Natural Gas Deliverability And Capacity Utilization As Of January 1 1991

Deliverability on the Interstate Natural Gas Pipeline System examines the capability of the national pipeline grid to transport natural gas to various US markets. The report quantifies the capacity levels and utilization rates of major interstate pipeline companies in 1996 and the changes since 1990, as well as changes in markets and end-use consumption patterns. It also discusses the effects of proposed capacity expansions on capacity levels. The report consists of five chapters, several appendices, and a glossary. Chapter 1 discusses some of the operational and regulatory features of the US interstate pipeline system and how they affect overall system design, system utilization, and capacity expansions. Chapter 2 looks at how the exploration, development, and production of natural gas within North America is linked to the national pipeline grid. Chapter 3 examines the capability of the interstate natural gas pipeline network to link production areas to market areas, on the basis of capacity and usage levels along 10 corridors. The chapter also examines capacity expansions that have occurred since 1990 along each corridor and the potential impact of proposed new capacity. Chapter 4 discusses the last step in the transportation chain, that is, deliverability to the ultimate end user. Flow patterns into and out of each market region are discussed, as well as the movement of natural gas between States in each region. Chapter 5 examines how shippers reserve interstate pipeline capacity in the current transportation marketplace and how pipeline companies are handling the secondary market for short-term unused capacity. Four appendices provide supporting data and additional detail on the methodology used to estimate capacity. 32 figs., 15 tabs.

Sections 1-2. Keyword Index.--Section 3. Personal author index.--Section 4. Corporate author index.-- Section 5. Contract/grant number index, NTIS order/report number index 1-E.--Section 6. NTIS order/report number index F-Z.

The U.S. energy portfolio is set to undergo drastic change in the coming decades. Policies to reduce emissions combined with growing demand for energy will test existing infrastructure. Large reserves of shale gas provide an attractive near-term solution to help states transition from coal-powered plants to cleaner fuel. Most commercial production growth in shale gas occurred in the early 2000's. Yet most of the natural gas pipeline system was constructed long before the "shale gas revolution". Almost half of all interstate transmission pipeline mileage is over 50 years old. In order to best utilize the country's natural gas reserves, the pipeline transportation network must respond to accommodate changing flow patterns. Consumption of natural gas often occurs far from production sites. This research seeks to identify states where the required inflow and outflow of natural gas may be constrained by pipeline capacity limitations. A literature review of the natural gas production and consumption outlook reveals an expected steady growth in the industry until 2050. The current state of the system is then evaluated. A simple analysis is performed to determine the inflow and outflow transmission pipeline capacity utilization rates for each state. It is found that some states, namely Florida, California, and New England, are indeed at risk for natural gas shortages. It is further discovered that some states with access to reserves, namely Pennsylvania, may be limiting production due to insufficient outflow pipeline capacity. The pipeline approval process, managed by FERC is reviewed. The process is found to be inefficient at allocating new capacity where it is needed. Alternative solutions to address the supply risk were also considered. A literature review confirms that pipeline transportation has a much lower incidence of accidents per volume of natural gas moved than either rail or truck transportation. The dangers of underground storage are also explained. A major risk in the current pipeline system, age, is investigated using a simple analysis of PHMSA data. It is found that three of the top four causes of accidents are related to pipeline age, with older lines having higher rates of accidents. Lastly, the risks of over-reliance on natural-gas for electricity generation are discussed and it is recommended that states take a more balanced long-term approach to energy development and incorporate locally accessible renewable energy.