One of four LNG bills advances

Lawmakers advanced a new environmental review process that supporters said could derail a proposed liquefied natural gas facility in Baltimore County and a pipeline network through the metropolitan region.

The state?s House of Delegates on Monday approved a bill that establishes new requirements for LNG facilities within the state?s Chesapeake Critical Bay area, one of four legislative efforts to block a proposed terminal at the Sparrows Point shipyard, just off the Key Bridge. Bill sponsor Del. John Olszewski, D-Baltimore County, said he believes the bill has the greatest potential to pass in both General Assembly chambers.

Other legislative attempts at the county level have been challenged by the company proposing the terminal, Virginia-based AES Corp. A federal judge overturned a similar bill at the county level on the grounds that the Federal Energy Regulatory Commission has the exclusive authority to determine LNG siting.

“This is one of the few places where FERC does not trump the state?s prerogative,” Olszewski said. “We think it?s fair and appropriate.”

AES officials have traveled to Annapolis to testify against each proposal, including a bill that effectively bans LNG terminals in Baltimore County and within two miles of a residence Tuesday. Their proposal calls for a $400 million off-loading and revaporizing terminal in the harbor and an 88-mile pipeline into southern Pennsylvania via Harford County.

Officials in Baltimore City, as well as Baltimore, Harford and Anne Arundel counties have opposed the project, citing security risks and potential environmental damage from the dredgingrequired to accommodate massive LNG tankers.

AES project manager Kent Morton refuted the concerns and said the project will generate $13 million in annual local tax revenues.

“Baltimore County is making the big push on this and we?re continuing to hope we can work with them,” Morton said. “You can?t just single out a project.”

The bill is the only one to make it out of committee so far, but it still must receive Senate approval. Sen. Norman Stone, the primary sponsor of LNG legislation, said chances of final passage look slim.

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