DSL is likely to approve a major permit for the Jordan Cove LNG project this week. Additionally, the agency continues to lease state-owned land at a bargain-basement price to Oregon LNG, effectively subsidizing the company’s speculation on LNG exports.
For years, Oregonians have called on Oregon’s leaders to halt LNG speculation in Oregon. LNG pipelines would condemn Oregon farms, damage Oregon rivers, and increase our energy prices. We have a long way to go to reach our goal of stopping LNG in Oregon. Please contact Oregon Governor John Kitzhaber today, and urge him to exercise strong leadership in blocking LNG exports in Oregon.
Oregonian Editorial: The rush to haul gasPublished: Thursday, December 15, 2011, 4:54 PM
http://www.oregonlive.com/opinion/index.ssf/2011/12/the_rush_to_haul_gas.html
There may be an economic and global environmental case to make for exporting natural gas from the United States, but it seems a reach in Oregon
Shifting proposed liquified natural gas terminals into reverse, from import to export facilities, requires more careful analysis than the projects have gotten so far.
It's right to look with caution at the proposed Jordan Cove project at Coos Bay, which has flipped abruptly from import to export terminal. The Oregon Justice Department has filed a motion with the Federal Energy Regulatory Commission demanding that it revoke its approval of the Jordan Cove terminal and reopen the record so the state can submit evidence that the revised project is not in the public interest.
Attorney General John Kroger has been outwardly hostile to any and all LNG terminals in Oregon. But the Justice Department is right in this case to argue that an export terminal raises new issues. First and foremost, Oregonians need assurances that throwing open the state's now-isolated gas market won't lead inexorably to higher domestic gas prices. After all, gas that now sells for $3 or $4 per million Btu in the Northwest would be worth three to five times that much in Japan.
The argument for exports is that the discovery of vast shale gas reserves will provide the United States so much gas that it could easily export 10 percent to 20 percent of the nation's daily usage, with little or no effect on prices. Well, maybe. But then again, only three years ago the party line was that the United States would soon be desperate for more of the world's gas.
At least two national studies are under way to assess the economic effects of allowing large exports of natural gas, and it will be next year before researchers and regulators will be able to answer key questions. There's a lot to consider, including whether it's hypocritical to sit in Oregon, which imports about two-thirds of its natural gas from another country -- Canada -- and say no how, no way, to ever exporting gas. There's also the balance of trade to consider, and environmental issues surrounding the necessary pipelines, the badly needed jobs that would be involved in pipeline construction and running the terminal.
There are also two other significant issues that speak to the issue of the highest and best use of available natural gas, wherever it is found. One, a case can be made for hoarding U.S. gas supplies and protecting it for U.S. industrial production. Already, nearly half of U.S. natural gas flows to industries that make chemicals, fertilizers, metal plastics, paper, glass and food products. There surely would be job benefits of husbanding the cheapest gas in the world for these industries.
The counter case, however, argues for spurring gas production and related jobs in the United States, and letting the gas flow far and wide to places such as China and India, where it would help speed the replacement of coal and lead to much greater reductions in greenhouse gases. In a warming world, wouldn't that be a better use for natural gas that is now found in such huge amounts, and is worth so little on the U.S. market, that it is being burned off at some wells?
In time, there will be clearer, better answers to all these questions. But even over the long term, it is hard to see how a terminal in Coos Bay, some 234 miles from the nearest gas hub in Malin, in southeast Oregon, would pencil out as the place to export. If liquified natural gas is going to leave the West Coast for Asia, the first -- and perhaps only -- terminal is likely to be in Kitimat, British Columbia, near major gas supplies. But as the past three years have demonstrated, no one should pretend to know the future of natural gas.
© 2011 OregonLive.com. All rights reserved.
Call and write Governor Kitzhaber Today.Tell Him You Support Strong Action to Stop LNG Exports.
Call the Governor and tell him:
- The State of Oregon needs to scrutinize all applications carefully. In August, 2011 Governor Kithaber said, “I fully expect and will demand that Oregon agencies with a regulatory role relating to LNG facilities scrutinize applications carefully, and deny applications that do not meet applicable state and local standards.” We are asking the Governor to stand by his words, and require DSL to have a legitimate process by requring a curent and updated application for the Port of Coos Bay for an LNG EXPORT terminal.
- The Port’s application to DSL is all about LNG. In the application from the Port to DSL, Jordan Cove LNG is listed as the purpose and need for the project. This permit is clearly about LNG – and it needs to be denied.
- The state should require an updated and accurate application from the Port. The Port’s application discusses Jordan Cove LNG as an import terminal. Jordan Cove recently admitted their intention to export U.S. natural gas from Coos Bay and they just received a certificate from U.S. Department of Energy to export LNG. DSL should not give approval based on the Port’s outdated application. The Port should re-submit a new application with this significant new information.
- LNG exports will harm Oregon. The Governor should take a firm stand against LNG exports, which harm landowners, salmon streams, forests, and would increase natural gas rates for all rate-payers.
- DSL should immediately deny the Port of Coos Bay’s application for massive dredging and excavation in Coos Bay. The Port seeks a permit to dredge over 5.6 million cubic yards for a berth that would be used for LNG exports. The application should be denied because it is misleading and it harms Oregonians.
Contact Information
Governor John Kitzhaber
Phone: 503-378-4582
Email: gov.kitzhaber@state.or.us
Richard Whitman, Natural Resources Policy Director
Phone: 503-378-5145
Email: Richard.M.Whitman@state.or.us
Brett Brownscombe, Natural Resources Policy Advisor
Phone: 503-373-1680
Email: Brett.Brownscombe@das.state.or.us
Mailing Address
Governor's Natural Resources Office State Capitol Building 900 Court Street NE, Suite 160 Salem, OR 97310Fax: 503-378-6827
