DOE proposes major changes to LNG export rules, comments due 21 July

By Lee A Alexander and Philip Angeli

The US Department of Energy (DOE) is proposing to change its rules and procedures for reviewing applications to export liquefied natural gas (LNG) to countries that do not have a free trade agreement with the US (non-FTA countries).

The proposed change, announced on 29 May, would suspend the current practice of issuing conditional authorisations, and instead allow only those applicants with a completed National Environmental Policy Act (NEPA) compliance review to proceed to a final DOE analysis of whether the export would be in the ‘public interest’.  Since 2011, DOE has issued seven conditional approvals for LNG exports to non-FTA countries, only one of which has completed its NEPA review and received DOE’s final approval.

With this proposed change, DOE intends to focus and prioritise departmental resources on those projects that are further along in their commercial development, and to improve the quality of information for its public interest analysis…

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