FERC Eases Permit Rules to Speed Up Gas Pipeline Construction
(P&GJ) — The Federal Energy Regulatory Commission (FERC) on June 18 took several steps aimed at accelerating the construction of natural gas infrastructure projects across the United States by reducing regulatory hurdles.
The commission approved a temporary waiver of Order No. 871, which restricts construction activities while rehearing requests are pending. FERC also introduced a proposal to permanently repeal the rule.
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Additionally, FERC approved a temporary increase to cost thresholds under which natural gas companies may undertake modifications or build facilities without first obtaining individual certificates of public convenience and necessity. The change is intended to offer more flexibility and reduce permitting delays for certain low-impact projects.
“New and expanded natural gas infrastructure is essential to help America avoid a grid reliability crisis,” said FERC Chairman Mark Christie. “As the demand for electrical power continues to grow, getting more natural gas generation built is critically important and that means we must get natural gas infrastructure to supply that generation built more quickly as well, so that we can provide consumers with reliable power.”
Key actions taken include:
- A two-year waiver temporarily raising blanket certificate cost limits, and a Notice of Inquiry to consider making those changes permanent.
- A one-year waiver of Order No. 871’s construction hold during rehearing requests, and a Notice of Proposed Rulemaking to repeal the rule entirely.
Snippet:
FERC approved waivers and rule changes on June 18 to speed up natural gas pipeline permitting and construction, including a rollback of Order No. 871 and higher blanket certificate cost thresholds.
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