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Natural Gas in Maine
Significant additions to New England’s gas-fired electrical generating capacity have been made since 1998 – many of which have not been fully utilized due to power transmission limitations. In New England, 42% of electricity is generated in plants that burn gas, or a combination of gas and oil; in Maine, 32% of the generating capacity is gas-fired, but 60% of the state’s electricity is generated by these plants. (sources: ISO-New England; U.S. Department of Energy, Energy Information Agency).
While nearly 80% of Maine homes are still heated by oil, many of Maine’s larger cities and town have access to natural gas. With the high cost of heating oil, the state’s gas utilities are reporting that they cannot keep up with increased inquiries from consumers who are looking to covert their homes to natural gas.
On the commercial and industrial side, many of the state’s larger companies already have converted to natural gas, and economic development officials report that access to natural gas in business parks and commercial zones is a major incentive for new or expanding businesses.
Local governments are also making the switch to natural gas, with the Bangor Daily News reporting that both the City of Bangor and the Penobscot County Commissioners have turned to natural gas to heat a number of public buildings in Bangor. The savings to taxpayers from reduced energy costs are expected to be substantial.
Maine’s reliance on, and demand for, natural gas will only increase in the years ahead, making new sources of supply such as Downeast LNG all the more important to the state’s energy future.
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