By Timothy Gardner

WASHINGTON (Reuters) – The top two lawmakers on the Senate energy committee on Monday introduced long-awaited legislation to speed permitting of power transmission, mining and liquefied natural gas export projects.

Senators Joe Manchin, an independent who caucuses with Democrats, and John Barrasso, a Republican, stated their bill would strengthen the power grid and help keep power prices low.

WHY IT’S IMPORTANT

Building transmission capacity would facilitate the distribution of electricity from renewable power projects to cities, many of which received financial support from the 2022 Inflation Reduction Act. Nearly 2,000 MW of clean energy is currently awaiting grid connection. The bill could help expedite the Biden administration’s goal to decarbonize the U.S. power sector by 2035.

The legislation provides companies with more opportunities for offshore oil and gas leasing from 2025 to 2029. Additionally, it establishes a 90-day deadline for the Secretary of Energy to approve or deny liquefied natural gas export applications, a move Barrasso claims would “permanently end” President Joe Biden’s pause on such approvals.

KEY QUOTES

“For far too long, Washington’s disastrous permitting system has shackled American energy production and punished families in Wyoming and across our country,” said Barrasso, representing Wyoming, the nation’s leading coal-producing state. “Congress must step in and fix this process.”

Manchin referred to the legislation as a “commonsense, bipartisan piece of legislation that will speed up permitting and provide more certainty for all types of energy and mineral projects without bypassing important protections for our environment and impacted communities.”

The National Mining Association noted that the bill could help unlock mining for vital minerals utilized in transmission, renewable energy, and energy storage, such as copper.

WHAT HURDLES DOES THE BILL FACE?

The bill’s prospects for advancement are uncertain due to election-year politics and potential opposition to its fossil fuel-supporting measures.