WASHINGTON (AP) – New England lawmakers say the Democratic takeover of Congress should strengthen their hand as they press federal regulators to come up with a regional approach to siting liquefied natural gas terminals.
Proposed LNG facilities in Maine, Massachusetts and in Long Island Sound between Connecticut and New York have been controversial, stoking concerns about public safety and the environment.
Because key Democrats from New England will be assuming more powerful roles in the new Congress, advocates for a regional LNG strategy expect to have more leverage in persuading federal officials to scrap the current project-by-project review of proposed facilities – and start looking at the proposals from a broader perspective before giving approval.
The congressmen contend too many LNG proposals are in the approval pipeline while environmental and safety concerns take a back seat, and that not all of the projects are needed to meet the region’s growing energy needs.
“The seismic shift in Congress holds great promise for finally advancing a thoughtful regional approach on the siting of LNG terminals,” said Sue Reid, a staff attorney at the Conservation Law Foundation. “This should put an end to the ‘LNG-derby,’ a first-come-first-served disaster that fails to take into account the relative environmental or public safety merit of LNG projects.”
The Suez Distrigas facility in Everett, Mass., is New England’s only LNG terminal. There are nine pending or proposed LNG terminal projects in New England, Reid said, including the Weaver’s Cove Energy terminal in Fall River, Mass. Though Weaver’s Cove has won Federal Energy Regulatory Commission approval, it is embroiled in legal challenges.
LNG projects are also on the drawing board in eastern Maine, near the Canadian border.
Some energy analysts have predicted that by 2010 there won’t be enough natural gas supply to keep up with the region’s energy needs.
U.S. Rep. James McGovern, D-Mass., who will be the second-ranking Democrat on the Rules Committee, a powerful panel that controls the flow of legislation on the House floor, said New England lawmakers are eager to renew their push for a regional strategy when the new Congress meets next year.
“We are going to have sympathetic committee chairmen and chairwomen who are not going to just do whatever the industry wants them to do,” he said. “That’s been a problem in the past. We’ll have more opportunity to legislate smartly on this issue.”
Lawmakers want a more comprehensive approach by regulators that factors in the region’s overall energy needs before deciding which projects should be approved.
The lawmakers complain that government regulators, who focus on safety and environmental factors, have been reluctant to play the role of regional decision-makers.
There are several proposed projects in the Northeast, including plans to build LNG facilities in the waters off Gloucester, Mass., and on an island in Boston Harbor that have stirred controversy.
Officials at Broadwater Energy, which wants to build a giant floating LNG terminal in Long Island Sound, warn that a regional approach won’t work.
“The problem is, you end up with an endless loop of proposals,” said company senior vice president John Hritcko. “People will protect their own turf. … They like the project so long as it’s not in their area.”
Connecticut Sen. Joe Lieberman, who is in line for the Homeland Security panel chairmanship, opposes Broadwater and considers himself a “strong supporter” of a regional siting approach.
Sen. Edward Kennedy, D-Mass., who will also become a key Senate committee chairman in the new Congress, is among those pushing for a regional strategy.
“The senator is hopeful that the (Bush) administration will be more willing to consider a regional approach to siting these facilities,” said Kennedy spokeswoman Melissa Wagoner.
New England lawmakers who met with Energy Secretary Samuel Bodman last year to urge his agency to adopt a regionwide strategy said he seemed receptive to the idea, but made no promises.
Legislation may be needed to force federal regulators to take a stronger regional approach, McGovern said.
“We met Secretary Bodman and he seemed open to it at the time,” said McGovern. “Basically, he said that’s not his mandate. You know what, we’ll make it his mandate. There needs to be some rhyme or reason as to where these things are located.”
An Energy Department spokesman said officials there were looking forward to working with both parties in the new Congress.
“The department continues to believe that having more access to natural gas is better than having less, especially for the people of the Northeast,” said Energy Department spokesman Craig Stevens. “Energy is a bipartisan issue and we look forward to working with members of both parties to ensure that Americans have access to the energy that they need.”
McGovern and several other lawmakers from Massachusetts and Rhode Island are fighting the proposed Weaver’s Cove terminal. They consider it a public safety threat because of its proximity to city residents. A terrorist strike or accident could be devastating, they warn.
“We don’t think a regional approach is the answer,” said James Grasso, a Weaver’s Cove spokesman. “What will really determine if the project will go or not is the marketplace.”
A prolonged stretch of cold weather could also sway lawmakers, added Grasso.
“If we have a cold winter and the Democrats start getting complaints from constituents about high gas prices, they may respond to that,” Grasso said.
Rep. Patrick Kennedy, D-R.I., however, predicted the incoming Democratic majority on Capitol Hill will transform energy policy.
“The LNG debate in New England is just the latest example of how the Republican-controlled Congress has let the industry dominate this debate,” he said. “With this approach, there are too many important factors left out of the decision process, such as local safety issues and the effects of other projects already in development, as is the case in Canada.”
AP-ES-11-26-06 1256EST
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