Senators John Kennedy and Ted Cruz, amongst others, have introduced a new bill seeking to debottleneck LNG trade and boost U.S. LNG exports.
Louisiana and Texas senators John Kennedy and Ted Cruz joined Jim Inhofe (Oklahoma), Shelley Moore Capito (West Virginia) and Kevin Cramer (North Dakota) in introducing the Natural Gas Export Expansion Act.
This bill is to remove regulatory hold-ups that discourage the LNG trade and increase LNG exports to more than 160 countries in the World Trade Organization.
American LNG exports reached record highs in November and December 2020. LNG was exported to a record 38 countries.
Methane emissions from U.S. natural gas production have decreased nearly 25 per cent since 1990, while natural gas production grew more than 70 perc ent.
The goal of the bill is to speed up the review process behind certain permits for export to non-Free Trade Agreement (FTA) countries.
The review process for an application to export LNG to non-FTA countries can take years. It is reported that the previous administration greatly reduced the processing time for non-FTA permits, but Congress must help ensure that the review process is not lengthened.
The Natural Gas Export Expansion Act is to:
“LNG exports sustain Louisiana jobs, promote America’s energy independence and reduce global emissions. We should make it easier, not harder, to export American LNG to countries that need it. Louisiana is the nation’s number one exporter of liquefied natural gas, but we’re taking a beating at the hands of our own president. The Natural Gas Export Expansion Act would combat President Biden’s war on energy jobs by reducing unnecessary restrictions on LNG export permits,” said Kennedy.
“Thanks to the United States’ development and use of natural gas, America leads the world in reducing carbon emissions. While many choose to protest and ignore the critical role of natural gas in our energy future, Congress must do its part to continue advancing America’s energy renaissance. Increasing LNG exports will not only continue to lower energy costs for consumers and increase America’s energy security—while at the same time reducing emissions and improving air quality in the United States—but will also strengthen our international relationships around the globe and help bring these same climate benefits to the world,” said Cruz.