Released December 26, 2012 | SUGAR LAND
en
Researched by Industrial Info Resources (Sugar Land, Texas)--Much has been made of the recent surge in natural gas extraction, which has led to record low prices that have been at the heart of a large increase in new-build natural gas projects, as well as the conversion of import terminals into export terminals, and even a few plant coal-to-gas conversion projects. Supporters of renewables like solar and wind justifiably worry that the low natural gas prices will end renewable development, or at least slow it significantly. At the same time, it would appear that many have lost sight of how natural gas came be in such a dominant position and what the implications of that history are for other energy sources.
The federal government started subsidies for the development of the shale gas industry in the 1970s, and the administrations of Presidents Ford, Carter and Regan all oversaw government involvement, subsidies and the development of many of the key technologies that have created the shale gas revolution the U.S. is now experiencing. From advanced imaging and horizontal wells, to micro-seismic mapping and hydraulic fracturing (or "fracking"), there were government scientists and government agencies working with or even funding privateers. Some of the pioneers of shale gas fracking credit the successful evolution of that technique to the U.S. Department of Energy's early involvement in its development.
As various groups around the country either celebrate victory or lick their post-election wounds, it is important to look beyond the partisan rhetoric and try to develop a sane, long-term energy plan. Nuclear and renewable energy cannot currently get close providing the base-load capacity needed. At the same time, it is clear that fossil fuels, even natural gas, will eventually run out. It is important to recognize the medium-term need to develop and deploy cleaner fossil fuel generation while continuing to support the development of renewable sources. It is equally important to realize that this development is unlikely without long-term government support and funding that will make these sources economically viable and commercially successful--just as was the case with natural gas.
For more information, view July 10, 2012, article - Coal's Share of Power Generation Falls, Natural Gas Rises to Take its Place.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, and eight offices outside of North America, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.
The federal government started subsidies for the development of the shale gas industry in the 1970s, and the administrations of Presidents Ford, Carter and Regan all oversaw government involvement, subsidies and the development of many of the key technologies that have created the shale gas revolution the U.S. is now experiencing. From advanced imaging and horizontal wells, to micro-seismic mapping and hydraulic fracturing (or "fracking"), there were government scientists and government agencies working with or even funding privateers. Some of the pioneers of shale gas fracking credit the successful evolution of that technique to the U.S. Department of Energy's early involvement in its development.
As various groups around the country either celebrate victory or lick their post-election wounds, it is important to look beyond the partisan rhetoric and try to develop a sane, long-term energy plan. Nuclear and renewable energy cannot currently get close providing the base-load capacity needed. At the same time, it is clear that fossil fuels, even natural gas, will eventually run out. It is important to recognize the medium-term need to develop and deploy cleaner fossil fuel generation while continuing to support the development of renewable sources. It is equally important to realize that this development is unlikely without long-term government support and funding that will make these sources economically viable and commercially successful--just as was the case with natural gas.
For more information, view July 10, 2012, article - Coal's Share of Power Generation Falls, Natural Gas Rises to Take its Place.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, and eight offices outside of North America, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.
