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FUEL FROM THE SKY: SOLAR POWER’S POTENTIAL FOR WESTERN ENERGY SUPPLY ple, deep underground mining operations using longwall techniques result in insignificant impacts on the environment. Nevertheless, in general, the impact of recovery of coal resources on the environment remains another liability for coal. Natural Gas The western United States has abundant reserves of natural gas, which is found in Texas, along the central Rockies, the Dakotas and in California. Exhibit 47 shows a map of western gas sup- ply regions, pipelines, and major gas-fired power plants. We can see that, in 2001, most gas- fired generation was located in Texas due to the proximity to natural gas and in California, because of the state’s indigenous supply and its emphasis on air quality. In contrast, the states of the central Rockies and the Dakotas provide little generation from their natural gas reserves. This is because of the abundance of even lower-cost coal in the region and because the Central Rockies are an emerging gas supply region. The gas fields in California and Texas have seen extensive resource recovery while the supply regions of the Central Rockies are becoming the focus of exploration and production. In Exhibit 47 we have labeled the four most important emerging natural gas supply regions, all located in the Central Rockies. These regions are the Uinta and Green River basins and the sup- ply regions in the Wind River area and the Powder River Basin, which is also the West’s biggest coal region. As can be seen in Exhibit 47, new pipelines are now planned to bring gas from these emerging regions into regions with an increasing demand for natural gas. A number of pipelines are in the works to bring natural gas from the Central Rockies into the Northwest, California, and the Desert Southwest. As the power industry’s current fuel of choice, natural gas will play an increasing role in meeting western electric energy demand and, as we have shown in Exhibit 9, 81% of new and forecast power plants will be running on natural gas. Currently, about 24% of all western electricity is gen- erated with natural gas and this percentage will increase dramatically. Naturally, a question poses itself: Are there enough western gas resources to meet the increasing appetite of power for this clean-burning fuel? In Exhibit 48, we show current proven and likely reserves of western gas that are economically recoverable, according to our analysis. Just as with coal resources, the 655 Tcf of estimated reserves will remain a moving target, because technological advances may be able to unlock greater amounts of natural gas. Nevertheless, this figure provides a cur- rent estimate of the order of magnitude of western gas reserves. On average, natural gas has a heat content of 1,010 Btu/ft3 and contains small amounts of sulfur and only traces of other gases. According to the above estimate, at current consumption (for power generation and other uses), about 70 years of natural gas are left in the West. If all 117PDF Image | Solar Fuel From The Sky
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