Federal Judge Blocks Biden Administration’s Delay on LNG Export Projects

A Louisiana Judge has Blocked Biden administration’s efforts to pause consideration of liquefied natural gas (LNG) export projects, granting a preliminary injunction in favor of 16 Republican-led states.

U.S. District Judge James Cain, Jr. ruled on Monday that the administration’s delay would likely cause harm to the states and LNG projects, citing evidence of lost revenue and deferred investments.

The injunction puts the administration’s delay on hold, but it’s unlikely to fast-track project approvals as the U.S. Department of Energy disagred with the ruling and is evaluating its next steps.

The White House expressed disappointment, reiterating its commitment to informed decision-making based on economic and environmental analysis.

The administration had paused consideration of new natural gas export terminals in January, aligning with environmentalists’ concerns about planet-warming emissions.

The coalition of states, including Louisiana, Alaska, Texas, West Virginia, and Wyoming, sued in March, argued that the administration’s actions violated the U.S. Constitution and federal laws by banning LNG exports to countries without a free trade agreement.

The ruling came as the Federal Energy Regulatory Commission approved the nation’s largest export terminal, Venture Global’s Calcasieu Pass 2 project in Louisiana, which still required DOE approval.

Republican lawmakers and project supporters argued that such projects were crucial for global energy security, while environmental groups like Evergreen Action criticise the ruling as a win for the oil industry.

The DOE reports that current LNG export authorisations stand at over 48 billion cubic feet per day, with the U.S. set to remain the largest exporter for at least six years based on current capacity.

Boluwatife Enome

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