Friday, April 19, 2019

End of an Era at the Federal Energy Regulatory Commission (Washington Examiner, Daily On Energy)


(Washington, DC) -- As protesters scaled Federal Energy Regulatory Commission headquarters on Thursday morning, observers couldn’t help but remark that the long chapter in the agency’s history as a politics-free zone is swiftly coming to a close.

FERC has become “more and more” politicized over the last few years as it's been dragged into partisan fights over coal, renewables, and climate change, Robert Dillon, former head of communications for the Senate Energy and Natural Resources Committee told John.

FERC has “usually been pretty bipartisan in the past, but it’s becoming more and more controversial,” Dillon added.

Dillon had been on the energy committee when politics first began to enter nominating new FERC commissioners when President Barack Obama was in the White House. His nominations received huge pushback by the GOP over climate change and a perceived lack of industry friendliness. It got so intense that some nominees began to drop out.

Steadying the ship at the agency for nearly a decade has been Democratic commissioner Cheryl LaFleur, who strangely enough received both Republican and Democratic support for her ability to remain objective and nonpartisan in both her role as FERC member and chairwoman.

But LaFleur’s term is expiring on June 30. And even though she says she is willing to stay on, possibly through the end of the year until the White House nominates a replacement, the commission is losing its longest-serving member.

One federal official called it an “end of an era” at the agency that once quietly did its work away from the political spotlight.

Industry sources tell John that it doesn’t appear hopeful that new members will be nominated by June 30, which won’t give LaFleur much incentive to stay on the commission.

LaFleur’s office says if there is no nominee named, she is willing to remain on the commission through the fall but does not plan to still be here at the end of the year.

A lot of the timing of her departure will depend on her future employment, but she hasn’t set a date yet, her office added.

A rapidly shrinking commission: LaFleur leaving, coupled by a Republican vacancy, will leave FERC desperately short of members, slowing the approval of pipelines and energy infrastructure projects that Trump’s agenda demands.

Sen. Chuck Schumer, the Democratic leader from New York, who has a role in picking new Democratic commissioners, informed LaFleur that he would not be renominating her for the position. Instead, he is floating Allison Clements, a top lawyer with the Natural Resources Defense Council, an environmental group, to fill the spot.

Schumer has been quiet for over a month on whether Clements will be his choice. Because of her background working for a big environmental group, she is generally viewed as unlikely to break GOP opposition.

The question, according to Dillon, is whether Republicans going to oppose her to the point that it holds up the nomination process. “The problem is the commission needs to work to get a lot of stuff that needs to be done,” he adds.

FERC has become crucial to the Trump administration’s energy dominance agenda, which is dependent on the commission’s environmental reviews and siting decisions to get pipelines and energy export terminals built.

A coalition of oil and natural gas trade groups began prodding Trump earlier this week to do something soon and not let the commission linger short of its optimal five members.