FERC Approves a Tripling of Capacity for U.S. LNG Importers
June 28, 2006
The Federal Energy Regulatory Commission (FERC) authorized in mid-June three new liquefied natural gas (LNG) import terminals and expansions at another two LNG terminals that could triple the United States' ability to import LNG. Other than natural gas pipelines from Mexico and Canada, LNG imports are the only way to increase the amount of natural gas imported into the United States. The three new facilities will be located in Cameron Parish, Louisiana; Port Arthur, Texas; and Logan Township, New Jersey, and the two expansions will take place at LNG terminals in Cameron Parish, Louisiana, and Calvert County, Maryland. FERC also approved pipeline projects to deliver the LNG from the terminals to existing natural gas pipelines; addressed policy issues regarding the effects of LNG on natural gas quality; provided new incentives for companies developing natural gas storage facilities; and proposed new rules to encourage investments in natural gas pipelines. See the press release and Chairman's statement on the LNG approvals, as well as the press releases on natural gas quality, storage, and pipelines.