U.S. natural gas demand is at a record – and prices keep dropping
Theoretically, this would be the mother of all opportunities for gas mobility. Gas prices are low and will remain so, the technology is mature and ready for action and frankly, with a very moderate effort, even the CAPEX premium for Natural Gas vehicles towards gasoline and diesel could be gone in no time. There is no good reason why Natural Gas vehicles should be more expensive than their diesel or gasoline counterparts. What’s holding the US back – tradition and regulation. If you are a truckie and you cant retrofit your truck to use 80% cheap LNG instead of more expensive diesel, you are stuck with what you have. You won’t buy a 100% LNG vehicle as there are no fueling stations everywhere you possibly go but if you could diesel and LNG, you might take the plunge with those low gas prices because if saves you money. The US would do itself a mighty favor if it cleaned up its regulations a bit.
U.S. natural gas demand is at an all-time high and expected to keep rising – and yet, prices are falling.
