The United States should proceed with caution when considering new natural gas export terminals, according to Energy Secretary Jennifer Granholm. In a statement released by the Energy Department, Granholm warned that “unfettered exports” of liquefied natural gas (LNG) could drive up domestic prices and increase greenhouse gas emissions.
The department’s long-awaited study on the environmental and economic impacts of LNG exports found that U.S. shipments lead to higher wholesale prices and often displace renewable energy sources like wind and solar power. The report also stated that increased LNG exports would result in higher global greenhouse gas emissions, even with new technologies to capture and store carbon emissions.
Granholm cautioned that “unfettered exports of LNG would increase wholesale domestic natural gas prices by over 30%” and cost American households an additional $100 per year by 2050. She argued that the Biden administration’s pause on new LNG projects is necessary to avoid a business-as-usual approach that is neither sustainable nor advisable.
The Energy Department report coincided with criticism from environmental groups, who say that unchecked LNG exports would exacerbate climate change and harm public health. Activists argue that these export terminals are “climate bombs” that threaten the planet’s well-being.
While some industry leaders have defended the LNG pause as unnecessary, the department’s analysis suggests that increased exports could lead to higher domestic prices, lower renewable energy adoption, and greater greenhouse gas emissions. The study was released as part of a broader review of the U.S. natural gas industry’s environmental and economic impact, highlighting the need for careful consideration and regulation in this critical sector.
Source: https://apnews.com/article/lng-exports-biden-europe-climate-russia-625e8e2dfa0a98d81267ff2609b132c9