Attorneys General Challenge FERC’s Proposed Blanket Permits for LNG Plants

Maryland Attorney General Anthony G. Brown is co-leading a coalition of state attorneys general in opposing the Federal Energy Regulatory Commission’s (FERC) proposed blanket permit process for the construction and expansion of liquefied natural gas (LNG) plants. According to a press release from the Maryland Attorney General’s office, the coalition argues that this approach would allow significant projects to proceed without adequate notice and consultation with affected state and local entities, potentially compromising public safety and straining emergency response capabilities.

The attorneys general have submitted a formal comment letter to FERC expressing their concerns. Their primary objection is to the potential use of a “blanket” permit, which they contend bypasses the mandatory review process and consultation with state and local emergency management authorities mandated by the Natural Gas Act (NGA). The NGA requires LNG developers to coordinate with these local agencies prior to commencing construction on major facilities, ensuring that robust safety systems are in place and that emergency response plans are developed with input from those most familiar with community needs. The attorneys general emphasize that these consultations are crucial for FERC to properly approve applications under the NGA.

The filing also highlights that FERC’s current Notice of Inquiry lacks specificity regarding which types of LNG facilities might be affected by the proposed blanket permit. The coalition is urging FERC to clarify this critical detail before moving forward with any rulemaking. The scope of FERC’s jurisdiction in LNG operations is broad, encompassing various facilities such as large-scale import and export terminals and on-site liquefaction or storage facilities.

Furthermore, the comment letter addresses existing public transparency and environmental concerns associated with LNG plants. The attorneys general note that details regarding facility costs and safety measures are often kept from public disclosure in many FERC filings. They argue that a blanket permit program would likely exacerbate these issues, further limiting public understanding of the potential scope and impacts of proposed LNG projects. Consequently, the coalition is calling on FERC to provide the necessary information for the public to fully comprehend these potential consequences before a proposed rule is issued.

The comment letter was co-led by Maryland Attorney General Brown and Oregon Attorney General Dan Rayfield. They were joined by the attorneys general from Connecticut, Delaware, Massachusetts, Michigan, New York, Rhode Island, and Vermont, representing a broad front against the proposed regulatory change.

Article by Mel Anara, based upon information from the Maryland Attorney General’s Office.

---