CITIZEN POWER ALLIANCE

Recent actions by Connecticut and New York to block the proposed Broadwater LNG terminal in Long Island Sound must leave energy investors and some consumers scratching their heads in wonderment.

Energy policies in Connecticut are driving up demand for natural gas, so much so that its use to generate electricity has tripled in a decade. New York has fared better, but it too has adopted policies that may change that trajectory and drive up demand. So here we have two high-tech, energy-importing states sending conflicting messages to the market: Increase use of natural gas, but do it without increasing supply.

And, at least in Connecticut's case, it assumes that projects in other states and regions will meet the demand that it is unwilling to supply. Projects off the coast of Massachusetts and New Jersey are mentioned. But these projects are being built to meet other needs, which may leave Connecticut without a fallback position.

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