Well-publicized efforts to phase out fossil fuel use cannot hide the fact that natural gas remains in high demand, according to Karen Harbert, president and CEO of the American Gas Association.
"We look at the price of natural gas, and it seems to be about half to a third of the price of many other choices and sources. ... And because of that, we're adding a customer every minute of every day," American Gas Association President and CEO Karen Harbert said. |
U.S. gas utility customer additions from 2019 through 2020 outpaced growth in prior years, Harbert said during a virtual address at the United States Energy Association's Jan. 20 State of the Energy Industry Forum. About 187 million Americans now use natural gas in their homes, and 5.5 million businesses use gas in industrial operations, Harbert said.
"I think one of the most interesting things for just the average American to know is how much we are growing," Harbert said. "You pick up any newspaper and it's 'We want to ban fossil fuels. Natural gas is going away.' And yet we added more customers throughout this pandemic than we have in our recent history."
In order to cut greenhouse gas emissions, about 50 local and county governments in California have restricted natural gas use in new buildings. Major cities, including New York City, Seattle and Denver, have taken similar measures to require building electrification.
But in Harbert's view, the increasing amount of time Americans have spent at home during the pandemic has only focused their attention on the comfort and affordability of natural gas, as well as the pleasure of cooking with the fuel.
In recognition of growing demand, the industry is spending more than $90 million to improve system safety and $4 million to drive energy efficiency each day, according to Harbert. Investments in low-carbon alternative fuels like hydrogen and renewable natural gas also contribute to the need for more infrastructure at a time when fossil fuel opposition has led to pipeline project cancellations, the CEO added.
Harbert was encouraged that gas utilities qualified for energy efficiency grants included in the bipartisan infrastructure bill and that the legislation broadened the end-use applications for hydrogen under the U.S. Energy Department's hydrogen program. Harbert said she looks forward to the federal government supporting hydrogen research, development and demonstration as gas utilities continue to develop hydrogen pilot projects.
"I just hope that as we continue the discussion on climate change, it is well understood that this industry, the product that we currently deliver, the products that we will deliver in the future — but most importantly our infrastructure — is so valuable," Harbert said. "It's built. It's paid for. And we can use it as the climate solutions delivery mechanism for decades and decades and decades to come."