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Industrial natural gas consumption seen rising through 2022 - Houston Chronicle

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U.S. natural gas consumption in the industrial sector will rise throughout 2021 and exceed pre-pandemic 2019 levels, according to the Energy Department.

Moreover, natural gas delivered to industrial consumers will continue growth into 2022, averaging 23.8 billion cubic feet per day that year, according to the Energy Department. 

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Industrial natural gas consumption is increasing because many industrial processes have limited or no alternatives to natural gas for use as both fuel and feedstock, according to the Energy Department, and some value-added industrial products made with natural gas, including ammonia, methanol, and hydrogen, remain economically competitive even when natural gas prices increase.

Last year during the pandemic, natural gas consumption fell in the U.S. industrial sector when a decline in U.S. economic activity led to a decline in output among industries that consume natural gas, such as the metals, petroleum and coal products, paper, and chemicals industries.

In the first half of 2021, U.S. industrial natural gas consumption bounced back, averaging 22.9 billion cubic feet per day, according to the Energy Department. That same figure is expected to average 23.5 billion cubic feet per day in the second half of this year.

For the year, the Energy Department estimates U.S. industrial natural gas consumption will reach 23.2 billion cubic feet per day for 2021, exceeding the 2019 average of 23.1  billion cubic feet per day and marking the most U.S. industrial natural gas consumption since 1997.

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