At the beginning of 2020, natural gas was plentiful and readily available. Even in New England, where pipeline constraints push natural gas and electricity markets higher, the region could keep those risks primarily in check due to ample supply. However, in March 2020, COVID brought the world to a standstill, and natural gas hit lows not seen in 20 years. Because of Mass Re-openings in 2021, demand has severely outpaced supply leading to our current situation. Assuming New England cannot get pipeline infrastructure built and continues to be vulnerable to LNG shipment costs, what can the region do to lessen our reliance on natural gas?
Transition to nuclear power. Nuclear Power can produce a lot of electricity by splitting atoms with no carbon emissions and significantly reduce the region’s natural gas reliance.
Continue development of renewable energy resources. Hydrogen, solar, and wind must become more mainstream on a macro and end-user level.
Limit consumption during times of peak usage through demand response. Battery Storage is a great way to achieve this without clients having to shut down equipment.
Invest in the grid and powerlines. The PowerGrid is outdated and not set up for the renewable future, let alone the current infrastructure. Nationwide, the grid will need to be upgraded and secured to handle the changing infrastructure.
Convert to heat pumps at both the commercial and residential levels. Heat pumps are a great way to control the climate in both the winter and summer months.
Each of the above supports the goal of carbon neutrality, and the desire to move away from fossil fuels.
Dileep continues the conversation and shares more details and insight into this topic in Freedom Energy’s upcoming newsletter out in December of this year.