Pittsburgh and a surrounding region that includes West Virginia and parts of Ohio may be at the epicenter of the nation’s new energy economy. According to a report issued by the Center for Industrial Research Applications at West Virginia University, the region’s proximity to shale gas reserves coupled with its access to a variety of assets and potential partners, point to significant economic opportunities.

The report’s authors, Dr. James E. Smith, director of the Center and professor of mechanical and aerospace engineering at WVU, and Emily Pertl, former program coordinator for the Center, assert that “Regional Pittsburgh” finds itself in a unique position, one that has not been available for more than a century.

The report, which can be found at http://www.pgh-cleancities.org/wordpress/?page_id=536, contends, “The advent of the recent gas finds of the Marcellus Shale coupled with the two developing technologies of directional drilling and hydro-fracturing has provided the region with the potential to displace our current dependence on non-domestically produced energy and to open a new era in energy self- sufficiency.”

Smith and Pertl say the initial use of these gas reserves should be in the transportation sector to decrease off-shore expenditures in crude oil purchases. “Regional Pittsburgh used about 7.7 percent of the total U.S. consumption of petroleum. This offset of non-domestic petroleum with natural gas, if performed system-wide for just the three state region (Pennsylvania, West Virginia, and Ohio), could result in a re-infusion of more than $77 million per day ($28 billion per year) into the region’s economy.” Additional savings would come in the form of fuel costs, estimated to be about 50 percent of the cost of petroleum, and the service life and cost for emissions clean up.

The report notes the region’s access to quality research, technology transfer, global industries, non-profit technical assistance, possible investors, educational centers, professional organizations and regional coalitions would be key to the success of this visionary program.

“This report was inspired by a request from Jan Lauer, director, of 3 River Clean Energy, and president of Pittsburgh Region Clean Cities,” said Smith. “Pittsburgh Clean Cities is one of 87 U.S. Department of Energy-sanctioned and funded coalitions across the country that work to encourage the adoption of clean, alternative transportation fuels to replace petroleum-based fuels.

“Through her work with both initiatives, it became clear that there was an opportunity to establish the greater Pittsburgh region as a national leader in not only the deployment of alternative-fueled vehicles and refueling infrastructure, but in the technology and policy that are needed to fully capitalize on it.”

“Because of the depth of experience at WVU in such areas as natural gas vehicles, emissions, and engine technology, and the international perspective on vehicle technology and mobility trends that Jim Smith gained from his recent role as the president of SAE International, WVU was approached and asked to explore the extent of the opportunity that the region might have in establishing this leadership role,” said Lauer. “The report that has been published is the result of this request.”

The report, “Regional Pittsburgh: The New Energy Economy,” purports that the use of natural gas will allow the region to reinvest its energy expenditures back into the region, rebuilding its manufacturing base and employing and re-employing a large segment of its current and future labor force.

According to the report, it is estimated that the use of this fuel will add over a quarter of a million new jobs by the year 2020. This does not include the service and related jobs that will be created due to the influx of population, the employment of those currently unemployed, and the added tax revenue that will provide the public works projects to keep pace with the increased social infrastructure this growth will acquire.

“Natural gas is clearly the fuel of choice for mobility and power production,” Smith said. “The contents of the gas also represent a resource to re-establish our lagging chemical industry. All of this will re-energize the work force and provide future generations with a positive and predictive vision for the future.”

-WVU-

mcd/08/12/11

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CONTACT: Mary C. Dillon, CEMR
304-293-4086, mary.dillon@mail.wvu.edu