Threading the needle on gas/electric coordination: Who has to change and who has to pay?

Vol. 45 No. 5

Andrea Chambers and Katie Leesman are attorneys with the law firm of Ballard Spahr LLP, representing electric utilities and natural gas pipeline end-users.

Thanks to a decrease in natural gas prices and a federal regulatory push to reduce greenhouse gas emissions from coal-fired power plants, electric generators increasingly rely on natural gas as a cheaper, cleaner fuel source. This trend raises significant implications for natural gas pipeline capacity as gas-fired generators, local utilities, industrial consumers, and other natural gas consumers jockey for access to this important resource and the pipeline infrastructure necessary to transport it. The growing demand for natural gas brings into sharp focus the expanding interdependence between the gas and electric industries.

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