Exporting Natural Gas Could Mean Higher Prices
There's been a lot of interest in natural gas as an alternative fuel for some types of trucking, largely because of its attractive price compared to diesel. But a study released by the U.S. Department of Energy says if natural gas exports continue to increase, it could cause prices here in the U.S. to rise by between 36% and 54% by 2018

America's abundant natural gas supplies have led to cheap prices -- which critics say could rise if natural gas is exported.
There's been a lot of interest in natural gas as an alternative fuel for some types of trucking, largely because of its attractive price compared to diesel. But a study released by the U.S. Department of Energy says if natural gas exports continue to increase, it could cause prices here in the U.S. to rise by between 36% and 54% by 2018.
Some companies are seeking permits to ship liquefied natural gas overseas. After Cheniere Energy got a permit last May to ship gas from its Sabine Pass facility in Louisiana, manufacturers using natural gas, led by the Washington-based Industrial Energy Consumers of America, complained that sales to foreign countries may raise prices at home.
The EIA report is a response to an August 2011 request from the Department of Energy's Office of Fossil Energy for an analysis of "the impact of increased domestic natural gas demand, as exports."
The report found that with expected exports of 12 billion cubic feet of natural gas per day (bcf/day)-the amount of capacity companies have already applied to export-domestic natural gas prices could rise around 24% to 57% above baseline levels, depending on how quickly exports are ramped up and assumptions regarding the U.S. shale gas resource base.
U.S. natural-gas prices are at record lows. In face, Chesapeake Energy Corp., the second-largest U.S. natural-gas producer, will cut output and idle drilling rigs, reports BusinessWeek.
However, even without the exports, natural gas prices will increase under all scenarios considered by the DOE's Energy Information Administration.
"Rapid increases in export levels lead to large initial price increases that moderate somewhat in a few years," the agency said in the report. "Slower increases in export levels lead to more gradual price increases but eventually produce higher average prices during the decade between 2025 and 2035."
The Industrial Energy Consumers of America, which is against the exporting of natural gas, applauded the report. "It would be irresponsible for the DOE to approve export applications without first doing an economic analysis of the impact, but in fact, that is what has occurred," it said, noting that the law does not require the DOE to conduct a study on each export application to determine its impact to natural gas and electricity prices or the economy. It says The Natural Gas Act of 1938 never anticipated that the U.S. would potentially export natural gas.
LNG exports also were criticized by congressional Democrats, including Rep. Ed Markey of Massachusetts, the Ranking Member of the Natural Resources Committee and a senior member of the Energy and Commerce Committee, and Sen. Ron Wyden of Oregon.
The recent shale gas boom has led to the highest level of domestic natural gas production in U.S. history, notes Markey in a press release. The Department of Energy has already approved one application to export 2.2 billion cubic feet per day of natural gas and is now reviewing applications for seven more facilities. If all eight projects go forward, the total amount exported would equal about 18% of the natural gas currently consumed in the United States, according to analysis of data provided by DOE to the Democratic staff of the House Natural Resources Committee.
Rep. Markey sent a letter to Energy Secretary Steven Chu expressing concern about the impact of natural gas exports on American consumers and businesses and questioned the Energy Secretary about his department's review of natural gas export applications.
More Drivers

Prime Inc. to Open $7.9M Flagship Used-Truck Dealership
A new driver-focused facility to sell Prime Inc's used trucks and trailers will be the first purpose-built location in the company's history.
Read More →Short Takes: Inside K&B’s Truck Safety Tech
Listen to learn how K&B Transportation uses cellphone-blocking technology, speed management systems, weather geofencing, bridge avoidance tools, and more to improve driver safety.
Read More →
Nussbaum Expands Driver Compensation with Pay Raises, Profit Sharing
Nussbaum Transportation said its latest compensation package could push first-year driver earnings above $90,000 in key hiring markets.
Read More →Listen: Inside Modern Fleet Safety: AI, Cameras & Speed Control at K&B Transportation
Fleet safety is evolving fast—and technology is at the center of it. Learn how a former commercial vehicle enforcement officer turned director of safety at K&B Transportation is embracing real-world safety technology.
Read More →
Maverick Announces 2026 Driver Pay Raises
New raises for Maverick Transportation drivers will take effect on May 31, 2026.
Read More →
Illinois Trucker Indicted for Nearly $22,000 in Ohio Turnpike Toll Evasion
Authorities say an Illinois trucker avoided paying tolls for two years, and now faces felony charges, possible prison time, and forfeiture of his Freightliner tractor.
Read More →
New Trojan Driver Cargo Theft Scam Bypasses Carrier Vetting Systems
Cargo theft rings plant operatives as drivers inside legitimate, fully vetted carriers, then execute coordinated thefts that look like a traditional straight theft from the outside.
Read More →
WIM, Trucker Path Name Top 3 Women-Friendly Truck Stops
ATA’s Women In Motion Council and Trucker Path highlight three truck stops that meet all seven safety-focused criteria and rank highest among female drivers.
Read More →
FMCSA Extends Paper Medical Card Exemption … Again
Five states still aren't ready to accept commercial driver medical exam information directly from the medical examiner's registry.
Read More →
Mack Launches Digital Driver Guide for Chassis-Specific Truck Info
Mack’s new, virtual owner’s manual delivers VIN-based, on-demand guidance for vehicle systems via web, app, and soon in-cab displays.
Read More →
