The Valley Lateral pipeline project inched closer to reality. The Federal Energy Regulatory Commission (FERC) approved the development to move forward. This will benefit the state of New York, according to API New York.
The group, which is a division of the American Petroleum Institute, said that the approval represents an important step in boosting natural gas supply. The project seeks to encourage building new energy infrastructure.
Yes, you can store natural gas in liquid or gaseous form in an above-ground steel tank. However, the pipeline project would be beneficial to the state by offering clean-burning fuel. It will provide energy sources to a newly built facility, which serves an area that “greatly needs natural gas.” This is according to API Executive Director Karen Moreau.
Moreau said that more than 4.4 million households, 398,000 businesses and 6,000 industrial users consume natural gas in New York. Hence, it is the fourth biggest market in the US. The project will then support this consumption trend, especially since natural gas generates $20.19 billion of economic activity in the state. It also provides 152,300 jobs, says a recent ICF International study.
The Energy Information Administration (EIA) predicted that natural gas consumption would rise significantly between 2015 and 2040. The International Energy Outlook 2017 report estimated that the fossil fuel would be the fastest-growing energy source (28% expected increase in worldwide consumption).
The report noted that much of the growth would stem from non-members of the Organization for Economic Cooperation and Development. That includes China and India. These countries would account for over 60% of the projected increase during that period.
The FERC’s approval for the Valley Lateral pipeline project will further improve New York’s supply of natural gas. The fossil fuel is on track to be one of the heavily consumed energy sources in the next several years.