US Sen. Energy and Natural Resources Committee member Bill Cassidy (R-La.) and two other Republicans on the committee introduced a bill on Mar. 1 aimed at reducing delays in decisions for LNG export terminals and other projects at the Federal Energy Regulatory Commission. S. 607 would address a shortage of qualified engineers, scientists, and mathematicians necessary to review such applications and begin to remove a serious backlog, Cassidy said.
“The US now is the world’s largest producer of natural gas and oil, which means we are well-positioned to help other nations diversify their energy supplies and achieve a greater level of energy security. Yet that will only become a reality if we can resolve the application backlog at FERC and allow infrastructure projects to move forward,” said Lisa Murkowski (Alas.), committee chair and cosponsor of the measure with Cory Gardner (Colo.).
The bill would give FERC’s chairman authority to increase salaries within a specific category if he determines employees are not being paid enough to carry out necessary functions after meeting certain certification requirements.
House Energy and Commerce Committee members Pete Olson (R-Tex.) and Michael F. Doyle (D-Pa.) introduced similar legislation the same day. H.R. 1426 would require that FERC consult with the US Office of Personnel Management to determine appropriate salaries. These could be offered for positions where the commission determines a critical need. Senate bill S. 607 has a similar provision.
Both bills require certifications of such positions to be reviewed 90 days before they expire every 5 years before they can be renewed.
Responding to the measures, FERC Chairman Neil Chatterjee said the commission has made marked headway in approving its review process, but added that more can be done.
“By enhancing our ability to recruit and compensate the skilled staff needed to review these applications, this legislation would allow FERC to build upon the progress we’ve made already. Importantly, it would also help ensure that future commissions have the resources necessary to effectively evaluate projects going forward,” Chatterjee said.
FERC currently has 13 pending applications for new LNG export facilities, and four projects in the prefiling process. Of these 17 projects, Alaska, Oregon, Florida, Arkansas, and Mississippi have one project each; the rest are in Louisiana and Texas.
“The US LNG industry is on course for a remarkable year in 2019 with multiple projects entering service and many more navigating the regulatory process,” said Charlie Riedl, executive director of the Center for Liquefied Natural Gas.
The bills would ensure a thorough and thoughtful reviews, and the CLNG welcomes the commitment to making this happen as shown by the measures’ Senate and House sponsors, Riedl noted.
Contact Nick Snow at [email protected].
