Propane Industry Calls on Congress to Address Energy Infrastructure Issues

 

Washington, DC (March 6, 2014) – Today, Richard Roldan, President and CEO of the National Propane Gas Association, testified before the House Energy and Commerce Committee’s Subcommittee on Energy and Power on the changing energy infrastructure needs in the United States.   

Roldan summarized the challenges posed to the propane industry’s infrastructure saying, “The propane delivery infrastructure is undergoing a dramatic transition, brought on by the production of previously unimaginable amounts of domestic fuels, including propane.  The result has been a change in the historical flow of fuels, which has been disruptive to energy infrastructure and energy markets.”

In addition to the changing flow of fuels in North America, the challenges of delivering propane to customers this winter were exacerbated by a number of factors including: a late, wet grain and corn harvest; historic low temperatures; lack of propane storage capacity; diverted transportation assets; and increased exports. 

In his testimony before the Committee, Roldan made several recommendations for what the government can do to protect the consumers who rely on propane, including: a rigorous and formal review of federal propane export policies; a Federal Trade Commission investigation to ensure markets are performing properly; improving the timeliness and reliability of the Energy Information Administration’s inventory data; increasing transparency of petroleum products pipeline operations; applying affiliate rules to petroleum products pipelines such as exist with natural gas pipelines; easing of the requirements needed for federal authorities to exercise emergency power during emergencies; and increasing storage infrastructure, such as the proposed Finger Lakes facility in New York State.     

“We are producing more propane in the United States than we have ever before.  The industry is anxious to address the existing transportation and infrastructure problems, so that more Americans can realize the benefits of this clean, abundant, and domestic fuel,” said Roldan. 

A copy of the filed testimony can be downloaded at: www.npga.org/InfrastructureTestimony

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