The House passed a bill Thursday that would undo President Joe Biden‘s pause on approvals for liquefied natural gas export facilities, the latest effort by Republicans to oppose the administration’s energy policies ahead of the November election.
The bill passed on a bipartisan basis, 224-200, with nine Democrats voting with Republicans to undo the LNG pause announced earlier this month. The Biden administration stated it would be pursuing the pause in efforts to evaluate the facilities’ impact on the environment, along with the economy and national security. Still, the White House received flak from lawmakers on both sides of the aisle who argued the move undercuts domestic supply and will lead to increased dependence on adversaries such as Russia.
“This was a gift to those who want to take the United States down,” Rep. August Pfluger (R-TX), the lead sponsor of the measure, told the Washington Examiner in an interview this week. “We should be producing as much natural gas as we possibly can and sharing that with our allies, with our partners, and with those who want to push back against the Chinese Communist Party, against Russia, against Iran and other actors like that.”
The pause could affect what would be the largest export terminal in the U.S., Venture Global’s Calcasieu Pass 2 LNG project, a $10 billion proposed development in Louisiana that has drawn the ire of environmentalists over the effects it would have on the environment.
The measure passed on Thursday would give the Federal Energy Regulatory Commission, an independent body regulating U.S. interstate energy transmission, exclusive authority over approving LNG import and export facilities. That would, therefore, remove a requirement for the Department of Energy to conduct a public interest review for applications to export natural gas to countries the U.S. lacks a free trade agreement with.
Several Democrats pushed back against the GOP measure, arguing that by removing the DOE from the process, the bill also allows for LNG exporters to increase their sales to foreign competitors, such as Russia or China. They also argued that the rise in LNG exports in recent years has raised domestic natural gas prices.
“Make no mistake, if this bill ever becomes law, Americans would pay more for the gas that heats their homes and keeps their lights on,” House Energy and Commerce Committee ranking member Frank Pallone (D-NJ) said. “It’s an affront to middle-class families who can’t afford to deal with more fossil fuel price volatility.”
However, 10 Democrats diverged from their party to argue the very opposite in a letter to Biden, citing analysis that LNG exports do not have “any sustained or significant” direct impact on natural gas prices domestically.
“We write to urge you and your administration to refocus on policies that support U.S. liquefied natural gas (LNG) exports,” the letter reads. “Your continued prioritization of LNG exports ensures a future marked by affordable, accessible, and sustainable energy resources that foster global stability and propel the energy transition.”
Still, the measure faces an uphill battle in the Senate, in which it would need at least 60 votes to overcome the legislative filibuster. A companion bill had been introduced by Sen. Bill Cassidy (R-LA), Sen. Tim Scott (R-SC), and 15 other Senate Republicans.
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In a statement of administrative policy issued Tuesday, the White House said it “strongly opposed” the GOP-led measure, arguing it would undermine the U.S.’s ability to ensure exports were consistent with the nation’s “environmental interests,” along with its economic and foreign energy policies. However, the measure stops short of stating Biden would veto the bill.
“The Administration believes that the critical protections current law provides, which this legislation would repeal, should be retained to protect residential and industrial consumers and national and domestic energy security,” the statement reads.
