FERC Chairman Attributes CP2 LNG Delays to Project’s Potential Emissions

By Jamison Cocklin

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Published in: Daily Gas Price Index Filed under:

FERC Chairman Willie Phillips recently told lawmakers that an extended analysis of the proposed CP2 LNG facility’s air emissions was prolonging the regulatory review of the project. 

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Phillips said Venture Global LNG Inc.’s Calcasieu Pass terminal, which entered service in 2022, is releasing more emissions than previously expected, which would add to the nearby CP2 project’s cumulative impact. 

Last week, the Federal Energy Regulatory Commission sent a request asking the company for updated cumulative impact analysis using revised emission rates, to which Phillips told lawmakers the company has responded. 

Earlier in the year, Phillips said the Commission also asked Venture Global if the CP2 facility would exceed the U.S Environmental Protection Agency’s new National Ambient Air Quality Standard for particulate matter. He said Venture Global has responded to that request as well. 

“I take very seriously our obligation to ensure that any action the Commission takes is in the public interest,” Phillips wrote in the letter to lawmakers. “I can also assure you that Commission decisions are based upon a thorough and careful review of the record and the participants’ filings.” 

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Phillips’ comments came in response to House Majority Leader Steve Scalise (R-LA) and Rep. Clay Higgins (R-LA), who each sent a letter to Phillips urging approval of the 20 million metric tons/year project, which would be in Cameron Parish, LA. 

In addition to the operational Calcasieu Pass facility, Venture Global is also building the Plaquemines liquefied natural gas export terminal in Louisiana. The company has been waiting nearly 10 months for FERC to authorize CP2 – the longest an export project has awaited the agency’s approval. 

In a letter to FERC last week, Venture Global said the “eleventh hour” request made ahead of the agency’s May meeting, scheduled for Thursday (May 23), did little but introduce further delays. The company noted it has responded diligently to meet or exceed each of the Commission’s requests. CP2 was again left off the agenda for the next open meeting.

In his letter, Phillips stressed that FERC considers both the benefits and adverse impacts of projects to ensure they are in the public interest. He said when orders are finalized, they receive a “prompt vote” by the Commission. 

FERC, an independent agency, is not impacted by the Biden administration’s decision earlier this year to suspend reviews of applications for U.S. LNG export projects to non-free trade agreement countries while it explores the impacts of expanding shipments. 

Former FERC Chairman Neil Chatterjee recently told NGI that deadlock in recent years over how to address LNG facility greenhouse gas emissions has likely created delays in approving the CP2 facility.

Chatterjee added that the deadlock was broken with the departure of Commissioner James Danley earlier in the year, when FERC was left with a minimum three-member quorum.

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Jamison Cocklin

Jamison Cocklin joined the staff of NGI in November 2013 to cover the Appalachian Basin. He was appointed Senior Editor, LNG in October 2019, and then to Managing Editor, LNG in February 2024. Prior to joining NGI, he worked as a business and energy reporter at the Youngstown Vindicator, covering the regional economy and the Utica Shale play. He also served as a city reporter at the Bangor Daily News and did freelance work for the Associated Press. He has a bachelor's degree in journalism and political science from the University of Maine.