US Senate hits obstacles on energy permitting bill

  • : Crude oil, Electricity, Emissions, Natural gas, Oil products
  • 22/09/20

Democrats in the US Senate are struggling to lock down the votes to pass a bill that would expedite energy infrastructure permitting and keep the government funded after the end of this month.

That bill needs bipartisan support to achieve a filibuster-proof 60 votes, particularly because some of the 50 senators who caucus with Democrats plan to vote against the measure. But US senator Joe Manchin (D-West Virginia), who plans to release permitting bill text on Wednesday, said "revenge politics" by Republican leadership could derail a bill that rank-and-file members in the party would probably otherwise support.

"If they're willing to say we're going to close down the government because of a personal attack on me — or basically not looking at the good of the country — this is what makes people sick about politics," Manchin said.

Senate Republicans have said they are waiting for permitting bill text before taking a position. But they have largely rallied behind a more aggressive bill from US senator Shelley Moore Capito (R-West Virginia) that would codify permitting rule changes made under former president Donald Trump and effectively allow states to take over all oil and gas development on federal land.

Manchin said he has heard that Senate Republican leadership is "upset" with him and do not want to give him a win after he voted with Democrats last month to enact a bill with $369bn in climate-related funding. During negotiations on the bill, Manchin won a promise from Senate Democratic leaders to attach his permitting bill to a short-term funding measure needed to prevent a government shutdown after 30 September.

Senate Democrats intend to hold a vote on the combined government funding bill and the permitting bill next week, Manchin said. If the bill passes, it will still need to be taken up by the Democratic-controlled US House of Representatives before it could be enacted.

The permitting bill is expedited to fast-track a permitting process that can stretch for years for major natural gas pipelines, electric transmission lines, renewable energy projects and mines. The measure will set time limits on environmental reviews, limit the power of states to veto development and support the completion of the long-delayed $6.6bn Mountain Valley natural gas pipeline that begins in West Virginia, Manchin's office has said.

Manchin said his bill differs from Capito's permitting bill because it will not "bypass any of the environmental reviews" but instead accelerate that process. Even so, environmentalists and some Democrats strongly oppose the measure because they say it will expedite the development of fossil fuels and restrict community input into development.

Congressional Democrats want to avoid the risk of a government shutdown before the midterm elections on 8 November. If the combined funding and permitting bill fails, Democrats could still strip out the permitting language and seek a vote on the funding measure.

Manchin said the bill is the best near-term chance to expedite energy permitting, a long-term goal of Republicans who say red tape is unnecessarily restricting oil and gas development and increasing prices for consumers. Republicans were unable to enact permitting changes in 2017-18 when they held control of the White House and both chambers of Congress.


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