Natural gas is often used in the southern and western U.S. states where supplies are plentiful and the distance from the well-head source is relatively small. Natural gas is delivered to the plant through large gas lines buried underground and on-site storage is not common.

For some, natural gas is a preferred fuel source due to the relatively cheap boiler designs required to burn it and inexpensive operating and maintenance costs. However, price fluctuations and supply uncertainties make it unpopular in many electric utility planning circles. The decade following the oil embargoes of the 1970's prohibited the use of natural gas for electricity generation, but those laws were revoked in 1987. Today, natural gas accounts for 10 percent of utilities' net generation in the United States.