Rebecca Wilder (202) 224-0379Washington, DC - Senator Robert F. Bennett, Chairman of the Joint Economic Committee, today expressed serious concerns about elevated natural gas prices and their potential impact on the U.S. economy.
“Earlier this year, Federal Reserve Chairman Alan Greenspan told our Committee that high natural gas prices and inadequate supply could pose a significant challenge for our economy,” said Chairman Bennett. “The recent price spike is an important reminder of his warning.”
In recent weeks, the price of natural gas has risen sharply. Spot prices closed yesterday at almost $7.00 per million British Thermal Units (mmBtu), based on the Henry Hub Louisiana Benchmark. Prices averaged less than $4.50 per mmBtu in November.
Bennett highlighted the need for policymakers to monitor the natural gas market. “If prices remain elevated and the market continues to exhibit such volatility, the Joint Economic Committee will examine the natural gas market when Congress reconvenes next year,” said Chairman Bennett. “We are increasingly reliant on natural gas to generate electricity, heat our homes, and supply our manufacturers. An adequate supply can help prevent the kinds of price spikes seen in recent weeks.”