Data from the Energy Information Administration’s (EIA) 2015 Residential Energy Consumption Survey (RECS) show the majority of American households use one of three types of equipment as their main source of heat during the winter: natural gas furnaces, electric furnaces, or electric heat pumps. The range of equipment and fuels, however, varies across and within U.S. climate regions, as identified by the U.S. Department of Energy.
After reaching a record high of 79 Bcfd in 2015, U.S. marketed natural gas production fell to 77 Bcfd in 2016, the first annual decline since 2005, reports the Energy Information Administration (EIA). Texas, the state with the most natural gas production, fell by 2.5 Bcfd while Ohio and Pennsylvania each increased by about 1.2 Bcfd.
The American Petroleum Institute (API), along with the Association of Oil Pipe Lines (AOPL), has released the pipeline industry’s 2017-2019 Pipeline Safety Excellence Strategic Plan and 2016 Performance Report. The Performance Report shows the number of incidents dropped by 10% from 2015 levels, while the Pipeline Safety Excellence Strategic Plan summarizes the industry’s track record on pipeline safety and outlines steps taken by operators to advance safety efforts throughout the pipeline supply chain.
Rye Brook, NY (May 9, 2017) — Paraco Gas announced May 1st the acquisition of Island Propane, headquartered in Ronkonkoma, N.Y. The acquisition provides family-owned and operated Paraco with a strong, customer-focused service and delivery business and complements and extends its existing footprint on Long Island. Paraco has been serving Long Island since 1985 and provides propane services to residential and commercial customers throughout the region from three locations: Bay Shore, Bohemia, and Riverhead.

 

Addressing concerns about winter propane supply among its membership, the National Propane Gas Association (NPGA) April 28, 2017, outlined steps it is taking in cooperation with the Propane Education & Research Council (PERC) to improve reliability. Observed was that more than 10 billion gallons of propane will be exported from the U.S. in 2017, this while domestic transportation resources remain virtually unchanged from the winter of 2013-2014, a heating season when supply and logistics problems were wide-ranging and severe.
Calgary, Alberta (May 4, 2017) — Pembina Pipeline Corp. (Calgary) has signed a non-binding letter of intent with Prince Rupert Legacy Inc., a wholly owned subsidiary of the city of Prince Rupert, for the development of a west coast propane terminal on Watson Island, lands owned by Prince Rupert Legacy. Under the agreement, Pembina has commenced site assessment and engagement with stakeholders, including First Nations communities.
(Washington, DC) May 4, 2017 — The U.S. Department of Energy (DOE) said April 25 it had signed an order authorizing Golden Pass Products LLC to export domestically produced LNG to countries that do not have a free trade agreement (FTA) with the U.S. Golden Pass is authorized to export LNG up to the equivalent of 2.21 Bcfd to any non-FTA country not prohibited by U.S. law or policy from its terminal near Sabine Pass in Jefferson County, Texas.
Qatar controls nearly 35% of global liquefied natural gas (LNG) production, delivering nearly 20% of Britain’s annual natural gas demand. However, the country’s renowned energy sector is more focused on establishing the right balance between reserves and production, economic diversification, and the degree of depletion. This is being driven by Qatar Petroleum (QP), an integrated national oil corporation that stands at the forefront of efforts for long-term sustainable development, utilization, and monetization of oil and gas reserves in Qatar.
(Livonia, MI) April 6, 2017 — ROUSH CleanTech has announced a safety recall that affects approximately 2,000 vehicles equipped with ROUSH CleanTech propane autogas fuel systems. The recall encompasses four solenoid coils that need to be updated with new coils. The service procedure is estimated to take under an hour.

ROUSH CleanTech has taken a proactive approach to notify vehicle owners affected by the recall and stated vehicles can still be driven and operated as normal until the new components are installed.
Canada is the largest energy trading partner of the U.S. Citing the latest annual data from the U.S. Census Bureau, the Energy Information Administration (EIA) reports energy accounted for about 5% of the value of all U.S. exports to Canada and more than 19% of the value of all imports from Canada in 2016. While the value of bilateral energy trade with Canada has varied over the past decade, driven primarily by changes in the prices of oil and natural gas, the overall structure of bilateral energy trade flows has changed relatively little, and U.S.
The energy revolution continues to bring good economic news to an otherwise anemic economy, writes Karen A. Harbert, president and CEO of the U.S. Chamber of Commerce’s Institute for 21st Century Energy. And now there’s a new example to demonstrate just how true that is. Speaking at the recent CERAWeek 2017 conference, ExxonMobil CEO Darren Woods outlined a new 'Growing the Gulf' initiative to increase the company’s manufacturing capabilities in the U.S. Gulf Coast region.
(March 23, 2017) — In yesterday's “NPGA Report,” the National Propane Gas Association noted that in President Donald Trump's recently released budget proposal, the document detailing the White House's spending priorities for the upcoming fiscal year, would increase defense spending by $54 billion. This is paid for by cutting a commensurate amount from discretionary, domestic spending. It is important to note that this budget is only the President's suggestion. Ultimately, it is up to Congress to debate and pass the country's budget and spending bills.
After its recent introduction of new trucks that run on propane and CNG, Greenkraft Inc. (Santa Ana, Calif.) plans to expand to a bigger factory in 2017 and introduce a new line of trucks called the G3 and G4, which are larger-sized trucks in weights of 26,000 lb (Class 6) and 33,000 lb (Class 7), respectively.
Over the past few years, the Propane Education & Research Council (PERC) has focused heavily on getting vehicles in the marketplace that the propane industry can use. The council’s work has contributed to a variety of offerings, and the Freightliner Custom Chassis Corp. (FCCC) S2G bobtail and the Roush/Ford F-750 bobtail are just two of many examples, said the council’s COO, Tucker Perkins. “You also begin to see now the full suite of Ford and GM trucks and more light- and medium-duty service trucks and bobtails,” he noted.
Phil Squair, NPGA’s senior vice president of public and governmental affairs, addressed an audience of more than 100 at the 2017 Energy Independence Summit. The annual event brings together alternative fuel industry leaders from across the country to advocate for policies that will increase the use of propane, and other alternative fuels, across the United States.
The National Propane Gas Association (NPGA) shared information in response to recent questions regarding the scope of the new electronic logging device (ELD) requirement by the Federal Motor Carrier Safety Administration (FMCSA). Around the time of the 2016 NPGA Southeastern Conference in Nashville, some questions on the requirement arose as to the applicability of ELDs to industry trucks that were transported to Nashville for exhibition on the show floor.
With tax reform high on the agenda of the 115th Congress, NPGA Government Affairs Committee members were recently advised of a Republican-sponsored tax policy paper introduced in the summer of 2016 that includes a provision to establish a border adjusted tax (BAT) designed to exempt exports while taxing all imported goods at the corporate tax rate. The paper, “A Better Way,” by House Speaker Paul Ryan (R-Wis.) and House Ways and Means Committee chairman Kevin Brady (R-Texas), has several key implications for propane marketers.
The following propane industry pioneers will be greatly missed.

Leslie Howard Armstrong, an employee of Universal Gas (Devine and Lufkin, Texas) from 1977 to 1986, and Ferrellgas until his retirement in 1991, passed away Dec. 13, 2016. He was 86.
Wayne Morgan, vice president of sales at Meeder Equipment Co. (Fresno, Calif.), retired Nov. 18. He started with Meeder in 1972 at its Fresno location before moving to Colorado to manage the Denver warehouse. Morgan returned to California in 2002 to manage sales from the corporate office in Fresno.
People Christiansen