Tournament: From texas swing on | Round: | Opponent: | Judge:
NATTY GAS
Advantage 1 - Economy
The status quo bias toward incremental pricing has caused it to become more economical for natural gas to be flared causing supply shortages.
Tye and Garcia 07 Copyright (c) 2007 Federal Energy Bar Association¶ Energy Law Journal¶ 2007¶ 28 Energy L. J. 1¶ LENGTH: 22979 words¶ ARTICLE: WHO PAYS, WHO BENEFITS, AND ADEQUATE INVESTMENT IN NATURAL GAS INFRASTRUCTURE¶ NAME: William B. Tye *Jose Antonio Garcia ¶ BIO: * William B. Tye is a Principal at The Brattle Group in Washington DC. Ph.D. in economics from Harvard University. He specializes in regulatory and antitrust issues. Dr. Garcia is a Senior Associate at The Brattle Group's Washington DC office
The natural gas industry is currently facing short
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is closely dependent upon the availability of interconnecting transportation
Scenario 1 is Exports
Investors have began searching for LNG export terminals
Kelly-Detwiler 12 (Peter, “LNG Export Economics: A Look At Frontrunner Cheniere.” Forbes. 5 December 2012. WEB.
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)
Even if Chesapeake and others sit on supply
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move them to the front of the line.
Current import terminals can be reversed to liquefy and export natural gas.
Gjelten 12 (Tom, Correspondent for NPR, World Affairs and Washington Week, “The Dash for Gas: The Golden Age of an Energy Game-Changer” World Affairs. January/February 2012. WEB.
http://www.worldaffairsjournal.org/
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-age-energy-game-changer)
Such estimates are imprecise and may well be
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domestic gas production can be exported as LNG.
However only an increase in pipeline development to capture Natural Gas excess can make exporting LNG and domestic use a reality.
Abraham and Richardson 12 (Bill Richardson and Spencer Abraham, US secretaries of energy under Presidents Bill Clinton and George W. Bush. “Shale gas exports will aid US and its allies”, Financial Times. 20 December 2012. WEB.
http://www.ft.com/
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-a7b1-00144feab49a.html#axzz2FjmRezeP)
America could now become a net exporter of
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now opposed to any LNG exports at all.
We believe, however, that LNG exports
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offer the potential for lower global carbon emissions.
The US Department of Energy has confirmed this
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benefits to the US, the report concluded.
The reason is simple. Today much natural
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natural gas sector to reach its growth potential.
Meanwhile by becoming an exporter, the US
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would be likely to diminish, for example.
LNG exports strengthens US international trade.
Levi 12 (Michael, Senior fellow for energy and environment at the Council on Foreign Relations. “A Strategy for U.S. Natural Gas Exports.” Brookings Institute. 4 June 2012, http://www.brookings.edu/~/media/research/files/papers/2012/6/13%20exports%20levi/06_exports_lev)
These figures suggest that U.S.
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insulate LNG importers from oil¶ market fluctuations.
Potential U.S. exports might also
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gains for U.S. consumers and firm
US trade is key to stop protectionism and World War 3
Pazner 8 (Michael J., Faculty – New York Institute of Finance, Financial Armageddon: Protect Your Future from Economic Collapse, p. 137-138)
The rise in isolationism and protectionism will bring
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as the beginnings of a new world war.
Scenerio 2 is Economic Collapse
Expensive production cost has sent US Manufacturing jobs overseas and ceased momentum for economic recovery
Raval 12 (Anjli, “US manufacturing down for third month.” Financial Times. 4 September 2012. WEB.
http://www.ft.com/
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-9fff-00144feabdc0.html#axzz2FjmRezeP)
The US manufacturing sector contracted for the third
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recent data showing a pullback in business spending.
The Institute for Supply Management said its manufacturing
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50. A reading below 50 indicates contraction.
There have not been three straight readings below this contraction line since May-July 2009.
ISM surveys more than 300 manufacturing companies on
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, new orders, supplier deliveries and inventories.
“The data continue to show a significant
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, chief US economist at High Frequency Economics.
The index averaged 55.2 in 2011
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6 in the first five months of 2012.
The new orders measure, an indicator of
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made corporations more cautious about investment and hiring.
Ben Bernanke, Federal Reserve chairman, said
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bias toward a further round of quantitative easing.
Manufacturing accounts for about 12 per cent of US gross domestic product.
“August’s ISM manufacturing index gives the Fed
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Dales, senior US economist at Capital Economics.
Slowing orders pushed the production index down to
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2009, from 51.3 in July.
The employment index fell to 51.6
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July’s payroll report suggested that conditions were improving.
Currently the US have seen the possibility of a ‘manufacturing renaissance’, thanks to the shale gas boom and the abundance of cheap domestic energy.
Carey 12 (Julie M., an energy economist with Navigant Economics. “How Unconventional Oil And Gas Is Supercharging The U.S. Economy” Forbes. 13 December 2012. WEB.
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)
The second wave of investment will focus on
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for natural gas-to-diesel plants.
In addition to these traditional areas of investment
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crude oil transportation business for the long haul.
During this second wave, there will be
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demand in order to minimize transportation related costs.
Manufacturing Jobs are key to the US Economy and to technological innovation.
Ettlinger and Gordon 11 (Michael Ettlinger is the Vice President for Economic Policy at American Progress. Kate Gordon Senior Fellow at American Progress. Most recently, Kate was the VP for Energy Policy at American Progress “The Importance and Promise of American Manufacturing.” Center for American Progress. April 2011. PRINT.
http://cdn.theatlantic.com/
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_American_Manufacturing%20.pdf)
Manufacturing is critically important to the American economy
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and the well-being of all Americans.
Manufacturing today accounts for 12 percent of the
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manufacturing is only a¶ part of the picture
First, jobs in the manufacturing sector are
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, transportation, testing, and lab work.
Many of these jobs are critical to American
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skill jobs to where they do their manufacturing.
And with those jobs goes American leadership in
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government is vital to our nation’s economic competitiveness.
Manufacturing also is important for the nation’s economic
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external markets— gives it great potential resiliency.
Finally, supplying our own needs through a
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rate fluctuations to trade embargoes to natural disasters.
Economic downturn will trigger a global nuclear war and extinction.
Bearden 00 – Director of Association of Distinguished American Scientists
T. E., “The Unnecessary
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.com/EnergyCrisis-Bearden.htm
History bears out that desperate nations take desperate
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the biosphere, at least for many decades.
Advantage 2- Environment
Lack of pipeline infrastructure leading to massive increases in natural gas flaring
Park 12 ENERGYOIL AND NATURAL GAS¶ Increase in "Flaring" Tied to Pipeline Shortages¶ by Minjae Park May 14, 2012 http://www.texastribune.org/texas-energy/oil-and-natural-gas/increase-gas-flaring-due-gas-pipeline-shortages/
With oil production on the rise in Texas
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gas gathering line to take away their gas.”
New wells have led to flaring being on the rise for the first time since 2008.
Vukmanovic 2012 (Oleg 5/3/2012, Reuters, Huffington Post, Natural Gas Flaring Rises Globally, Fueled By U.S. Shale Boom, http://www.huffingtonpost.com/2012/05/03/natural-gas-flaring-rises-globally_n_1474838.html, gem)
LONDON, May 2 (Reuters) -
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, up from 138 bcm the previous year.
Massive global gas boom inevitable- only a reduction in flaring can ensure it does not lead to a spike in GHG emissions
Reuters 12 World to gain from gas glut if regulation right: IEA By Henning Gloystein and Oleg Vukmanovic¶ LONDON/OSLO | Tue May 29, 2012 11:54am EDT¶ (Reuters) http://www.reuters.com/article/2012/05/29/us-energy-gas-iea-idUSBRE84S0XJ20120529
A boom in unconventional natural gas over the
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domestic energy prices to plummet in recent years.
Scenario 3 is Warming
The best and most recent study has found that warming is real and anthropogenic with absolute certainty
Gleckler et al 2012 (P.J
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. Barnett, J. A. Church,
K. E. Taylor, K.
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- 10.1038/NCLIMATE1553; kdf)
Large-scale increases in upper-ocean
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six that do not (NoV)16.
Flaring creates acid rain, global warming, and causes species extinction.
Nigerian Compass 2012 (April 23, nigeriancompass.org, http://www.compassnewspaper.org/index.php/features/life-style/2481-towards-achieving-zero-level-gas-flare, Towards achieving zero level gas flare.)
Other health hazards and effects associated to gas
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and stave human beings of source of water.
That causes human extinction.
Tickell 8 Oliver, Climate Researcher, The Guardian, 8-11, “On a planet 4C hotter, all we can prepare for is extinction”, http://www.guardian.co.uk/commentisfree/2008/aug/11/climatechange
We need to get prepared for four degrees
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emissions could propel us towards a similar hothouse Earth
Evaluate climate change through the precautionary principle
Friedman 2009 (Thomas; Going Cheney on Climate; December 8; www.nytimes.com/2009/12/09/opinion/09friedman.html; kdf)
This is not complicated. We know that
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thing on climate — preparing for 1 percent.
THUS THE PLAN
The United States Federal Government should clarify that natural gas pipeline projects will be evaluated on a case-by-case approach removing the bias toward incremental pricing. Incremental pricing will apply to projects that provide benefits only to new customers, projects that provide benefits for only existing customers will use rolled in pricing mechanisms, and projects that benefit both new and existing customers will be financed using a fair allocation of the costs based on cost-causation and benefits received.
Contention 3- Solvency
Current FERC policy sends mixed price signals deterring investment- the plan’s pricing rules can provide the incentives necessary for pipeline infrastructure expansion
Tye and Garcia 07 Copyright (c) 2007 Federal Energy Bar Association¶ Energy Law Journal¶ 2007¶ 28 Energy L. J. 1¶ LENGTH: 22979 words¶ ARTICLE: WHO PAYS, WHO BENEFITS, AND ADEQUATE INVESTMENT IN NATURAL GAS INFRASTRUCTURE¶ NAME: William B. Tye *Jose Antonio Garcia ¶ BIO: * William B. Tye is a Principal at The Brattle Group in Washington DC. Ph.D. in economics from Harvard University. He specializes in regulatory and antitrust issues. Dr. Garcia is a Senior Associate at The Brattle Group's Washington DC office
The 1999 Policy Statement sets out a "
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reflect this more sensible approach as discussed above.
Removing the bias towards incremental pricing key to solve gas price volatility
Tye and Garcia 07 Copyright (c) 2007 Federal Energy Bar Association¶ Energy Law Journal¶ 2007¶ 28 Energy L. J. 1¶ LENGTH: 22979 words¶ ARTICLE: WHO PAYS, WHO BENEFITS, AND ADEQUATE INVESTMENT IN NATURAL GAS INFRASTRUCTURE¶ NAME: William B. Tye *Jose Antonio Garcia ¶ BIO: * William B. Tye is a Principal at The Brattle Group in Washington DC. Ph.D. in economics from Harvard University. He specializes in regulatory and antitrust issues. Dr. Garcia is a Senior Associate at The Brattle Group's Washington DC office
The natural gas industry is currently facing closely
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requirement for pipelines proposing new gas infrastructure projects.
The plan is critical to massive investment in natural gas infrastructure- regulatory reform solves bottlenecks and prevents system failures and results in pipeline expansion
Tye and Garcia 07 Copyright (c) 2007 Federal Energy Bar Association¶ Energy Law Journal¶ 2007¶ 28 Energy L. J. 1¶ LENGTH: 22979 words¶ ARTICLE: WHO PAYS, WHO BENEFITS, AND ADEQUATE INVESTMENT IN NATURAL GAS INFRASTRUCTURE¶ NAME: William B. Tye *Jose Antonio Garcia ¶ BIO: * William B. Tye is a Principal at The Brattle Group in Washington DC. Ph.D. in economics from Harvard University. He specializes in regulatory and antitrust issues. Dr. Garcia is a Senior Associate at The Brattle Group's Washington DC office
The issue of who should pay for natural
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both reliability and security to the energy network.
Expanded infrastructure key to successful flaring reduction
Farina 2010 (Michael; Leader, Fuels Center for Excellence Global Strategy and Planning GE Flare Gas Reduction; http://www.ge-energy.com/content/multimedia/_files/downloads/GE%20Flare%20Gas%20Reduction%2001-24-2011.pdf
The technology to address the problem¶ exists
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eliminated¶ in as little as five years.
