Industry groups call for end to permit halts for LNG exports

Dozens of liquefied natural gas (LNG) industry groups recently sent a letter to U.S. Department of Energy (DOE) Secretary Jennifer Granholm, urging the Biden administration to reject calls to halt permits for U.S. LNG export facilities.

Under the administration, the process for LNG permits was extended from seven weeks on average to 11. Additional changes, the group says, would worsen an already burdensome bureaucratic process.

“Nearly eight years of operating experience and DOE’s own studies have demonstrated that LNG exports are squarely within the public interest,” the letter said. “Throttling down U.S. LNG exports will eliminate an important tool in reducing global emissions and force quickly developing nations – specifically in Asia – to abandon plans to reduce emissions and increase coal consumption.”

Since 2005, the switch from coal to natural gas reduced carbon dioxide emissions in the U.S. power sector by more than 60 percent.

“Our nation’s abundant supply of natural gas is an impactful geopolitical tool, helping insulate American consumers from increasing global instability while advancing American national interests and ensuring the energy security of key U.S. allies,” the letter said. “Moving forward with a pause on new U.S. LNG export approvals would only bolster Russian influence and undercut President (Joe) Biden’s own commitment to supply our allies with reliable energy, undermining American credibility and threatening American jobs.”

The Biden administration pledged in 2022 to provide Europe with additional U.S. LNG volumes. Benefits to the United States could include 71,500 jobs supported annually from 2025 to 2030, a gross domestic product boost of $46 billion, and $63 billion in capital expenditures, according to an analysis of the president’s pledge.

Signatories include the Marcellus Shale Coalition, the American Petroleum Institute, the Energy Workforce & Technology Council, the Independent Petroleum Association of America, and the
U.S. Chamber of Commerce.