Friday, December 9, 2022
Hawai'i Free Press

Current Articles | Archives

Friday, February 22, 2013
Regulations Slow Beneficial Natural Gas Exports
By NCPA @ 1:53 PM :: 3271 Views :: Energy

Regulations Slow Beneficial Natural Gas Exports

From NCPA February 22, 2013

Advances in hydraulic fracturing ("fracking") have led to the shale gas revolution and an abundance of affordable liquefied natural gas (LNG). Domestically, the United States has experienced job growth and lower energy prices as natural gas extraction has expanded rapidly. Despite a surplus of LNG, the Department of Energy (DOE) is delaying the authorization of export licenses, which is holding back tremendous economic growth, says Nicolas D. Loris, the Herbert and Joyce Morgan Fellow in the Thomas A. Roe Institute for Economic Policy Studies at the Heritage Foundation.

  • With more than 2.5 trillion cubic feet of recoverable reserves, the United States has more than 100 years of natural gas, which currently produces 30 percent of America's electricity.
  • The National Economic Research Associates found that exporting LNG would result in a $10 billion to $30 billion increase in revenue, as well as increases in welfare and real household income.
  • The Council on Foreign Relations estimates that U.S. gains from trade would total $4 billion annually.

The Environmental Protection Agency's regulation (EPA) is overreaching, as individual states are adequately ensuring that companies operate their fracking operations in a safe manner.

  • Contrary to some claims, LNG exports will raise domestic prices only minimally and the free market will respond to this demand by increasing extraction and supply.
  • Due to such large reserves and extraction capacity, exporting LNG is unlikely to elevate domestic prices to a globally set, higher level.

In 2012, the EPA issued its first air-emission rule for methane emissions from fracking despite a roughly 38 to 1 cost-benefit ratio. Congress is also attempting to expand regulation of fracking under the Safe Drinking Water Act. Additionally, the DOE's review process for applications of companies wishing to export LNG takes an inordinate amount of time and considers the transactions based on the "public's interest."

  • The DOE is currently reviewing 17 applications to build LNG export terminals in the United States as other nations have begun building 20 new export terminals.
  • Loris believes that the DOE review process and regulations are "onerous" and preventing exporters and the economy from reaching its potential.
  • To allow export facilities to come online faster, the DOE should lift free trade restrictions on LNG-recipient countries, stop determining the appropriateness of LNG exports based on public interest, and encourage states to become involved in the review and permitting process of export facilities.

Source: Nicolas Loris, "U.S. Natural Gas Exports: Lift Restrictions and Empower the States," Heritage Foundation, February 11, 2013.

Links

TEXT "follow HawaiiFreePress" to 40404

Register to Vote

2aHawaii

808 Silent Majority

ACA Signups Hawaii

Alliance Defending Freedom

Aloha Pregnancy Care Center

American Council of Trustees and Alumni

AntiPlanner

Antonio Gramsci Reading List

A Place for Women in Waipio

Astronomy Hawaii

Back da Blue Hawaii

Ballotpedia Hawaii

Better Hawaii

Broken Trust

Build More Hawaiian Homes Working Group

ChinaTownWatch.com

Christian Homeschoolers of Hawaii

Cliff Slater's Second Opinion

DVids Hawaii

FIRE

Fix Oahu!

Frontline: The Fixers

Genetic Literacy Project

Grassroot Institute

Habele.org

Hawaii Aquarium Fish Report

Hawaii Aviation Preservation Society

Hawaii Catholic TV

Hawaii Christian Coalition

Hawaii Cigar Association

Hawaii Coalition Against Legalized Gambling

Hawaii ConCon Info

Hawaii Credit Union Watch

Hawaii Crop Improvement Association

Hawaii Debt Clock

Hawaii Defense Foundation

Hawaii Family Forum

Hawaii Farmers and Ranchers United

Hawaii Farmer's Daughter

Hawaii Federalist Society

Hawaii Federation of Republican Women

Hawaii Future Project

Hawaii Gathering of Eagles

Hawaii History Blog

Hawaii Homeschool Association

Hawaii Jihadi Trial

Hawaii Legal News

Hawaii Legal Short-Term Rental Alliance

Hawaii Matters

Hawaii's Partnership for Appropriate & Compassionate Care

Hawaii Public Charter School Network

Hawaii Rifle Association

Hawaii Shippers Council

Hawaii Smokers Alliance

Hawaii State Data Lab

Hawaii Together

HIEC.Coop

HiFiCo

Hiram Fong Papers

Homeschool Legal Defense Hawaii

Honolulu Navy League

Honolulu Traffic

House Minority Blog

Imua TMT

Inouye-Kwock, NYT 1992

Inside the Nature Conservancy

Inverse Condemnation

Investigative Project on Terrorism

July 4 in Hawaii

Kakaako Cares

Keep Hawaii's Heroes

Land and Power in Hawaii

Legislative Committee Analysis Tool

Lessons in Firearm Education

Lingle Years

Malulani Foundation

Managed Care Matters -- Hawaii

Malama Pregnancy Center of Maui

MentalIllnessPolicy.org

Military Home Educators' Network Oahu

Missile Defense Advocacy

MIS Veterans Hawaii

NAMI Hawaii

Natatorium.org

National Christian Foundation Hawaii

National Parents Org Hawaii

NFIB Hawaii News

No GMO Means No Aloha

Not Dead Yet, Hawaii

NRA-ILA Hawaii

Oahu Alternative Transport

Obookiah

OHA Lies

Opt Out Today

OurFutureHawaii.com

Patients Rights Council Hawaii

PEACE Hawaii

People vs Machine

Pritchett Cartoons

Pro-GMO Hawaii

P.U.E.O.

RailRipoff.com

Rental by Owner Awareness Assn

ReRoute the Rail

Research Institute for Hawaii USA

Rick Hamada Show

RJ Rummel

Robotics Organizing Committee

Save Dillingham Airfield

School Choice in Hawaii

SenatorFong.com

Sink the Jones Act

Statehood for Guam

Talking Tax

Tax Foundation of Hawaii

The Real Hanabusa

Time Out Honolulu

Trustee Akina KWO Columns

UCC Truths

US Tax Foundation Hawaii Info

VAREP Honolulu

Waagey.org

West Maui Taxpayers Association

What Natalie Thinks

Whole Life Hawaii

Yes2TMT