Transmission and distribution company views
With gas-price deregulation continuing to cloud the outlook for gas, A.G.A. described the prospects for natural and supplemental gas supplies, explained the results of recent analyses of wellhead gas prices, sales, heating costs, and consumer costs under various decontrol scenarios, predicted US gas demand and marketing prospects, and offered a set of recommendations. In the year 2000, 22.7-31.4 trillion CF of gas will be available. This level of supply should allow gas to at least maintain its current market share. However, indefinite price-escalator clauses, if activated by decontrol as now required by most gas-purchase contracts, would force wellhead gas prices to exceed market levels. As a result, gas sales would decline significantly in 1985, primarily in the industrial sector. Nevertheless, gas would still be the best buy for home heating. Given the right regulatory environment, the potential for gas demand growth is most attractive in three areas: cogeneration, select use of gas with coal, and gas-powered vehicles.
- OSTI ID:
- 6483889
- Journal Information:
- Energy J.; (United States), Journal Name: Energy J.; (United States) Vol. 3; ISSN ENJOD
- Country of Publication:
- United States
- Language:
- English
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