By reducing the availability of U.S. LNG, our allies will become dependent on less secure, dirtier energy from undemocratic countries.
Amid outbreaks of violence in Eastern Europe and the Middle East, President Biden is rightfully urging foreign aid to secure the sovereignty of our allies and, by extension, the safety of the American people. This commitment to international stability is laudable.
However, the Department of Energy’s (DOE) recent decision to pause pending approvals for liquefied natural gas (LNG) export facilities is in direct conflict with this goal, possibly leaving our allies reliant on authoritarian regimes for energy. In this way, energy policy is foreign policy, and the U.S. is contradicting itself and ceding American leadership by empowering the same adversaries it is trying to push back on.
The impacts of the pause are profound, as two-thirds of the world's economically recoverable gas is in just four countries: Russia, Iran, Qatar, and the U.S.
Just days after the pause, Qatar announced it would expand its LNG production. Now, market experts predict that the country could control a nearly 25% share of the global market and squeeze out projects from the U.S. Consequently, our allies could become dependent on dirtier, less secure, and less reliable energy from undemocratic countries.
This pause is anything but rational – it is not based on science, it compromises our national security, and it puts our allies at the mercy of authoritarian powers.
Seemingly overnight, we have damaged our global reputation by allowing our adversaries to gain the upper hand. The Biden administration must recognize the repercussions of this misguided policy and change course before it’s too late.
Not only does this risk destabilizing Europe’s highly volatile energy market, but it fundamentally damages our reputation as a reliable, consistent energy partner abroad.
Europe's energy security is on the line
Europe’s energy crisis over the last two years shows what happens when our allies depend on tyrants like Vladimir Putin to meet their energy needs. Following Russia’s unprovoked invasion of Ukraine, the U.S. supplied the EU with 40% of its LNG imports after Putin cut off gas supplies to the continent.
While many Democrats initially supported this policy, support has declined recently under the assumption that Europe no longer needs our help, and that current U.S. production is overshooting waning demand.
However, the job of securing Europe’s energy is unfinished, as 20% of Europe’s gas still comes from Russia and Qatar.
Meanwhile, European energy ministers are renewing measures to keep natural gas demand 15% below pre-invasion levels. If Europe’s LNG demand increases due to environmental factors, such as a return to average winter temperatures, this policy will create severe geopolitical risks. European countries may even have to divert economic resources from supporting Ukraine to make up for higher energy prices.
Not only does this risk destabilizing Europe’s highly volatile energy market, but it fundamentally damages our reputation as a reliable, consistent energy partner abroad. Consequently, we risk once again conceding Europe’s energy supplies to Putin, allowing him to continue to fund his war in Ukraine.
China has impeded the Philippines' efforts to explore potential gas fields in the West Philippine Sea. This situation may force the Philippine government to negotiate with Xi Jinping instead of working with the U.S. to compensate for the energy deficit.
The U.S. is the global guarantor of energy security
The Biden administration’s pause on LNG exports will affect our allies in Europe and ripple across the rest of the world. EU officials have recognized that the U.S. is the “global guarantor of energy security” and have underscored that its responsibility goes beyond Europe.
In Japan, the world’s second-largest purchaser of LNG, the government expects the pause to delay the start of new LNG production from the U.S. and ultimately compromise the country’s energy security.
The pause has also put the Philippines on the verge of an energy crisis. The country is already anticipating declines in its local gas fields, which supply a significant portion of its fuel.
China has impeded the Philippines' efforts to explore potential gas fields in the West Philippine Sea. This situation may force the Philippine government to negotiate with Xi Jinping instead of working with the U.S. to compensate for the energy deficit.
Ultimately, U.S. LNG exports solve our Asian allies’ energy security challenges. While some members of Congress believe that U.S. gas provides adversaries like China with an affordable energy supply, the reality is that China’s energy consumption and industrial growth are inevitable.
It is also far more advantageous for China to rely on American energy than for our allies to depend on Beijing to keep their lights on with carbon-intensive Chinese coal.
We need energy policies that protect our national security
The Biden administration has left our allies stranded. They disregarded foreign policy experts and wielded U.S. energy policy to appeal to a vocal minority.
Our reputation is on the line, and the American people deserve better. That is why the Partnership to Address Global Emissions (PAGE) is maintaining its course in fighting for responsible energy policies that support our allies and protect national security.