Worrying Too Much, Or Not Enough, About Natural Gas?

Posted by Sonja Ebron

Unlike oil, whose production follows a bell curve, natural gas production tends to peak and drop off a cliff. Oil is liquid and therefore easy to import, while natural gas is mostly restricted to pipelines because it’s a gas. You don’t want to carry large volumes of gas over the shipping lanes unless you like fireworks a lot.

Five or ten years ago, something like 90% of all new power plants were being built to use natural gas as a fuel. Lots of industrial processes also switched to use natural gas directly. Over time, those changes lifted demand for natural gas while supply stayed flat, and now it’s expensive. Natural gas production in the lower 48 U.S. states has nearly peaked, so we get a lot from Canada and Mexico. But exporting countries increasingly need more of their own stuff, so we’ve either got to find a way to import from others or to dramatically decrease consumption soon.

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Why Blacks Pay More For Utilities

Posted by Sonja Ebron

Blacks do pay more for utilities, but not because we get different rates or a special energy tax. It’s because, since the 1980s, we use more. A 1975 Ford Foundation study (The American Energy Consumer) found that Blacks spent less on energy than others, mostly because of our limited housing choices. At that time, the typical Black home had no running hot water, few windows and doors, natural gas heat (gas was a lot cheaper then), and few appliances.

Then as now, most of us paid rent each month instead of a mortgage. But now, even renters are living large. We have all the amenities — washers and dryers, frost-free fridges, central air and heat, and all the electronics we can stand. But don’t ask us about the level of insulation in the walls or attic, the amount of weatherstripping or caulk on our doors and windows, or the number of Energy Stars on our appliances.

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Expensive Heat This Winter

Posted by Sonja Ebron

By all accounts, heating our homes will be very expensive this winter. The National Energy Assistance Directors Association (NEADA) projects large increases in heating costs for all fuels this coming season, which runs from October through March. NEADA is the group of state agencies that handles LIHEAP funding for low-income residents nationwide. A recent NEADA study (PDF) shows an average 15% increase in heating costs this winter, capping a 42% increase over the last four years. Those using heating oil fare the worst: they will pay 32% more this winter than last, capping a 116% increase over the last four years. As you might expect, all-electric homes fare best in winter, with only a 4% increase this year and a 22% increase over the last four years.

Wholesale natural gas prices have been crazy this year, as high as they were after Katrina and Rita knocked out gas production in the Gulf three years ago. After peaking around $14 per million BTU, they’ve settled at just under $12 as of this writing. That’s about a 25% rise in price over the last year. Residential natural gas rates have risen accordingly, ranging from $1.59 to $1.82 per therm for a 12-month contract in Georgia. blackEnergy has offered only variable rates for the last three months. We’re betting — guessing, really — that prices will settle before the winter sets in, and we can recommend a good 12-month lock-in rate for our customers. Either way, it’s going to be a tough winter for those using oil, propane or natural gas.

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What In The World Is A Backdraft Damper?

Posted by Sonja Ebron

Product selection is not my strong suit. We offer nearly 1000 energy efficiency products at blackEnergy, but I’m better at selling them than deciding what to sell. It’s often a challenge to explain just exactly what an item is supposed to do to help save energy, so I spend a fair amount of time trying to figure it out. I’ve just learned about the backdraft damper.

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