NGC: Gas systems resilient in three big weather events
US natural gas systems clearly demonstrated their resilience during three recent major weather events, a study commissioned by the Natural Gas Council has concluded.
Extensive underground facilities, transmission pressure under storage which provided a buffer, configurations which let suppliers reach customers by alternative routes, and physical configurations which confined impacts were the main reasons why, the study by RBN Energy LLC said.
The examination, which the five-member NGC jointly released on the 6th August, covered three major 2017-18 weather events: Hurricane Harvey, which affected Gulf of Mexico production and immobilised Houston from the 17th August to the 2nd September 2017; Hurricane Irma, which crossed heavily gas-reliant Florida before having extended impacts southeast from the 30th August to the 13th September; and the so-called Bomb Cyclone, a historic north-eastern US deep freeze exacerbated by a snow-and-ice hurricane which affected production areas and the densely populated East Coast.
“In the two major hurricanes, the real news about the natural gas industry was that there was no news,” the report’s executive summary said.
“The industry performed normally throughout both storms. In the face of large electric transmission-driven power outages in Florida, steady gas industry performance enabled backup generation, distributed generation, and combined heat and power (CHP) installations to continue to operate, thus protecting high-priority electricity needs, despite the state-wide loss of the grid.”
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During the Bomb Cyclone, electricity customers with firm service agreements in the North-east received their supplies as contracted, it said. “The exhaustion of committed firm capacity in New York and New England resulted in spot-price-driven economic impacts in power markets but did not result in a loss of gas reliability. Fuel switching by power generators during this time was due to economic, and not supply, decisions,” the executive summary said.
The study’s findings represented a rebuttal to efforts by some electric utilities and Trump administration officials to get federal financial support for nuclear and coal-fired power plants because they supposedly are more resistant to weather-related disruptions than plants which use gas transmitted by pipelines to generate electricity.
‘An essential part’
Officials from the NGC’s five-member associations commented on the findings. “In the span of six months, the gas supply and delivery system was challenged by hurricanes, devastating flooding, and a ‘snow hurricane.’ This study helps to get the story about how gas customers were impacted by those events and how the industry’s reliability and safety measures were an essential part of helping our customers.” Natural Gas Supply Association President Dena Wiggins said.
“The reliability and resilience characteristics of gas have allowed this clean energy resource to earn its share of the market while delivering affordable electricity to consumers across the country,” said American Petroleum Institute Market Director Todd Snitchler.
“For this to continue, we must pursue policies that protect the electricity markets in order to further ensure an affordable, reliable, and resilient electric grid that benefits consumers of all types.”
Interstate Natural Gas Association of America President Donald Santa said, “This study serves to underscore the fact that US gas and the pipelines which transport it are remarkably safe, reliable, and resilient. The weather-related challenges the industry faced last year were extraordinary, and as the report shows, the gas system fully met those challenges.”
Independent Petroleum Association of America President Barry Russell said, “As reported, our industry can meet demand for abundant, clean-burning gas. Going forward, modernising and improving our nation’s energy infrastructure will allow the US to compete globally and lead to greater energy reliability, safety, security, and affordability here at home.”
American Gas Association Chief Operating Officer Lori Traweek said, “This study shows that through some of the most severe weather in 2017 and 2018, local gas distribution companies maintained service to their customers without issue. Customers had hot showers, warm food, and comfortable homes even during extreme conditions. Our domestic abundance of clean gas provides unparalleled supply reliability, and the men and women of our industry plan and prepare constantly to safely deliver essential energy under the most trying circumstances.”
Source: Oil & Gas Journal