Economic benefits of pipelines

Domestic energy production is vital to the U.S. economy and boosts America’s competitive advantages globally. Many industries benefit from the billions of dollars in capital investment and expenditures made every year by firms like ExxonMobil Pipeline Company.

Our industry’s operations deliver benefits to families and individuals, as well as to local, state and federal governments. Pipelines create jobs in construction and manufacturing supply chains and generate significant economic value for producers, consumers and investors alike. Our pipeline networks enhance daily lives by moving crucial energy products safely and efficiently from their source to distribution facilities and end users across the continent. This energy undergirds our transportation system and empowers businesses and startups, entrepreneurs and innovators across the United States.

Invisible to the naked eye most of the time, our pipelines span remote areas and rapidly growing metroplexes to safely deliver the resources needed to produce electricity, increase efficiencies in food production and enable research and development of new medical and consumer products. Our economy relies on a complex supply chain to deliver the benefits of petroleum from underground into the hands of consumers and businesses.


Pipeline construction and replacement creates many high-paying temporary jobs, fueling local economic activity and public sector revenues as well as putting food on the tables of American families. In Texas alone, the energy sector supports more than 315,000 high-quality jobs. The average oil and gas worker in the state earns about $107,000 a year, more than twice the average of the rest of the private sector workforce.


Every day in the United States, energy companies, including pipeline companies, contribute about $70 million on average to the federal government in taxes, rents, and royalties – more than most other economic sectors. State and local governments get similar revenue benefits from the pipeline activity in their jurisdictions.


At the same time, our pipelines and terminals help lower consumer costs for essential goods like gasoline. These lower prices directly affect household expenses for heating and cooling, travel and services. In areas where pipeline expansion takes place, improved access to oil and gas products drives prices below the national average, stimulating economic growth and consumer choice. Growth Rising standards of living and continued technical innovation are only possible today because of the essential role played by energy pipelines. Without them, resources would be transported only by road and rail, dramatically increasing costs for consumers and businesses.