“Over the next decade our nation’s demand for natural gas is only going to grow and much of that growth is from manufacturing,” said NAM President and CEO Jay Timmons. “This study unequivocally shows that if our growing demand is not taken seriously by policy makers we will have a serious lack of infrastructure that will jeopardize our growth.
“Natural gas is responsible for millions of jobs, tens of thousands in manufacturing alone. This study highlights several specific examples of how manufacturers of all sizes have benefitted from utilizing natural gas. We can’t afford to let misguided policies rob us of this valuable domestic resource.”
Carla J. Sonntag, NMBC President said, “New Mexico has been one of the top ten natural gas producing states in the nation for several years and is positioned well to benefit from the increase in demand projected in the NAM study.”
Concerning the current opportunity given the abundance of cheap natural gas located in New Mexico, Sonntag added, “New Mexico manufacturers rely on both natural gas and electricity so lower natural gas prices not only reduce the cost of purchasing natural gas for fuel, but manufacturers also benefit from indirect reductions in costs through the use of less expensive electricity. The report also shows demand for natural gas will continue to grow, which will benefit our natural gas producers and our economy.”
Key highlights from the NAM study:
- Natural gas access contributed to 1.9 million jobs economy-wide in 2015.
- Shale gas put an extra $1,337 back in the pocket of the average American family.
- New natural gas transmission lines meant more than 347,000 jobs, with 60,000 in manufacturing.
- Total natural gas demand is poised to increase by 40 percent over the next decade. Key drivers will be manufacturing and power generation.
- U.S. supply is expected to increase by 48 percent over the next decade to meet new demand.
- Because energy innovation is lowering production costs, IHS expects energy-intensive industries such as chemicals, metals, food and refining to outperform the U.S. economy as a whole through 2025.
- Shale gas production has created new flow patterns that are causing existing pipelines to reverse flow and will necessitate the construction of new pipeline capacity.
For a copy of the full, in-depth NAM study, contact NMBC or NAM using info below.
The New Mexico Business Coalition (NMBC), the NM Affiliate Group for the National Association of Manufacturing, is a non-partisan advocacy organization representing businesses of all sizes, employees and New Mexican families throughout the state. NMBC works specifically to change the business environment in New Mexico to one that fosters and promotes job creation and an improved quality of life for all New Mexicans. NMBC knows our state can do better by lessening the burden on businesses in the form of excessive taxes, fees, and over burdensome government regulations. For more information about the New Mexico Business Coalition please visit our website www.nibizcoalition.org. POB 95735, Albuquerque, NM 87199, (505) 836-4223 nmbiz@nmbizcoalition.org.
The National Association of Manufacturers (NAM) is the largest manufacturing association in the United States, representing small and large manufacturers in every industrial sector and in all 50 states. Manufacturing employs more than 12 million men and women, contributes $2.09 trillion to the U.S. economy annually, has the largest economic impact of any major sector and accounts for more than three-quarters of private-sector research and development. The NAM is the powerful voice of the manufacturing community and the leading advocate for a policy agenda that helps manufacturers compete in the global economy and create jobs across the United States. For more information about the National Association of Manufacturers please visit www.nam.org. 733 10th St. NW, Suite 700 • Washington, DC 20001 • (202) 637-3000.