Page 20 - LatAmOil Annual Review 2021

LatAmOil SEPTEMBER LatAmOil

(Photo: Shell)
New Fortress battles

to advance LNG plans

NFE runs into regulatory issues and environmental opposition to its LNG plans in the US and Puerto Rico

NEW Fortress Energy (NFE) is trying to move piece – Philly Boricuas community organiser
forward with its LNG plans in both the US and Fermin Morales and New Jersey State Confer-
WHAT: the unincorporated US territory of Puerto Rico. ence NAACP environmental and climate justice
NFE is trying to navigate However, as concerns over the impact of climate chairman Marcus Sibley – have argued that the
regulatory issues and change mount, the company is dealing with facility should also be subject to FERC review.
environmental opposition increasingly vocal environmental opposition to Currently, the project is not deemed subject
as it pushes ahead with new LNG developments. to FERC jurisdiction, and an NFE subsidiary
its LNG plans. This, in turn, could result in increased reg- filed a petition to the regulator a year ago seek-
ulatory scrutiny for NFE’s plans, and potential ing a declaratory order that the facility is exempt.
WHY: delays if tougher regulatory hurdles need to be
Opposition to the com- overcome. Trouble in Puerto Rico
pany’s plans could result This week, an opinion piece published in the This is not the first time NFE has come under
in increased regulatory
scrutiny once more. Philadelphia Inquirer called on the US Federal scrutiny, and indeed, Morales and Sibley are
Energy Regulatory Commission (FERC) to hoping that the company’s experience in Puerto
WHAT NEXT: scrutinise NFE’s plans to liquefy gas in Pennsyl- Rico can be replicated in New Jersey.
The project to export LNG vania and transport it to New Jersey by rail or In 2017, FERC began a regulatory review of
from the US Northeast truck for export. the LNG import terminal that the company was
has numerous other The Delaware River Basin Commission building in Puerto Rico, within the port of San
hurdles to overcome and (DRBC) approved a permit for construction of Juan. It did so after several non-governmental
its status is uncertain. the marine terminal at Gibbstown, New Jersey, organisations (NGOs) in Puerto Rico, includ-
from which NFE would export LNG in Decem- ing community, environmental and religious
ber 2020. However, the authors of the opinion groups, filed complaints against the project.

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