Leaders converge in Denver for 10th annual Energy and the Economy Conference

Leaders from across the energy, academic and financial sectors gathered in Denver on Nov. 14 for the Federal Reserve Banks of Dallas and Kansas City’s 10th annual External LinkEnergy and the Economy conference. The conference titled “Geography of Energy Flows,” continues to grow in importance as the nation confronts rising energy demands and shifting global landscape. It drew 160 in-person attendees and an additional 600 participants online, underscoring the expanding reach and urgency of the conversations taking place.

Federal Reserve Bank of Kansas City President Jeff Schmid opened the conference by emphasizing that the Fed's independence relies on a deliberate, disciplined process for gathering and interpreting information. He noted balanced policy requires blending national economic indicators with real-time intelligence from across the 10th District, insights the Fed collects continuously through surveys, advisory councils, and direct conversations with regional stakeholders. The Energy Conference itself, he suggested, is an essential part of that strategy. As Schmid explained, "Policymakers often talk about their decisions being data dependent. But how can you be data dependent when so much of the most important data is missing?" That gap, he argued, underscores why district-level engagement and independent analysis remain vital to shaping sound monetary policy. To read Schmid’s entire speech, click here.

External LinkDallas Fed President Lorie Logan expanded on this in a fireside chat, framing the policy outlook through the lens of a decentralized system that relies on constant conversations across its districts. She noted this district-level work is especially important in regions like the 10th and 11th Districts, where energy plays an outsized role in the economy. “Energy is quite important for both of us in the 11th District, but also in the 10th District … over half of the nation’s natural gas comes from the 10th and 11th Districts, two-thirds of the nation’s oil and 40% of energy GDP in the U.S.” She pointed to recent research out of both Reserve Banks that these shifts underscore why district engagement remains central to understanding the broader economic picture.

Panel discussions throughout the day brought together researchers, industry executives, regulators, and regional economists to explore how shifting energy flows are influencing infrastructure planning, investment decisions, and labor market trends. Speakers pointed to the rapid rise in energy demand across sectors such as data centers and AI applications, noting the growing strain on the nation’s electric grid and the increasing complexity utilities, regulators and businesses must navigate as consumption patterns evolve.

External LinkDallas Fed Senior Business Economist Kunal Patel said the surge in demand was one of his most important takeaways from the conference. “Demand for energy continues to increase globally,” Patel said. “This is not only related to crude oil and natural gas, but also electric power.” Patel noted that while crude oil and natural gas trade flows have become more flexible and resilient over the past decade, the steep rise in electricity needs introduces new challenges. “As the power mix continues to shift in the United States and power demand increases, it will require all stakeholders (generators, transmission/distribution, consumers) to coordinate in order to meet rising power demand from industrial, transport, and data centers while also prioritizing affordability, reliability, and sustainability,” he explained. Building the right mix of generation and transmission capacity, paired with consumer flexibility, he added, will be essential to creating the grid of the future.

Kansas City Fed Advanced Risk Specialist External LinkDavid Rodziewicz echoed the challenge of aligning fast-changing demand with the long lead times required for new infrastructure. “One of the biggest challenges with the fast-changing energy landscape is a near-term mismatch between rapidly changing energy demand and a slower supply-side response,” he said. “Energy systems run on infrastructure and building that infrastructure takes time.” He noted that while electricity demand is rising quickly, developing new generation, transmission, and distribution can take years. Yet he also pointed to the economic upside for those ready to act. “The need for more electricity infrastructure creates an opportunity for utilities and developers positioned to invest,” Rodziewicz explained, adding that technology firms have a major role to play “in rethinking how electricity infrastructure is built and for making innovative improvements on the way the U.S. grid functions.” These observations on shifting energy systems align with recent Kansas City Fed analysis "10 years of energy and the 10th District: A decade in review," which documents how the region has maintained its position as a leading energy producer while transitioning toward more renewable power generation over the past decade.

The conference will continue to serve as a forum for sharing research, regional insights, and industry perspectives on the ever-changing energy sector and economic landscape. Representatives from across the Federal Reserve System and the broader energy and economy community will reconvene next year as the event moves to Houston, reflecting the event’s deepening ties to the nation’s energy capital.

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