Wednesday, November 4, 2020
In 2019, the United States was the most energy secure it has been since 1970, according to data in the 2020 edition of the annual Index of U.S. Energy Security Risk published by the U.S. Chamber of Commerce’s Global Energy Institute.
The publication, which covers 1970 to 2019 and includes a forecast out to 2040, measures energy security based on 37 different metrics across a broad range of geopolitical, economic, reliability, and environmental risk factors, with higher scores indicating increased risk. In the eight years since the U.S. risk score peaked at 100.9 in 2011, meaning poor energy security, it has plunged 30.7 points (30%) to 70.1 in 2019, an unprecedented rate of progress.
The tremendous increase in domestic energy production from U.S. shale resources, which have been driven by the use of advanced hydraulic fracturing, horizontal drilling, and seismic imaging technologies, are the primary cause of the dramatically-improved security posture, especially in areas related to imports, prices, and the environment. Greater efficiency also played a role.
Looking to the future, forecasts before the COVID-19 pandemic indicate consistently low energy security risks out to 2040.
“This year’s Index shows that, prior to the COVID-19 pandemic, U.S. energy security was in the best position it’s been during the last 50 years,” said Marty Durbin, president of the U.S. Chamber's Global Energy Institute. “Since 2011, we’ve gone from importing nearly a fifth of our energy supply to producing slightly more energy than we consume overall, all while keeping prices low and emissions in check.
“This progress wouldn’t have been possible without the innovative technologies, notably hydraulic fracturing, that continue to revolutionize domestic energy production. The response to COVID-19 will present enormous challenges in the coming years, but we expect the U.S. energy sector to remain strong and resilient.”
To read the full report, and learn more about the methodology used to develop this Index, visit https://www.globalenergyinstitute.org/energy-security-risk-index
SOURCE: The Weekly Propane Newsletter, November 5, 2020. Weekly Propane Newsletter subscribers receive all the latest posted and spot prices from major terminals and refineries around the U.S. delivered to inboxes every week. Receive a center spread of posted prices with hundreds of postings updated each week, along with market analysis, insightful commentary, and much more not found elsewhere.
The publication, which covers 1970 to 2019 and includes a forecast out to 2040, measures energy security based on 37 different metrics across a broad range of geopolitical, economic, reliability, and environmental risk factors, with higher scores indicating increased risk. In the eight years since the U.S. risk score peaked at 100.9 in 2011, meaning poor energy security, it has plunged 30.7 points (30%) to 70.1 in 2019, an unprecedented rate of progress.
The tremendous increase in domestic energy production from U.S. shale resources, which have been driven by the use of advanced hydraulic fracturing, horizontal drilling, and seismic imaging technologies, are the primary cause of the dramatically-improved security posture, especially in areas related to imports, prices, and the environment. Greater efficiency also played a role.
Looking to the future, forecasts before the COVID-19 pandemic indicate consistently low energy security risks out to 2040.
“This year’s Index shows that, prior to the COVID-19 pandemic, U.S. energy security was in the best position it’s been during the last 50 years,” said Marty Durbin, president of the U.S. Chamber's Global Energy Institute. “Since 2011, we’ve gone from importing nearly a fifth of our energy supply to producing slightly more energy than we consume overall, all while keeping prices low and emissions in check.
“This progress wouldn’t have been possible without the innovative technologies, notably hydraulic fracturing, that continue to revolutionize domestic energy production. The response to COVID-19 will present enormous challenges in the coming years, but we expect the U.S. energy sector to remain strong and resilient.”
To read the full report, and learn more about the methodology used to develop this Index, visit https://www.globalenergyinstitute.org/energy-security-risk-index
SOURCE: The Weekly Propane Newsletter, November 5, 2020. Weekly Propane Newsletter subscribers receive all the latest posted and spot prices from major terminals and refineries around the U.S. delivered to inboxes every week. Receive a center spread of posted prices with hundreds of postings updated each week, along with market analysis, insightful commentary, and much more not found elsewhere.
