The state of New York is studying the feasibility of using LNG as a back-up fuel to help ease disruptions in New York's rapidly growing natural gas market.
Under a new contract with the New York State Energy Research & Development Authority (NYSERDA), Albany, NY, the expanding market potential for LNG will be studied through a year-long survey being conducted by teams at Vandor & Vandor and Cyrogenic Equipment & Services, Tarrytown, NY.
"Demand for natural gas continues to increase dramatically," says NYSERDA, "and significant market sector competition is raised by interruptible gas supply contracts for electricity generation and other large-volume customers.
"These contracts provide gas at a cheaper rate," continued NYSERDA, "but in exchange, permit supply curtailment when temperatures plummet and utility contracts for residential natural gas take precedence." Many interruptible facilities, NYSERDA says, depend on fuel oil as a back-up fuel.
NYSERDA President F. William Valentino says "Last year, our research helped upgrade dated regulations on the bulk storage, transport, and use of LNG. Now, NYSERDA will reexamine new technologies and a new market potential for this premium fuel," he said.
Three chief study considerations will be examined by the contract team, says David Vandor, president of American Liquid Natural Gas Association. These are above and belowground storage tanks, small-scale reliquefiers, and LNG transport vehicles, such as trailers and intermodal containers.
"Developments in these areas will be examined, and then compared to the market and regulatory requirements. When we complete our study, NYSERDA may make further policy recommendations regarding the future use of LNG," Vandor said.
