Proceedings Of The Marine

FALL 2015

Proceedings magazine is a communication tool for the Coast Guard's Marine Safety & Security Council. Each quarterly magazine focuses on a specific theme of interest to the marine industry.

Issue link:

Contents of this Issue


Page 28 of 94

26 Proceedings Fall 2015 mostly be subject to Department of Transportation regu- lations, and may be subject to Coast Guard oversight, the question of whether FERC jurisdiction applies is frequently raised. The Natural Gas Act specifcally lists several types of facili- ties that are not subject to Federal Energy Regulatory Com- mission jurisdiction: • those that supply natural gas for use exclusively as vehicular fuel; • those transporting gas within a single state; and • those engaged in natural gas production, gathering, or local distribution. FERC has also generally interpreted its jurisdiction to exclude installations that produce LNG for sale and deliv- ery as an end product (without the liquefed natural gas being vaporized and returned to a pipeline) and those that transport LNG by means other than a pipeline. In 2014, the commission issued four orders addressing its jurisdiction over several facility confgurations: • Gulf Oil Limited Partnership, 148 FERC ¶ 61,029 (2014); • Shell U.S. Gas & Power, LLC, 148 FERC ¶ 61,163 (2014); • Pivotal LNG, Inc., 148 FERC ¶ 61,164 (2014); and • Emera CNG, LLC, 148 FERC ¶ 61,219 (2014). Jurisdiction determination depends on the specifc facts of each case, so while these cases provide some insight into FERC's jurisdictional boundaries, none of these decisions can be extended to apply to facilities with a different con- fguration. However, for LNG facility export operations, the commission generally found its jurisdiction to be limited to installations that involve direct liquefed natural gas trans- fer between an oceangoing carrier and an export facility attached to an interstate pipeline. The commission's process for reviewing liquefed natural gas projects under its jurisdiction consists of three distinct phases: • pre-fling review, • application review, and • post-authorization review. LNG project review process. Graphic courtesy of FERC.

Articles in this issue

Links on this page

Archives of this issue

view archives of Proceedings Of The Marine - FALL 2015