• The Heritage Network
    • Resize:
    • A
    • A
    • A
  • Donate
  • Natural Gas Exports: Remove Government Barriers

    natgas-pipeline-Ohio

    Natural Gas Pipeline (Newscom)

    A June 18 House Energy and Commerce Committee hearing will focus on the future of liquefied natural gas (LNG) exports.

    Currently, the U.S. can freely export LNG to another country only if it has a free trade agreement with that country. Requests to export to the rest of the world must be approved by the Department of Energy (DOE) on a case-by-case basis. This results in costly delays.

    Other energy-producing countries are big fans of the restrictive U.S. policy. As American producers wait for DOE approval to export LNG, Canada is building a $16 billion terminal to export LNG to Japan and other countries.

    Some groups argue that the government should block LNG exports to reduce U.S. energy prices. This is like arguing that the government should prohibit farmers from exporting grain in order to reduce U.S. food prices.

    In reality, there is no such thing as “American” LNG any more than there is “American” grain. Our energy and food producers don’t operate in North Korea, where everything is owned by the state. In the U.S. we have privately produced energy, grain, and other products. Allowing those private producers to sell to anyone they want fits best with U.S. constitutional values.

    We can do better. Legislation has been introduced to remove restrictions on LNG exports to Japan and our NATO allies. A more far-reaching option would be to treat LNG like all other U.S. exports by removing the DOE’s authority to derail them.

    Posted in Energy [slideshow_deploy]

    Comments are closed.

    Comments are subject to approval and moderation. We remind everyone that The Heritage Foundation promotes a civil society where ideas and debate flourish. Please be respectful of each other and the subjects of any criticism. While we may not always agree on policy, we should all agree that being appropriately informed is everyone's intention visiting this site. Profanity, lewdness, personal attacks, and other forms of incivility will not be tolerated. Please keep your thoughts brief and avoid ALL CAPS. While we respect your first amendment rights, we are obligated to our readers to maintain these standards. Thanks for joining the conversation.

    Big Government Is NOT the Answer

    Your tax dollars are being spent on programs that we really don't need.

    I Agree I Disagree ×

    Get Heritage In Your Inbox — FREE!

    Heritage Foundation e-mails keep you updated on the ongoing policy battles in Washington and around the country.

    ×