American Gas - June 2013 - (Page 8)

issues Better Data, Better Findings d ig e s t in a landmark decision, the Obama administration approved natural gas exports from Freeport LnG’s terminal in Quintana island, Texas. The energy Department had held up export applications for nearly two years as they reviewed concerns that it might harm U.s. manufacturers. The may 17 decision had been expected after economic studies found that exporting would provide economic benefits. more than a dozen other projects have been proposed to export natural gas. The Department of Homeland security issued a warning about the threat of cyberattacks on industrial control systems. Hackers could use specialized search engines to search out vulnerable supervisory control and data acquisition (scADA) systems, according to the may 8 warning by the industrial control systems cyber emergency response Team, or ics-cerT. The new warning comes in the wake of “new intrusions [that were] aimed largely at the administrative systems of about 10 major American energy firms,” The New York Times reported. The American council for an energy-efficient economy recognized several AGA member utilities for their efforts to help customers reduce their costs and energy consumption Continued on page 10 8 AmericAn GAs june 2013 Revised estimates, new studies aim closer to the truth on methane emissions i n April, the U.S. Environmental Protection Agency released its latest estimates of greenhouse gas emissions related to natural gas production—and the numbers show a drastic reduction from the agency’s previous figures. The EPA estimates that about 1.4 percent of produced natural gas is emitted into the atmosphere along the natural gas value chain, down from the agency’s 2.5 percent estimate just one year ago. The change is due largely to the EPA’s use of more current data that reflects evolving processes and technologies. (See “Methane Emissions: The Real Story,” on page 48.) This new, lower estimate fits with broader reports that natural gas has helped contribute to significant overall reductions in greenhouse gas emissions in the U.S. in recent years. “This data from EPA confirms that our nation’s abundance of natural gas is not only an economic game-changer but an environmental one as well,” said Dave McCurdy, president and CEO of AGA. “The responsible production and delivery of natural gas has already enabled significant reductions in greenhouse gas emissions in the United States, accounting for an 8 percent drop since 2007.” The EPA report says emissions of methane— the principal component of natural gas—fell by 41.6 million metric tons annually from 1990 to 2010. The estimate is about 20 percent lower than previous EPA figures. Those cuts in emissions occurred even as U.S. natural gas production skyrocketed by almost 40 percent. They were enabled by improved controls and processes for reducing emissions. The EPA’s new findings show great progress on the emissions front, but they also highlight the ongoing need to develop solid data in assessing emissions. Several initiatives are underway to do just that. For example,West Virginia University is collaborating with AGA to determine the levels of methane emissions associated with the routine operation of natural gas fleet vehicles fueled by compressed or liquefied natural gas. The study will directly measure methane emissions at refueling sites and maintenance facilities and gauge emissions from natural gas-powered heavy-duty vehicles. The results, expected late this year or in early 2014, will help identify potential improvements to fueling operations and best practices for minimizing leakage. In another study, Washington State University’s Laboratory for Atmospheric Research is working with AGA and other industry partners to quantify methane emissions in local gas systems, from the city border to the customer meter. The results, due in 2014, will be used to determine an estimated national methane emissions rate for natural gas distribution systems. “It is critical to do these careful measurements along the entire natural gas industry supply chain so that we have a clear understanding of the impact of the industry’s greenhouse gas emissions,” said Washington State Professor Brian Lamb in a release from the university. —P.H. issues Bye-Bye Coal A Duke University study hints at a rapid switch from coal to gas a recent study from Duke University suggests the move by utilities from coal-fired to gas-fired power generation may be more rapid and dramatic than anticipated. The study found that stricter EPA enforcement of existing emissions rules—plus pending regulations on sulfur dioxide, nitrogen oxide, mercury, and particulates—may render twothirds of America’s power plants too costly to run on coal. Even at four times the cost of coal, natural gas would be cheaper for electricity generation than upgrading coal plants to comply with regulations. “Investment in emission controls for coal plants is quite costly,” Lincoln Pratson, Ph.D., a professor of earth and ocean sciences at Duke’s Nicholas School of the Environment and the

Table of Contents for the Digital Edition of American Gas - June 2013

American Gas - June 2013
Contents
President’s Message
Subject Index
Safety: It Takes a Village
Digest
Issues
Update
Need to Know
Need to Know
By the Numbers
Places
On the Market
State House
Elm Street
The Calm Before the Storms
Profile 28
2013 AGA Membership Directory
Jobs
Buyer’s Guide
Marketplace
Headway

American Gas - June 2013