Federal officials approved a Maryland liquefied natural gas export terminal late Monday, a move that opposition groups said they would fight.
Dominion Resources secured approval from the Federal Energy Regulatory Commission to build the $3.8 billion Cove Point terminal on the Chesapeake Bay, which will be ready to ship up to 0.82 billion cubic feet per day of natural gas beginning in 2017.
“We are pleased to receive this final approval that allows us to start constructing this important project that offers significant economic, environmental and geopolitical benefits,” Dominion Energy President Diane Leopold said.
The terminal now awaits Energy Department approval to begin exporting natural gas overseas to its Japanese and Indian buyers, both of which lack free-trade agreements with the United States.
Exports to such nations face more federal scrutiny because they must be in the public interest, but advocates have recently said the U.S. should use its supply to aid allies who rely heavily on Russian natural gas. Only two terminals — Cheniere Energy’s in Sabine Pass, La., and Sempra Energy’s in Cameron, La. — have received both FERC and DOE approval.
But activists who had wanted a more comprehensive accounting of greenhouse gas emissions from Cove Point plan to put up a fight.
The Chesapeake Climate Action Network says Cove Point would exacerbate climate change and damage the environment by developing and shipping natural gas from the nearby Marcellus Shale. The group said it would file for a rehearing, the first step toward an eventual appeal.
“FERC’s decision to approve Cove Point is the result of a biased review process rigged in favor of approving gas industry projects no matter how great the environmental and safety concerns,” Chesapeake Climate Action Network Director Mike Tidwell said.
