Booming Generation Sector Will Need Gas, Electric Transmission
A four-year-long boom in powerplant construction, consisting almost entirely of natural gas-fired turbines, has largely blunted fears of widespread U.S. electricity shortages. But federal energy officials now worry that the West's gas pipeline system may not be able to meet growing demand. An energy consulting firm is warning that the electric-transmission grid must be reinforced.
By the end of 2001, the powerplant boom had added more than 70,000 Mw of generation capacity, and 210,000 Mw more were in development or construction, according to a new report from Energy Ventures Analysis Inc., Arlington, Va. But the boom already was turning into a bust, says A. Michael Schaal, EVA principal. And "financing is not there" for a lot of the forecast capacity additions, he says.