Statement of Administration Policy: H.R. 1130 - Unlocking our Domestic LNG Potential Act of 2023

STATEMENT OF ADMINISTRATION POLICY

(House Rules)
(Rep. Johnson, R-OH, and seven cosponsors)

The Administration strongly opposes passage of H.R. 1130, legislation to change the procedures for approval of the import and export of natural gas under the Natural Gas Act. H.R. 1130 would eliminate the requirement for Department of Energy (DOE) authorization of export of liquefied natural gas (LNG) to countries with which the United States does not have a free trade agreement (non-FTA countries). This would undermine the ability of the United States to ensure that export of a critical and strategic resource is consistent with our economic, energy security, foreign policy, and environmental interests.

Currently, the Natural Gas Act requires the DOE to determine whether it is in the public interest to allow LNG exports to non-FTA countries. These determinations involve a review of the economic, including domestic natural gas and electricity price, impacts and environmental impacts of the exports. They also consider potential effects on the security of U.S. natural gas supply. If enacted, H.R. 1130, would eliminate any consideration of whether particular exports of U.S. natural gas are consistent with the public interest. Doing so would strip vital consumer, domestic manufacturing, and energy security safeguards, and would eliminate an important check that export to non-FTA countries will be consistent with U.S. law and policy.

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 energy security.