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09/03/2013

Manufacturers Urge for More Energy Exports & Diversified Resources

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The Department of Energy (DOE) on August 7 authorized natural gas exports to non–free trade agreement countries from the Lake Charles liquefied natural gas (LNG) terminal in Louisiana. Manufacturers applauded this action and urged the DOE to move forward quickly with the remaining applications.

“Nineteen applications remain stuck in bureaucratic limbo at the agency,” said National Association of Manufacturers (NAM) Vice President of Energy and Resources Policy Ross Eisenberg in a statement. “At the DOE’s current pace, these projects could be waiting several years before their applications are even considered. The DOE needs to be more nimble and work through these applications more quickly to give businesses greater certainty.”

Manufacturers believe principles of free trade and open markets should govern whether companies can move forward and construct LNG export terminals on U.S. soil. “By unnecessarily delaying a decision on the remaining applications, the DOE is unfairly distorting the market,” Eisenberg said. “The law requires the DOE to make an up-or-down national interest determination for each LNG project on a case-by-case basis. Each project deserves the fairness of an up-or-down decision in a prompt fashion.”

Earlier this summer, Eisenberg testified before the House Subcommittee on Energy and Power on export opportunities for energy producers in the United States. That same day, we welcomed a significant win on one of our top priorities when the U.S. Army Corps of Engineers announced it would limit the scope of its environmental review of proposed coal export terminals in the Pacific Northwest. While the Corps’ decision is hardly the end of the permitting process, it is a positive step toward the creation of nearly 12,000 jobs at the terminals, plus many more along the supply chain.

The NAM (NAHAD is a member association of NAM) is a founding member of the Alliance for Northwest Jobs & Exports, a broad coalition of manufacturers and agricultural, labor, civic and other organizations that supports new energy export projects in Oregon and Washington State. 

NAM also continues to press for the President’s approval of the Keystone XL pipeline. Despite years of consideration and multiple environmental reviews—which have only strengthened the case for the pipeline—the Administration continues to delay and put up new and unnecessary roadblocks.

It’s been nearly five years since the presidential permit application was filed to construct the pipeline. The pipeline would create 20,000 construction jobs and an additional 118,000 jobs in the supply chain. These are jobs to manufacture the steel, valves, compressor stations and heavy equipment necessary to make the pipeline become a reality. Keystone XL needs to be approved for the good of our country’s competitiveness, our nation’s energy consumers, our national interests and especially the 138,000 Americans who desperately need the jobs that this project would create.

When the Senate returns on September 9, it will likely continue consideration of S. 1392, the Energy Savings and Industrial Competitiveness Act of 2013, a bipartisan energy-efficiency bill introduced by Sens. Jeanne Shaheen (D-NH) and Rob Portman (R-OH). NAM President and CEO Jay Timmons joined Sens. Shaheen and Portman as they introduced the original bipartisan legislation in April and offered manufacturers’ strong support.

Embracing an “all-of-the-above” approach to energy production is a key goal of our Growth Agenda to make the United States the best place in the world to manufacture and attract foreign direct investment. Developing domestic energy resources and expanding existing conservation and efficiency efforts is critical to American energy independence, economic growth and job creation. Oil, natural gas and clean coal remain essential contributors to America’s energy security. The U.S. nuclear energy industry is well-positioned to expand its critical role in providing safe, affordable power. Alternative fuels and renewable energy sources like wind and solar power will also gain increasing importance in the future.

Details: Chip Yost, 202-637-3175, and Greg Bertelsen, 202-637-3174.

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