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I N N O V AT I O N S • V O L . V I I , N O. 4 • 2 0 1 5
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PIPELINES NEED MORE CERTAINTY IN THE PERMITTING PROCESS
Martin Edwards
VICE PRESIDENT – LEGISLATIVE AFFAIRS DIRECTOR,
INTERSTATE NATURAL GAS ASSOCIATION OF AMERICA (INGAA)
Global
Perspective
Interstate natural gas pipeline operators — and their customers — need
greater certainty in the permitting process if we are to build the enormous
amount of infrastructure needed to link new domestic production to growing
demand. The Interstate Natural Gas Association of America (INGAA) strongly
supports legislation to inject transparency and certainty into the increasingly
protracted process of approving and permitting pipelines.
An INGAA Foundation study released in 2014 found that US$313 billion
in gas infrastructure projects – including pipelines, compressor stations, and
storage and processing – would be required over the next 20 years, largely to
feed growing electricity generation and industrial demand. These projects are absolutely necessary to allow the
American public to enjoy the benefits of affordable, abundant, domestic natural gas and to help grow its economy.
While the Federal Energy Regulatory Commission
(FERC) is the primary economic regulator of interstate
natural gas pipelines, and determines whether a
pipeline project is in the public interest, pipelines need
myriad federal and state permits before they can start
construction. The FERC process works relatively well, with
a good deal of certainty, but these other permits have
increasingly become a source of delay for recent projects.
The Obama administration recently released its
Quadrennial Energy Review (QER), which focused on all
forms of energy transportation, including pipelines. The
QER recommends greater coordination across agencies
and cost recovery for pipeline modernization, two issues we at INGAA wholeheartedly support. We also appreciated
the call for greater resources for key federal agencies involved in the siting, permitting, and review of infrastructure
projects, including pipelines, and the recognition of the need for statutory reforms to improve coordination across
agencies involved in authorizing and permitting energy infrastructure projects.
Efficient and effective siting and permitting are essential to building the energy infrastructure our nation needs.
This is equally true both for new infrastructure to meet new demand and for modernization to achieve safety and
environmental expectations.
The natural gas transmission industry continues to work with policymakers to improve the permitting process.
This will ensure operators can build important energy infrastructure as quickly as possible, while maintaining
appropriate safeguards to protect the public and the environment.
Map& globe art by
freevectormaps.com.These projects are
absolutely necessary to
allow the American public
to enjoy the benefits of
affordable, abundant,
domestic natural gas and
to help grow its economy.