As we’re sure that many of you are aware that the devastating oil spill in the Gulf is approaching two months in length. There have been many questions about the effects it would have not only on the coast but for the rest of the nation.

The ramifications of this spill are still ahead for the Gulf region. One of the core questions that many people are asking is how this spill will affect electricity and natural gas prices in the upcoming months or even years.
While it is true that burning oil is still used for electricity production, it only makes up a small percentage of where the country gets its power. What many may not know, it that a majority of the electricity comes from coal or natural gas. Texas generates its electricity through natural gas, which is the main reason why natural gas prices are tied so closely with electricity rates and your monthly billing.
Although the oil spill won’t affect electricity or energy prices for this region now or in the immediate future, there are talks of doing less drilling off the cost, in favor for more natural gas production. There will no doubt be changes in how much we rely on oil, natural gas and coal.