Center For LNG: California Bill Seeking LNG Study is Redundant and Wasteful

Washington, D.C. (PRWEB) July 20, 2007 -- The Center for Liquefied Natural Gas (CLNG) today urged California's state legislators to oppose a bill that would require the California Energy Commission to undertake an additional study of the need for LNG in California. SB 412 attempts to supersede federal authority by preempting an already existing rigorous approval process for building liquefied natural gas (LNG) terminals in California.

"This legislation is redundant and a waste of taxpayer dollars, since the "need" for LNG in California already has been established," said Bill Cooper, executive director of CLNG. "With more than 40 percent of California's electricity powered by natural gas, SB 412 will only result in senseless delays that could lead to even higher gas and electricity rates for consumers and businesses. Clearly, California needs more natural gas and LNG is the only viable answer."

In their 2005 Integrated Energy Policy Report, The California Public Utilities Commission and the California Energy Commission determined that California needs LNG to ensure the state has enough affordable natural gas supplies to meet growing demand. Just this week, California Governor Arnold Schwarzenegger highlighted California's need for LNG with his comments regarding the California State Land Commission's vote to approve expansion of the North Baja Pipeline into California. In his press release about the pipeline expansion decision, the Governor said that "Liquefied Natural Gas (LNG) has a place in our state's future energy portfolio -- We need a diverse, dependable and environmentally sound mix of energy sources."

With the need for LNG in California already established, calling for an additional study by the same agency that conducted the 2005 study is clearly an attempt by the bill's supporters to further delay any LNG facility from being built in California. In fact, the approval process for LNG facilities already is very rigorous. Each proposed LNG terminal in California is undergoing extensive review by every level of government from the Federal Energy Regulatory Commission and Coast Guard, to the State Lands and Coastal Commissions and Cal-EPA, to local fire departments and harbor police. To pass this review, LNG terminals and their tankers must comply with stringent clean air rules and regulations to ensure that emissions have a minimal impact. LNG tankers must also carefully follow the guidance of the U.S. Coast Guard to ensure that operations are safe and secure. In fact, LNG terminals and tankers could not be more carefully and thoroughly studied.

Assembly members would be wise to oppose SB 412 if they truly want California to diversify its energy supplies with cleaner burning fuel and power its homes and businesses at affordable prices.

CLNG is a coalition of LNG producers, shippers, terminal operators and developers, energy trade associations and natural gas consumers. Its goal is to enhance public education and understanding about LNG by serving as a clearinghouse for LNG information. For more information, visit www.lngfacts.org.

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