Energy Conservation, 2008 and Beyond in Texas

Thanks to America's rising population and our increasing hunger for petroleum, our per capita use of energy has grown each year for quite a while. The electric market has been no different; the increased number of electronics we can't live without means that most of us are plugging in more devices than we would have years ago. Thanks to a number of factors, however, things are looking up. Some important fuels are decreasing in price. Combined certain energy conservation measures, this has resulted in lower utility bills for many consumers and the promise of a better environment in the future.

In 2008, total United States energy use was 99.2 quadrillion BTUs (British Thermal Units). That number is hard to comprehend, but it's easier when you compare that figure to the 2007 statistic: 101.5 quadrillion BTUs. According to Science Daily, the amount of energy used by industry and transportation decreased, while there were slight overall increases in commercial and residential energy use. This is a good thing for the average consumer because we all purchase consumer goods that were made in factories and shipped to the retail location. When a company pays less to make and ship a consumer good, the cost could decrease, too.

Restructuring Today is a trade journal dedicated to "chronicling efforts to open competitive energy markets." The journal notes that natural gas futures reached their lowest levels since August of 2002. (What are natural gas futures? In order to stabilize risk and better predict the future values of commodities, such as natural gas or even agricultural products, investors guarantee what the price will be in the future.) Further, natural gas inventories have increased as well, part of the reason for the decrease in the price of natural gas.

It's the same story for the use of gasoline. After decades of a steady, upward trend in gasoline consumption, Americans have spent significantly less time at the pump in 2009 when compared with 2008 and 2007. For example, according to the Energy Information Administration, in May 2007, Americans were supplied with 621 million barrels of oil. That number dropped to 590 million in May 2008 and even further to 563 million barrels in 2009. Even though these decreases are not as steep as they could be, these numbers are still encouraging signs as to where American energy consumption could be in the future.

So what are the possible explanations for the drop in energy use? Unfortunately, you're likely well-acquainted with one of these reasons: the sharp sting of pain at the pump. In 1996, big, gas-guzzling SUVs were in vogue, partially because of the fact that gasoline sold for less than $1.25 per gallon and dipped under $1.00 in 1999. Unfortunately, that didn't last. By the summer of 2008, a gallon of gasoline retailed for over $4.00. The high price changed a few things: encouraging consumers to drive smaller, more fuel-efficient cars and not to drive as often.

The household appliances that consume the most energy have also gone through an energy-saving makeover. As you might expect, your refrigerator is probably the most electricity-hungry device in your home. The efficiency of refrigerators has increased a great deal, so keeping your TV dinners frozen requires less energy than it did in the past.

Power plants have also become more efficient. According to Science Daily, nuclear generators produced slightly more energy (8.45 quadrillion BTUs) in 2008 than in the previous year. This is the result of efficiency, as no new nuclear power plants went online.

For obvious reasons, the energy use of the average American is not going to take a nosedive anytime soon. (We all like our MP3 players, laptops and big-screen TVs.) When it gets to the point that we can no longer cut further corners or increase efficiency, conservation will come in the form of alternative energy sources. As Americans use more solar and wind power, they will use fewer fossil fuels. The United States Department of Energy believes we are well on our way. From the years 2000 to 2008, the infrastructure in place for producing renewable energy sources nearly tripled, representing "42 gigawatts of installed capacity." In that same time frame, renewable electricity has "grown at a compounded annual average of 12% each year."

Thanks to a combination of government oversight and guidance and individual impulse, Americans have become much smarter when it comes to their use of energy. Now that the ball is rolling, things should only improve.