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?
Congressman Fred Upton (R-MI) says nothing of the consequences to global climate change of exporting natural gas to other countries. The United States needs to keep carbon in the ground… Read more »
In light of the manufacturing renaissance in the U.S. due in large part to low natural gas prices, a bit of caution in exporting natural gas is prudent. Germany is… Read more »
What I don’t hear coming from Energy and Commerce is Energy Efficiency, use these resources efficiently. They want America to produce all the coal oil and natural gas as is… Read more »
Because of methane emissions, natural gas is perhaps the most dangerous of all fossil fuels in terms of global warming. And LNG is the worst way to use natural gas. … Read more »
I have to register moderate disagreement on this one. I believe Dr. Howarth is right on the basic facts that he cites, but I don’t see them as fundamental issues.… Read more »
I have grand kids who I want to grow up in the best environment possible. I’m aware that the overwhelming scientific evidence is consistent with a need to clean up… Read more »
As my recent book (U.S. Energy Policy and the Pursuit of Failure, Cambridge U. Press 2013) shows, government attempts to manage energy markets has produced all sorts of perverse outcomes. … Read more »
Professor Grossman’s book is, in fact, a wonderful source of insight about both the economics and the politics of US energy policy. It is a model of how fruitful it… Read more »
However we may stand individually on the issue of LNG exports, there are two central facts that we all should understand. The first is that the current “glut” of cheap… Read more »
I want to register my agreement with some of Roger Arnold’s points, but disagree with others. I fully agree that cheap gas is a very temporary phenomenon. To produce shale… Read more »
Thanks for quantifying the sources of methane emissions. I stand corrected. And I agree that methane emissions are high enough that, if we could reduce them significantly, it would buy… Read more »
Of all the above comments, Peter’s is the only rational advice that I found. THANKS! I would make a few points in favor of the House Energy Cttee. position. 1. The free… Read more »
The issue of natural gas exports comes down to a choice about institutions. The NERA study commissioned by DOE indicates that allowing the market to determine export levels will produce… Read more »
The U.S. LNG export issue, like all future major energy policy issues, must be framed in the context of addressing global warming in the most effective manner. The House of… Read more »
At my organization, we’re not ones to obsess about trade deficits. While obviously trade produces immediate economic impacts for certain industries and individuals, overall the free flow of goods and… Read more »
Let me state up front that I agree with the E&C report on natural gas export. I find it hard to dispute the report’s findings that we have significant… Read more »
Thanks for all of the valuable input.
FAILURES OF THE EITHER -OR ARGUMENTS Many of the above comments reflect a long term energy policy problem. Those that promote exportation of natural gas and argue for less governmental… Read more »
Hi Herschel: I would appreciate it if you would weigh in on the discussion in response to my post “Metrics for Comparing Alternative Liquid Fuels” that is ongoing now at… Read more »
The key undercurrent of this debate is a fundamental redistribution of wealth/benefits. You will rarely hear anyone with a stake in the debate lay it out so plainly however. From… Read more »
Rep. Upton’s remarks, and all the comments posted here so far focus on the question of whether allowing exports of US natural gas would be desirable on undesirable. But what the… Read more »
Lewis, Here is a rather convincing and lengthy report on “Seeking Alpha” on the subject of long term nat gas availability. There will be no world shortage of nat… Read more »
Do the events in Ukraine impact anyone’s opinion on this issue? It has been suggested that the unfolding situation is building support for expedited approval of terminals by DOE.
Brad’s comment / question re the Ukrainian situation does raise the level of interest in exports. But a realistic observation would lead to the conclusion that any increase in USA… Read more »
Jack, certainly the market that you describe has worked the way a market is supposed to work … with the exception that many of us keep pointing out … Community… Read more »