The natural gas and oil industry not only creates jobs and generates tax revenues in Colorado, but also has played a role in lowering energy costs as well as emissions from power plants, according to a report from an energy industry trade group.
“Colorado’s development of natural gas and oil provides very real economic opportunity, and it is essential to creating jobs and generating much-needed revenue for our government. The low energy costs that have resulted from increased development have also lowered energy costs for consumers and businesses,” said Tracee Bentley, executive director of the Colorado Petroleum Council.
The council is a division of the American Petroleum Institute, which represents more than 625 members that produce, process and distribute natural gas and oil.
The Colorado Petroleum Council collected information from federal, state and other sources to review the role natural gas and oil exploration and production in the state the effects of that development.
According to the report:
The industry supports more than 232,900 jobs and in 2014 contributed $1.2 billion in public revenue. The industry generated $434.7 million in property taxes paid to counties, cities and school districts, over half of which went directly to schools
Output of natural gas has doubled since 2001. Crude oil production quadrupled between 2006 and 2016 as a result of innovations in directional drilling and hydraulic fracturing. Natural gas and oil development support more than 60 percent of energy consumption in Colorado.
Increased natural gas and oil production has resulted in lower energy costs for consumers and businesses.
The increased use of natural gas in power generation has lowered carbon emissions from power plants to their lowest level in 25 years. Combined heat and power plants save up to 60 percent in energy costs and reduce emissions by 50 percent.
The natural gas and oil industry in Colorado operates under some of the most comprehensive regulations in the country, Bentley said. “This industry takes seriously its environmental responsibility, supporting strong standards and regulations that have helped contribute to our nation’s energy renaissance.”