A conservative think tank and its legal arm are suing to overturn a decision by President Joe Biden in January to pause approvals for applications to export liquefied natural gas (LNG)
NEW ORLEANS (KLFY) -- A conservative think tank and its legal arm are suing to overturn a decision by President Joe Biden in January to pause approvals for pending and future applications to export liquefied natural gas (LNG) from new projects.
On May 16, the Pelican Institute for Public Policy and Liberty Justice Center jointly filed a lawsuit in the United States District Court for the Western District of Louisiana in New Orleans to challenge the ban.
The legal organizations represent the Oil & Gas Workers Association, a nonprofit trade association that represents workers in the oil and gas industry.
The lawsuit argues that it contravenes the 1938 Natural Gas Act’s mandate, violates the separation of powers, exceeds the executive branch’s designated authority by attempting to create law, fails to follow proper rule-making procedure, is an abuse of discretion and poses significant harm to the economy by interfering with a key industry.
“This export ban is unconstitutional and indefensible,” said James Baehr, special counsel at the Pelican Institute for Public Policy. "In addition to the harm it will do to the economy and to tens of thousands of working Americans across the country, it also disregards federal law, flouts the standard rule-making procedure, and threatens our constitutional structure."
The Department of Energy announced in January that it would conduct a review during the pause that will look at the economic and environmental impacts of projects seeking approval to export LNG to Europe and Asia where the fuel is in hot demand.
The review would take months and then will be open to public comment which will take more time, Energy Secretary Jennifer Granholm told reporters in a teleconference in January.
The Pelican Institute lawsuit is not the only legal challenge to the ban. Sixteen states have also jointly filed suit through their attorneys general.
“Tens of thousands of hardworking oil and gas workers across the country depend on the LNG export industry to put food on the table for their families,” said plaintiff Matt Coday, President of the Oil & Gas Workers Association. “This ban will have devastating consequences on their lives and livelihoods unless the court steps in to put an end to the administration’s overreach.”
The legal filings in the case, titled Oil & Gas Workers Association v. Biden, are available here.
