Role of natural gas in electric generation
- New England Power Company, Westborough, MA (United States)
The natural-gas industry must overcome significant operating, market, regulatory, and institutional barriers to meet projected demand growth between 1994 and 2005, according to Jeffrey W> VanSant, vice president the New England Power Company, and Kristine L. Mespelli, a fuel analyst with New England Power. An 85-percent increase in gas use for electric generation is expected to account for most of the overall growth in gas demand during the decade, as environmental policies increasingly favor the use of gas instead of other fossil fuels. Recent changes in the natural gas industry have posed challenges to power producers, however. For instance, restructuring of pipeline services in 1992 caused more tightly controlled flow rates which are incompatible with the variable flow needs of electric generators. Another barrier to increased natural-gas use is its relatively undeveloped market, compared to coal and oil markets. In fact, say VanSant and Mespelli, the gas market in many consuming regions is characterized both by a lack of price transparency and limited access to buyers and sellers. Electric utilities can help make gas a viable fuel by maximizing dual-fuel capability, pooling gas purchases, building new business relationships, and improving electronic information networks to make transactions easier and faster.
- OSTI ID:
- 75487
- Journal Information:
- Forum for Applied Research and Public Policy, Vol. 10, Issue 2; Other Information: PBD: Sum 1995
- Country of Publication:
- United States
- Language:
- English
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