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ssuds | 4 months ago

>The price has remained relatively stable over the past 20 years

Not really, natural gas has immense exposure to geopolitics and the commodity markets: https://www.iea.org/commentaries/what-drives-natural-gas-pri...

There’s also the argument to be made (this has manifested in other countries) that as gas usage wanes and more homes electrify, nat gas costs will increase as the infrastructure costs are spread among fewer and fewer people

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Marsymars|4 months ago

> There’s also the argument to be made (this has manifested in other countries) that as gas usage wanes and more homes electrify, nat gas costs will increase as the infrastructure costs are spread among fewer and fewer people

This has kinda wonky incentives though - if your fixed costs for gas are high but your marginal costs remain low and for whatever logistical reasons you can't cut the gas connection entirely, then your motivations are to move as much of your heating load over to gas as possible.

Spivak|4 months ago

I'm currently facing this dilemma when it comes to my new water heater purchase. The $/kJ actually delivered into the water difference is so significant despite gas being less efficient that I'm probably going to switch to gas. Electricity has gotten so expensive that even with an efficiency advantage it still loses on the order of $500-800 per year.

caminante|4 months ago

I skimmed the article (so forgive me if I'm off.) It appears to reference non-US markets and the parent was assuming US (my assumption).

AFAIK, the US has a mid-long outlook of gas oversupply. EU's market is broken and has 3x the price (c.f. Henry Hub v. TTF). I haven't seen any major forecasters predict reaching parity anytime soon. Hence, LNG export projects keep getting (over-)built to chase the arbitrage.