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Texas Tech study shows the enormous economic impact of Texas pipelines
Texas Tech study shows the enormous economic impact of Texas pipelines

Study Reveals Texas Midstream Industry’s Role as Economic Driver, Creating Jobs and Generating Billions in Output

A recent study commissioned by the Texas Pipeline Association (TPA) and conducted by the Center for Energy Commerce at Texas Tech University highlights the significant impact of the Texas midstream industry on the state’s economy. The 2022 Analysis of the Current and Future Economic Impact of the Texas Oil and Gas Pipeline Industry study unveils the following key findings for 2022:

The industry contributed over $60.5 billion in economic output.
It generated more than $34 billion in additional gross state product.
State and local government revenues totaled nearly $3.6 billion.
The industry created over 234,000 jobs.
A typical Texas county witnessed an estimated $12,250 in property tax revenues generated per mile of pipeline.
The study also provides conservative projections for the next 40 years, forecasting cumulative economic impacts including:

$1.86 trillion in economic output.
$1.05 trillion in additional gross state product.
$110.34 billion in state and local government revenues.
The creation of nearly 525,000 jobs.
Cumulative property tax revenues generated per mile of pipeline reaching $377,000 (in today’s dollars) for a typical Texas county.
The Texas midstream industry plays a critical role in transporting essential energy products like natural gas, crude oil, and refined petroleum materials. These products are crucial for powering homes, generating electricity, fueling vehicles, and manufacturing consumer goods. Pipelines enable the efficient, cost-effective, and safe transportation of these energy resources, preventing higher energy costs and ensuring their availability for both Texans and all Americans.

Thure Cannon, President of TPA, emphasizes the industry’s indispensable contribution to the Texas economy, job creation, and significant revenue generation for state and local governments. The study underscores the importance of natural gas gathering and transmission lines, as well as storage facilities, in meeting the state’s energy needs and fostering economic growth.

Overall, the study underscores the ongoing and vital role played by the Texas midstream industry, positioning it as a key player in the global energy landscape. It generates substantial economic benefits, supports job growth, and contributes to the well-being of residents and businesses throughout the state

The Texas Pipeline Association serves as the primary information resource for the Texas pipeline industry, advocating for pipeline safety, environmental regulations, taxation, and legislation. Its member companies adhere to principles of integrity, honest communication, fair right-of-way acquisition, respectful construction practices, and safe operations.


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