Thursday, July 18, 2024

Cassidy, colleagues reintroduce legislation to remove restrictions on LNG exports

by BIZ. Staff

WASHINGTON – U.S. Senators Bill Cassidy, MD (R-LA), John Kennedy (R-LA), and Shelley Moore Capito (R-WV), and U.S. Representative Clay Higgins (R-LA), reintroduced the License Natural Gas (LNG) Now Act today to remove barriers placed on U.S. exporters so they can quickly access the market and meet the global demand of natural gas.

This legislation would revamp the current system put in place by the Department of Energy (DOE) decades ago and continue market growth of U.S. LNG exports without any delays.

“Decades-old restrictions on importation and exportation have stalled LNG projects that would benefit Louisiana workers, the economy, and the environment,” said Dr. Cassidy. “This legislation brings good-paying jobs to Louisiana while lowering global greenhouse gas emissions by replacing high emitting energy sources in foreign nations with cleaner burning American natural gas.”

“The best thing we can do to create jobs in Louisiana is to encourage investment in the LNG market,” said Senator Kennedy. “By removing job-killing restrictions, we can help Louisiana meet the worldwide demand for cleaner sources of energy.  That will ignite investment and grow jobs.”

“I’m always working to grow West Virginia’s energy industry,” said Senator Capito. “This legislation would expand international markets for natural gas produced in West Virginia while supporting American foreign policy and reducing our allies’ dependence on hostile sources of energy, like Russia and Iran.”

“America is leading the way in clean, innovative LNG technologies that are changing the global energy landscape. Southwest Louisiana is at the center of these efforts,” said Representative Higgins. “The LNG Now Act streamlines the approval process for export permits and eliminates barriers that slow project development. This means greater access to international markets and more jobs and economic growth for our communities.”

Under the act, the U.S. would have the opportunity to meet the anticipated 4 to 5 percent of the annual LNG global demand growth. The administration would also retain the ability to limit natural gas importation and exportation levels during emergencies, disasters or exchanges with particular foreign nations.

The LNG Now Act:

  • Removes decades old restrictions on the exportation and importation of natural gas that have stalled development of previous projects.
  • Guarantees acceptance of export volume applications to the DOE for export and import of natural gas without delay.
  • Retains the DOE’s management and record keeping responsibilities.
  • Has the potential to lower global CO2 emissions by foreign nations replacing high emitting energy sources with natural gas.
  • Retains the administration’s ability to limit export or import of natural gas during national emergencies or disasters.
  • Retains the administration’s ability to restrict import or export of natural gas to nations unfriendly to the United States.
  • Requires the Secretary of Energy to submit a report to Congress on what actions could be taken by the U.S. Government to foster increased exportation of natural gas.
  • Requires the Secretary of Energy to submit a report to Congress that identifies current regulations that inhibit the growth of the U.S natural gas market.
  • Keeps the Federal Energy Regulatory Commission (FERC) LNG Export facility process intact.

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