NEW ORLEANS (AP) — What would be the nation’s largest liquefied natural gas export terminal won approval from a federal commission on Thursday, though it remains unclear when the Louisiana project will be completed in light of a Biden administration delay announced this year for such projects.
Venture Global’s Calcasieu Pass 2 project in southwestern Louisiana, often referred to as CP2, was approved with little discussion by the Federal Energy Regulatory Commission during a livestreamed meeting. The project, which would be Venture Global’s second such facility in the area, still needs Department of Energy approval, however, and its immediate outlook is uncertain given the government’s January pause.
The DOE issued a statement saying the project’s application to the department “remains pending.”
“The United States has been and will continue to be the world’s largest exporter of LNG throughout this decade, by a significant margin based on authorized export capacity currently operational or under construction after a final investment decision is made,” the department said.
The January pause aligned President Joe Biden with environmentalists who fear the massive increase in exports, in the form of liquefied natural gas, or LNG, is causing potentially catastrophic planet-warming emissions.
Louisiana’s two Republican U.S. senators, officials from other energy-producing states and industry officials have derided the pause as shortsighted and a boon to U.S. energy-producing adversaries, including Iran and Russia. But some residents and environmentalists in the state — dependent on oil and gas dollars but also vulnerable to the effects of climate change — are wary of more LNG development.
Venture Global issued a statement praising the FERC approval. “This project will be critical to global energy security and support the energy transition, and will bring jobs and economic growth to Louisiana and the United States,” said Mike Sabel, CEO of Venture Global LNG.
The FERC’s approval leads to new pressure from environmentalists on Biden.
“The temporary freeze on LNG export permits was a good first step; now President Biden must make the freeze permanent and do everything it takes to address fossil fuels nationwide,” the group Food & Water Watch said in an emailed statement criticizing the FERC’s decision.
“New LNG export terminals are simply not compatible with a healthy, viable future,” said a statement from environmental group Evergreen Action.
Retiring FERC member Allison Clements spoke out against the projects Thursday morning. “These projects will produce massive greenhouse gas emissions, equivalent to putting more than 1.8 million new gas-powered vehicles on the road annually. The order does not meaningfully assess those emissions,” Clements said.
FERC Chairman Willie Phillips said after the meeting that the commission had to maintain “a delicate balance” between communities’ environmental concerns and following the law that governs project approvals.
“When cases are finalized, when our review is final, we give those cases a voice. And this case is consistent with the standard we’ve set for every other project,” Phillips said when asked about critics’ claims that FERC gave “rubber stamp” approval to the project.
He said the commission’s actions, by imposing about 130 conditions on the CP2 project, “go beyond” what the panel is required to do under the National Environmental Policy Act, a bedrock environmental law that requires extensive study and public input before major environmental projects can be approved.
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Associated Press reporter Matthew Daly in Washington contributed to this report.
