FERC Proposes Faster LNG Approvals and Streamlined Natural Gas Project Reviews

The Federal Energy Regulatory Commission on Oct. 15 proposed two measures to streamline oversight of natural gas infrastructure, including changes to environmental reviews and a new authorization framework for liquefied natural gas facilities. The proposals aim to reduce regulatory duplication, simplify approvals, and provide greater certainty for project developers while retaining environmental safeguards.

In a draft policy statement, the commission proposed ending requests for air dispersion modeling from applicants seeking approval for natural gas projects. FERC would also stop relying on such modeling to assess operational air quality effects under the National Environmental Policy Act. Instead, the agency would use other information submitted by applicants and identified by its staff to evaluate potential impacts.

The proposal reflects FERC’s view that the Clean Air Act already provides extensive protections through requirements administered by the Environmental Protection Agency and state regulators. The commission would continue to disclose potential adverse environmental effects while reducing overlap with these agencies’ permitting responsibilities. Interested parties may submit comments on the draft policy statement by Nov. 16, 2026.

Separately, FERC unanimously proposed a blanket authorization program for eligible activities at LNG facilities. The framework would allow qualifying work to proceed without individual authorization orders under the Natural Gas Act. It is modeled on the commission’s existing blanket certificate program for interstate natural gas pipelines, which has operated for approximately four decades.

The proposed program establishes three authorization tiers. Activities that do not increase authorized capacity, expand the facility footprint, or exceed applicable design limits could receive automatic authorization. Projects that increase capacity but remain within the existing footprint and design limits would require 60 days’ advance notice. Construction of new infrastructure, including liquefaction trains, storage tanks, and marine berths, would generally require 90 days’ advance notice, subject to restrictions on facility type, location, and size. The proposal also includes standard environmental and engineering requirements to address potential impacts and ensure compliance with applicable laws. Comments are due 60 days after publication in the Federal Register.

Together, the measures could reduce administrative burdens and facilitate natural gas infrastructure development, although both proposals remain subject to further review and final commission action.