Texas Needs More Natural Gas Generation as Shortfall Looms, Says Abbott
Natural gas generation capacity in Texas is set to soar by 2030, necessitating the need to incentivize a bigger generation build out, according to top Texas officials.
Natural gas generation capacity in Texas is set to soar by 2030, necessitating the need to incentivize a bigger generation build out, according to top Texas officials.
A sustained heat wave over India since mid-spring has created a surge in natural gas-fired power generation, pushing LNG imports in May to the highest level in almost four years.
Natural gas producers, suppliers, marketers and buyers – the industry’s gamut – gathered in Boston last week and sounded alarm bells in unity, calling for the construction of vital infrastructure.
Data centers were the topic du jour during recent first quarter earnings calls, and continue to grab headlines across the energy industry. NGI captured some of the overarching questions and issues surrounding the boom in artificial intelligence (AI) – breaking down everything from estimates about a potential surge in demand from natural gas-fired generation to grid reliability concerns.
Utility Entergy Texas Inc. is forecasting the need to add 40% more generation capacity to its fleet to meet economic and population growth in southeast Texas.
U.S. natural gas-fired power generation has gotten a demand boost from coal retirements over the past year, but those tailwinds are set to fade in the coming months as a wave of new renewables competes for share of the power stack.
Mega-tech operators are in pursuit of land and power generation to supply the stampede of data center facilities set to be built across the United States, which may translate into higher natural gas consumption.
Hotter than normal weather this summer may pressure U.S. grid performance, as total load climbs year/year and natural gas consumption increases 1.7% from summer 2023 levels, according to federal officials.
While data centers and artificial intelligence (AI) may dominate the news, investments by large load industrial and manufacturing sectors, particularly in the U.S. Southeast, are driving a significant portion of an expected rise in natural gas consumption.
Click here to listen to the latest episode of NGI’s Hub and Flow, as Enverus senior energy transition analyst Carson Kearl joins NGI’s Carolyn Davis, managing editor of News, to break through the hype about power generation needs as more hyperscale data centers come online.