Thursday, August 31, 2006

Out of Gas?

In a published letter in the Ventura Star this week, SoCal Gas Vice President Rick Morrow sounded the alarm about declining natural gas supplies. He stated:

However, because gas supplies from traditional supply basins are forecast to decline, it is essential that our customers have access to new sources of supply.

Morrow offered an enthusiastic defense of importing LNG to California, arguing that LNG will increase competition and reduce price volatility.

He stopped short of endorsing any of the LNG project proposals currently under consideration in California, but if the Gas Company has its way, LNG apparently will be a big part of the Southern California's energy future.