Population, economic growth across South fuel demand for natural gas By EPN Staff Surging demand for electricity and a growing need for reliable, affordable generation are driving the need for additional natural gas infrastructure across the southeastern United States. Multiple major projects involve expanding existing infrastructure through added compression and pipeline looping, creating additional capacity and natural gas flow to meet public demand. These projects include the South System Expansion 4 (SSE4) by Southern Natural Gas, a joint venture led by Kinder Morgan and Southern Co., and the Southeast Supply Enhancement (SSE) project on Williams Companies’ Transco system. Why it matters Natural gas is the cheapest residential energy source in the U.S., with the average price at $13.38 per Btu, far cheaper than propane, heating oil or electricity. As energy consumption in the Southeast has risen the demand for natural gas infrastructure has also grown. Underground pipeline systems are tightly regulated and recognized as efficient, safe and reliable. As electricity demand increases, demand for natural gas for electricity generation is also accelerating demand for more infrastructure to maintain grid reliability, meet peak energy demands and support economic growth across the South, where business is booming and population growth is leading the nation. Natural gas-fired generation plants are also increasingly efficient and reliable. The bigger picture U.S. natural gas consumption reached a record high in 2023, driven largely by the increase in consumption in the electric power sector. In 2024, this trend continued, with the sector accounting for 42% of total U.S. natural gas consumption. As more coal plants are retired to meet environmental goals, natural gas and nuclear are viewed as the primary available energy sources capable of reliably meeting public demand. Southern Natural Gas’s SSE4 Project: This project will increase Southern Natural Gas’ South Main Line capacity by up to 1.3 billion cubic feet per day and involve 14 new pipeline loops, ranging in diameter from 30 inches to 42 inches, that run parallel to the existing South Main Line. The expansion would total 279 miles across Mississippi, Alabama, and Georgia, and upgrade 13 compressor stations. Williams Companies’ SSE Project: This project expands capacity on the Transco system in the Southeast, with upgrades to eight compressor stations and new pipeline loops designed to meet demand in Virginia, the Carolinas, Georgia and Alabama. It is expected to bring substantial benefits to the region, supplying natural gas to the equivalent of 9.8 million homes and providing 1.6 billion cubic feet of natural gas. Other notable projects MVP Southgate: An extension of the Mountain Valley Pipeline, the project aims to transport a new supply of natural gas from Virginia into North Carolina. The joint venture, led by EQT, has said it plans to have the project built and operating by 2028. Ridgeline Expansion Project: Enbridge is working with the Tennessee Valley Authority on the Ridgeline Expansion Project, which would allow the authority to replace coal with natural gas to generate electricity and lower carbon emissions. It is scheduled for completion in 2026.
