Natural Gas

Abstract

This chapter shows that Africa and Latin America have substantial proven reserves of natural gas, and quite homogeneously located in both regions. Natural gas is playing an increasingly prominent role in the development of electricity generation systems, as it is versatile, supports both baseline and peaking power generation demands, provides proven reserve generation capacity that supplements non-dispatchable power (i.e., wind and solar), has lower GHG emissions and uses less water than coal-based generation and has lower capital costs and shorter new plant construction times than nuclear. Unconventional natural gas production is associated with a number of socio-political, environmental and economic issues that limit drilling in some areas globally and that have created local concerns about impacts on water supply, air quality and enhanced methane emissions. Natural gas plays three prominent roles in the development of the future low-carbon energy future in Africa and Latin America: complementing deloyment of renewables by increasing the flexibility of non-dispatchable power systems, reducing emissions by displacing other fossil fuel generation and reducing health concerns related to household biomass burning. Africa consumes much less gas than it produces on a country-by-country basis in part because of limited infrastructure investment. In Latin America, Mexico and most South American countries have considerable natural gas reserves, and the gas pipeline infrastructure is more highly developed with gas being transported between countries and with all countries producing natural gas using it to produce electricity. Then, natural gas can play a key role in the development of the future low-carbon energy future in Africa and Latin America if a mitigation of social and environmental impacts and the extension of the power grid are achieved.