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Wyden-Merkley Update: LNG Opponents “Like This Bill”

March 2, 2010
By Dennis Newman

It’s no surprise that Brett VandenHeuvel of Columbia Riverkeeper is pleased with the new Wyden-Merkley bill that would return decision making over LNG projects back to the states.

Columbia Riverkeeper is one of the main groups opposing two proposed LNG projects near Astoria – Bradwood Landing and Oregon LNG. It’s also involved in efforts to block two pipelines that would connect the terminals to the interstate gas pipeline system.

But in our conversation today, some very interesting questions came up about just how easy it might become to stop all LNG projects in Oregon, if the bill becomes law.

Wyden and Merkley’s bill would take away control over the siting of LNG projects from the Federal Energy Regulatory Commission. FERC’s been a big supporter of LNG projects, making it the agency that “can’t say no”, at least not where LNG is concerned.  Under the bill, That power would go back to state governments. Here in Oregon, the current state leadership is anti-LNG.

“The state deserves the right to map out its energy future,” says VandenHeuvel. “We shouldn’t be tied to foreign fossil fuel, we shouldn’t be tied to dirty energy projects like LNG.”

Clearly, the Wyden-Merkley bill makes it much harder for any new LNG projects to move ahead. Under that category – the Oregon LNG project and pipeline. FERC staff is still working on an Environmental Impact Statement, so it’s still early in the approval process.

But what about Bradwood Landing and Jordan Cove? These two projects are already FERC approved. If the bill passes, does control over their future automatically go back to Oregon? Or do they fall under some kind of grandfather clause?

FERC got the power to control LNG siting in the 2005 Energy Act. The Wyden-Merkley update wipes that out and acts as if the change never happened. A plain english reading of the bill says that means Bradwood Landing and Jordan Cove would have to start over from scratch. This time before Oregon regulators instead of the feds.

VandenHeuvel, a lawyer, says it isn’t clear if this is what Wyden and Merkley have in mind. Meanwhile I’ve got calls into both offices and waiting for replies. Hoping to learn more tomorrow.

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