Report: Pennsylvania Consumers Saved More Than $30 Billion over 10 Years from Lower Natural Gas Prices
PITTSBURGH--(BUSINESS WIRE)--Sep 6, 2018--Thanks to increased production and new technologies, which have decreased the price of natural gas, Pennsylvanians saved more than $30.5 billion between 2006 and 2016, according to a new state report released today by Consumer Energy Alliance (CEA).
Residential users alone saved almost $13.3 billion, while commercial and industrial users saved upwards of $17.2 billion, the report, titled “Everyday Energy for Pennsylvania,” said. The analysis examined how the shale revolution across the Marcellus region has provided benefits to the Keystone State’s end-use energy consumers by boosting disposable income and economic investment, as well as revitalizing communities.
CEA’s report examines the benefits of Pennsylvania’s energy production and its role in providing reliable and affordable energy that keeps the lives and the businesses of Pennsylvania moving. CEA continues to strongly support the development of natural gas and other traditional and alternative energy sources while urging policymakers to support the state’s homegrown energy production to ensure Pennsylvania’s hard-working families, seniors, households, and small businesses can continue to enjoy the benefits that low prices are bringing to communities.
Highlights from the report include:Due to increased production and new technologies, Pennsylvania natural gas consumers have saved over $30.5 billion between 2006 and 2016 simply as a result of the decreasing price of natural gas - with residential users saving over $13.3 billion, while commercial and industrial users saved over $17.2 billion. In 2008, at the beginning of the shale revolution, prices for natural gas in Pennsylvania peaked at $10.39 per thousand cubic feet and steadily decreased to just $3.72 by 2016. Half of all Pennsylvanians rely on natural gas as their primary heating fuel and a growing number of electric generation facilities are utilizing natural gas to power the state. Electricity accounts for nearly half of the natural gas consumed in Pennsylvania. Nearly 1.6 million Pennsylvanians, or 12.9 percent of the population, live in poverty. On average, Pennsylvanians spent $3,108 for their energy needs in 2016. For those living at or below the poverty line, this translates to at least 25.6 percent of their income going toward energy expenses. Pennsylvania’s abundant energy resources have spurred economic investment and brought jobs to the state. Studies have tallied nearly 322,600 jobs in Pennsylvania that provide nearly $23 billion in wages to Pennsylvanians. In 2017, the median annual salary for an employee at one of Pennsylvania’s top oil and natural gas producers exceeded $113,000. These wages support local economies and grow small businesses. In fact, the report attributed almost $44.5 billion in economic impact from the state’s oil and gas industry. In 2017, high production rates in the Marcellus region generated high demand for pipeline transport of natural gas supplies. Because of this increase, Pennsylvania saw the oil and gas pipeline industry grow 153.5 percent – creating jobs for over 21,000 workers.
“This report highlights the benefits Pennsylvania’s communities are receiving as a result of the state’s role in the U.S. energy revolution and investment in our state’s energy infrastructure,” said Mike Butler, CEA’s Mid-Atlantic Executive Director. “From the small family farms sprinkled across rural Western Pennsylvania to the sprawling urban industrial areas of Philadelphia and Pittsburgh, lower fuel prices have helped Pennsylvanians save over $30 billion in the past decade. While it is easy to take many of these benefits for granted, it is important to remember that each of us has a stake in making sure we meet our energy needs.”
Butler added, “Fortunately, the benefits from increased production of Pennsylvania’s energy resources are not just limited to residential consumer savings, energy development has also led to the increase in economic investment and job creation we’ve seen over the past decade.”
“Despite the tremendous benefits and critical importance of energy production to Pennsylvanians, the future of Pennsylvania’s energy is threatened by out-of-state activists, some funded by foreign governments, who continue working to eliminate the production of safe, affordable sources of energy without offering any solutions that will help meet consumer demand while also supporting our environmental goals. CEA strongly encourages all of Pennsylvania’s elected leaders to embrace the benefits and growth potential that all energy production, especially natural gas, brings to families, farms, and factories throughout the Keystone State.”
To view the report, click here.
About Consumer Energy Alliance
Consumer Energy Alliance (CEA) brings together families, farmers, small businesses, distributors, producers and manufacturers to support America’s energy future. With more than 500,000 members nationwide, our mission is to help ensure stable prices and energy security for households across the country. We believe energy development is something that touches everyone in our nation, and thus it is necessary for all of us to actively engage in the conversation about how we develop our diverse energy resources and energy’s importance to the economy. Learn more at ConsumerEnergyAlliance.org.
View source version on businesswire.com:https://www.businesswire.com/news/home/20180906005153/en/
CONTACT: Consumer Energy Alliance
Emily Haggstrom, 720-582-0242
KEYWORD: UNITED STATES NORTH AMERICA PENNSYLVANIA
INDUSTRY KEYWORD: SENIORS WOMEN OTHER CONSUMER RELIGION ENERGY ALTERNATIVE ENERGY COAL OIL/GAS UTILITIES OTHER ENERGY PUBLIC POLICY/GOVERNMENT CONGRESSIONAL NEWS/VIEWS OTHER POLICY ISSUES MANUFACTURING PUBLIC POLICY STATE/LOCAL WHITE HOUSE/FEDERAL GOVERNMENT OTHER MANUFACTURING NATURAL RESOURCES OTHER NATURAL RESOURCES CHILDREN PARENTING TEENS ENVIRONMENT RETAIL COMMUNICATIONS NUCLEAR OTHER COMMUNICATIONS CONSTRUCTION & PROPERTY RESIDENTIAL BUILDING & REAL ESTATE OTHER CONSTRUCTION & PROPERTY OTHER RETAIL CONSUMER FAMILY GAY & LESBIAN MEN PETS
SOURCE: Consumer Energy Alliance (CEA)
Copyright Business Wire 2018.
PUB: 09/06/2018 09:00 AM/DISC: 09/06/2018 09:01 AM