American Gas Foundation issues report on setting framework low-carbon gas use
The American Gas Foundation has come out with a report that examines policies that could be used to establish regulatory frameworks for incentivizing the production and use of low-carbon gas resources.
The study, done with Concentric, outlined six key findings. Among them, it found that:
1. Decarbonization policies do not have to be limited to just advancing renewable electricity;
2. Legislative support and clear regulatory authorities are needed to expand the supply and demand of low-carbon gas resources at scale using gas utility systems;
3. Gas utilities must educate stakeholders, including legislators, regulators, and the public, on the environmental, safety, and economic benefits of LCR;
4. The merits of LCR should be based on regulatory mechanisms that look beyond the cost of natural gas, assessing how effective they are in achieving environmental objectives compared to other options that could be deployed;
5. Policies to advance LCR must consider their resource potential at both a regional and national level, as well as the connectedness of the gas delivery system; and
6. Regulatory requirements, public policy objectives, and resource availability require different approaches in different jurisdictions.
“This study leaves no doubt that low-carbon gas resources and natural gas infrastructure can be a powerful tool in lowering carbon emissions while keeping energy affordable for customers,” Karen Harbert, president and CEO of the American Gas Association, said. “Taking full advantage of these promising fuels will require clarifying regulatory authority and aligning incentives for utilities with policy objectives. AGA will work with policymakers to ensure that these barriers do not prevent utilities from providing customers with all benefits that these fuels can provide.”
AGA officials said they look forward to working with policymakers and regulators to address these findings.
