LNG Public Interest Determination Act of 2025
This bill modifies and expands requirements for exporting natural gas, including liquefied natural gas (LNG).
Under the existing provisions of the Natural Gas Act, exporters of natural gas must obtain authorization to make such exports from the Federal Energy Regulatory Commission (FERC). Additionally, FERC must authorize such exports if they are consistent with the public interest.
The bill directs exporters of natural gas to obtain authorization from the Department of Energy (DOE) rather than from FERC. Before granting an authorization, DOE must determine that the export would not likely (1) contribute significantly to climate change; (2) materially increase energy prices or energy price volatility for U.S. consumers; or (3) create a disproportionate health or environmental burden on rural, low-income, minority, and other vulnerable communities.
The bill also classifies an authorization of the exportation of natural gas as a major federal action that triggers the environmental review process required under the National Environmental Policy Act of 1969 (NEPA).
Additionally, the bill terminates the categorical exclusion for exports of natural gas, and any associated transportation of LNG by marine vessels, from NEPA environmental review requirements. A categorical exclusion is a class of actions that a federal agency has determined do not significantly affect the quality of the human environment and, thus, do not require either an environmental assessment nor an environmental impact statement.
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 381 Introduced in House (IH)]
<DOC>
119th CONGRESS
1st Session
H. R. 381
To amend the Natural Gas Act to require that impacts to climate
stability, consumer energy costs, and environmental justice be
considered in a determination of whether proposed exportation of
natural gas is in the public interest, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
January 14, 2025
Mr. Casten (for himself, Ms. Barragan, Ms. Castor of Florida, Mr.
Grijalva, Mr. Huffman, Mr. Levin, Mr. Magaziner, Mr. McGovern, Mr.
Mullin, Mr. Nadler, Ms. Norton, Ms. Pingree, Ms. Schakowsky, and Ms.
Tlaib) introduced the following bill; which was referred to the
Committee on Energy and Commerce
_______________________________________________________________________
A BILL
To amend the Natural Gas Act to require that impacts to climate
stability, consumer energy costs, and environmental justice be
considered in a determination of whether proposed exportation of
natural gas is in the public interest, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``LNG Public Interest Determination
Act of 2025''.
SEC. 2. EXPORTATION OF NATURAL GAS.
(a) Exportation of Natural Gas.--Section 3 of the Natural Gas Act
(15 U.S.C. 717b) is amended by adding at the end the following:
``(g) Exportation of Natural Gas.--
``(1) Order required.--No person shall export any natural
gas from the United States to a foreign country without first
having secured an order of the Secretary of Energy authorizing
it to do so. The Secretary of Energy may issue such order upon
application only if, after opportunity for hearing, the
Secretary of Energy finds that the proposed exportation will be
consistent with the public interest. The Secretary of Energy
may by its order grant such application, in whole or in part,
with such modification and upon such terms and conditions as
the Secretary of Energy may find necessary or appropriate, and
may from time to time, after opportunity for hearing, and for
good cause shown, issue such supplemental order for such
exportation as it may find necessary or appropriate.
``(2) Deadline.--The Secretary of Energy shall find whether
proposed exportation of natural gas will be consistent with the
public interest under paragraph (1) by not later than the date
that is 1 year after the later of--
``(A) the date on which the Secretary of Energy
receives the final environmental impact statement for
such proposed exportation from the Federal Energy
Regulatory Commission; and
``(B) the date on which the Secretary completes
each assessment required by paragraph (4).
``(3) Public interest finding.--The Secretary of Energy may
find that proposed exportation of natural gas for which an
application is submitted under paragraph (1) will be consistent
with the public interest under such paragraph only if the
Secretary of Energy determines, based on the applicable
assessment under paragraph (4), that the proposed exportation
of natural gas will not be likely to--
``(A) significantly contribute to climate change,
including by slowing the global energy transition
needed to achieve deep reductions of global greenhouse
gas emissions within the next decade and net-zero
global greenhouse gas emissions not later than 2050;
``(B) materially increase energy prices or energy
price volatility for any segment of United States
consumers; or
``(C) create a disproportionate cumulative burden
of adverse human or environmental impacts on rural,
low-income, minority, and other vulnerable communities.
``(4) Assessments.--
``(A) Climate change assessment.--A determination
under paragraph (3)(A) shall be based on an assessment
of the expected impact of the proposed exportation of
natural gas on climate change. Such assessment shall be
based on the latest scientific information and use the
20-year global warming potential of methane, and shall
include--
``(i) quantified estimates of the
greenhouse gas emissions associated with the
full lifecycle of the natural gas proposed for
exportation, including emissions associated
with the extraction, transportation,
liquefaction, storage, regasification, and
consumption of such natural gas;
``(ii) a comparison of the estimated
greenhouse gas emissions in clause (i) to a
baseline that is consistent with United States
international commitments to achieve deep
reductions of global greenhouse gas emissions
within the next decade and deep decarbonization
pathways toward net-zero global greenhouse gas
emissions not later than 2050;
``(iii) an assessment of the potential
effects of the proposed exportation of natural
gas on clean energy alternatives, including--
``(I) any decrease in global
investment in and deployment of
renewable energy, electrification, and
energy efficiency and conservation
technologies; and
``(II) any decrease in United
States exports of clean energy
technologies;
``(iv) quantified estimates of the social
cost of the estimated greenhouse gas emissions
in clause (i); and
``(v) an identification of the extent to
which climate change is accelerating the loss
of economic value in the United States due to
rising sea levels, more intense storms, eroding
coasts, increased risk and severity of wild
fires, and other impacts associated with
climate change.
``(B) Economic assessment.--A determination under
paragraph (3)(B) shall be based on an assessment of the
expected economic impact of the proposed exportation of
natural gas, including an assessment of the impact of
the proposed exportation on all United States
consumers, with specific estimates regarding each of
the following consumer subgroups:
``(i) Low-income consumers.
``(ii) Working families.
``(iii) Small businesses.
``(iv) Manufacturers.
``(v) State and local governments.
``(vi) Producers and users of fertilizer.
``(C) Environmental justice assessment.--A
determination under paragraph (3)(C) shall be based on
an assessment of the expected impact of the proposed
exportation of natural gas on environmental justice
(which shall be consistent with Executive Order 14096
(42 U.S.C. 4321 note; relating to revitalizing our
Nation's commitment to environmental justice for all),
as published April 21, 2023), including assessments of
impacts on--
``(i) the preexisting cumulative
environmental burdens and social and health
risks posed to rural, low-income, minority, and
other vulnerable communities;
``(ii) local fisheries and the economic
livelihood of the people employed by local
fisheries;
``(iii) racial and socioeconomic
disparities in impacted communities; and
``(iv) compliance with civil rights laws.
``(5) Public participation.--The Secretary of Energy
shall--
``(A) provide to the public an opportunity to
meaningfully participate, including by providing
comments, in--
``(i) the finding of the Secretary of
Energy on whether proposed exportation will be
consistent with the public interest under
paragraph (1); and
``(ii) any study by the Department of
Energy intended to inform such finding; and
``(B) ensure that opportunities to meaningfully
participate under subparagraph (A) address barriers
that affect members of communities with environmental
justice concerns, including those related to
disability, language access, and lack of resources.
``(6) Major federal action.--Issuing an order authorizing
the exportation of natural gas under this subsection shall be
considered a major Federal action under section 102(2)(C) of
the National Environmental Policy Act of 1969 (42 U.S.C.
4332(2)(C)).''.
(b) Conforming Amendments.--Section 3 of the Natural Gas Act (15
U.S.C. 717b) is amended--
(1) in subsection (a)--
(A) by striking ``export any natural gas from the
United States to a foreign country or'';
(B) by inserting ``to the United States'' after
``from a foreign country''; and
(C) by striking ``exportation or''; and
(2) in subsection (c)--
(A) by striking ``, or the exportation of natural
gas to a nation with which there is in effect a free
trade agreement requiring national treatment for trade
in natural gas,''; and
(B) by striking ``or exportation''.
SEC. 3. PROCESS COORDINATION; HEARINGS; RULES OF PROCEDURE.
Section 15(b)(1) of the Natural Gas Act (15 U.S.C. 717n(b)(1)) is
amended by striking ``Commission'' and inserting ``Federal Energy
Regulatory Commission''.
SEC. 4. TERMINATION OF CATEGORICAL EXCLUSION FOR APPROVAL OR
DISAPPROVAL OF THE EXPORTATION OF NATURAL GAS.
The categorical exclusion under B5.7 of appendix B to subpart D of
part 1021 of title 10, Code of Federal Regulations, (relating to export
of natural gas and associated transportation by marine vessel) shall
have no force or effect.
SEC. 5. RULEMAKING.
Not later than one year after the date of enactment of this Act,
the Secretary of Energy shall issue a rule to carry out this Act and
the amendments made by this Act.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Energy and Commerce.
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