Press Release Source: Southern California Gas Company
The Gas Company Working to Ensure Reliable, Long-Term Gas Supplies at Reasonable Cost Monday May 23, 4:05 pm ET
LOS ANGELES, May 23, 2005 (PRIMEZONE) -- Ensuring a reliable supply of reasonably priced natural gas continues to be a key goal of Southern California Gas Co. (The Gas Company). With domestic gas production not keeping pace with growing demand for natural gas, Gas Company officials say energy conservation, an increased use of renewable energy resources, and new supplies from non-traditional sources, such as liquefied natural gas (LNG), will be required to meet customers' future energy needs. ADVERTISEMENT
California's long-term economic livelihood will require a growing supply of natural gas. That is because a large number of residents and businesses in the region depend on natural gas to heat their homes and fuel their processes. In fact, the percentage of homes, businesses and electric power plants fueled by natural gas is greater in Southern California than anywhere else in the nation.
The Gas Company believes that customer access to new supply sources and a diverse supply portfolio will increase reliability and competition among suppliers, helping to reduce price volatility and create lower prices for all customers. The Gas Company is working to increase supply diversity and its access to additional gas supply basins in the western United States.
The California Public Utilities Commission last year approved The Gas Company's proposal to establish new receipt points on its extensive pipeline system to accept natural gas supplies from LNG and other new supply sources. Industry experts estimate that the total savings in gas costs for consumers from bringing LNG into the West Coast could be as much as $1 billion a year or more.
With increased reliability and competition, there will be less risk of a supply shortfall or price spikes that might occur if there is an unanticipated supply interruption on an existing pipeline or in an existing supply basin, according to The Gas Company.
The Gas Company is the nation's largest natural gas distribution utility, providing safe and reliable energy to 19.5 million consumers through 5.5 million meters. The company's service territory encompasses approximately 20,000 square miles in most of central and Southern California. The Gas Company strives to provide exceptional customer service to enhance the quality of life in the community. The Gas Company is a regulated subsidiary of Sempra Energy (NYSE:SRE - News). Sempra Energy, based in San Diego, is a Fortune 500 energy services holding company. To learn more, go to http://www.socalgas.com.
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