Regulatory, Market, and Legal Barriers to Export Hearing
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U.S. ENERGY ABUNDANCE: REGULATORY, MARKET, AND LEGAL BARRIERS TO EXPORT HEARING BEFORE THE SUBCOMMITTEE ON ENERGY AND POWER OF THE COMMITTEE ON ENERGY AND COMMERCE HOUSE OF REPRESENTATIVES ONE HUNDRED THIRTEENTH CONGRESS FIRST SESSION JUNE 18, 2013 Serial No. 113–57 ( Printed for the use of the Committee on Energy and Commerce energycommerce.house.gov U.S. GOVERNMENT PRINTING OFFICE 85–447 WASHINGTON : 2014 For sale by the Superintendent of Documents, U.S. Government Printing Office Internet: bookstore.gpo.gov Phone: toll free (866) 512–1800; DC area (202) 512–1800 Fax: (202) 512–2104 Mail: Stop IDCC, Washington, DC 20402–0001 VerDate Nov 24 2008 12:20 Jan 27, 2014 Jkt 037690 PO 00000 Frm 00001 Fmt 5011 Sfmt 5011 F:\MY DOCS\HEARINGS 113\113-57 CHRIS COMMITTEE ON ENERGY AND COMMERCE FRED UPTON, Michigan Chairman RALPH M. HALL, Texas HENRY A. WAXMAN, California JOE BARTON, Texas Ranking Member Chairman Emeritus JOHN D. DINGELL, Michigan ED WHITFIELD, Kentucky Chairman Emeritus JOHN SHIMKUS, Illinois EDWARD J. MARKEY, Massachusetts JOSEPH R. PITTS, Pennsylvania FRANK PALLONE, JR., New Jersey GREG WALDEN, Oregon BOBBY L. RUSH, Illinois LEE TERRY, Nebraska ANNA G. ESHOO, California MIKE ROGERS, Michigan ELIOT L. ENGEL, New York TIM MURPHY, Pennsylvania GENE GREEN, Texas MICHAEL C. BURGESS, Texas DIANA DEGETTE, Colorado MARSHA BLACKBURN, Tennessee LOIS CAPPS, California Vice Chairman MICHAEL F. DOYLE, Pennsylvania PHIL GINGREY, Georgia JANICE D. SCHAKOWSKY, Illinois STEVE SCALISE, Louisiana JIM MATHESON, Utah ROBERT E. LATTA, Ohio G.K. BUTTERFIELD, North Carolina CATHY MCMORRIS RODGERS, Washington JOHN BARROW, Georgia GREGG HARPER, Mississippi DORIS O. MATSUI, California LEONARD LANCE, New Jersey DONNA M. CHRISTENSEN, Virgin Islands BILL CASSIDY, Louisiana KATHY CASTOR, Florida BRETT GUTHRIE, Kentucky JOHN P. SARBANES, Maryland PETE OLSON, Texas JERRY MCNERNEY, California DAVID B. MCKINLEY, West Virginia BRUCE L. BRALEY, Iowa CORY GARDNER, Colorado PETER WELCH, Vermont MIKE POMPEO, Kansas BEN RAY LUJAN, New Mexico ADAM KINZINGER, Illinois PAUL TONKO, New York H. MORGAN GRIFFITH, Virginia GUS M. BILIRAKIS, Florida BILL JOHNSON, Missouri BILLY LONG, Missouri RENEE L. ELLMERS, North Carolina (II) VerDate Nov 24 2008 12:20 Jan 27, 2014 Jkt 037690 PO 00000 Frm 00002 Fmt 5904 Sfmt 5904 F:\MY DOCS\HEARINGS 113\113-57 CHRIS SUBCOMMITTEE ON ENERGY AND POWER ED WHITFIELD, Kentucky Chairman STEVE SCALISE, Louisiana BOBBY L. RUSH, Illinois Vice Chairman Ranking Member RALPH M. HALL, Texas JERRY MCNERNEY, California JOHN SHIMKUS, Illinois PAUL TONKO, New York JOSEPH R. PITTS, Pennsylvania EDWARD J. MARKEY, Massachusetts LEE TERRY, Nebraska ELIOT L. ENGEL, New York MICHAEL C. BURGESS, Texas GENE GREEN, Texas ROBERT E. LATTA, Ohio LOIS CAPPS, California BILL CASSIDY, Louisiana MICHAEL F. DOYLE, Pennsylvania PETE OLSON, Texas JOHN BARROW, Georgia DAVID B. MCKINLEY, West Virginia DORIS O. MATSUI, California CORY GARDNER, Colorado DONNA M. CHRISTENSEN, Virgin Islands MIKE POMPEO, Kansas KATHY CASTOR, Florida ADAM KINZINGER, Illinois JOHN D. DINGELL, Michigan H. MORGAN GRIFFITH, Virginia HENRY A. WAXMAN, California (ex officio) JOE BARTON, Texas FRED UPTON, Michigan (ex officio) (III) VerDate Nov 24 2008 12:20 Jan 27, 2014 Jkt 037690 PO 00000 Frm 00003 Fmt 5904 Sfmt 5904 F:\MY DOCS\HEARINGS 113\113-57 CHRIS VerDate Nov 24 2008 12:20 Jan 27, 2014 Jkt 037690 PO 00000 Frm 00004 Fmt 5904 Sfmt 5904 F:\MY DOCS\HEARINGS 113\113-57 CHRIS C O N T E N T S Page Hon. Ed Whitfield, a Representative in Congress from the Commonwealth of Kentucky, opening statement ......................................................................... 1 Prepared statement .......................................................................................... 2 Hon. Bobby L. Rush, a Representative in Congress from the State of Illinois, opening statement ................................................................................................ 4 Hon. Fred Upton, a Representative in Congress from the State of Michigan, opening statement ................................................................................................ 5 Prepared statement .......................................................................................... 6 Hon. Henry A. Waxman, a Representative in Congress from the State of California, opening statement ............................................................................. 7 WITNESSES Jennifer C. Moyer, Acting Chief, Regulatory Program, U.S. Army Corps of Engineers .............................................................................................................. 9 Prepared statement .......................................................................................... 11 Answers to submitted questions ...................................................................... 181 Jeff C. Wright, Director, Office of Energy Projects, Federal Energy Regulatory Commission ........................................................................................................... 21 Prepared statement .......................................................................................... 23 Answers to submitted questions ...................................................................... 184 Christopher A. Smith, Principal Deputy Assistant Secretary and Acting As- sistant Secretary for Fossil Energy, U.S. Department of Energy .................... 30 Prepared statement .......................................................................................... 32 Answers to submitted questions ...................................................................... 186 Mike McGinn, Mayor, City of Seattle .................................................................... 62 Prepared statement .......................................................................................... 65 Answers to submitted questions ...................................................................... 192 Harold P. Quinn, President and CEO, National Mining Association .................. 92 Prepared statement .......................................................................................... 94 Ross E. Eisenberg, Vice President, Energy and Resources Policy, National Association of Manufacturers .............................................................................. 100 Prepared statement .......................................................................................... 102 KC Golden, Policy Director, Climate Solutions ..................................................... 117 Prepared statement .......................................................................................... 119 Lucian Pugliaresi, President, Energy Policy Research Foundation, Inc. ............ 134 Prepared statement .......................................................................................... 136 Bill Cooper, President, The Center for Liquefied Natural Gas ............................ 154 Prepared statement .......................................................................................... 156 SUBMITTED MATERIAL Coal dust analysis, Missoula, Montana, McCrone Associates, Inc. ..................... 177 (V) VerDate Nov 24 2008 12:20 Jan 27, 2014 Jkt 037690 PO 00000 Frm 00005 Fmt 5904 Sfmt 5904 F:\MY DOCS\HEARINGS 113\113-57 CHRIS VerDate Nov 24 2008 12:20 Jan 27, 2014 Jkt 037690 PO 00000 Frm 00006 Fmt 5904 Sfmt 5904 F:\MY DOCS\HEARINGS 113\113-57 CHRIS U.S. ENERGY ABUNDANCE: REGULATORY, MARKET, AND LEGAL BARRIERS TO EXPORT TUESDAY, JUNE 18, 2013 HOUSE OF REPRESENTATIVES, SUBCOMMITTEE ON ENERGY AND POWER, COMMITTEE ON ENERGY AND COMMERCE, Washington, DC. The subcommittee met, pursuant to call, at 10:18 a.m., in room 2123 of the Rayburn House Office Building, Hon. Ed Whitfield (chairman of the subcommittee) presiding. Members present: Representatives Whitfield, Scalise, Shimkus, Pitts, Latta, McKinley, Griffith, Barton, Upton (ex officio), Rush, McNerney, Tonko, Green, Castor, and Waxman (ex officio). Staff present: Nick Abraham, Legislative Clerk; Charlotte Baker, Press Secretary; Sean Bonyun, Communications Director; Matt Bravo, Professional Staff Member; Allison Busbee, Policy Coordi- nator, Energy and Power; Patrick Currier, Counsel, Energy and Power; Andy Duberstein, Deputy Press Secretary; Tom Hassenboehler, Chief Counsel, Energy and Power; Jason Knox, Counsel, Energy and Power; Ben Lieberman, Counsel, Energy and Power; Nick Magallanes, Policy Coordinator, Commerce, Manufac- turing, and Trade; Brandon Mooney, Professional Staff Member; Mary Neumayr, Senior Energy Counsel; Chris Sarley, Policy Coor- dinator, Environment and the Economy; Jeff Baran, Democratic Senior Counsel; Phil Barnett, Democratic Staff Director; Alison Cassady, Democratic Senior Professional Staff Member; Caitlin Haberman, Democratic Policy Analyst; and Elizabeth Letter, Demo- cratic Assistant Press Secretary. OPENING STATEMENT OF HON. ED WHITFIELD, A REPRESENT- ATIVE IN CONGRESS FROM THE COMMONWEALTH OF KEN- TUCKY Mr. WHITFIELD. I would like to call this hearing to order, and to- day’s hearing is entitled ‘‘U.S. Energy Abundance and the Regu- latory, Market, and Legal Barriers to Export.’’ I am going to recog- nize myself for 5 minutes for an opening statement. I would like to say in the beginning that we do appreciate the witnesses that are here with us today. We have two panels of witnesses, and I will be introducing you all right before you have an opportunity to give your opening statement, but I would—do want to thank you very much for joining