US Can’t Meet Climate Goals While Spending Billions on Gas Infrastructure
Summary
The document contends that continued investment in US gas distribution infrastructure is counterproductive to climate goals, as the transition to electric appliances will likely leave these systems underutilized. It argues that low-carbon gases like hydrogen and biomethane are too expensive for residential and commercial use and should be reserved for industrial applications. Furthermore, it suggests that electrification and targeted leak detection are more cost-effective ways to reduce methane emissions than massive pipeline replacement programs, which risk creating stranded assets and imposing high costs on consumers.
Key insights
- US gas utilities significantly increased spending on distribution infrastructure, spending $21 billion in 2019, which is more than four times the amount spent a decade earlier.
- Hydrogen and biomethane are considered unsuitable for residential and commercial buildings due to high costs, estimated to remain seven to nine times more expensive than fossil gas by 2050; they are better suited for power generation and hard-to-abate industrial uses.
- Massive pipeline replacement programs to address methane leaks are costly and often inefficient; for example, a project by Peoples Gas in Chicago started in 2011 with a $2.6 billion budget is now expected to require an additional $7.7 billion and another 20 years to complete.
- Replacing all US gas mains over 50 years old by 2050 would require replacing over 28,000 miles per year, which is more than three times the replacement rate of the last five years.
- The document recommends policies to restrict gas infrastructure expansion, such as all-electric building codes, phasing out gas allowances, and evaluating non-pipe alternatives.
Cite the original document
- APA
- RMI (2021). US Can’t Meet Climate Goals While Spending Billions on Gas Infrastructure. https://rmi.org/resources/us-cant-meet-climate-goals-while-spending-billions-on-gas-infrastructure/
- Chicago
- RMI. US Can’t Meet Climate Goals While Spending Billions on Gas Infrastructure. 2021. https://rmi.org/resources/us-cant-meet-climate-goals-while-spending-billions-on-gas-infrastructure/.
- Wikipedia
- {{cite press release |author=RMI |title=US Can’t Meet Climate Goals While Spending Billions on Gas Infrastructure |date=2 August 2021 |url=https://rmi.org/resources/us-cant-meet-climate-goals-while-spending-billions-on-gas-infrastructure/ |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @misc{rmi2021cant, author = {{RMI}}, title = {{US Can’t Meet Climate Goals While Spending Billions on Gas Infrastructure}}, publisher = {RMI}, year = {2021}, month = aug, url = {https://rmi.org/resources/us-cant-meet-climate-goals-while-spending-billions-on-gas-infrastructure/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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