U.S. Rep. Vicente Gonzalez of McAllen has written to President Biden to urge him to refocus on policies that support U.S. liquified natural gas.
“LNG exports hold significant benefits for the U.S. economy, energy security, and bolstering our alliances with U.S. partners across the world,” Gonzalez wrote, in his letter to Biden.
“Your continued prioritization of LNG exports ensures a future marked by affordable, accessible, and sustainable energy resources that foster global stability and propel the energy transition.”
Gonzalez’s letter was co-signed by nine other members of Congress: Marc A. Veasey, Henry Cuellar, Mary Sattler Peltola, J. Luis Correa, Sylvia R. Garcia, Donald G. Davis, Jim Costa, Colin Z. Allred and Lizzie Fletcher.
The letter concluded:
“As the United States continues to lead in global stability and energy resources, the export of U.S. LNG is a linchpin for fostering strong international partnerships, diversifying energy supplies, and reducing dependence on volatile regions. The Administration’s support for U.S. LNG is not only a boon for America but a beacon for the world’s pursuit of cleaner, more sustainable energy sources.
“We look forward to collaborative efforts in preserving U.S. LNG exports as a vital component of the nation’s energy and national security strategy.”
Here is the letter in full:
February 1, 2024
The Honorable Joseph R. Biden, Jr. President
1600 Pennsylvania Ave., NW Washington, D.C. 20500
Dear President Biden:
We write to urge you and your administration to refocus on policies that support U.S. liquified natural gas (LNG) exports. Your continued prioritization of LNG exports ensures a future marked by affordable, accessible, and sustainable energy resources that foster global stability and propel the energy transition. We firmly believe that LNG exports hold significant benefits for the U.S. economy, energy security, and bolstering our alliances with U.S. partners across the world.
As the world’s leader in global stability and energy resources, the United States must continue to lead the way in ensuring the security of our own energy supplies and those of our allies. The export of U.S. LNG fosters strong alliances and partnerships with our global counterparts. Our exports help to diversify energy supplies and reduce reliance on unstable regions, reinforcing global energy security.
- By providing a reliable, affordable, and cleaner source of energy for our trading partners, we reduce dependence on countries like Russia that use energy as a weapon. As demand for energy continues to grow, the United States is positioned to strengthen our economic and diplomatic ties around the world, which will promote energy cooperation and support for our partners in their pursuit of sustainable and secure energy sources.
It is critical to recognize that U.S. LNG exports are not only good for America, but the use of LNG is directly related to the global community’s ability to meet its emissions reduction goals by 2050. As international markets transition to cleaner energy sources, U.S. LNG provides a viable, cleaner-burning alternative for countries still reliant on coal and other high-intensity fuels. Every molecule of U.S. LNG exported helps limit the growth of global emissions and provides energy security around the world.
- Availability, reliability, and affordability are the three primary concerns of nearly every energy consumer. Now, coal resources are both available and affordable in countries like India and China that are driving demand growth on a global basis. Regrettably, for the next few years, coal will continue to increase and its impact on sustainability will grow. U.S. LNG is critical to shifting this reliance from coal to gas.
- American natural gas is abundant and the cleanest burning fossil fuel in the world. It is a crucial input for feeding the world and keeping families warm through cold winters. Natural gas serves as the primary source for ammonia production for fertilizers for our food crops and the primary source for heating millions of households worldwide.
The emissions reductions of U.S. LNG should not be underestimated. If U.S. LNG replaced international coal usage by 2030, it would have the equivalent climate impact of electrifying every vehicle in the U.S., installing rooftop solar on every U.S. home, and doubling our current wind capacity. As the leading
producer and exporter of natural gas, the United States has an obligation to assist these countries in their energy transitions.
- If we took the share of renewable energy consumption globally from 5% to 10% of the energy mix, it would offset to some extent the clear focus that we are seeing on ever-growing coal supply and demand. But the world will still need new sources for 50% of our future energy growth. Availability and affordability are paramount to global consumers, and sustainability will depend on the goodwill of the United States providing alternative sources.
U.S. LNG exports are a key driver of economic growth & stability. By expanding LNG export infrastructure and capabilities, we create new opportunities for American businesses, stimulating economic growth and creating high paying jobs throughout the United States. The energy industry’s development is bolstering our middle class, strengthening communities, and contributing to the United States’ overall economic competitiveness on the global stage.
- The US natural gas industry provides more than 1 million American jobs and improves our national trade deficit by a factor of $60-$100 billion per year.
- Despite these tumultuous and uncertain times, U.S natural gas prices at the Henry Hub have remained below $3.00 mmbtu since late January 2023, even as U.S. natural gas exports sustained record-high levels.
- It is time to dispel with the false narrative that U.S. LNG exports have an impact on domestic prices. Despite record high LNG exports, U.S. natural gas prices have collapsed since February 2022. Let’s be clear: U.S. LNG exports have not had any sustained and significant direct impact on natural gas prices domestically.
We express our appreciation to the you, and your administration for your historic commitment to the promotion of U.S. LNG exports. The Administration’s previous efforts resonate with our conviction that LNG plays a pivotal role in advancing crucial national interests, including economic prosperity, energy security, and the fortification of global alliances. As the United States continues to lead in global stability and energy resources, the export of U.S. LNG is a linchpin for fostering strong international partnerships, diversifying energy supplies, and reducing dependence on volatile regions. The Administration’s support for U.S. LNG is not only a boon for America but a beacon for the world’s pursuit of cleaner, more sustainable energy sources.
We look forward to collaborative efforts in preserving U.S. LNG exports as a vital component of the nation’s energy and national security strategy.
Sincerely,
Marc A. Veasey
Henry Cuellar
Mary Sattler Peltola
J. Luis Correa
Sylvia R. Garcia
Donald G. Davis
Jim Costa
Vicente Gonzalez
Colin Z. Allred
Lizzie Fletcher
Members of Congress
