Northwest natural gas demand will grow 1.9% through 2012: NWGA

Washington (Platts)--19Dec2007

The need for energy to fuel electric generators and support population
growth will boost the demand for natural gas across Idaho, Oregon, Washington
and British Columbia by 1.9% per year, or 7.8% overall, through 2012,
according to a study issued Wednesday by the Northwest Gas Association.

The study said climate change policies being enacted by state and
provincial legislatures will drive additional demand for natural gas.
Conservation and the direct use of gas in highly efficient applications such
as home space and water heating will help moderate demand, it added.

Northwest gas users are increasingly competing for the same sources of
gas with consumers in the more populated Midwest and Northeast regions, the
study said, adding that consumers in the region would benefit by securing
direct access to new or growing sources of supply including imported liquefied
natural gas.

The regional network of gas pipelines and storage facilities, including
planned expansions, is sufficient to serve regional peak day needs, the study
said. But it noted that regional policymakers and regulators should avoid
creating impediments to infrastructure expansions in order to ensure consumers
are not disadvantaged by unnecessary system constraints.

--Rodney White, rodney_white@platts.com