Energy subcommittee hearing examines three bills to relax LNG, PURPA regulations

Published on January 23, 2018 by Kevin Randolph

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The U.S. House of Representatives Subcommittee on Energy recently held a hearing examining three bills that would address liquefied natural gas (LNG) exports and the Public Utility and Regulatory Policy Act (PURPA) of 1978.

The Unlocking our Domestic LNG Potential Act, H.R. 4605, would remove regulations and allow domestic suppliers to begin liquid natural gas (LNG) exports once the Federal Energy Regulatory Commission approves the siting and construction of the facility.

The Ensuring Small Scale LNG Certainty and Access Act, H.R. 4606, would provide that applications under the Natural Gas Act for the import or export of small volumes of natural gas would be approved without modification or delay.

The PURPA Modernization Act, H.R. 4476, would lower the mandatory purchase obligation threshold to 2.5 megawatts (MW), created a list of factors that the Federal Energy Regulatory Commission (FERC) must consider when determining whether two facilities are located on the site in regard to the one-mile rule. It would also allow for relief from mandatory purchase obligations if the appropriate state regulatory agency finds that the electric utility has no need to purchase the output of a small power production facility or uses integrated resource planning.

“Under my chairmanship, I’ve encouraged our members to put consumers first and focus on way to grow our economy,” full committee chair Greg Walden (R-OR) said. “To do this effectively, we need to look to see where we can update our laws and regulatory policies for the 21st Century.”