Natural Gas

IEEFA Research

IEEFA update: Andrew Cuomo got it right on New York’s fracking ban

Despite opponents’ fears, ban likely saved investors billions

New York State, under the leadership of Governor Andrew Cuomo, instituted a ban on hydraulic fracturing (fracking) in 2014. Not surprisingly, the ban was hotly contested. Opponents had portrayed fracking as a silver bullet that would create jobs and promote economic development.  They predicted the state’s citizens would regret Cuomo’s decision. A retrospective analysis of […]

IEEFA report: Financial case builds for fossil fuel divestment

IEEFA report: Financial case builds for fossil fuel divestment

Money managers need to recognize poor market performance

The financial case for investing in fossil fuels is losing ground as the powerful oil and gas industry continues its steady decline, according to the Institute for Energy Economics and Financial Analysis (IEEFA). In a briefing note released Feb. 6, Fossil Fuel Investments: Looking Backwards May Prove Costly to Investors in Today’s Market, IEEFA analysts […]

February 8, 2019 Read More →
IEEFA Puerto Rico: PREPA privatization means crushingly high electric rates

IEEFA Puerto Rico: PREPA privatization means crushingly high electric rates

“Nonpolitical” plan is poorly regulated and likely means more corrupt contracts

The Puerto Rican government is moving full-steam ahead with a series of privatization contracts for the Puerto Rico Electric Power Authority (PREPA) that are likely to lock customers into even more expensive electric rates than they currently pay. Instead of taking this opportunity to make electricity affordable and resilient, the government plan will tie the […]

and February 1, 2019 Read More →
IEEFA report: The vanishing case for the Atlantic Coast Pipeline

IEEFA report: The vanishing case for the Atlantic Coast Pipeline

Declining demand and more affordable renewables raise new questions about viability

January 29, 2019 (IEEFA) — Diminishing consumer demand coupled with more affordable renewables are casting doubt on the overall feasibility and potential profitability of the Atlantic Coast Pipeline, according to a report released today by the Institute for Energy Economics and Financial Analysis (IEEFA) and Oil Change International. The report, The Vanishing Need for the Atlantic […]

January 29, 2019 Read More →

IEEFA U.S.: Frackers continue to underperform

Investor wariness grows on weak third-quarter results

Dec. 5, 2018 (IEEFA) — While oil prices rose and production increased, U.S. oil-and-gas fracking companies continued nonetheless to bleed money in the third quarter of this year, according to a research brief published today by the Institute for Energy Economics and Financial Analysis. The brief—“More Red Flags on Fracking: Weak Third-Quarter Results as Cash […]

December 5, 2018 Read More →

IEEFA Australasia: New global energy report headlines decline of coal as cheaper renewable technologies gain preference

International Energy Agency releases annual World Energy Outlook 2018 Report today

Nov. 13, 2018, SYDNEY (IEEFA): Thermal coal is fated for long-term structural decline and energy-related carbon dioxide emissions are increasing despite the Paris targets: those are the key take-outs in the International Energy Agency’s World Energy Outlook (WEO) 2018 report released today, which also finds wind and solar are now two of the top three […]

November 13, 2018 Read More →

IEEFA report: Fund trustees face growing fiduciary pressure to divest from fossil fuels

Oil, gas, and coal industries are seen as ‘increasingly speculative;’ Sector will continue to be weighed down by lackluster rewards and daunting risks; A ‘proper financial response’ is due

July 10, 2018 (IEEFA) — A paper published today by the Institute for Energy Economics and Financial Analysis details the growing rationale for divesting from the fossil fuel industry. The paper—“The Financial Case for Fossil Fuel Divestment”—is aimed primarily at trustees of investment funds that continue to hold stakes in a sector that is freighted […]

IEEFA Update: As Australia Fights a Domestic Gas Shortage, New Export Plants Are at Risk of Closure

IEEFA Update: As Australia Fights a Domestic Gas Shortage, New Export Plants Are at Risk of Closure

‘Fiddling Around and Allowing the Cartels to Fleece Consumers’

nJune 5, 2017 (IEEFA.org) – The Institute for Energy Economics and Financial Analysis today published a report detailing how a complex of expensive new liquefied natural gas plants on the east coast of Australia are struggling to stay open in the face of a global gas glut. The report—“Australia’s Export LNG Plants at Gladstone: The […]

IEEFA Analysis: The Economic Frailties and Rickety Finances Behind the Dakota Access Pipeline

IEEFA Analysis: The Economic Frailties and Rickety Finances Behind the Dakota Access Pipeline

Shippers Are in a Position Now to Renegotiate Contracts; Oil Prices Have Tanked Since Deals Were Signed; Long-Term Outlook for Project is Deeply Uncertain

Construction of the Dakota Access Pipeline has sparked considerable public controversy, bringing national attention to issues that include tribal sovereignty and risks to drinking water. Less publicized are the project’s financial weaknesses, and the fact the pipeline may represent a substantial overbuilding of the Bakken’s oil-transport infrastructure. The report that we released today in partnership […]

November 16, 2016 Read More →
IEEFA ‘Pipe Dream’ Report Questions Rationale for North East Gas Interconnector in Australia

IEEFA ‘Pipe Dream’ Report Questions Rationale for North East Gas Interconnector in Australia

A Financially Weak Pipeline Project Hampered by a Global Glut in Liquefied Natural Gas

We’re publishing a report today questioning the economics and financial footing of the proposed $800 million North East Gas Interconnector (NEGI) in Australia. The report—“Pipe Dreams: A Financial Analysis of the Northern Gas Pipeline”—also examines the implications of awarding an unregulated monopoly over the pipeline to Jemena, a Singaporean and Chinese government-owned company, via State […]

More News and Commentary

TVA board votes to close Paradise, Bull Run coal plants

Reuters: The Tennessee Valley Authority voted on Thursday to close two aging coal-fired power plants, including one supplied by a company led by a major supporter of President Donald Trump, who had urged the U.S.-owned utility to keep it open. “It is not about coal. This decision is about economics,” said President and Chief Executive […]

February 15, 2019 Read More →

North Dakota tops Texas as largest U.S. lignite producer

S&P Global Market Intelligence ($): A sharp decrease in Texas lignite coal output handed North Dakota the title of top U.S. lignite producer in 2018 for the first time in at least a decade, as mine closures and alternative energy sources continue to reduce coal’s share of the energy mix in Texas. Year over year, […]

February 14, 2019 Read More →

Chevron CEO says low-cost shale has forced capital discipline on oil industry

Bloomberg: For Mike Wirth, the future of Big Oil lies at home, under the dusty fields of West Texas. As he celebrates his first year as chief executive of Chevron Corp., Wirth sees the Permian Basin as a plentiful source of high-quality crude for years to come, but that’s not all. The low break-even costs […]

February 14, 2019 Read More →

L.A. steps back from plans to expand power generation fossil-fuel footprint

Los Angeles Times: Los Angeles is abandoning a plan to spend billions of dollars rebuilding three natural gas power plants along the coast, Mayor Eric Garcetti said Monday, in a move to get the city closer to its goal of 100% renewable energy and improve air quality in highly polluted communities. The mayor’s decision marks […]

February 13, 2019 Read More →
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IEEFA update: Andrew Cuomo got it right on New York’s fracking ban

Despite opponents’ fears, ban likely saved investors billions

New York State, under the leadership of Governor Andrew Cuomo, instituted a ban on hydraulic fracturing (fracking) in 2014. Not surprisingly, the ban was hotly contested. Opponents had portrayed fracking as a silver bullet that would create jobs and promote economic development.  They predicted the state’s citizens would regret Cuomo’s decision. A retrospective analysis of […]

and

IEEFA/Sightline analysis: The fracking depreciation dodge

Accounting tricks hide the industry's biggest secret: it’s a losing game.

The US oil and gas boom continued in full force during 2018. By year’s end, America’s oil and gas output reached record highs, squeezing the nation’s net petroleum imports to their lowest point since the early 1970s. But this production frenzy came at a tremendous financial cost. Despite the highest oil prices since 2014, fracking-focused […]

Idaho Power executive says company on ‘glide path away from coal’

Idaho Press: Idaho Power’s energy profile has gotten cleaner and more renewable-based over the past 10 years, a shift rooted in a mix of legal requirements and economic factors. Idaho Power’s use of coal has declined considerably over the past decade. In 2008, 46.1 percent of Idaho Power’s energy came from coal. In 2017, the […]

February 11, 2019 Read More →
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IEEFA Argentina: Government cannot afford subsidies for Vaca Muerta oil and gas producers

Failure to achieve energy plan likely

The Argentine government’s plan to develop the massive Vaca Muerta oil and gas reserves in northern Patagonia has hit a major obstacle. The success of the plan requires the Argentine government to subsidize most of the development costs initially.  But the Argentine government is in fiscal distress and has recently made it known that it […]

and February 8, 2019 Read More →
IEEFA report: Financial case builds for fossil fuel divestment

IEEFA report: Financial case builds for fossil fuel divestment

Money managers need to recognize poor market performance

The financial case for investing in fossil fuels is losing ground as the powerful oil and gas industry continues its steady decline, according to the Institute for Energy Economics and Financial Analysis (IEEFA). In a briefing note released Feb. 6, Fossil Fuel Investments: Looking Backwards May Prove Costly to Investors in Today’s Market, IEEFA analysts […]

February 8, 2019 Read More →

IEEFA report: West Virginia shale development falls short of economic promise

Exhibits “resource curse,” dashes expectations for jobs, taxes, and growth

The nearly six-fold increase in West Virginia’s natural gas production in the last decade, due largely to shale development, or fracking, has fallen short of expectations for economic growth, job creation, and tax revenue generation, according to a new report released by the Institute for Energy Economics and Financial Analysis (IEEFA) and the West Virginia […]

February 7, 2019 Read More →