Photo courtesy of Ken Shipp, Department of Energy
American Gas: Texas is by far the nation’s biggest producer of energy, leading the nation in production of crude oil, natural gas and wind energy. Texas is also the sixth-largest consumer of energy, per capita, according to data from the U.S. Energy Information Administration. With this in mind, how will your experience as governor of such an energy state help you perform the role of secretary for the Department of Energy?
Rick Perry: As governor of Texas for 14 years, I saw the importance of energy and the effect it can have on an economy and on our people. During my tenure, our country was facing a problem of rapidly increasing gas prices with no immediate solution in sight. At the time, we were reliant upon foreign entities for our primary source of energy—petroleum. We began to change that in Texas by researching new types of energy sources. We developed a strong wind power portfolio, and Texas is now the sixth-biggest producer of wind energy in the world. We also set out to discover and develop the vast shale gas resources we had right beneath our feet, and alongside discoveries in Pennsylvania, we started an energy revolution. I plan on bringing this same innovation and curiosity to the department in order to maintain a secure and reliable network of energy sources to benefit and protect the American people.
AG: It seems there is a strong pushback from some environmentalists about the use of any fossil fuels, including natural gas, to power the nation’s future. What is the role of natural gas in our nation’s energy mix, and how can it provide for the nation’s growing demand for energy? What will your message be to those who fight pipeline expansions or any additional use of natural gas to fuel the future?
RP: Natural gas, just like all other sources of energy, plays a key role in ensuring the national security and economic stability of the United States and our allies. This administration is looking forward to finally unleashing American energy dominance after years of energy policies that put what was best for the country aside to promote a specific political agenda. We need a broad mix of energy sources to sustain our nation, and natural gas is a critical element of our energy portfolio. Not only is it an economically viable fuel source, but it’s also an environmentally viable fuel source.
As secretary of energy, I want to reaffirm that you can be pro-economy and pro-environment. Researching and developing natural gas technologies and building the necessary infrastructure to support these technologies is one way we can accomplish those goals. Our experiences in Texas prove we can do both. During my time as governor, the Texas economy and population grew dramatically. Critics assumed pollution and the ozone levels would exponentially rise in the Lone Star State due to these facts, as well as our increase in fossil fuel production. They were wrong. We drove down nitrogen oxide, sulfur dioxide and carbon dioxide. Much of this can be attributed to cleaner-burning natural gas.
AG: Sticking with the topic of natural gas and renewable energy, what opportunities exist for natural gas and renewable energy to work together—and to complement each source?
RP: At the Department of Energy, we are implementing an all-of-the-above energy strategy in order to utilize all forms of American natural resources. This includes nuclear, wind, hydro, solar, geothermal, coal, oil, natural gas and more. By utilizing all of these, we can create a broad energy portfolio that secures maximum energy stability, efficiency and cost effectiveness for the American taxpayer.
AG: There are 300,000 miles of transmission natural gas pipeline and 2.1 million miles of natural gas distribution pipeline in the United States, yet that is not enough. Some areas of the country, particularly New England, desperately need more pipeline and distribution infrastructure to be able to access affordable, clean-burning natural gas. How can the Department of Energy help get more gas pipeline infrastructure built in underserved areas so that commercial users and residents can have more access to natural gas?
RP: Two words: research and development. Right now, we have a program at the Department of Energy called the Midstream Natural Gas Infrastructure Program that focuses on the research and development for this specific issue. Through this program, we’re working with external stakeholders from the Federal Energy Regulatory Commission and industry, along with organizations like the National Association of Regulatory Utility Commissioners, focusing on three objectives: Increasing the efficiency of system operations, including reducing the risk of leaks; Fostering new technologies and pipeline materials that reduce or eliminate fugitive emissions, along with minimizing environmental impact resulting from construction and repair activities; and Improving the reliability of this infrastructure to deliver gas where and when it is needed by consumers.
This R&D will provide the public and private sectors with better ways to tackle the current issues we face with infrastructure development. Achieving these objectives will result in a viable technology foundation that will provide broad public benefits for the future of our nation’s natural gas gathering, transportation and delivery network.
AG: Several proposed rulemakings, such as the Department of Energy’s Supplemental Notice of Proposed Rulemaking on Energy Conservation Standards for Residential Furnaces, will affect natural gas utilities and their customers. Are there any plans to revisit and revise rules issued by the Department of Energy during the last eight years?
RP: Our plan at the department is to meet our statutory requirements for finalizing rules. The Supplemental Notice of Proposed Rulemaking on Energy Conservation Standards for Residential Furnaces was never finalized, so we will definitely be reviewing that before making any concrete decisions. We are implementing an approach at the Department of Energy that is amicable to natural gas along with all of our nation’s energy resources.
AG: During the administration of President Jimmy Carter, the nation’s natural gas reserves were believed to be limited to about 35 years, and a national moratorium was issued on new natural gas use. Here we are, 40 years later, and the EIA and the Potential Gas Committee estimate that there is enough recoverable natural gas to fuel America’s diverse energy needs for more than 100 years. With the tiny exception of some overseas imports, the natural gas consumed in America is produced in America. Considering how using natural gas helps the nation become more self-reliant, do you anticipate the Department of Energy adopting programs or policies to encourage more power producers, businesses and consumers to switch to natural gas from other fuels?
RP: We’re not going to pursue policies that tell businesses and consumers to choose one energy source over another. Each region of the United States has its own unique energy needs, and we realize businesses and consumers must be able to choose from a wide range of energy portfolio options. At the Department of Energy, we’re focused on the science and technology that will maximize the development and potential of all of our energy resources, including natural gas. The American people should be able to use the type of energy that they think is best for their businesses, their lives and their families.
AG: What do you see as the role of natural gas in the nation’s energy mix in four years, eight years, 20 years and even 50 years?
RP: The future is bright for natural gas. We’re at the front end of an energy revolution due to the breakthrough of shale natural gas that has driven down American energy costs over the last decade. In addition, growing production and development of liquefied natural gas is transforming the United States into a leading exporter of natural gas. Both American consumers and our allies across the globe will benefit from the United States’ innovation, especially on the natural gas front. I can’t tell you what the future will hold, but I can tell you that it will be bright.
AG: The World Gas Conference 2018 will showcase the many ways that the world is fueling the future through natural gas. What do you hope to see from this event?
RP: The World Gas Conference, now in its 27th year, is a wonderful opportunity for the United States to share our technological advancements and strategies for natural gas on a global platform. The conference allows us to collaborate with foreign leaders and experts in the industry to ensure energy security and reliability throughout the world.
AG: Air Force officer, legislator, state agriculture commissioner, lieutenant governor, governor, secretary of the U.S. Department of Energy: You’ve held a lot of interesting roles as your career has risen. What do you think will be next for Rick Perry after you’ve completed your role as energy secretary?
RP: My father taught me that a life of service to others is indeed a life well lived. I love my job as secretary of energy, and I deeply appreciate the president asking me to help his team. The bottom line is pretty simple: I love my country, and I will continue to serve. When my days of service are over, I’ll head back to Round Top, Texas, with Anita, our kids and grandkids. I have been extraordinarily blessed.