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Gas Supply Planning, Contracting, and Procurement
The dramatic increase in gas well-head prices over the last several years has led to renewed emphasis on gas supply planning, contracting, and procurement. There are major concerns regarding the operation of the wholesale gas market and sources of future supply including the projected increase in liquefied natural gas (LNG) imports. Local distribution companies (LDCs) need to develop innovative strategies to satisfy their obligation to provide reliable service at reasonable rates. Some owners of gas-fired generating units want assured access to an adequate supply of gas at all times but are not willing to commit to contracts for firm transportation and supply.
A comprehensive gas supply and procurement plan should address a number of issues. These include procurement objectives, including cost and risk management goals, existing and future gas service requirements, future prices of gas supply, transportation and storage capacity, and contracting options.
Synapse staff members have addressed all of these issues over the past twenty years. We bring a broad perspective and years of experience to our projects, including a comprehensive understanding of the structure and operation of wholesale and retail markets for gas, and extensive experience providing expert testimony on procurement issues in litigated proceedings.
Synapse staff have analyzed a range of gas supply planning, contracting and procurement issues, including:
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