Keeping it Together: Preserving the Permian Basin Energy Sector and the Odessa Economy through the COVID‑19 and Related Oil Market ChallengesReport Published on May 15, 2020
The Permian Basin is among the most important oil-producing regions in the world. Drilling and production and the necessary supporting industries generate business activity not only in the region, but across the state and the nation. In order to be in a position to fully take advantage of future opportunities, it is imperative that the underlying capabilities remain in place - the workforce, the infrastructure, the supply chain, the equipment, and the community support systems. Given the current situation, maintaining this viability requires immediate action from governments at all levels and the private sector.
The Perryman Group was recently asked to examine the potential economic benefits of statewide competition in the Florida electric power market. Outcomes in other areas which have increased competition (fully adjusted for Florida economic and demographic patterns) were used as a basis for estimating the potential benefits.
The world's need for energy is growing, even as the climate is changing. The only answer to meeting future needs is an 'all of the above' strategy, with responsible use of conventional fuels as well as alternative sources of energy. In this issue, key trends and projections are highlighted.
The Texas economy is now more than 200,000 jobs above prepandemic levels and continues to expand at a notable pace. Despite challenges, the upward trend is projected to continue. Highlights of The Perryman Group's latest five-year outlook are summarized in this issue.
Dr. Perryman discusses Europe's increased imports of LNG.
The US Energy Information Administration recently released its long-term projections for global fuel demand. The International Energy Outlook 2023 (IEO2023) looks at long-term energy trends across the world through 2050. It includes seven scenarios with widely varying assumptions regarding economic growth, zero-carbon technology costs, and oil prices. Of particular relevance to the Texas economy, every case indicates higher worldwide consumption of oil and natural gas in 2050 than in 2022.
While it is widely known that Texas is a key producer of oil and natural gas, many are unaware that the state is also a leader in green energy. The installed capacity in renewables has been growing at a rapid pace, and, barring artificial obstacles, this pattern will likely continue.