W&J alum discusses energy possibilities in region
Justin Adder, Washington & Jefferson College alum, provided a boost of energy during a virtual Wednesday webinar.
Adder, Class of 2004, and co-worker Merril Stypula discussed “The Region’s Natural Gas Future: The NETL Perspective” during the morning online get-together. Their primary focus was growth opportunities in numerous natural gas sectors in the gas-rich Appalachian Basin.
The webinar was the latest in a series from W&J’s Center for Energy Policy and Management.
A senior economist, Adder is part of the energy markets analysis team at National Energy Technology Laboratory in South Park Township. Stypula is a senior consultant at Deloitte, which works with the team, and their presentation summarized a report the team wrote titled, “The Appalachian Energy and Petrochemical Renaissance: An Assessment of Economic Progress and Opportunities.”
NETL is a national lab for the U.S. Department of Energy.
Their presentation was heavy on statistics from a data visualization tool that is not yet available to the public. “We still have to clear hurdles,” said Adder, whose work centers on the natural gas, natural gas liquids and oil industries.
Petrochemical development and potential in the Ohio River Valley are among his interests – specifically, at this time, the Beaver County cracker plant under construction and the ethylene facility PTTGC America LLC plans to construct in Dilles Bottom, Ohio.
“We’ll see if Appalachia can be turned into a more robust petrochemical hub,” Adder said. “There is a lot of great work being done with natural gas liquids streams.”
He said there are concerns, though. “Pipeline capacity is positioned to transport ethane out of Appalachia,” Adder said. But he is concerned about a lack of subsurface storage for NGLs in “wet gas regions” of Appalachia.
Adder – who worked previously at the Federal Energy Regulatory Commission – also said that “federal, state and local governments must work together to enhance the region’s energy opportunities.”
Plastics will be a major byproduct of the Shell cracker in Potter Township, which prompted CEPM director Corey Young to inquire about concerns over the demand for single-use plastics items.
“Looking at the pandemic, we see a need for plastics,” Adder said. “There is a demand for (Personal Protective Equipment) and other equipment. I don’t see a demand for these products slowing down.”
Asked by W&J professor Rob Dunn about the importance of ethane to the region, Adder said Shell selected the region for its cracker “because of its ample supply of ethane and its low cost. That speaks volumes.”
Young closed the session, appropriately, with a COVID-19-related question: How do economics play into energy initiatives?
“There’s an overall uncertainty,” Adder said. “People are sitting back waiting. There’s uncertainty about politics and people’s perception of global warming. It’s a struggle, but not one that could not be resolved.”