Majority of energy execs see US energy independence by 2030 survey

17 May 2013 22:56  [Source: ICIS news]

HOUSTON (ICIS)--A majority of energy executives believe the question of whether the US will become energy independent is a question of when and not if, according to a survey released on Friday.

Some 62% of those surveyed by the KPMG Global Energy Institute believe the US can attain energy independent by 2030, up from 52% in last year’s survey. Of those 62%, about one-quarter of the respondents think that US energy independence will occur by 2020.

Many company executives have begun to feel the effects of the ongoing shale oil and gas revolution to the point that the debate over it is getting “more fine-tuned” toward the long-term ramifications, said Regina Mayor, oil and gas sector leader for KPMG.

“People are still quite bullish on the future,” she said.

“Increased domestic production, particularly from shale assets, is having a profound impact on the global energy sector, introducing new sources to the energy matrix,” said John Kunasek, national sector leader for energy and natural resources for KPMG.

About 73% of those surveyed expect the price of natural gas to remain in the $3-4MMBtu level for the remainder of 2013, while 39% expect Brent crude oil to peak at $116-125/bbl in 2013.

“Greater assurance of supply appears to be stabilising commodity price environments and enabling large investments,” Mayor said. “At the same time, marginal production remains ‘shut in’, which could quickly be reinstated should the price picture become even more robust for gas.”

About 62% of energy executives said that the low-priced natural gas environment in the US will lead to resurgence in manufacturing and economic growth.

Survey respondents cited regulatory and legislative pressures (47%), pricing pressures (26%), volatile commodity and input prices (19%) and energy prices (19%) as the most significant growth barriers facing their companies over the next year. Also, 64% said political and regulatory uncertainty was the biggest threat to their business models.

By: Jeremy Pafford
+1 713 525 2653

AddThis Social Bookmark Button

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly

Get access to breaking chemical news as it happens.
ICIS Global Petrochemical Index (IPEX)
ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index