Industrialinfo.com Mike Bergen, 713-783-5147

Researched by Industrialinfo.com (Industrial Information Resources, Incorporated; Houston, Texas). In the early days of the "dash-to-gas", turbine building boom, there was much concern that all of these new gas-fired plants were going to cause a major natural gas supply and demand imbalance and lead to extremely high gas prices, and that this would be happening relatively quickly. Well, gas prices are extremely high, but it shouldn't be blamed solely on gas-fired generators! Many of the proposed new gas- turbine-based combined-cycle projects were canceled or significantly delayed. Most of those that have been built are not operating at planned capacity factors, and many of those that are operating favorably are displacing older, less-efficient gas-fired steam units, with a net decrease in fuel consumption per kilowatt/hour (kWhr) produced.

So, even though electricity generated by natural gas has increased significantly, the fuel consumed to produce this electricity has only gone up modestly.

For more information on this topic, read the full in-depth analysis at www.industrialinfo.com.

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