FERC Commissioner Lindsay See today underscored the need for the Commission to modernize its review process for liquified natural gas (LNG) terminal modifications under Section 3 of the Natural Gas Act (NGA) in order to reduce red tape and keep critical energy projects moving.
“FERC should create a streamlined, predictable pathway for routine LNG terminal changes so projects can move forward without delay and without compromising oversight,” Commissioner See said. “Developing an expedited and statutorily sound program for LNG terminals, similar to the blanket certificate program for pipelines, is one of my top priorities to keep America’s energy leadership strong.”
Section 3 of the NGA provides for federal jurisdiction over the siting, construction, and operation of facilities used to import or export natural gas. Currently, almost all changes to an operating LNG terminal—in some cases even routine adjustments like relocating a section of pipe—require a case-specific authorization under section 3 of the NGA. This case-by-case approach slows projects that do not raise new safety or environmental concerns and creates unnecessary uncertainty.
Through regulation, the Commission can establish this program to expedite reviews for a subset of LNG-related projects, strengthen America’s role as a global energy leader, and provide the regulatory certainty needed to deliver reliable, affordable energy at home and abroad.