Wednesday, March 02, 2016 11:52:08 AM
Another advantage, within the U.S. market, the price of oil is set by OPEC while the price of natural gas is set by supply and demand within the U.S. This keeps OPEC out of the natgas business in the U.S.
Use of natural gas in transportation, either through direct use or following conversion to a liquid fuel, will in time increase appreciably. Natgas will become the choose for all trucking companies due to low-carbon emissions and low capital cost of natural gas.
Natgas will also be the #1 choice for electricity generation. Abundant gas supplies and current relatively low prices, make natural gas the best option.
Natural gas offers three types of generation technologies: highly efficient natural gas combined cycle (NGCC) units, steam turbines, and gas turbines. Gas turbines are generally used to meet peak loads and to handle weather, time of day, seasonal and unexpected changes in demand. NGCCs and steam turbines can act as baseload or intermediate-load units, although the majority of gas capacity in the U.S. now operates in load-following (intermediate) or
peaking service.
Currently, natural gas is second only to coal in total generation, fueling 23% of U.S. electricity production. Natural gas, however, has the highest
percentage of generation capacity of any fuel, at 41% compared to 31% for coal. The use of Natural Gas will skyrocket in the years to come.
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