Physical Sciences and Mathematics Commons^™

A Retrospective Analysis Of The Impact Of Wind Power Generation On Residential Natural Gas Prices In The United States, Maya Vikstrom

Economics

Heightened concern over the environmental impact and price volatility of natural gas has led to an increased demand for renewable energy. Wind energy is one of the fastest-growing sources of electricity and is the United States’ top renewable energy source. As a substitute for natural gas, wind energy has a direct impact on the demand for natural gas and consequently, the price. Using data from the U.S. Energy Information Administration, the Bureau of Economic Analysis, and the U.S. NOAA, this paper determines a causal relationship between wind generation and natural gas prices because of the random component of weather. Employing …