T. Boone Pickens
Oil billionaire turned wind power and natural gas evangelist, T Boone Pickens, has been promoting and lobbying the increased use of natural gas in the U.S as a means to secure America’s energy future and reduce carbon emissions. The Bluebridge Plan is a similar grass roots movement that believes Canada needs to better leverage it’s domestic natural gas assets in order to reduce carbon emissions in Canada. Both plans would be beneficial to North America - both economically and environmentally.
Unfortunately, consumers tend to have short memories. It was not that long ago that oil was at $147/barrel. Fact is, oil will return to those price points again, and higher. At the same time, we tend to ignore the importance of something when it is abundant. That’s where we are with natural gas. Technology in fracturing and horizontal drilling have made it economically possible to extract batural gas from tight shale rock formations. The gas has always been there but until the last couple years we have not been able to economically extract it. Today, the potential of shale gas has nearly doubled the natural gas reserves in Canada, and increased reserves in the U.S. by as much as 40%.
This is where the Picken’s Plan, the Bluebridge Plan and others are formulating message. Natural gas is a domestic resource that is a cleaner alternative to oil and coal. It is abundant, practical and proven. By increasing the usage of natural gas in the overall energy mix we can make considerable reductions in carbon emissions. Keep in mind, the natural gas is going to be developed and produced. The question is whether Canada and the U.S. take advantage of this lower carbon resource, or do they export it to the benefit of others.
As countries move forward on climate legislation, it becomes more apparent that a price tag will be added to the cost of carbon. Goods and services produced by low carbon energy will have a lower or no carbon costs, and therefore be more price competitive. By every measure, natural gas is a considerably lower carbon fuel then oil and coal. Canada – as well as every other country in the world – need to reduce carbon emissions now. Various groups can argue all they want about how much and when but the point is implementing reductions now is a step in the right direction and natural gas can make those reductions significant.
The momentum for increased usage of natural gas in the U.S. energy mix is growing. U.S. law makers are currently considering the Natural Gas Act which will increase incentives to use natural gas as an alternative fuel in transportation. Canada needs to make comparable efforts to ensure that Canada is maximizing the benefits of natural gas to reduce carbon emissions.
