Alarm

Some observers were expecting a mountainous move in natural gas futures Tuesday as Alan Greenspan told Congress that the nation has a long-term gas supply problem. What they got instead was a minuscule 1.6-cent hiccup from a market that had digested the news long ago. July futures ended the day at $6.330 with a high of $6.355 and a low of $6.23. August also gained 1.6 cents to $6.42, and September added 2 cents to $6.424.

California energy stakeholders are sounding various levels of alarm as summer nears with both natural gas supply and prices uncertain at best in a state that is highly reliant on the fuel for its electricity generating plants, large industrial loads and home heating needs. A typical homeowner in Pacific Gas and Electric Co.’s territory in the northern half of the state is paying $3/month more for gas right now, a utility spokesperson said.

California energy stakeholders are sounding various levels of alarm as summer nears with both natural gas supply and prices uncertain at best in a state that is highly reliant on the fuel for its electricity generating plants, large industrial loads and home heating needs. A typical homeowner in Pacific Gas and Electric Co.’s territory in the northern half of the state is paying $3/month more for gas right now, a utility spokesperson said.

The nation’s chief economic guru Alan Greenspan signaled a growing alarm over high natural gas prices and tight supplies during an appearance before a joint congressional panel last Wednesday.

The nation’s chief economic guru, Alan Greenspan, signaled a growing alarm over high natural gas prices and tight supplies during an appearance before a joint congressional panel Wednesday.

National regulators from the United States, Mexico and Canada said last week that chronically tight natural gas supplies make tapping new sources a must and their agencies stand ready to help make projects happen.

National regulators from the United States, Mexico and Canada said this week that chronically tight natural gas supplies make tapping new sources a must and their agencies stand ready to help make projects happen.

The energy industry managed to maintain operations while in a state of alarm last week following the horrific terrorist attacks that destroyed the World Trade Center, damaged the Pentagon and left hundreds dead in western Pennsylvania. While no damage was done to energy infrastructure other than to those distribution lines in close proximity to the attacks in New York City and Washington, DC, the experience will serve as a wake-up call to the government and the industry that energy security and reliability issues for once shouldn’t take a back seat to other matters.

The energy industry managed to maintain operations while in a state of alarm last week following the horrific terrorist attacks that destroyed the World Trade Center, damaged the Pentagon and left hundreds dead in western Pennsylvania. While no damage was done to energy infrastructure other than to those distribution lines in close proximity to the attacks in New York City and Washington, DC, the experience will serve as a wake-up call to the government and the industry that energy security and reliability issues for once shouldn’t take a back seat to other matters.