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FERC chair: DOE export reviews separate from FERC terminal reviews; environmental justice a priority

Federal Energy Regulatory Commission (FERC) · December 19, 2024

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Summary

Responding to questions about a new Department of Energy LNG study, FERC Chairman Phillips said DOE export determinations are separate from FERC's safety, operation and construction reviews and reaffirmed that environmental justice is a priority in FERC assessments.

Responding to a question about a Department of Energy LNG study that examined climate and community impacts, FERC Chairman Phillips told reporters that DOE's legal determinations on exports are distinct from FERC's jurisdiction over terminal operation, safety and construction.

“First of all, let me be clear. There is a different decision process for DOE and their determination regarding export of LNG and FERC's decision and determination regarding the operation, safety, and build out of domestic LNG terminals,” Phillips said, stressing “Those are 2 separate decision processes. We have no coordination. We have no input on what DOE determines.”

Asked how FERC should incorporate the DOE study’s findings—particularly on climate and community impacts—Phillips said that FERC follows the law and that environmental justice is a priority for his office. “I have said from the beginning, environmental justice is a priority of my championship of this commission,” he said, adding that he intends to address concerns on the front end to avoid protracted litigation.

Phillips also framed environmental justice as personally important, saying, "This is where I'm from. I'm from the Gulf Coast. This is personal to me," and promised to do everything within the law to balance infrastructure development with respect for affected communities.

He did not detail specific procedural changes or timelines for incorporating the DOE study into pending reviews; rather, he emphasized legal distinctions between agencies and reiterated FERC's statutory role.