Meeting Demand
Liz Pardue is American Gas Association Director of Economic & Regulatory Analysis.
America is entering a new phase of economic growth, driven by advancements in artificial intelligence, expanding data infrastructure, and a resurgence of manufacturing and reshoring initiatives. For data centers alone, a recent estimate projects that power demand for new and expanding facilities could double by 2028 compared to 2024 and reach one hundred seventeen gigawatts by 2030.
Powering this transition requires an energy system that is resilient, adaptable, and includes strategically planned energy infrastructure. Natural gas is essential to this transformation, promoting affordability and energy reliability while aiding economic development, supporting market stability, and contributing to emissions reductions. Sufficient storage capacity is vital to maximize the benefits natural gas can offer the energy system.
The value of natural gas storage lies in its ability to bolster reliability and resiliency in the broader energy system, particularly when demand spikes or grid stress occurs. It serves as a critical safeguard, allowing the energy system to function efficiently under pressure and enabling grid operators and consumers to withstand peak demand, extreme weather, and unexpected disruptions.