Twenty-five state attorneys general have informed the Pipeline and Hazardous Materials Safety Administration (PHMSA) that they object to the Biden administration’s proposal to suspend authorisation of rail transportation of liquefied natural gas (LNG).
In early March, the attorneys general sent a letter to PHMSA acting administrator Tristan Brown stating that they object to the proposed suspension of a rule, made during President Donald Trump’s administration, that authorised transportation of LNG by rail tank cars.
PHMSA’s decision to reverse course on the LNG-by-rail authorisation “creates regulatory uncertainty” and chills potential capital investment in the type of rail car that can transport LNG, the letter states. In addition, PHMSA’s concern that LNG by rail might lead to an increase to greenhouse gas emissions is speculative, they said.
The attorneys general also cited Russia’s attack on Ukraine as another reason for not suspending authorisation of LNG by rail, especially when 41 percent of the United States’ electricity is generated from natural gas.
“Current geopolitical events involving Russia’s unprovoked attack on Ukraine show with painful clarity the need for the United States to maintain its energy independence through multiple distribution points throughout our country,” the letter stated.
Louisiana attorney general Jeff Landry is leading the coalition. Other states represented in the coalition are Alabama, Alaska, Arizona, Arkansas, Florida, Georgia, Idaho, Indiana, Kansas, Kentucky, Nebraska, Missouri, Mississippi, Montana, New Hampshire, Ohio, Oklahoma, South Carolina, South Dakota, Texas, Utah, Virginia, West Virginia, and Wyoming.
Meanwhile, the Railway Supply Institute (RSI) is currently assessing the impact that global sanctions against Russia are having on the railway supply industry, said John Herbert, RSI’s director of policy and communications, in an email.
“If Europe ends up facing an even bigger energy crisis as a result of this war, we should be looking at how the United States can increase exports to help mitigate shortages in Europe,” Herbert said. “As part of that, we’ll also be urging the Biden administration to reconsider its decision to suspend the safe transportation of liquefied natural gas by rail to help expand our export capacity of LNG.”
For more information visit www.phmsa.dot.gov
