The US Federal Energy Regulatory Commission (FERC) proposed accelerating liquefied natural gas (LNG) infrastructure development through a blanket authorization program.
FERC said on Thursday that the proposal would streamline permitting, speed energy infrastructure development, and deliver “unprecedented” regulatory certainty for project developers.
In a Notice of Proposed Rulemaking (NOPR), FERC proposes to establish an LNG blanket authorization program to allow eligible activities at LNG facilities to proceed without case-specific authorization orders under Sections 3 and 7 of the Natural Gas Act.
The program is modeled on the Commission’s 40-year blanket certificate program for interstate natural gas pipelines.
FERC is proposing a three-tiered authorization framework under which certain activities could proceed automatically, with periodic reporting, while others would require advance notice to the Commission.
The proposed categories are automatic authorization, 60-day prior notice, and 90-day prior notice.
These include activities that would not increase an LNG plant’s authorized capacity, activities that may increase the plant’s authorized capacity but remain within the plant’s footprint, and construction of new LNG facilities such as liquefaction trains, LNG tanks, and
marine berths.
FERC’s NOPR also proposes standard environmental and engineering design conditions to address the potential impacts of projects approved under the blanket authorization program, as well as other requirements to ensure compliance with all applicable laws.
“American energy dominance requires us to build and maintain the energy infrastructure our country needs without unnecessary delay,” FERC chairman Laura V. Swett said.
Swett said that FERC’s proposal shows “what can be possible when we combine regulatory excellence, robust safeguards, and a firm commitment to the nation’s energy future.
“Consumers benefit when more energy infrastructure is online, dependable, and affordable, and FERC is helping make that future a reality,” Swett added.