The shale energy boom last year contributed to a pipeline building spree that provided Texas with $33 billion in economic impact and supported more than 165,000 jobs, according to a recent Texas Tech University study.
Pipeline construction also contributed $18.7 billion in gross state product and $1.6 billion in state and local government revenues in 2013, according to the study, funded by the Texas Pipeline Association industry group.
“The Eagle Ford Shale, the Permian Basin and so on really are the drivers of this construction,” says study author Bradley Ewing, Texas Tech’s Rawls Professor of Energy Economics. “We’re seeing high levels of oil production and the price of oil is sustaining it.”
Texas Tech’s study also analyzed petrochemical engineering factors to predict how much additional pipeline development is likely over the next ten years.
From 2014-2024, the industry is expected to contribute more than $374 billion in total economic output and sustain 171,000 jobs annually in Texas, according to the study. It’s also expected to generate $212 billion in gross state product and $19.5 billion state and local government revenues.
See the full article at: San Antonio Business Journal
Download the Texas Tech Study: Current and Future Economic Impacts of the Texas Oil and Gas Pipeline Industry