Does the EIA Manufacturing Energy Consumption Survey (MECS) Show Changes in Manufacturers' Sources of Natural Gas?

By the early 1990's, manufacturers had many more ways of obtaining natural gas than they had even a decade earlier. In an attempt to capture these changes, the MECS, in both 1991 and 1994, asked manufacturers to identify the source of their natural gas. In 1991, the options were the utility, transmission pipelines, or other.

In 1994, the options were the utility or a nonutility (for example, a pipeline company or a marketer). In 1991, manufacturers reported that they purchased 37 percent of their natural gas from utilities. In the 1994 MECS, this share increased.

The increase was unexpected, given the variety of options that manufacturers now have for obtaining natural gas. Marketers and other nonutility providers have been successful in luring customers away from the natural gas utilities because, as traditional utility contracts expire, they have been able to offer natural gas services at competitive prices. Large manufacturers in particular have the resources to seek out the best ... more.

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