Blocking energy pipelines stifles New York’s economic growth
In a country where power is so readily available, most Americans don’t think about how easy it is to switch on the lights or turn up the thermostat. We know we need energy to power our dailies lives and our economy. But what is less clear is the crucial role transportation infrastructure plays in the efficient and safe delivery of the energy we depend on.
Even with expanding the use of renewables, our nation will
Dan Eberhart is the CEO of Canary, one of the largest privately owned oilfield services companies in the United States.
continue to need infrastructure that supports traditional energy sources like oil and natural gas. The U.S. Energy Information Administration projects 40 percent of consumers will rely on natural gas for home heating in 2050. But even though natural gas is abundant and cheap, some elected officials are letting their focus on personifying a “green” agenda blind them from market realities, forcing America to fall behind on our ability to meet growing demand.
New England and New York have been on the front line of the clash between the anti-fossil agenda and the energy needs of residents. Domestic production of natural gas has increased exponentially over the last decade, but environmental activists are determined to do all they can to impede important pipeline projects needed to deliver the resource efficiently.
Demand will continue to grow along with the economy. But instead of meeting that demand and bolstering our country’s
energy independence with natural gas produced in nearby states, the region has turned to shipments of liquefied natural gas from foreign suppliers, including Russia. The lack of pipeline infrastructure has also led to fluctuations in the local price of natural gas, forcing consumers to pay more for the energy needed to heat their homes during the harsh New England winter.
Gov. Andrew Cuomo deserves credit for a lot of the hardship. Cuomo touts the state’s moratorium on hydraulic fracturing and opposes expansion of pipeline as examples of his strong leadership to reduce the use of fossil fuels. But blocking pipelines does not stop the flow of natural gas, it only makes it more expensive for consumers and increases its carbon footprint by shifting delivery to dirtier cargo ships or onto highways and rail where it competes for space with other commodities.
In January, Con Edison announced plans to impose a moratorium on new natural gas customers in Westchester
County because of the lack of infrastructure to keep up with demand. Wind and solar growth notwithstanding, New York remains among the top five consuming states using natural gas to generate electricity. Cuomo’s attempts to block access to cleaner-burning natural gas is not only creating disruptions, uncertainty, and expense for New Yorkers; it’s denying them the chance to benefit from a growing domestic energy industry.
The price tag for Cuomo’s political posturing is high. The U.S. Chamber of Commerce estimates that, by hindering pipeline construction, New York is passing up the chance to create 17,400 jobs and losing a possible $971 billion in income over the next two years.
If the governor and like-minded environmentalist leaders want to wean their states off natural gas, consumers should be prepared to continue to turn down thermostats and endure price hikes and supply disruptions. Cuomo’s determination to thwart needed energy infrastructure development is unlikely to reduce emissions, but it will stifle economic growth and job generation.
This is as unwise as it is unfair to the people of New York.