Re: Natural gas in New England

On 2008-08-08, Ron Peterson <ron@xxxxxxxxxxxxxx> wrote:
On Aug 6, 7:09 pm, jmh <jmh...@xxxxxxxxxxxxxxxxxxx> wrote:
On 2008-08-06, Ron Peterson <r...@xxxxxxxxxxxxxx> wrote:

Natural gas is considerably cheaper than heating oil, but much of New
England continues to heat with heating oil.

I gather that this is primarily because gas pipelines don't go to all
areas of those states.

The pipelines don't need to go to the house, it can be
stored locally, just as the heating oil, in a tank
and refilled as needed.

Natural gas can't be conveniently hauled by truck to individual users.

Not as easily as oil or propane but I would expect
the economies of scale that make such an
effort to be substantially lower than that of
building out the pipelines.

In the end it's an empirical question of which
approach is lower cost for different settings
and I wouls assume looking into the various
break even points would be the place to start
before suggesting some public policy.

jmh

.

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