This page explores policy issues associated with the power sector’s use of natural gas.
Natural gas currently provides more electricity than any other fuel source in the United States, with the power sector accounting for about one-third of U.S. natural gas consumption.
Many states now require utilities to lower emissions and to use more wind and solar energy.
- The natural gas industry supports the growth of renewables, with the reliability of natural gas enabling that to happen. Learn More.
- Natural gas and renewable resources work together throughout the day with natural gas seamlessly stepping in when the wind dies down or it is cloudy.
- By 2050, natural gas and renewable energy together will generate about 76 percent of all U.S. electricity, according to the Energy Information Administration.
As leaders in the natural gas industry we support the development of innovative solutions that will reduce or eliminate carbon emissions entirely in the future, including market-based policies such as carbon pricing.
- NGSA advocates for rules and policies that protect the environment while allowing our members to continue to supply electric utilities, manufacturers, businesses and households with affordable and reliable natural gas.
- Energy policies must allow consumers to reap the benefits of our natural gas resources, ensuring that no consumers are left behind as we transition to a clean and affordable energy future.
NGSA works actively on the following key policy issues related to the use of natural gas to generate electricity.
Policy Issues
Natural gas has played a significant role in reducing CO2 emissions from the U.S. power sector to 25-year lows because of its relatively low carbon content and because of its role as an integral partner to renewables. NGSA advocates for a national economywide price on carbon and also believes that state and regional carbon pricing programs in power markets are valuable steps toward states meeting their climate objectives. Adopting a price on carbon can further drive down carbon emissions, while protecting consumers and maintaining competition and innovation in power markets.
- Developing the Natural Gas of the Future (October, 2023)
- Clean Energy Future: The Role of Natural Gas (September, 2023)
- Proposed Carbon Pricing Policy Statement an Important Signal, NGSA Tells FERC (November 16, 2020)
- NGSA Reaffirms Support for Carbon Pricing to Achieve Emissions Reductions (September 30, 2020)
- Dena Wiggins Prepared Remarks on Carbon Pricing at FERC Technical Conference (September 30, 2020)
- Factsheet: NGSA Position on Carbon Pricing (Dec. 3, 2019)
NGSA advocates for market-based approaches in state and regional energy electricity markets, since competitive energy markets have proved to yield lower energy prices, energy efficiency and emissions, while giving consumers greater choice. Below are some of NGSA’s statements and actions in support of market-based solutions.
- NGSA Statement On FERC Action To Preserve Competition In NYISO (Feb. 2020)
- NGSA Statement On FERC’s Action To Protect PJM Competitive Market (Dec. 2019)
- NGSA Supreme Court Amicus Brief On New York ZECs Program (Feb. 2019)
- NGSA Files Amicus On NY Program Undermining Wholesale Energy Markets (Feb. 2019)
- NGSA Says RTO Submissions Show Confidence in Pro-Market Solutions (May 2018)
- New York ZECs Program Discriminates Against Natural Gas, Undermines Competitive Power Markets, Says NGSA Amicus Brief (Oct. 2017)
- Natural Gas Producers File Amicus Brief In 7th Circuit: Illinois ZECs Program Discriminates Against Natural Gas, Undermines Competitive Power Markets (Sept. 2017)
- NGSA Amicus Brief In 7th Circuit Asking For Reversal On Illinois ZECs (Sept. 2017)
The links below represent only a fraction of NGSA’s numerous filings, statements, reports and actions supporting fuel assurance and the reliability of natural gas at the Department of Energy, the Federal Energy Regulatory Commission, the North American Electric Reliability Corp. (NERC), Independent Transmission Operators, Regional Transmission Organizations, among others.
- NGSA Asks FERC to Make Adequate Gas Infrastructure and Valuing Reliability in Power Market Design Top Priorities in Future Gas-Electric Coordination Dialogue (Feb. 2022)
- NGSA Reliability Post-Technical Conference Comments [Docket No. AD21-11-000] (Feb. 2022)
- Natural Gas Council Letter to Chairman Glick on Reliability Technical Conference (Feb. 2022)
- Initial Comments In Response To New York State Public Service Commission Inquiry On Resource Adequacy (Nov. 2019)
- Federal Intervention In Power Markets Would Needlessly Harm Consumers And Competitive Power Markets, Says NGSA (June 2018)
- Natural Gas Council Statement On Secure Resilient Natural Gas Systems (June 2018)
Comparison of Environmental Footprint of Natural Gas for Electricity
Click here for a chart comparing the environmental footprint of natural gas to other major energy sources of electricity, based on a Leidos, Inc. Analysis.
- Comparison of emissions
- Comparison table of water and land use and factsheet.
- Comparison of economics: cost to operate, maintain and fuel.