HIGHER PRICES TO REIN WINTER USE OF DISTILLATE AND RESID IN THE U.S.

11/12/1990
Robert J. Beck Economics Editor Substantially higher prices for distillate and residual fuel oil will dampen U.S. demand for those fuels this winter. That will more than offset an expected boost in demand as a result of a return to normal winter weather. Natural gas demand will rise because as some industrial and utility plants switch from distillate and resid to cheaper fuels. In fact, gas demand will be up in all sectors of the U.S. economy. The sharpest increase will be in electric utilities. Many power plants have multifuel capacity and are able to switch to the lowest cost fuel source. ...
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