|
|
|
News & Articles
NATURAL GAS STORAGE IS ESSENTIAL FOR FLORIDA'S FUTURE ENERGY SECURITY
By David N. Parker
April 30, 2007
As Congress calls for Americans to take greater control of the country's energy and environmental future, one of the most effective and achievable means of doing so is diversifying the energy sources we use to supply our homes, businesses and industries.
New natural gas storage located in Florida can and should be an important source of energy for the state of Florida, just as it is elsewhere across the country and the world. Natural gas storage can help meet growing energy needs as the state's population increases, can help ensure supply during supply disruptions and can help moderate energy prices.
Because natural gas is the cleanest burning of all fossil fuels, demand for natural gas is growing, particularly for use as the fuel of choice to generate electricity. Natural gas already powers a third of the state's power plants and its use is projected to grow by 76 percent by 2015. Across the country, electric power generators added almost 300 gigawatts of new generation in the last decade (enough electricity to supply about 570 cities the size of Miami), all of it powered by natural gas.
This is one reason why more reliable access to natural gas supplies must be a key element in Florida's energy plan for the future. Simply put, as demand for natural gas grows, we need more secure and reliable sources of supply. Today, all the natural gas used in the state is transported through two pipelines coming from the gulf coast. By 2011, these pipelines will be fully utilized during peak periods. Additionally, hurricane activity in the gulf coast can threaten the state's natural gas supply by shutting in the infrastructure required to produce, process and distribute gas to the two pipelines serving the state.
The ability to store natural gas within the state is critical because it will allow Florida to expand and diversify its natural gas supplies. Because power and natural gas companies can buy natural gas for storage when prices are low and use the stored natural gas when prices are high, natural gas storage will mean less pressure on natural gas prices, and will reduce the impact rising prices are having on residents and industry alike. It will also mean reducing reliance on any single supplier. Natural gas storage is like an insurance policy for energy consumers.
The construction of above ground liquefied natural gas storage facilities has not always received a warm reception by many communities, even though much of their opposition, based as it is on safety concerns, does not square with the facts. No death or serious accident involving the public has occurred at a U.S. liquefied natural gas facility in more than 40 years. This excellent safety record is a result of the industry's new stringent design and operating standards, supported by strong regulatory oversight.
In fact, construction of any liquefied natural gas facility in the United States requires a rigorous process of oversight by federal, state and local agencies. A typical facility requires more than 40 permits, as well as an environmental impact statement, which in every case has shown that plants pose little risk to nearby communities.
What is certain is that energy is the lifeblood of the economy. Only with adequate and diverse supplies and reserves of energy, including natural gas storage, can our economy and our citizens continue to prosper. Now is the time to be planning, permitting and constructing new energy infrastructure to help provide that security. Helping Florida increase its access to reliable and affordable energy supplies is one of the most important challenges facing us today, and natural gas stands ready to help meet this challenge.
David N. Parker is the president and chief executive officer of the American Gas Association.
[ return to News & Articles ] |
| Home | Top | Contact Us |
| © 2008 Floridian Natural Gas Storage, LLC. All rights reserved. |
|
