Natural Gas Utilities Continue to Grow

Key National Trends

More than 73.7 million U.S. households received residential natural gas service in 2024, according to EIA data, highlighting the continued scale and importance of natural gas in meeting residential energy needs nationwide.
586,796 net new residential natural gas consumers were added between 2023 and 2024, reflecting continued growth in residential natural gas services.
California (11.4 million), Texas (5.3 million), and New York (4.6 million) remain the largest residential natural gas markets in the country, serving millions of households across their utility networks.

Long-Term Growth Trends (2014-2024)

U.S. residential natural gas consumers grew from 67.2 million in 2014 to 73.7 million in 2024, adding approximately 6.5 million households over the past decade. This represents a compound annual growth rate (CAGR) of roughly 0.9% nationwide, reflecting steady long-term expansion of residential natural gas services.
Texas (+839,423), California (+646,916), and North Carolina (+261,201), recorded the largest increases in residential natural gas consumers between 2014 and 2024.

State-Level Highlights

Rank	State	Total net Growth (2014–2024)	CAGR – 10Y
1	Texas	839,423	1.7%
2	California	646,916	0.6%
3	North Carolina	261,201	2%
4	Michigan	248,660	0.8%
5	Colorado	247,399	1.4%
6	Utah	233,903	2.4%

Fuel Choice Legislation

Fuel choice laws protect consumer access to natural gas by preventing local governments from banning natural gas connections in new construction. As of 2026, 27 states have adopted fuel choice protections. Of the top six states for residential gas growth since 2014, Texas and Utah have enacted fuel choice laws, while California, North Carolina, Michigan, and Colorado have not. This suggests that while fuel choice policies can help maintain access to natural gas, population growth, housing development, and regional economic trends also play an important role in shaping residential energy demand.

*Green highlight indicates states with fuel choice legislation

Source: Energy Information Administration EIA-176 Survey

AGA Contact: Brendan O’Brien | bobrien@aga.org | 202-824-7220, Maggie Liu | mliu@aga.org | 202-824-7000

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