Sustainable Gas Network

National Grid just released a white paper titled “Renewable Gas – Vision for a Sustainable Gas Network.” The research shows how 16% of natural gas demand in the four states National Grid serves (Massachusetts, New York, Rhode Island, New Hampshire) could be met by renewable gas, and focuses on the role of renewable gas in the clean energy future of the United States.

This paper covers renewable gas from beginning to end. Going into detail on what exactly renewable gas is, how it’s produced including potential sources, and even goes into some of the myths about the quality of renewable gas. The paper discusses a new project being developed and features a graphic that shows what a future sustainable gas network might look like.  The “Roadmap to Success” section provides some great information on what needs to be done to make the vision a reality.

Donald Chahbazpour from National Grid’s Sustainable Gas Group said, “So far, direct injection of renewable gas has been limited to a small number of projects in the United States. With this white paper, we are trying to demonstrate how, along with wind and solar, it is another option to meet the clean energy needs of the future.

“We also wanted to educate with this white paper, by clearly illustrating how renewable gas is produced and integrated into an existing natural gas network,” added Donald. The ability to deliver renewable gas using the current infrastructure is one of the main advantages people point to when talking about renewable gas.

You can read the full press release here. Take some time to read the white paper and the accompanying fact sheet, and let us know what you think in the comments below.

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