News Brief

December 4, 2024

FERC suspends its approval of CP2 LNG terminal in Louisiana to make time for additional air quality review

The Federal Energy Regulatory Commission (FERC) has delayed the construction of a new liquified natural gas (LNG) terminal in Southwest Louisiana until it can redo its analysis of how the project would affect local air quality.

FERC’s Nov. 27 order suspended its July 2024 authorization for the CP2 LNG Terminal and CP Express Pipeline. The terminal, proposed in Cameron Parish, Louisiana, would be capable of exporting up to 28 million tons of LNG per year. Natural gas would flow to the terminal from the proposed 91-mile CP Express Pipeline. FERC’s order prohibits construction on either project until additional environmental review is completed.

In its order, FERC acknowledged that a recent D.C. Circuit Court decision requires FERC to do an additional analysis of how the terminal’s emissions of nitrogen dioxide and fine particulate matter would affect local air quality. Both types of pollution are tied to heart and lung diseases.  

FERC’s order came in response to a petition by local residents and environmental groups. Petitioners included the local and regional groups For a Better Bayou, Fishermen Involved in Sustaining Our Heritage, Healthy Gulf, Louisiana Bucket Brigade, Texas Campaign for the Environment, and Port Arthur Community Action Network, as well as national groups Sierra Club, Natural Resources Defense Council, Turtle Island Restoration Network, and Public Citizen.

FERC expects to provide a new draft environmental analysis, known as a supplemental environmental impact statement, in February 2025.

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