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Energy chief Granholm warns against 'unfettered exports' of liquefied natural gas

WASHINGTON (AP) 鈥 The United States should proceed cautiously as officials consider new natural gas export terminals, Energy Secretary Jennifer Granholm said Tuesday, warning that 鈥渦nfettered exports" of liquefied natural gas, or LNG, could raise who

WASHINGTON (AP) 鈥 The United States should proceed cautiously as officials consider new natural gas export terminals, Energy Secretary said Tuesday, warning that 鈥渦nfettered exports" of liquefied natural gas, or LNG, could raise wholesale domestic prices by more than 30% and increase planet-warming greenhouse gas emissions.

Granholm's statement came as the Energy Department released a , which have grown exponentially in the past decade. The analysis found that U.S. LNG shipments drive up domestic prices and frequently displace renewable energy sources such as wind and solar power.

Increased LNG exports also would lead to higher global greenhouse gas emissions, even with use of technology such as equipment to capture and store carbon emissions, the report said.

鈥淭oday鈥檚 publication reinforces that a business-as-usual approach (to LNG exports) is neither sustainable nor advisable,'' Granholm said.

The Energy Department report comes after the in January to study the effects LNG exports have on the planet. Natural gas emits methane, a potent greenhouse gas, when burned, leaked or released.

LNG is especially energy intensive, since the gas must be retrieved through underground drilling, then piped to export terminals along the East and Gulf coasts. The gas is then 鈥渟uperchilled鈥 into a liquid that is taken by tanker ships to import terminals in Europe and Asia, where it is then reheated into gas and distributed for business and family use.

The oil and gas industry, along with Republican allies in Congress, have decried the LNG pause as unnecessary and counter-productive, and President-elect . The pause is on hold under , but few new terminals have been approved in the past year.

The Energy Department said last week it will not decide on two major LNG export projects in Louisiana until the independent completes environmental reviews of each project.

The American Gas Association called the Biden administration's pause a mistake that has resulted in uncertainty for the global market, investors and America鈥檚 allies around the world.

鈥淭his report is a clear and inexplicable attempt to justify their grave policy error," said AGA president and CEO Karen Harbert. 鈥淎merica鈥檚 allies are suffering from the weaponization of natural gas and energy deprivation, and any limitations on supplying life essential energy is absolutely wrong-headed."

Harbert said the industry group looks forward to working with the Trump administration 鈥渢o rectify the glaring issues with this study during the public comment period,鈥 which lasts until mid-February.

Charlie Riedl, executive director of the Center for LNG, a pro-industry group, said Republican and Democratic administrations, as well as independent researchers, 鈥渉ave continually found that U.S. LNG exports provide economic, national security and climate benefits and serve the public interest."

U.S. LNG 鈥渞emains a vital tool for countries looking to displace dirtier fuels" such as coal and reduce their emissions, Riedl said, adding that U.S. LNG exports play a key role in meeting growing global demand for natural gas. since Russia鈥檚 invasion of Ukraine in 2022.

The LNG pause, announced by President as the 2024 election year began, aligned the Democratic administration with environmentalists who fear the huge increase in LNG exports in recent years is locking in potentially catastrophic planet-warming emissions at a time when Biden has .

鈥淲hile MAGA Republicans willfully deny the urgency of the climate crisis, condemning the American people to a dangerous future, my administration will not be complacent,鈥 Biden said in announcing the pause. His actions 鈥渉eed the calls of young people and frontline communities who are using their voices to demand" climate action, Biden added.

The White House declined to comment on the Energy Department study, referring questions to the agency.

Matthew Daly, The Associated Press

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