{"id":358338,"date":"2024-12-23T10:25:40","date_gmt":"2024-12-23T09:25:40","guid":{"rendered":"https:\/\/climatescience.press\/?p=358338"},"modified":"2024-12-23T10:25:43","modified_gmt":"2024-12-23T09:25:43","slug":"abject-nonsense-biden-admins-new-report-on-gas-exports-basically-undermines-one-of-its-key-conclusions","status":"publish","type":"post","link":"https:\/\/climatescience.press\/?p=358338","title":{"rendered":"\u2018Abject Nonsense\u2019: Biden Admin\u2019s New Report on Gas Exports Basically Undermines One of Its Key Conclusions"},"content":{"rendered":"\n
\"\"<\/figure>\n\n\n\n

<\/p>\n\n\n\n

From Watts Up With That?<\/a><\/p>\n\n\n\n

THE DAILY CALLER<\/a><\/p>\n\n\n

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\"\"<\/figure>\n<\/div>\n\n\n

Nick Pope<\/a>
<\/strong>Contributor<\/p>\n\n\n\n

Available data and recent history contradict one of the key points of the Biden administration\u2019s long-awaited study on liquefied natural gas (LNG) exports and Energy Secretary Jennifer Granholm\u2019s attempt to spin the study into something it is not.<\/p>\n\n\n\n

The Department of Energy (DOE) released the study<\/a> on Tuesday, nearly a year after the Biden administration froze<\/a> approvals for LNG exports to non-free trade countries in January. The paper stops short of determining that more LNG export capacity is not in the public interest, but it suggests that significant growth in exports will drive up domestic natural gas prices despite all available evidence indicating that the exact opposite is true.<\/p>\n\n\n\n

\u201cThe U.S. Department of Energy\u2019s updated study finds that a wide range of domestic consumers of natural gas \u2013 from households to farmers to heavy industry \u2013 would face higher prices from increased exports,\u201d Granholm said<\/a> in a statement addressing her agency\u2019s report. \u201cThe study put forward today finds that unfettered exports of LNG would increase wholesale domestic natural gas prices by over 30%. Unconstrained exports of LNG would increase costs for the average American household by well over $100 more per year by 2050.\u201d (RELATED: \u2018That Is Hilarious\u2019: Energy Secretary Cackles When Asked About Rising Gasoline Prices)<\/a><\/strong><\/p>\n\n\n\n

\n

Before the Biden admin. decided this week to delay approving the massive CP2 LNG export terminal, White House officials met with a 25-year old TikTok influencer driving an online campaign to kill the project.<\/p>\n\n\n\n

Via @DailyCaller<\/a> News Foundationhttps:\/\/t.co\/UW6dVVgaS5<\/a><\/p>\n\n\n\n

\u2014 Nick Pope (@realnickpope) January 25, 2024<\/a><\/p>\n<\/blockquote>\n\n\n\n

<\/a><\/p>\n\n\n\n

The study released this week is not the first DOE publication to suggest that growing LNG exports might bring about higher domestic prices: In 2012, the agency\u2019s Energy Information Administration also projected<\/a> a potential 54% increase in the wellhead price \u2014 the price of gas at the point of production \u2014 by 2018 in the event of a rapid introduction of new LNG export capacity. Between 2012 and today, a period in which American LNG exports accelerated massively, domestic natural gas prices fell as export volumes increased substantially, according<\/a> to data analysis from the Chamber of Commerce.<\/p>\n\n\n\n

The Shale revolution<\/a> of the late 2000s and early 2010s prompted massive growth in the U.S. natural gas industry, but American LNG exports were essentially a non-factor prior to 2016, according<\/a> to the Center for Strategic and International Studies. Today, the U.S. is the world\u2019s leading LNG exporter and is on track to approximately double the LNG export capacity of Qatar \u2014 the world\u2019s number two exporter \u2014 by 2028.<\/p>\n\n\n\n

Granholm actually concedes that higher exports does not mean higher domestic prices in her assessment of the DOE LNG study, writing that \u201cto date, U.S. consumers and businesses have benefited from relatively stable natural gas prices domestically as compared to those in other parts of the world who have faced far greater price volatility.\u201d In effect, Granholm is stating that U.S. natural gas prices have remained \u201crelatively stable\u201d over the same period of time in which the American LNG industry blossomed into the global leader.<\/p>\n\n\n\n

\u201cThere is zero evidence of any such correlation,\u201d David Blackmon, a 40-year veteran of the oil and gas industry who now writes and consults on the energy sector, told the Daily Caller News Foundation regarding Granholm\u2019s suggestion that more exports could lead to higher domestic prices. \u201cIt is abject nonsense.\u201d<\/p>\n\n\n\n

Moreover, Granholm also presided over a period of rising energy costs in the U.S., increases that energy market analysts like Travis Fisher<\/a>, director of energy and environmental policy studies for the Cato Institute, attribute to the Biden administration\u2019s $1 trillion-plus<\/a> green energy and climate agenda.<\/p>\n\n\n\n

\u201cGranholm\u2019s letter, and its leaking to the New York Times, was a cynical and transparent attempt to try to punch up the study\u2019s findings, which actually make the case that continued growth in the LNG export business is in the national interest,\u201d Blackmon said. \u201cIt is the sort of political game-playing that has typified the entire Biden presidency, and which probably helped Donald Trump get elected to a second term in office. The public has grown weary of all of this kind of nonsense.\u201d<\/p>\n\n\n\n

S&P Global released its own study<\/a> on the impacts of long-term U.S. LNG export growth on the same day that DOE put out its report. S&P\u2019s analysis found that domestic natural gas prices have not increased despite massive export growth, and that the LNG industry has the potential to contribute $1.3 trillion to U.S. GDP by 2040, in addition to generating enormous tax revenues for the public coffers.<\/p>\n\n\n\n

Nevertheless, Granholm contended in her assessment that her agency\u2019s most recent \u201cpublication reinforces that a business-as-usual approach is neither sustainable nor advisable.\u201d<\/p>\n\n\n\n

With respect to sustainability, U.S. LNG \u2014 which is cleaner<\/a> than gas from Russia, Qatar and most other places \u2014 is thought by analysts<\/a> to have enormous potential to displace dirtier fuels like coal in other countries, thereby decreasing emissions relative to \u201cbusiness-as-usual\u201d and maintaining energy reliability given the intermittent<\/a> nature of renewables.<\/p>\n\n\n\n

As far as whether or not it is \u201cadvisable,\u201d particularly for investors and developers, to expand LNG export capacity, Blackmon said it is not the government\u2019s role to determine which private investments are \u201cadvisable\u201d or not. Instead, it\u2019s the private sector\u2019s responsibility to determine which investments make sense and which do not, with those who correctly read the market reaping the benefits while those who make bad investment decisions absorb the consequences of those choices.<\/p>\n\n\n\n

\u201cNot only is this not Granholm\u2019s job, the study findings in the report published Tuesday simply do not support any such conclusion,\u201d Blackmon said.<\/p>\n\n\n\n

The DOE did not respond immediately to a request for comment.<\/p>\n\n\n\n

All content created by the Daily Caller News Foundation, an independent and nonpartisan newswire service, is available without charge to any legitimate news publisher that can provide a large audience. All republished articles must include our logo, our reporter\u2019s byline and their DCNF affiliation. For any questions about our guidelines or partnering with us, please contact licensing@dailycallernewsfoundation.org<\/a>.<\/em><\/p>\n\n\n\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

Available data and recent history contradict one of the key points of the Biden administration\u2019s long-awaited study on liquefied natural gas (LNG) exports and Energy Secretary Jennifer Granholm\u2019s attempt to spin the study into something it is 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