Transmission pipelines play a major role in efficiently moving gas from where it is produced to where it is consumed. Consumers benefit from consistent energy prices, and the cost savings provided by having an abundant, reliable, affordable source of domestic natural gas. Natural gas' affordability makes the U.S. the envy of the world..
A report released from the Texas Oil and Gas Association calculated the extraordinary amount of government money generated by the industry. Oil and gas pumped $9.4 billion into government budgets through taxes and royalties in 2016. That adds up to $26 million each day, according to Todd Staples, TXOGA's president.
Natural gas pipelines play a crucial role in powering the economy by creating jobs, both directly and indirectly. Across the country, natural gas pipelines provide fuel for a growing number of industries, including domestic manufacturing, plastic and fertilizer production and electric power generation. State and local governments benefit by teaming with private companies to build strong local communities supported by well-paying jobs.
What does investing $20 billion over 10 years in the Gulf Coast look like? More at exxonmobil.co/2lTKLZ8
With over 200,000+ miles of interstate natural gas pipelines, communicating with elected officials, communities and landowners is critical to helping each understand the value of pipeline operations. We treat landowners with respect. It is important for consumers to appreciate the valuable role pipelines play to deliver the benefits and quality of life we all enjoy.
The oil and gas industry fuels growing jobs from manufacturing. "Manufacturers have mounted a solid comeback since last year, largely as a result of a partial rebound in oil prices that has spurred more drilling and related investment."
Oil is wealth. Not just wealth for producers, but wealth for everyone who uses it.
Article via Forbes
The historical use of cheaper, more-concentrated, and cleaner energy sources seems to be one of the most direct causes of economic growth. Even more importantly, it causes vast improvement in the human condition. Simply put, better sources of energy increase productivity and produce fewer negative externalities. This effect is huge. Cheap, abundant energy lifts nations out of poverty. China understands this. Failure to secure energy supplies dooms nations to collapse. The Mayans found this out too late.
Energy efficiency is powerful and highly desirable, but it can't compete with increasing the primary energy supply. Most of the time, increased energy efficiency actually results in increased energy consumption, because of cheaper costs (per unit output) and faster economic growth. (This is called Jevon's Paradox Jevons paradox.) Highly-developed nations can use advanced technology to increase quality of life while using less energy, but less-developed nations cannot. Getting to developed-nation status required a lot of high-quality energy.
And oil is indeed high-quality energy. It's liquid, which makes it easily moved and stored. It's stable, and it releases a huge amount of energy. It's also much, much cleaner than coal. If it weren't for CO2 emissions, oil & gas would be a nearly-perfect energy source. Look at what their growth has done to the world's wealth:
World per Capita Real GDP vs World per Capita Energy Consumption by Type.
Those two charts don't match by accident. Every transition to a cleaner, cheaper,
more-concentrated energy source causes dramatic improvements in real global
wealth (and quality of life). Electrification caused most of the growth from 1900
to 1950. Oil enabled the post-war boom from 1950 to 1970, and natural gas
strongly contributed to the growth from 1970 to 1995. The growth since 2000
has, unfortunately, been largely been due to increased coal consumption in Asia.
The digital revolution and Great Recession have played a large part in global
wealth trends, but mostly in the parts of the world that were already wealthy by
Ok, so maybe you don't care about GDP, and want to know about quality of life.
Energy is fundamentally required for a high quality of life, as measured by the
UN's Human Development Index. There is a range of energy consumption that
depends on climate and population density, but broadly speaking, high-
consumption countries have the highest quality of life.
Energy Consumption in Kilogram-Oil Equivalent per Year vs Quality of Life
Sure, the biggest energy consuming nations could reduce per capita consumption
a lot and still have high quality of life. The US could learn a lot from Denmark. And
current trends show that they are steadily moving in that direction -- energy
consumption per capita and per dollar of GDP is steadily dropping in the developed
world. That's a good thing.
But the energy required to lift 3 billion people out of poverty is far, far more than
the potential energy savings from eliminating energy waste in the developed
world. I'm not talking about stretch-SUVs and 60" TVs, I'm talking about
refrigeration for vaccines, irrigation for agriculture, and fuel for school buses.
The planet cannot support 7 billion people at a low-energy agrarian level of
existence -- we have long since passed the point where we can revert back to
a low-tech, low-energy form of civilization without billions of people dying of
All those green and red dots in the chart need to move past the blue dotted line -- it is truly a moral imperative to allow the world's poor to enjoy the basic fruits of development. That will require an enormous amount of new energy production capacity. Thankfully, the world mostly needs electricity, which is much easier to expand than oil. But we need a lot of oil too.
Oil is energy, and energy is wealth. Read the full article from Forbes.
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