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Amendment to Coast Guard Authorization Could Impact LNG Terminals

Section 1117 of H.R. 3619, the funding authorization bill for the U.S. Coast Guard as passed by the House Transportation and Infrastructure Committee, would require the Coast Guard to certify the security of vessels carrying “especially hazardous materia
October 19, 2009

Section 1117 of H.R. 3619, the funding authorization bill for the U.S. Coast Guard as passed by the House Transportation and Infrastructure Committee, would require the Coast Guard to certify the security of vessels carrying “especially hazardous materials” before a terminal accepting this kind of cargo is built or any new security plan is approved. The Coast Guard would be required to certify that the local Coast Guard sector has the appropriate resources to maintain security around vessels carrying the hazardous cargo, including LNG, or that state or local governments have entered into a contract, cooperative agreement, or other arrangement to provide such services. According to the Abraham Energy Report (carried via PR Newswire), a number of Republican members of the U.S. House of Representatives have suggested this measure could limit future development and construction of LNG terminals in the United States.

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