US DoE to Extend LNG Export Terms
The US Department of Energy (DoE) is issuing a final policy statement that will allow LNG exports to non-free trade agreement (non-FTA) countries to be extended through 2050, a change from the current practice of only authorising 20-year export terms. US president Donald Trump announced the plan July 29 during a speech in Midland, Texas.
“This policy to utilise export terms through 2050 is the latest of several measures DoE has taken to support US LNG exports and the benefits they bring both to the United States and to our allies around the world,” US energy secretary Dan Brouillete said. “Just this year, LNG exports from the United States will reduce our trade deficit by over $10bn.”
Steven Winberg, the DoE’s assistant secretary for fossil energy, said the new policy will enhance regulatory certainty for US exporters seeking global market share and will position them to better meet long-term global LNG demand.
The department originally advanced the idea of a term extension in a proposed policy statement that was issued for comment in February. In the final policy statement, the DoE is responding to comments received during the notice period and finalising the earlier proposal.
Existing holders of non-FTA export authorisations will now be able to apply to extend their permits through 2050, while existing applicants will be able to amend their pending applications to request an export term through 2050.