Critics Warn Permit Freeze Will Benefit American Adversaries Russia and Qatar
(Win McNamee/Getty Images)
The House on Thursday passed a bill overriding President Joe Biden’s decision to halt domestic Liquefied Natural Gas (LNG) production, amid concerns that the permit freeze will benefit American adversaries such as Russia and Qatar.
The Unlocking Our Domestic LNG Potential Act, introduced by Rep. August Pfluger (R., Texas), received approval from 215 Republicans and 9 Democrats. Although the Democrat-controlled Senate is not expected to take it up, the vote allowed House Republicans to firmly oppose the LNG ban ahead of the 2024 election.
Biden’s order has garnered praise from left-leaning climate groups but has faced criticism from conservatives and national security hawks.
The policy is seen as an election-year concession to Biden’s progressive base. Left-leaning donors have poured millions of dollars into activist groups advocating for the LNG pause, as reported by the Wall Street Journal.
John Podesta, Biden’s incoming climate czar, played a leading role in pushing for the policy behind the scenes, according to sources cited by the Washington Free Beacon. Interestingly, Podesta’s brother, Tony Podesta, a powerful lobbyist in Washington, has represented various foreign clients in the LNG industry who could benefit from the U.S. permit freeze, as reported by the Free Beacon on Thursday.
During a floor speech, Rep. Tim Walberg (R., Mich.) highlighted Tony Podesta’s lobbying activities and called for the LNG freeze to be overturned. Walberg stated, “Today it was reported that one of the plan’s main architects, soon-to-be climate envoy John Podesta, might have other reasons to damper America’s LNG future. His brother [is] a long-time lobbyist for foreign LNG companies, including one founded by Russian energy oligarchs.”
Rep. Cathy McMorris Rodgers (R., Wash.), the chairwoman of the House Energy and Commerce Committee, emphasized the importance of American LNG exports in supporting our European allies since Russia invaded Ukraine. She stated, “Since the invasion, American LNG has helped them reduce their natural gas prices by over 83 percent and reduce their dependence on Russia.”
The United States is the leading global producer of LNG. Critics argue that the LNG pause will undermine American energy independence and compel other countries to rely on U.S. adversaries like Russia and Qatar to meet their energy needs.
“Less U.S. LNG on the global market will ensure Qatar and Russia receive hundreds of billions of dollars that would otherwise go to the U.S.,” revealed an energy industry insider to the Free Beacon this week.
How has Russia used its energy dominance in the past to gain political leverage and how does reducing domestic LNG production increase its influence?
Restrictions-11659947555″>Wall Street Journal.
However, critics argue that halting domestic LNG production will only benefit American adversaries, particularly Russia and Qatar. These countries are major exporters of natural gas and have been using their energy resources as a political tool to exert influence over Europe and other countries.
By limiting domestic production, the United States will become more dependent on foreign gas imports, making it vulnerable to price fluctuations and potential geopolitical manipulation by these adversarial nations. This could pose a threat to American energy security and economic stability.
Russia, in particular, has a history of using its energy dominance to gain political leverage. It has previously cut off natural gas supplies to Ukraine and other European countries during geopolitical conflicts. By reducing its own LNG production, the United States risks giving Russia even greater influence and leverage over global energy markets.
Similarly, Qatar, the world’s largest exporter of LNG, has been using its energy resources to increase its influence in the Middle East and beyond. With the United States relying more on imported gas, Qatar could exploit this dependency to further its own geopolitical agenda, potentially undermining American interests in the region.
Critics also argue that halting domestic LNG production goes against the goal of energy independence and puts American jobs at risk. The natural gas industry has been a major driver of economic growth and job creation in recent years, particularly in states like Texas and Pennsylvania.
Moreover, the United States has made significant strides in reducing greenhouse gas emissions by shifting from coal to natural gas for electricity generation. Natural gas is a cleaner-burning fuel and has helped the country make progress towards its climate goals.
Instead of stifling domestic LNG production, critics propose a balanced approach that supports both environmental sustainability and American energy security. This could include investing in clean energy technologies, promoting energy efficiency, and exploring alternative sources of natural gas.
In conclusion, the decision to halt domestic LNG production raises concerns about the potential benefits it may provide to American adversaries like Russia and Qatar. By reducing American energy independence and increasing reliance on foreign gas imports, the United States could expose itself to geopolitical risks and threats to its economic stability. Critics argue for a more balanced approach that supports both environmental sustainability and American energy security.
Now loading...