General

by the Perryman Group　　　 October 2009

Largely known for its plentiful fossil fuel supply, the Lone Star State is also rich in renewable energy potential with abundant solar, wind, and biomass resources. While fossil fuels remain an important part of the state and national economy, investment in renewable energy and energy efficiency is growing. Current population growth (and the resulting rise in energy demand) coupled with government incentives and periodic spikes in traditional fuel prices are major catalysts for the development of renewable resources. While educational programs aimed at decreasing consumption through increasing energy efficiency can have some short-term effect, investment in renewable energy is vital to realizing Texas’ true energy potential.

Highly renowned for its vast energy resources in oil, natural gas, coal, and uranium, Texas has produced enormous amounts of energy over the past several decades. In fact, the state has collected $35 billion in taxes on oil and gas since the 1930s, contributing to Texas schools, roads, and overall infrastructure. Texas has benefited greatly from a strong energy economy; one which, among other things, has helped it endure the recent national economic crisis better than most states. Yet fossil fuels are finite and Texas’ fields are aging, with production trending downward from its peak in 1972. Recent major development of natural gas in shale formations has been a boost to the energy sector, with activity most likely to occur at times of high prices due to the relatively costly extraction processes.

More at:　 http://www.perrymangroup.com/newsletter/09_10TPR&TL.pdf