Can we count on cheap natural gas for decades to come?

Michael Giberson








3 thoughts on “Can we count on cheap natural gas for decades to come?

  1. There are plenty of folks cheering for gas now, though typically as a “bridge fuel”. I refer to those folks as “bridge fools”, because there is no way investors would put up the funds necessary for the massive expansion of the natural gas transmission system required to move the incremental “bridge fuel” to the new gas CCT plants which would consume it. There is also no way investors would provide the funds necessary to build the new “bridge” CCT plants.

    The typical “bridge fuel” scenario is ~20 years, roughly the half-life of the facilities necessary to “build” the bridge. Therefore, the investors would end up “holding the bag”. The depreciation rates for the “bridge” facilities could be doubled to account for the shortened useful life of the facilities, but that would adversely impact their competitiveness.

    Natural gas cannot and should not be the “let’s do everything with it until it runs out” fuel.

  2. As per usual the biggest problem is the “environmentalists” and lawyers, who want to stop drilling for gas, because it will throw a monkey wrench into their plans to turn the bitter clingers into docile peasants.

    Question for the day: “How can you have a GDP, if you don’t produce anything?”

  3. Fat Man,

    Our “domestic” bureaucracy and its associated red tape are certainly “gross”. I gather you don’t believe they have much value as “product”. 🙂

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