Climate Change and Natural Gas Dynamic Governance
62 Pages Posted: 24 Feb 2013 Last revised: 11 May 2013
Date Written: February 22, 2013
Hydraulic fracturing has been a game changer for the energy field, bringing to mind the “nothing in excess” carving at Delphi. Whether heeding ancient oracles or cutting-edge principles of calibration, I argue that dynamic governance innovation can facilitate climate-energy-water balancing to address natural gas governance gaps. Methane lost to the atmosphere not only disrupts the climate at a rate over 20 times that of carbon dioxide, it constitutes a loss of revenue. Low natural gas prices and distance to markets have been the key drivers of flaring, absent a price on carbon as a climate destabilizer. Methane is the primary component of natural gas, which typically contains 80 to 90 percent methane. Reducing methane emissions through governance innovation presents a profitable way of enhancing economic, social and environmental synergies.
Keywords: climate change, linking cap and trade programs, flaring, hydraulic fracturing, hydrofracking, unconventional natural gas, public participation, renewable energy, cooperative federalism, energy-water-climate dynamic governance
JEL Classification: A1, C7, C8, D1, D4, D6, D7, D8, D9, E2, E3, E6, F1, F4, H1, H2, H4, H5, H7, H8, I1, I18, I19, I2, I3
Suggested Citation: Suggested Citation