Poll: Four Out Of Ten Oppose Natural Gas Exports; Support For Fracing Slips

As the natural gas industry invests billions of dollars for planned export facilities, a UT Energy Poll shows many Americans oppose shipping such resources to other countries.

A March poll by the University of Texas at Austin found 39% of respondents think natural gas should stay at home, while 28% support exports.

Hydraulic fracturing also remains a contentious matter, with opinion sharply divided. But the degree to which respondents understand the decades-old technology drives opinion on natural gas exports. The survey found that 37% of participants familiar with hydraulic fracturing were likely to support natural gas exports compared with 20% of those who are not.

About 30 applications have been filed with the government to build liquefied natural gas (LNG) facilities, Daniel Yergin, vice chairman of IHS, said on April 17. Each such facility would cost $10 billion or more. Cheniere Energy Inc.’s (NYSEAMEX: LNG) Sabine Pass Liquefaction LLC has received approval to export to non-Free Trade Agreement countries. It will be the first LNG export facility built since the 1960s.

A large percentage of people think domestic natural gas production creates jobs, provides energy security and boosts manufacturing. Those polled ranked natural gas costs least high, followed by electricity, heating oil and gasoline.

However, the Center for Liquefied Natural Gas (CLNG) notes that each $1 billion of LNG sold creates 6,000 construction and manufacturing jobs. Selling some of the United States’ natural gas would also reduce the trade deficit by billions. And a single LNG terminal would generate more than $10 million annually in federal, state and local tax revenues.

Bill Cooper, president of CLNG, wrote to the Department of Energy that the overwhelming weight of evidence from export applicants shows that the United States has an abundance of natural gas supply, “which is more than sufficient to meet the growing domestic demands, including electric power generation, manufacturing and industrial, commercial and residential, and still support LNG exports.

“There have been no studies at all introduced to the contrary in any of the proceedings,” he said.

The poll also found that hydraulic fracturing continues to be a touchy subject with support slipping. About 45% of respondents familiar with hydraulic fracturing support using it for fossil fuel extraction down from 48% a year ago. The practice is opposed by 41%.

A stark political divide is evident: 22% of Democrats support fracing and 60% oppose it, while 71% of Republicans support fracing and 20% oppose it.

Consumers worry about possible harm to the environment from the use of hydraulic fracturing, with the potential for water contamination topping the list of specific concerns.

“More consumers – 43% today versus 38% a year ago – say there should be more regulation of hydraulic fracturing,” said Sheril Kirshenbaum, director of the UT Energy Poll. “Still, we also see steady support for the expansion of domestic natural gas development.”

Other findings cited include:

Trust: The scientific community is perceived to be the most accurate, impartial information on hydraulic fracturing.

Land: The poll found 41% back fracing on public lands and 36% oppose.

Climate: Nearly three quarters of Americans say climate change is occurring, which is consistent with a September 2012 poll.