U.S. Department of Energy Streamlining Short-Term LNG Export Authorizations

The U.S. Department of Energy (DOE) announced today the issuance of a policy statement that removes the requirement for long-term LNG export authorization holders to seek separate short-term authorizations to export the same volumes approved for long-term exports. By consolidating this authority in a single authorization without any increase in total approved export volumes, the DOE believes this action will streamline its regulatory process.

Under the terms of this policy statement and blanket order amending current long-term LNG export orders, long-term LNG export authorization holders will no longer need to apply for separate authorization to export the same volumes on a short-term basis. The policy statement and concurrent blanket order also provide for LNG exporters’ pre-commercial or commissioning cargos to be authorized under their long-term export orders on a non-additive basis. 

In the statement DOE noted this measure will lead to administrative efficiency. It will remove a duplicative requirement for exports of LNG to have DOE authorization for the short-term market, where the authorization holder already has long-term export authority. Concurrent with this policy statement, DOE is amending several long-term LNG export orders to add short-term export authority to the long-term orders.

“This policy is a sensible and concrete way DOE can remove unnecessary regulatory burdens for LNG exporters. Those exports bring benefits to our economy, while also helping to reduce global emissions,” said Secretary of Energy Dan Brouillette.