Miller, Energy Export Caucus, Members Send Letter to President Biden on Plan to Limit LNG Exports

WASHINGTON, D.C. - Congresswoman Carol Miller (R-WV) and her fellow Energy Export Caucus co chairs led a bipartisan letter to President Biden to voice their concern on the Administration’s decision to limit the export of U.S. liquefied natural gas (LNG). The letter highlights how the Department of Energy’s proposed plan threatens the United States' national security, economy, and clean energy goals.
  
Click HERE for the full letter.
 
On the threat limiting LNG export projects poses to national security:
 
The foremost concern with limiting LNG exports is the impact on our national security. The ongoing war in Ukraine has brought to light a concerning reliance on Russian gas across Europe. Since the start of the war, Europe has committed to phase out its dependency on Russian gas before the end of the decade. That is no easy task – as Russian gas accounted for more than 40% of the European Union’s gas supply in 2021. We were pleased to see your March 2022 pledge to help Europe achieve its goals of reducing dependence on Russian gas imports by delivering 50 billion cubic meters (bcm) of additional U.S. LNG to Europe through at least 2030.
 
Europe has looked to U.S. LNG exporters to provide a stable supply of gas to the continent. Europe has almost tripled its import of U.S. LNG since 2021 — which has provided the region with price stability and security. As of November, 68% of U.S. LNG exports were to Europe. This partnership allows Europe and the U.S. to counter Russian aggression and dependence and, in turn, makes the world a more stable place. U.S. LNG companies have entered long-term contracts with European countries to continue bolstering this partnership, and it is critical that the U.S. remains a lead exporter of LNG to fulfill the commitments made to our trade partners and allied countries. Even with these increased exports, however, Europe remained reliant on Russian imports to meet more than 10% of its natural gas demand in 2023. With forthcoming European Union sanctions expected to block all Russian gas imports, the importance of offsetting lost supplies will only grow. Moreover, global demand for natural gas is projected to grow for many years to come, as key allies in Japan, Korea, Southeast Asia, and India continue to grow their economies. Put simply, stability in the West depends on American energy exports.
 
On the influence of LNG exports to our economy:
 
Not only is the export of LNG critical for our allies abroad, but it is also critical to our economy at home. U.S. LNG exports reached a record high in 2023—cementing our status as the top exporter in the world. This expanded market creates high-paying jobs for Americans, reduces our trade deficit, and bolsters our domestic economy. The U.S. natural gas industry supports more than 10 million American jobs, and indirectly generates an additional 3.7 jobs elsewhere in the U.S. economy for each direct job in the natural gas industry. In 2021, the industry produced $909 billion in labor income – or 6.4% of the U.S. national labor income. The industry also supported nearly $1.8 trillion in U.S. gross domestic product (GDP) in 2021. To hamstring an industry that provides millions of jobs and trillions of dollars in GDP would be blatantly against the public interest.
 
On LNG exports furthering global emission goals:
 
Continued U.S. leadership in exporting LNG also furthers global emissions goals. Unlike the United States— where methane emissions are modest, regulated, and declining—Russia’s natural gas production facilities and distribution networks are old, largely unregulated, and leaky. A recent study from the Rocky Mountain Institute also shows that transporting gas through Russian pipelines is three times more climate intensive than shipping it from the U.S. Another 2019 Department of Energy report also found that the use of U.S. LNG exports for electricity generation that replaces existing sources in Europe and Asia would not increase greenhouse gas emissions. That same study shows that American LNG can be up to 30% cleaner than Russian natural gas and that if we do not fulfill the demand for LNG and let other countries like Russia control the markets, emissions will continue to rise. If the Biden administration is serious about addressing global climate goals — the easiest way to achieve those goals is to bolster U.S. LNG production and exportation.
 

###