Page 6 - NorthAmOil Week 37 2021

NorthAmOil COMMENTARY NorthAmOil

New Fortress battles

to advance LNG plans

New Fortress Energy is running into regulatory issues and

environmental opposition to its LNG plans in both the US

and Puerto Rico

AMERICAS NEW Fortress Energy (NFE) is trying to move a petition to the regulator a year ago seeking a
forward with its LNG plans in both the US and declaratory order that the facility is exempt.
WHAT: the unincorporated US territory of Puerto Rico.
NFE is trying to navigate However, as concerns over the impact of climate Trouble in Puerto Rico
regulatory issues and change mount, the company is dealing with This is not the first time NFE has come under
environmental opposition increasingly vocal environmental opposition to scrutiny, and indeed, Morales and Sibley are
as it pushes ahead with new LNG developments. hoping that the company’s experience in Puerto
its LNG plans. This, in turn, could result in increased reg- Rico can be replicated in New Jersey.
ulatory scrutiny for NFE’s plans, and potential In 2017, FERC began a regulatory review of
WHY: delays if tougher regulatory hurdles need to be the LNG import terminal that the company was
Opposition to the overcome. building in Puerto Rico, within the port of San
company’s plans could This week, an opinion piece published in the Juan. It did so after a wide variety of non-gov-
result in increased Philadelphia Inquirer called on the US Federal ernmental organisations (NGOs) in Puerto
regulatory scrutiny once Energy Regulatory Commission (FERC) to Rico, including community, environmental
more. scrutinise NFE’s plans to liquefy gas in Pennsyl- and religious groups, filed complaints against
vania and transport it to New Jersey by rail or the project.
WHAT NEXT: truck for export. Some of these claims included statements of
The project to export LNG The Delaware River Basin Commission concern about the possibility that the terminal
from the US Northeast (DRBC) approved a permit for construction of or the ships bringing LNG to the facility might
has numerous other the marine terminal at Gibbstown, New Jersey, explode, while others raised questions about the
hurdles to overcome and from which NFE would export LNG in Decem- environmental risks of gas leaks. Meanwhile,
its status is uncertain. ber 2020. However, the authors of the opinion one of the NGOs involved in the campaign
piece – Philly Boricuas community organiser against NFE’s project – Alianza de Energía
Fermin Morales and New Jersey State Confer- Renovable Ahora (AERA), an environmental
ence NAACP environmental and climate justice advocacy group that favours the expansion of
chairman Marcus Sibley – have argued that the renewable energy capacity – pointed to proce-
facility should also be subject to FERC review. dural irregularities.
Currently, the project is not deemed subject to In its complaints, AERA alleged that NFE
FERC jurisdiction, and an NFE subsidiary filed had not met all of the relevant requirements for

NFE’s proposal would
involve LNG being
shipped by train or
truck from Pennsylvania
to New Jersey for
export.

P6 www. NEWSBASE .com Week 37 16•September•2021