Environmental groups challenge federal approval of Louisiana LNG export facility

A coalition of environmental groups on Wednesday challenged the federal government’s energy regulator over the approval of a liquefied natural gas (LNG) export project in Louisiana, alleging it would harm the Gulf of Mexico’s fisheries.

In the challenge, filed in the D.C. Circuit, the Southern Environmental Law Center (SELC) argued the Federal Energy Regulatory Commission (FERC) violated federal law when it authorized Venture Global’s CP2 LNG project in Cameron Parish. The proposed project, which would run 85 miles and connect the export facility to a mainline pipeline in Jasper County, Texas, violates the Natural Gas Act and does not identify a public benefit associated with the project.

“There’s a lot of questions and a lot of evidence on the record that contradicts the assertion of need for this project and any alleged public benefits,” but the FERC failed to take them into consideration, Megan Gibson, a senior attorney at the SELC, told The Hill.

The SELC alleges the FERC relied exclusively on an agreement between Venture Global and an affiliate to determine public benefit, and it did not properly conduct balancing tests to assess the potential harms to the community.

The challenge alleges the project, once operational, would generate more than 8.5 million metric tons of carbon dioxide equivalent. It further notes the export facility itself would affect more than 600 acres in the parish.

The SELC filed the challenge on behalf of the Natural Resources Defense Council and the local organizations For a Better Bayou and Fishermen Involved in Sustaining Our Heritage (FISH), a Louisiana nonprofit representing indigenous commercial fishermen. The SELC previously filed a request for rehearing on the CP2 approval in late July on behalf of the two groups.

“Fossil fuel companies and their government allies moved LNG projects into the region and turned our fishing community upside down. Calcasieu Pass LNG has decimated our fishing industry, and we won’t recover if CP2 LNG is built next to it,” FISH founder Travis Dardar said in a statement. “Last month, FERC made a terrible and unjust decision when they approved CP2, but it’s not too late for the court—or even the Commission—to right this wrong.” 

The Biden administration temporarily suspended new LNG export permits in January pending an assessment of their impacts on climate change, but a Louisiana court ordered them to resume in July.

A FERC spokesperson told The Hill the commission does not comment on pending legal matters.

The Hill has reached out to Venture Global for comment.

— Updated at 1:16 p.m.