Cramer: House Passes Natural Gas Permitting Reform

Press Release

Today the House of Representatives passed legislation cosponsored by Congressman Kevin Cramer to reform the pre-filing review process for natural gas pipeline permit applications. The Natural Gas Pipeline Permitting Reform Act addresses excessive delays in application reviews and increased demand for pipeline capacity in light of the natural gas production boom.

The Federal Energy Regulatory Commission (FERC) is the lead review agency for interstate natural gas pipeline project applications. After the FERC completes its environmental review, various federal and state permitting agencies are required to complete their respective reviews no later than 90 days later. However, no enforcement measure is in place for agencies failing to meet the 90-day deadline. A December 2012 study found delays of more than 90 days have risen 28 percent after a 2005 attempt to reform the permitting process in the Energy Policy Act of 2005. Delays of 180 days have increased by 20 percent. The bill would reduce delays by putting the permit into effect if an agency does not respond within the 90-day timeframe and allow the FERC to offer technical assistance to the agency in addressing conditions preventing the completion of their review.

"The surge in natural gas production requires a lean and efficient government processing system for pipeline applications. We are a long way from having adequate infrastructure to fully utilize this resource, but we can get there faster without compromising other resources we value with the right review process. Full utilization of this bountiful resource means more affordable energy and renewed competition for doing business in America," said Cramer.

Prior to his election to the United States House of Representatives, Cramer served on the North Dakota Public Service Commission. During his tenure, beginning in 2003, Cramer dealt with all aspects of the Commission's portfolio, including pipeline and electrical transmission siting, regulation of North Dakota's three investor owned utilities, and management of North Dakota's Surface Mine Coal Reclamation Act State primacy program.

The Natural Gas Pipeline Permitting Reform Act also passed the 113th Congress on November 21, 2013 with support from Congressman Cramer.

"Really what our bill tries to accomplish is to bring the federal permitting process more in line with the efficiencies of this development surge we're seeing in natural gas. It's obviously a great natural resource, we are number one in the world in production. Now we need to be number one in the world in the ability to move the product to market, providing security for the consumers, security obviously for our nation's borders, and opportunity to increase America's competitiveness in the global marketplace," Cramer added.

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