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The huge increase in U.S. natural gas production dominated projections in the Energy Information Administration’s annual report, released last week. Because of natural gas liquids, for instance, EIA projects that bulk chemical shipments will increase by 3.4% annually until 2025, compared with projections of 1.9% just one year ago. However, EIA projects U.S. chemical industry growth to flatten by 2030 as a result of more international competition. The report also estimates that natural gas will overtake coal as the primary fuel for electrical power plants in the 2030s and that the shift to natural gas will hold annual carbon dioxide emissions below 2005 levels through 2040, with emissions that year estimated to be 7% less than in 2005. The report assumes no change in policy through 2040.
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