Biden's moratorium on natural gas exports could crush small businesses, top Republican warns

FIRST ON FOX: A top House Republican is putting pressure on the Biden administration over its decision to freeze natural gas exports due to climate concerns.

Rep. Roger Williams, R-Texas, is pictured outside a House Republican Conference election meeting on Oct. 24, 2023. (Tom Williams/CQ-Roll Call, Inc via Getty Images)

Williams added that small U.S. natural gas producers have taken advantage of the opportunity to replace Russian gas in global markets. In the aftermath of Russia's invasion of Ukraine two years ago, U.S. LNG largely filled the void left by Russian natural gas as U.S. allies sought to wean off Russian exports and punish the nation's economy, a plan Biden endorsed at the time.

In December 2023, more than 87% of U.S. LNG exports went to Europe, U.K., or Asian markets.

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"It is important for agencies to examine small businesses' interests — which make up 99.9 percent of all businesses in the U.S. — when making such an impactful decision. America’s small businesses deserve to have their voices heard and considered," Williams wrote.

An LNG carrier ship sits docked at the Cheniere Energy terminal in a photograph taken over Sabine Pass, Texas. (Lindsey Janies/Bloomberg via Getty Images)

However, the move was blasted by industry groups, former federal officials and bipartisan lawmakers, who noted energy exports, in addition to aiding allies in Europe and Asia, bolster domestic energy production and boost the U.S. economy.

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Fossil fuel industry groups recently cited research indicating that LNG exports could add as much as $73 billion to the U.S. economy by 2040, create 453,000 American jobs and increase U.S. purchasing power by $30 billion.

Critics of Biden's action also argued it would not help the environment since global consumers will, as a result, likely revert to greater reliance on coal or Russian gas, both of which are dirtier than U.S. LNG.

House Small Business Committee Chairman Roger Williams, center, penned a letter Wednesday morning to President Biden and Energy Secretary Jennifer Granholm, warning of the "detrimental impacts" the policy will have on small businesses. (Getty Images)

"Holding exports of American LNG, which meet U.S. environmental standards, in favor of European and Asian coal or Russian LNG, is likely to harm the environment more than simply approving these exports," Williams wrote.

While it remains unclear which proposed projects the action will affect, a senior administration official said at least two have a larger capacity and two have a smaller capacity. Another official added that the pause implemented Friday will only impact projects that have gone through FERC's lengthy approval process and are ripe for DOE approval.

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According to federal data, there are 11 projects that have been green-lit by FERC but are not yet under construction. An additional four projects are pending before FERC and two are in the pre-filing stage. Those six projects would not be impacted by the pause since they are not before the DOE yet but would be impacted if approved by FERC.

The White House and DOE did not immediately respond to a request for comment.

Thomas Catenacci is a politics writer for Fox News Digital.

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