Energy Department proposes expedited approval of small-scale natural gas exports
The U.S. Department of Energy (DOE) recently proposed a rule that would allow for expedited approval of small-scale exports of natural gas, including liquefied natural gas (LNG).
“The Trump Administration is focused on finding ways to unleash American energy and providing a reliable and environmentally friendly fuel to our trading partners who face unique energy infrastructure challenges,” Secretary of Energy Rick Perry said. “The Department of Energy and this Administration are wholeheartedly committed to strengthening the energy security of the United States and our allies.”
This proposed rule would grant any complete application to export natural gas to non-free trade agreement countries provided that the request meets several criteria. The export would need to be 0.14 billion cubic feet per day (Bcf/d) or less and qualify for a categorical exclusion under DOE’s National Environmental Policy Act (NEPA) regulations.
Exports that meet these criteria would be considered “small-scale natural gas exports” and deemed in the public interest under the Natural Gas Act, which already deems small-scale natural gas exports to free trade countries in the public interest.
The U.S. small-scale LNG export market primarily involves exports to countries in the Caribbean, Central America and South America, which often do not have enough natural gas demand to justify large-scale LNG imports.
