Recent cold weather spells have helped to underscore the importance of America’s natural gas supply lines and ongoing infrastructure investments, API Chief Economist John Felmy told reported conference call recently:
“Reliable, affordable energy requires a 21st century system of transmission lines, pipelines, and energy infrastructure,” said Felmy. “The recent cold snap provided a chilling reminder of what happens when demand approaches the limit of our current ability to bring abundant U.S. supplies to the regions that need it most.
“A new study released last week by IHS shows that capital spending on oil and gas infrastructure increased by 60 percent between 2010 and 2013, thanks to America’s shale energy revolution. With the right policy choices, these investments will accelerate, providing a major boost to the economy, creating jobs, and strengthening the supply chain to consumers.
“In total, IHS anticipates up to $1.15T in oil and gas infrastructure investments over the next 12 years, contributing as much as $120.58B to U.S. GDP; supporting as many as 1.15 million jobs; and providing an additional $27.45B in government revenues on average, annually between 2014 and 2025. These are private dollars – not public funds – ready to put shovels in the ground.
“Public officials are taking notice too. President Obama recently announced a new Quadrennial Energy Review of transmission and distribution infrastructure. Our message is simple: let’s recognize the value of investing in our energy transportation network and work together to streamline the regulatory and permitting process, so that small delays don’t potentially add up to huge costs for consumers across country.”
API is the only national trade association representing all facets of the oil and natural gas industry, which supports 9.8 million U.S. jobs and 8 percent of the U.S. economy. API’s more than 580 members include large integrated companies, as well as exploration and production, refining, marketing, pipeline, and marine businesses, and service and supply firms. They provide most of the nation’s energy and are backed by a growing grassroots movement of more than 20 million Americans.