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Committee hears bill to create Gulf Coast interstate compact for liquefied natural gas
Summary
House Bill 2890 would author an interstate compact among Gulf states to coordinate and promote the liquefied natural gas (LNG) industry; sponsor said the bill mirrors prior compacts and is modeled to avoid requiring congressional approval.
House Bill 2890 would amend the Government Code to create an interstate compact aimed at increasing communication and coordination for the liquefied natural gas industry among Gulf states, sponsor Senator Parker told the Senate Committee on Natural Resources.
Senator Parker said the compact would include Texas and other Gulf states "Louisiana, Mississippi, Alabama, and of course, Florida" and is intended to "protect and encourage the liquefied natural gas industry along the Gulf Coast" and improve industry efficiency. Parker described the economic scale of the sector, saying the LNG industry "contributes nearly $44,000,000,000 annually to the U.S. GDP" and that in 2023 LNG exports supported "over 222,000 jobs nationwide with approximately 178,000 of which were located in the coastal region of Texas." He added that a pause placed on pending LNG projects in January 2024 prompted Texas to form an interim committee to protect LNG exports, and that HB 2890 was born from that committee report.
A committee member asked whether the compact would require congressional approval under the Constitution; Parker said the bill\'s language mirrors prior compacts the Senate has passed and "does not require congressional approval." The committee had no registered public witnesses and closed public testimony. The committee left House Bill 2890 pending.
Discussion vs. decision: Testimony was limited to the sponsor\'s presentation and committee questions; no amendments or votes occurred. The committee recorded no public opposition during this hearing.
