This increase in production has created jobs, strengthened businesses and investment, and revitalized cities and regions across America, a trend which will likely continue to grow in coming years.
It has also turned traditional thinking about America’s energy and economic policies on its head. In just a short period of time, our energy public policy debates have transitioned from multi-decade discussions of scarcity and limits to growth, to discussions of American energy abundance and the enormous benefits that it can offer.
A recent U.S. Department of Energy-commissioned study by NERA Economic Consulting showed that under all trading scenarios, the economic benefits to the country from liquefied natural gas (LNG) exports are significant and clearly outweigh any potential increases in domestic natural gas prices. The study’s findings are also consistent with other independent studies such as the Brookings Institution that project positive net economic effects from LNG exports.
If more markets are opened to the sale of domestically produced natural gas, then there will be more demand, more investment, and more production. According to the EIA, moving toward the most robust pro-trade scenario would likely yield an additional 2 trillion cubic feet of U.S. natural gas production (see chart below). That translates to more supply – and with it, more jobs, government revenues and economic expansion.
A small group of companies is calling on the federal government to restrict the free trade of America’s abundant energy supplies for its own self-interest.
ExxonMobil supports free trade of all products, including energy and encourages more investment, leading to economic benefits.