Weekly US natural gas consumption
PointLogic reported that US natural gas consumption rose by 2% from July 14–20. Natural gas consumption rose for the sixth time in the last seven weeks. Gas deliveries to the power sector rose by 3.8% week-over-week and by 4.6% YoY (year-over-year). To learn about what drives the power sector’s natural gas consumption, read the first part of this series.
Gas flows to the industrial sector were flat week-over-week, but they rose YoY. Gas deliveries to the residential and commercial segment fell week-over-week and YoY.
US natural gas consumption rose by 3.1%—compared to the same period in 2015. Gas exports to Mexico rose by 5.5% week-over-week and by 15.2% YoY.
US natural gas consumption forecast
The EIA (U.S. Energy Information Administration) estimated that US natural gas consumption could average ~76.5 Bcf (billion cubic feet) per day and ~77.7 Bcf per day in 2016 and 2017, respectively.
The demand from the electric power sector could drive the demand for natural gas in 2016. The power sector demand could fall in 2017 due to high natural gas prices. The industrial and residential segments could drive demand in 2017. Check out the last part of this series for a discussion on natural gas price forecasts.
In the next part of this series, we’ll take a look at the U.S. Commodity Futures Trading Commission’s “Commitments of Traders” report.