A report by McKinsey & Co. earlier this year forecasted that natural gas would remain crucial in the energy transition, with expected global demand growth of 10 to 15 percent beyond 2030 before it begins to decline.
The anticipated growth is linked to the shift from coal to cleaner-burning natural gas and increased needs from the electrification of buildings, transport, and heavy industries.
Factors such as low natural gas prices, the retirement of coal plants, and the need for reliable backup to intermittent wind and solar generation have fueled this demand.
The US saw a record consumption of 89.1 billion cubic feet per day in 2023, with an average annual increase of four percent since 2018, according to the US Energy Information Administration.
Stanley Chapman, TC Energy’s chief operating officer for natural gas pipelines, pointed to emerging data centre demand as a significant driver for future growth. McKinsey & Co. also predicts a 10 percent growth in US data centre power consumption until 2030.