LNG Pipeline Permitting Legislation Poised for House Vote
The Natural Gas Pipeline Permitting Reform Act, H.R. 1900 (here), passed through the House Energy and Commerce Committee on Nov. 18. The House will vote on the legislation this week, according to an Energy and Commerce press release. The legislation will address the Federal Energy Regulatory Commission (FERC) inability to approve energy pipeline projects in a manner that is consistent with rising U.S. liquefied natural gas (LNG) production and international demand, the committee said. The legislation aims to accomplish the following, according to the committee (here):
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- Require that FERC approve or deny a requested pipeline certificate no later than 12 months after receiving a complete application that is ready to be processed
- Codify FERC’s requirements that all relevant agencies approve or deny a permit application within 90 days after FERC’s notice of completion of the final environmental document with the possibility of a 30-day extension for certain situations
- Require that a permit shall go into effect if an agency fails to issue a response within the scheduled timeframes with an allowance for the agency to submit conditions to be incorporated into the permit if they are consistent with the final environmental document
The Obama Administration opposes the legislation, due to the imposition of “rigid, unworkable timeframes” for the FERC and other agencies to process pipeline project licenses, said a White House press release. “The bill's requirements could force agencies to make decisions based on incomplete information or information that may not be available within the stringent deadlines, and to deny applications that otherwise would have been approved, but for lack of sufficient review time,” said the White House. “For these reasons, the bill may actually delay projects or lead to more project denials, undermining the intent of the legislation.” Should H.R. 1900 arrive at President Barack Obama’s desk, administration officials would recommend a veto, said the White House.
Email ITTNews@warren-news.com for a copy of the Energy and Commerce and White House press releases.