A Decade in Review

By: Ashley Clawson / December 31, 2019

 

U.S. energy sources have completely changed over the last decade. As 2020 is upon us, Axios compared the EIA’s 2010 predictions to what occurred over the past 10 years. One of the biggest drivers is the downfall of coal as a major energy source to natural gas. As technology advances to extract natural gas from tighter formations, coal has taken a backseat.

U.S. Electricity Generation

The biggest surprise of the decade was the rise of natural gas. The EIA predicted that coal would continue to grow, but the reality is that it dropped to nearly half the billions of kilowatt hours as forecasted. With new horizontal drilling and hydraulic fracturing technologies advancing, power companies are focusing their efforts on reducing coal for a cheaper input alternative.

“What happened: Stringent environmental regulations issued during the Obama administration, combined with the surprisingly plentiful supplies of cleaner-burning natural gas, drove these unexpected changes with coal and gas.”[1]

 

Electricity

 

U.S. Oil Production

Oil production has more than doubled the EIA’s projections – again due to the technological advancements in drilling and fracking. Companies can get more oil and gas out of both existing wells and newly drilled wells.

 

Oil

 

 

U.S. Natural Gas Production

The same account holds true with technological advancements and the production of natural gas. As companies can extract natural gas at reduced rates, it will continue to rise in popularity to power the U.S.

 

Nat Gas

 

 

If technology continues advance at the same rates as the previous decade, any predictions made will likely have the same fate as those of 2010. Incorporating in energy policy changes and the upcoming 2020 election, the future of energy is anyone’s guess.


[1] https://www.axios.com/energy-predictions-reality-check-524b9be9-2c0c-407e-86cb-37b11aa72ed2.html


Ashley Clawson

Written by

Ashley Clawson

My background that has been split between roles in procurement, operations, and sales allows me to understand my customers' needs in unique ways. I want to exceed my customers' needs every day by finding long term solutions to allow them to develop their businesses.


Guttman Energy Daily Market Update Disclaimer – The information contained in this market update is derived from sources believed to be reliable; however this update could include technical inaccuracies or typographical errors and Guttman Energy does not guarantee the accuracy, completeness or reliability of this update. FURTHERMORE, THIS UPDATE IS PROVIDED "AS IS," WHERE IS, WITH ALL FAULTS AND WITHOUT ANY WARRANTY OR CONDITION OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY. GUTTMAN ENERGY ALSO SPECIFICALLY DISCLAIMS ALL EXPRESS AND IMPLIED WARRANTIES. YOU USE THIS UPDATE AT YOUR SOLE RISK. This update and any view or comment expressed herein are provided for informational purposes only and should not be interpreted in any way as recommendation or inducement to buy or sell products, commodity futures or options contracts.


Comments

Subscribe to our blog

Price Feed

Stay up-to-date on current fuel prices and market trends with our NYMEX price feed (15 minute delay to the live market).

© 2018 Market data provided and hosted by Barchart Market Data Solutions. Fundamental company data provided by Morningstar and Zacks Investment Research. Information is provided 'as-is' and solely for informational purposes, not for trading purposes or advice, and is delayed. To see all exchange delays and terms of use please see disclaimer.

Categories

Contact Us