FERC to Require Gas Pipelines to Calculate Climate Costs?

In late March, the Federal Energy Regulatory Commission (FERC) proposed that natural gas infrastructure projects would need to account for their impact on climate change and environmental justice. Such a requirement would seem to exceed the agency’s authority. (Companies that want to build new interstate gas pipelines and gas export terminals must first win FERC’s approval.)

The State of the Ohio (along with many others) has filed comments critical of the proposal, referring to it as “the most significant regulatory encroachment upon individual liberty and state sovereignty in American history.” The American Petroleum Institute, an OMA member, also expressed strong concern.

OMA Chief Energy Counsel Kimberly Bojko, partner at the Carpenter Lipps & Leland law firm, is still reviewing the FERC documents and applicable law, but believes that FERC’s proposal to regulate emissions and environmental impacts may exceed the agency’s statutory jurisdiction.

Members are invited to learn more about this development and join the discussion at the May 11 meeting of the OMA Energy Policy Committee. Register today. 4/28/2022