Odd Environmental Bedfellows on Need to Limit Natural Gas Exports

Both the American Chemistry Council, a trade group of chemical makers, and the Sierra Club, a major environmental group, agree that American natural gas should remain in the United States.

The American Chemistry Assoc. feels that a long-term supply of natural gas would drive the American economy to new heights and become a major job-producing engine. The Sierra Club, on the other hand, wants to limit exports to drive down the amount  of "fracking" that has to go on to produce this abundant supply of natural gas, reducing environmental damage.

In any event,  the Department of Energy will be weighing  the competing interests as it prepares to make its decisions on whether to grant export licenses for natural gas. Advocates of more exports say that even more jobs could be created, and that it would help keep American production humming. It would also raise the price of domestic natural gas, which has dropped approximately 70% in recent years.

On the other hand, gas in Asia sells for as much as eight times what it does in the U.S. It appears, however, that the lack of export facilities would limit the volume of gas in any event, until new facilities can be built. Cheniere Energy, Inc., a Louisiana gas exporter, says that there are 32 states that currently produce  natural gas, and argues that export licenses should be granted to speed economic development.