The US Energy Information Administration (EIA) expects US natural gas consumption to decrease by 2.4% (2 bcfd) in 2023 from 2022 levels due to mild winters and recent low natural gas consumption in the residential and commercial sectors. EIA made the forecast in its March Short-Term Energy Outlook (STEO).
In January and February 2023, below-average US natural gas consumption in the residential and commercial sectors was driven by mild winter weather across large parts of the country, particularly in the Northeast and the Midwest.
Based on preliminary data from the National Oceanic and Atmospheric Administration for January and February, the first 2 months of 2023 combined were among the three warmest on record for that period going back to 1895.
In March, EIA expects natural gas consumption in the residential and commercial sectors to average almost 32 bcfd, which is close to the 5-year average, because it expects more normal temperatures in March coupled with a near average number of heating degree days.
Reduced natural gas consumption in January and February slowed withdrawals from natural gas inventories to less than the 5-year average and reduced natural gas prices.
