HR8022-118

1. Review of applications for natural gas export and import orders Section 3(a) of the Natural Gas Act (15 U.S.C. 717b(a)) is amended— by striking After six months and inserting the following: After six months by striking The Commission shall issue such order upon application, and inserting Except as provided in subsection (c), the Secretary of Energy shall grant or deny an application for such an order by not later than 180 days after receiving the application. The Secretary shall grant such an application,; and by adding at the end the following: If the Secretary of Energy fails to grant or deny an application for an order under this subsection to export or import natural gas by the deadline described in paragraph (1), the Secretary of Energy shall, not later than 30 days after such deadline, submit to Congress a report that details the reason for the failure. Notwithstanding section 402(f) of the Department of Energy Organization Act (42 U.S.C. 7172(f)), if the Secretary of Energy fails to grant or deny an application for an order under this subsection to export or import natural gas by the deadline described in paragraph (1), the Federal Energy Regulatory Commission shall grant the application, unless, after opportunity for hearing, it finds that the proposed exportation or importation will not be consistent with the public interest. If the Secretary of Energy denies an application for an order under this subsection to export or import natural gas, the applicant may submit to the Federal Energy Regulatory Commission a request to grant the application. The Federal Energy Regulatory Commission shall grant the application or affirm the denial by not later than 60 days after receiving the request. The Federal Energy Regulatory Commission shall grant the application, unless, after opportunity for hearing, it finds that the proposed exportation or importation will not be consistent with the public interest. The Secretary of Energy shall annually submit to Congress a report that— provides a detailed rational for each decision to grant or deny an application for an order under this subsection to export or import natural gas; and identifies— the number of such applications received by the Secretary of Energy during the preceding year; the number of such applications granted or denied by the Secretary of Energy by the deadline described in paragraph (1); and measures implemented by the Secretary of Energy to improve the efficient review of such applications by the Secretary of Energy. Section 3(c) of the Natural Gas Act (15 U.S.C. 717b(c)) is amended to read as follows: For purposes of subsection (a), the importation of the natural gas referred to in subsection (b), or the exportation of natural gas to a nation with which there is in effect a free trade agreement requiring national treatment for trade in natural gas, shall be deemed to be consistent with the public interest, and applications for such importation or exportation shall be granted without modification or delay. The Secretary of Energy shall grant or deny an application for an order under subsection (a) to export natural gas from, or import natural gas to, a low-impact project by not later than 90 days after receiving such application. In this paragraph, the term low-impact project means an LNG terminal for which an application has been submitted under subsection (e) to the Federal Energy Regulatory Commission for the expansion of the capacity of such LNG terminal by not more than 5 billion cubic feet per day. Section 3 of the Natural Gas Act (15 U.S.C. 717b) is amended— in subsection (a), by striking Commission and inserting Secretary of Energy each place it appears; and in subsection (b)(2), by striking Commission and inserting Secretary of Energy. (1)After six months; (2)Effect of delays (A)ReportIf the Secretary of Energy fails to grant or deny an application for an order under this subsection to export or import natural gas by the deadline described in paragraph (1), the Secretary of Energy shall, not later than 30 days after such deadline, submit to Congress a report that details the reason for the failure. (B)Application review by FERCNotwithstanding section 402(f) of the Department of Energy Organization Act (42 U.S.C. 7172(f)), if the Secretary of Energy fails to grant or deny an application for an order under this subsection to export or import natural gas by the deadline described in paragraph (1), the Federal Energy Regulatory Commission shall grant the application, unless, after opportunity for hearing, it finds that the proposed exportation or importation will not be consistent with the public interest. (3)Appeal of denial of an applicationIf the Secretary of Energy denies an application for an order under this subsection to export or import natural gas, the applicant may submit to the Federal Energy Regulatory Commission a request to grant the application. The Federal Energy Regulatory Commission shall grant the application or affirm the denial by not later than 60 days after receiving the request. The Federal Energy Regulatory Commission shall grant the application, unless, after opportunity for hearing, it finds that the proposed exportation or importation will not be consistent with the public interest. (4)Annual reportsThe Secretary of Energy shall annually submit to Congress a report that— (A)provides a detailed rational for each decision to grant or deny an application for an order under this subsection to export or import natural gas; and (B)identifies— (i)the number of such applications received by the Secretary of Energy during the preceding year; (ii)the number of such applications granted or denied by the Secretary of Energy by the deadline described in paragraph (1); and (iii)measures implemented by the Secretary of Energy to improve the efficient review of such applications by the Secretary of Energy.. (c)Expedited application and approval process (1)Free trade agreementsFor purposes of subsection (a), the importation of the natural gas referred to in subsection (b), or the exportation of natural gas to a nation with which there is in effect a free trade agreement requiring national treatment for trade in natural gas, shall be deemed to be consistent with the public interest, and applications for such importation or exportation shall be granted without modification or delay. (2)Low-impact projects (A)In generalThe Secretary of Energy shall grant or deny an application for an order under subsection (a) to export natural gas from, or import natural gas to, a low-impact project by not later than 90 days after receiving such application. (B)Low-impact project definedIn this paragraph, the term low-impact project means an LNG terminal for which an application has been submitted under subsection (e) to the Federal Energy Regulatory Commission for the expansion of the capacity of such LNG terminal by not more than 5 billion cubic feet per day. .