The House Energy and Commerce Committee recently released a policy paper entitled “Prosperity at Home and Strengthened Allies Abroad – A Global Perspective on Natural Gas Exports.” Over the past year, our committee has analyzed the effects of exporting U.S. liquefied natural gas (LNG) through a series of hearings and an international forum. This report is the culmination of our efforts, detailing the economic and geopolitical benefits of U.S. LNG exports and outlining the actions necessary to realize them.
Through our analysis, we found that LNG exports offer the opportunity for the U.S. to improve the domestic economy while providing our allies and trading partners an affordable and secure energy source. America’s abundant natural gas resources can also be used to launch strategic international energy diplomacy and geopolitical stability around the world.
But this window of opportunity will not remain open indefinitely and we have concerns over the Department of Energy’s slow review process of LNG export applications. To date, DOE has approved only six applications to export LNG to countries without a free-trade agreement, while 24 applications are still pending. In the absence of timely approvals, our allies may be forced to look elsewhere for energy supplies, investments may dry up, and America could see increased competition from other LNG exporters. To ensure the U.S. can maximize its energy advantage, we have asked DOE to approve all remaining export licenses by the end of the year and, if necessary, we may consider legislative solutions to reform the process and accelerate approvals.
A copy of the committee’s report, “Prosperity at Home and Strengthened Allies Abroad – A Global Perspective on Natural Gas Exports,” can be found HERE. Click HERE to view a one pager on the report’s findings and click HERE to view frequently asked questions about the report’s findings.
What are the benefits of increasing U.S. LNG exports domestically and abroad? What are the geopolitical implications of increasing U.S. LNG exports? What are the current challenges to expanding U.S. LNG exports? What can we do to ensure the U.S. maximizes this opportunity?