ARI SHAPIRO, HOST:
U.S. oil and gas production has hit record levels in recent years. And the U.S. is now the world’s biggest exporter of liquefied natural gas. The natural gas industry has plans for more expansion, and President-elect Donald Trump campaigned on boosting fossil fuel production. But this week, the Biden administration issued a stark warning against exporting more natural gas, finding it could raise American energy bills. Halle Parker has been reporting on this for member station WWNO in New Orleans. Hi.
HALLE PARKER, BYLINE: Hey, Ari.
SHAPIRO: Tell us more about this warning from the Biden administration. What does it say?
PARKER: Yeah, first, a little context. So earlier this year, the Biden administration actually paused new permits to export LNG - that’s liquefied natural gas, or gas that’s been supercooled for shipping. And the Department of Energy had said it needed to research the impacts on the economy and the climate, and that study is now out. And it actually found if the U.S. boosts its natural gas exports without restrictions, it could lead to higher gas and electricity bills, worsen inflation and drive up U.S. carbon emissions. And it was sort of surprising to hear just how blunt Energy Secretary Jennifer Granholm was when she spoke to reporters, saying more expansion isn’t sustainable.
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JENNIFER GRANHOLM: Further increasing exports unconstrained would surely generate more wealth for the LNG industry. But American consumers and communities and our climate would pay the price.
PARKER: On top of that, the study found that the U.S. is already exporting enough LNG to meet global gas demand and then some. So the need isn’t really there, and more fossil fuel production would worsen climate change.
SHAPIRO: You’re in New Orleans, and this is a big deal on the Gulf Coast. That’s where most of these LNG plants are being built and proposed. How is the study being received?
PARKER: So the Center for LNG, it’s this big industry group. They said they thought that the study actually supported the expansion. They felt the secretary mischaracterized the results and is still looking forward to working with the Trump administration to fully unlock U.S. LNG moving forward, something that state and local leaders on the Gulf Coast have welcomed. But the response from people who live around these LNG plants has been mixed. This area is already a hot spot for the oil and gas industry and petrochemical pollution. You know, community advocates here actually really pushed for this study to even happen. Roishetta Ozane lives in southwest Louisiana. And she said it really just affirmed what her community had already been saying, that these plants could worsen air pollution and make them more vulnerable to climate change.
ROISHETTA OZANE: My children, who face health issues, should not have to bear the burden of decisions that prioritize corporate profit over our health and safety.
PARKER: She and other advocates say this study, while not binding, gives them ground to challenge this expansion, especially because the Trump administration plans to approve new LNG projects as soon as they enter office.
SHAPIRO: Well, it’s not binding, so how much of an impact does this have on the Trump administration when they take office next month?
PARKER: The Department of Energy is supposed to use this study to inform whether it will authorize each new export permit, but how seriously the Trump administration will take this study remains to be seen. And many economists say the market for LNG is already saturated.
SHAPIRO: All right.
PARKER: So it could end up being the market and not any administration that decides how much this industry can expand.
SHAPIRO: Halle Parker of WWNO. Thank you.
PARKER: Thank you. Transcript provided by NPR, Copyright NPR.
