A final rule issued in August 2020 authorized specifically designed tank cars to transport liquified natural gas by rail. The Biden administration proposed a rule two months later that would suspend that permission through June 30, 2024 over concerns about increased greenhouse gases, worker safety, and environmental risks.
Louisiana Attorney General Jeff Landry is now leading a coalition of 25 states to oppose that ban. The group is arguing that the decision to suspend the transportation of LNG by rail will create regulatory uncertainty, chill capital investment in the special tank cars, and negatively affect national security and energy costs for consumers. The group pointed out that LNG prices that have increased 61% since Biden took office – causing American households to see an increase to their energy bill of about $1,000 more than last year.
Landry issued a letter to the acting administrator of PHMSA stating, in part, “Biden’s war on energy is a war on America’s poor and working-class. It is high time the Biden Administration put America first. Biden’s environmental virtue-signaling is burdening American families and jeopardizing the safety and security of our homeland. President Biden has made it clear he will do anything to destroy American energy. Once again, 24 of my colleagues and I are pushing back against Biden’s senseless and short-minded stance. The American economy and way of life hinge on affordable and reliable energy sources; I will continue fighting to defend both.”
The letter goes on to say “Current geopolitical events involving Russia’s unprovoked attack on Ukraine show with painful clarity the need for the United States to maintain its energy independence through multiple distribution points throughout our country. The agency should not move forward with suspension of a rule that serves that important objective.”
Louisiana among states opposing Biden ban on moving liquefied natural gas by train