APGA was recently part of a panel that presented to the National Association of Regulatory Utility Commissioners (NARUC) Gas Subcommittee. APGA was joined by representatives from the American Biogas Council (ABC), Business Council for Sustainable Energy (BCSE), the Gas Technology Institute (GTI), and the National Propane Gas Association (NPGA). The subject of the conversations with NARUC was the soon-to-be released BCSE “Sustainable Energy in America Factbook.”
APGA staff highlighted the important data within that report, which shows that natural gas prices today are still lower than they were 10 years ago. Also attesting to current, low commodity prices, the Department of Energy’s (DOE) 2021 Representative Average Unit Costs of Energy prices electricity at around $39 per million Btu and natural gas at around $11 per million Btu. DOE uses these costs of electricity, which are four times more than natural gas, in their regulatory work.
While these prices are relatively low, APGA staff also commented to the commissioners that the market has seen recent volatility. Troubling trading activity has recently taken place in the natural gas futures market, and public natural gas utilities never really saw recommendations from policymakers on how to fix spot market impacts from Winter Storm Uri. Investigations still need to take place, which could lead to important policy changes. To learn more about BCSE’s new report,
click here.
It is valuable for APGA to represent members at these events and before these natural gas value chain stakeholders and will continue to do so. NARUC should know the value of the direct use of natural gas.
For questions on this article, please contact Stuart Saulters of APGA staff by phone at 202-544-1334 or by email at
ssaulters@apga.org.