New Report Exposes Consumer Costs and Negative Environmental Consequences of Gas-Pipeline Blockade

New York’s obstruction hurts Northeast consumers and the environment

NEW YORK, NY – Most of America is enjoying the benefits of the shale revolution, but not the Northeast. According to a new Manhattan Institute report by senior fellow Robert Bryce, obstruction of natural gas pipelines is driving up energy prices for consumers. Further, rather than helping cut greenhouse gas emissions, the gas-pipeline blockade has impeded the shift away from fuel oil for both heating and electricity generation.

New York Gov. Cuomo and other politicians have claimed their pipeline blockades are critical to reducing greenhouse gas emissions, but the resulting moratoria on new natural gas hookups mean buildings and power producers will continue to rely on oil, which emits 27 percent more carbon dioxide than natural gas. Furthermore, the constraints on new gas pipelines are forcing up energy prices in the Northeast, which in some cases already exceed the national average by more than 90 percent.

The report’s other findings include:

1. If New York and New England had sufficient supplies of natural gas, building owners could continue switching away from heating oil, and in doing so save hundreds of millions of dollars per year and reduce carbon-dioxide emissions;
2. New England residents are now facing additional costs of up to $158 million per year due to fuel-supply constraints that are hurting the region’s electric utilities;
3. Recent legislative moves to amend Section 401 of the Clean Water Act represent an opportunity to open pipeline access in the Northeast, reduce rates for consumers, and continue cutting emissions.

Click here to read the full report.