CHARLESTON, W.Va. – U.S. Senator Shelley Moore Capito (R-W.Va.), along with Senators Ted Cruz (R-Texas), Kevin Cramer (R-N.D.), and John Kennedy (R-La.), recently reintroduced the Natural Gas Export Expansion Act. The legislation would expedite the federal approval process for exporting liquefied natural gas (LNG) and increase free trade, particularly as European countries are rapidly seeking new sources of clean, reliable energy. In addition to creating and supporting thousands of domestic jobs, this legislation would help to fortify our nation’s energy security, reduce emissions at home and abroad, and strengthen America’s strategic and economic relationship with our allies.

“Since first introducing this legislation in 2021, Russia’s invasion of Ukraine has only further highlighted the urgency for the U.S. to expedite the permitting process for the exportation of natural gas to our allies. This legislation would not only advance West Virginia’s energy sector and create many new jobs, but it would also ensure that our allies do not have to rely on rogue nations for their energy needs,” Senator Capito said.

BACKGROUND:

Specifically, the Natural Gas Export Expansion Act:

  • Amends the Natural Gas Act to expedite non-free trade agreement (FTA) export permits. By doing so, applications to export LNG to certain countries are treated the same as free trade countries and receive the same accelerated approval process.
  • Retains current law for restricted nations. Any nation subject to sanctions or trade restrictions is specifically excluded, and the President or Congress can specifically exclude any nation from expedited approval.

Historically, the review process for an application to export LNG to non-FTA countries can take several years. For example, a Texas company that filed its initial application in October 2012 did not receive Department of Energy approval to export LNG to non-FTA countries until April 2017 – nearly five years later. While the previous administration greatly reduced the processing time for non-FTA permits, Congress must provide greater certainty and help ensure that the review process is not arbitrarily again lengthened.

Importantly, the modern use of clean, abundant natural gas is the leading cause of the U.S. reducing its carbon emissions year after year since peaking in 2007. The U.S. has one of the lowest methane emissions levels from natural gas production. Since 1990 methane emissions have decreased nearly 25% – all while natural gas production more than doubled.

 

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