The Making of an Energy Powerhouse
by Ryan Streams, Manager of Regulatory Affairs on July 17, 2017 - 8:02am
The White House recently held “Energy Week” focusing on the Trump Administration’s energy policies. Increasing domestic production, promoting jobs, and building infrastructure all featured prominently in the administration’s message. One key policy that gained traction is the role of liquefied natural gas (LNG) exports, which the new Administration sees as a way to strengthen America’s global influence.
In a meeting last week with Central and Eastern European leaders, President Trump reaffirmed his commitment to providing secure, reliable energy to the region, saying, “We are committed to securing your access to alternate sources of energy, so Poland and its neighbors are never again held hostage to a single supplier of energy.”
The focus on LNG is timely, as the Federal Energy Regulatory Commission (FERC) is beginning to conduct the Jordan Cove LNG terminal’s Environmental Impact Statement (EIS).
The Alliance recently submitted comments on the Jordan Cove EIS, which would be a vitally important project to western oil and natural gas producers, as well as western states’ economies, and even global energy markets. Jordan Cove would supply the Pacific Rim with up to 7.8 million tonnes of LNG per year. We’re a strong supporter of the Jordan Cove project, as well as LNG exports broadly.
Based on strong economic evidence from studies by leading research universities, federal agencies, and industry, LNG exports will have positive overall economic impacts on the United States that exceed any potential negative impacts associated with marginally higher domestic natural gas prices. Although an increase in natural gas prices resulting from increased LNG exports is possible, the same institutions have demonstrated such an increase would likely be small, and would pale in comparison to the projected $7.7 to $47 billion in GDP growth and 100,000 to 665,000 new jobs created.
The United States has the resources to become an energy superpower. We already produce more oil and natural gas then Saudi Arabia and Russia. But we currently lack the export infrastructure to enable our full geopolitical and economic potential. The Jordan Cove LNG terminal would be a critical piece in allowing the United States to realize its full potential as an energy exporter. It would also stimulate demand for Rockies natural gas, and foster additional American energy production.
Source: North American Energy News
LNG exports aren’t just good for the economy, they’re good for the environment. Increased LNG exports will reduce greenhouse gases and traditional criteria pollutants globally. They also provide American climate change leadership by promoting a meaningful solution to reduce global greenhouse emissions and improve public health. Clean-burning natural gas emits half the carbon dioxide of coal while producing negligible amounts of sulfur, mercury, and particulate matter.
The Trump Administration’s commitments to LNG exports are right in line with its goal of energy dominance. We’re optimistic that following Energy Week, we’ll see more LNG export projects moving forward.
Our full comments on the Jordan Cove Terminal EIS are available here.