Natural gas price increases in Los Angeles

Technical Report · Tue Jul 31 04:00:00 EDT 1984

OSTI ID:6484191

Natural gas price increases in recent years captured congressional and public attention. To determine which factors contributed to an average price increase of 61% in the Los Angeles, California, area between April 1981 and April 1983, GAO obtained and analyzed information from the distribution company which sells gas to retail customers in Los Angeles, the state agency which regulates it, and the distribution company's four principal pipeline company suppliers. GAO found that about three quarters of the price increase was due to: (1) the depletion of old and less expensive gas reserves and the addition of new and higher cost reserves; (2) price increases permitted by federal regulation; (3) increased imports of relatively expensive Canadian natural gas; (4) contract clauses affecting purchases by the distribution company and its pipeline suppliers; and (5) a decline in gas consumption which made purchasing patterns and company operations less efficient. The remaining increases stemmed from operating costs. 1 figure, 14 tables.

• Research Organization: General Accounting Office, Washington, DC (USA). Resources, Community and Economic Development Div.
• OSTI ID: 6484191
• Report Number(s): GAO/RCED-84-178; ON: TI85900098
• Country of Publication: United States
• Language: English

Related Subjects

03 NATURAL GAS
030600* -- Natural Gas-- Economic
Industrial
& Business Aspects
29 ENERGY PLANNING, POLICY, AND ECONOMY
290200 -- Energy Planning & Policy-- Economics & Sociology
294003 -- Energy Planning & Policy-- Natural Gas
CALIFORNIA
ECONOMIC ANALYSIS
ECONOMICS
ENERGY SOURCES
ENERGY SYSTEMS
FEDERAL REGION IX
FLUIDS
FOSSIL FUELS
FUEL GAS
FUELS
GAS FUELS
GASES
INDUSTRY
LOS ANGELES
NATURAL GAS
NATURAL GAS DISTRIBUTION SYSTEMS
NATURAL GAS INDUSTRY
NORTH AMERICA
PIPELINES
PRICES
USA