Austin News

U.S. Senate Commerce Committee Ranking Member Ted Cruz (R-Texas) and U.S. House Transportation and Infrastructure Committee Chairman Sam Graves (R-MO) are leading a coalition of federal lawmakers calling on the Pipeline and Hazardous Materials Safety Administration (PHMSA) to reverse its suspension of rules allowing liquefied natural gas (LNG) by rail. The lawmakers have written a letter to PHMSA Deputy Administrator Tristan Brown, expressing concerns about the administration's green agenda and its impact on American energy investment and safety.

In the letter, the coalition led by Sen. Cruz and Rep. Graves states, "This suspension, which is the latest attack in the Biden administration's war on American energy, calls into question PHMSA's commitment to its safety mission, PHMSA's role in promoting the administration's extreme green policies, and whether PHMSA will ever reasonably allow for the movement of LNG by rail. We ask you to reverse this misstep or, at a minimum, act more rationally going forward."

The lawmakers argue that PHMSA should prioritize safety and consider the evidence that LNG can be transported more safely by rail than by highway. They point out that Transport Canada already authorizes LNG transportation by rail tank car, and LNG has been transported by marine vessel and truck for decades without any fatalities or serious injuries.

According to the coalition, the removal of rail tank cars as an approved alternative to shipments of LNG by truck is "absurd" from a safety perspective. PHMSA's own data shows that the movement of hazardous materials by highway is inherently less safe for the public.

The U.S. has been a leader in reducing carbon emissions, largely due to the use of clean natural gas. The coalition argues that LNG by rail would further contribute to providing affordable and environmentally responsible energy.

The letter states, "PHMSA's suspension of the LNG by rail rule is part of a larger attack on domestic fossil fuel production that willfully ignores the attendant harms to consumers and national security. This effort comes from the highest level of the administration, as President Biden specifically targeted PHMSA's LNG by rail rule through an alarmist, anti-fossil fuel executive order purporting 'to Tackle the Climate Crisis.'"

The coalition also criticizes PHMSA for creating regulatory uncertainty, making it difficult for anyone to commit to moving LNG by rail. The suspension of the LNG by rail rule and other actions targeting LNG by the Biden administration have created considerable uncertainty in the industry.

The letter concludes, "The safe movement of LNG by rail would benefit the economy and national security. Given the importance of access to energy, PHMSA must reconsider its extremism towards LNG by rail. We look forward to your response committing to reverse the suspension of the LNG by rail rule."

Joining Sen. Cruz and Rep. Graves in sending this letter are Sen. Todd Young (R-Ind.) and Rep. Troy Nehls (R-Texas), along with several other lawmakers.

The full text of the letter can be found on the official website of Sen. Cruz.

Background:

In July 2020, PHMSA issued a final rule allowing the movement of LNG by rail tank car. The regulation requires the use of the safest rail tank car available and certain operational controls to ensure safety.

Since taking office, President Biden has targeted this rule, placing it on a list of regulatory actions for review. In November 2021, PHMSA proposed to suspend the rule.

On September 1, 2023, PHMSA announced the complete suspension of the LNG by rail rule through June 2025. Sen. Cruz criticized the administration for essentially prohibiting the movement of LNG by rail.

The coalition led by Sen. Cruz and Rep. Graves is urging PHMSA to reconsider its decision and prioritize the safe transportation of LNG by rail. They believe that allowing LNG by rail would not only benefit the economy but also enhance national security and provide Americans with an affordable and environmentally responsible energy option.

To learn more, click on this link: https://www.cruz.senate.gov/newsroom/press-releases/sen-cruz-rep-graves-lead-coalition-calling-on-biden-admin-to-allow-lng-by-rail