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Sunday, December 22, 2024

Republican leaders demand halt on anti-LNG study amid transition

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Cathy McMorris Rodgers - Chair of the House Energy and Commerce Committee | Official U.S. House headshot

Cathy McMorris Rodgers - Chair of the House Energy and Commerce Committee | Official U.S. House headshot

House Energy and Commerce Committee Chair Cathy McMorris Rodgers, along with Energy, Climate, and Grid Security Subcommittee Chair Jeff Duncan and Oversight and Investigations Subcommittee Chair Morgan Griffith, has sent a letter to Department of Energy Secretary Jennifer Granholm. The letter demands that the agency halt the premature release of an anti-liquefied natural gas (LNG) study, which they claim aims to impede the incoming Presidential administration. Additionally, they urge the DOE to lift the pause on LNG exports. This decision is described as politically motivated by the Biden administration to satisfy environmental activists at the expense of American energy security.

The letter states: “Despite DOE’s prior findings and published reviews in favor of U.S. LNG exports, and contrary to DOE’s limited statutory authority under the NGA, the Biden administration’s DOE announced that it would expand its environmental review as part of a ‘managed transition’ to reduce use of fossil fuels." It further notes that "recent press reports indicate that DOE is racing to complete a study on the climate impacts of LNG exports to hamper the incoming Republican administration and provide opportunities to challenge future project approvals in court.”

The correspondence continues: “The results of the 2024 presidential election are clear, and DOE leadership will soon change. As a traditional part of the peaceful transfer of power, DOE should immediately stop work on any plans to expand the scope of review or add new conditions to LNG export licenses. DOE should immediately lift the ban on LNG export approvals in compliance with the NGA and the District Court order.”

Earlier this year, significant events unfolded regarding this issue. On January 26, 2024, President Biden's administration announced an indefinite pause on LNG export permits—a move criticized by Chair Rodgers as a “gift to Putin.” In response, more than 150 House Republicans demanded an end to what they termed a de facto ban on American LNG exports by February 5. A bipartisan effort led by E&C Republicans resulted in passing H.R. 7176 on February 15 aimed at reversing this ban.

On April 8, a field hearing was conducted by the Subcommittee on Energy, Climate, and Grid Security in Port Arthur, Texas. The session highlighted economic benefits from American energy production including job creation.

A recent report from Bloomberg Law suggests that "the Biden administration is racing to complete a study that could complicate President-Elect Donald Trump’s plan to immediately approve new liquefied natural gas export terminals."

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