LNG Export Authorization Process Harms U.S. Manufacturing, Says Industry Official
The liquefied natural gas (LNG) export approval and rescinding process delivers significant capital investment protection to LNG export facilities, at the expense of the U.S. manufacturing industry, said Industrial Energy Consumers of America President Paul Cicio in a Nov. 7 letter (here) to Energy Secretary Ernest Moniz. The Energy Department is failing to uphold its duty to preserve U.S. public interest in its LNG authorization process by allowing natural gas prices for domestic consumers to rise, said Cicio.
Sign up for a free preview to unlock the rest of this article
If your job depends on informed compliance, you need International Trade Today. Delivered every business day and available any time online, only International Trade Today helps you stay current on the increasingly complex international trade regulatory environment.
“This is an anti-manufacturing policy and a detriment to new manufacturing capital investment and jobs,” said Cicio. “It appears to us that the LNG export approval and rescinding process, and everything in between is set up to make it extraordinarily prohibitive and expensive for consumers to be heard.”
The Department of Energy rescinds previously-granted authorization for LNG exports only in extraordinary circumstances, taking into account private companies’ investment-backed expectations, the Department of Energy said in an Oct. 17 letter to Senators Ron Wyden, D-Ore., and Lisa Murkowski, R-Alaska (see 13102430). The Senators in August requested clarification on the agency’s revocation and modification process for LNG exports, in a letter submitted to Energy Secretary Moniz (here). Energy and Commerce Committee Chairman Fred Upton, R-Mich., introduced on Oct. 22 the North American Energy Infrastructure Act (here) that would revamp the export authorization process.