U.S. Representatives Laurel Lee of Florida and August Pfluger of Texas have introduced the Cutting LNG Bunkering Red Tape Act, aiming to simplify the regulatory process for transferring liquefied natural gas (LNG) between ships in U.S. waters. The announcement was made through a press release published on Congresswoman Lee’s official website.
Legislation to Cut LNG Bunkering Red Tape
The proposed legislation seeks to clarify that domestic LNG bunkering—refueling vessels with LNG via ship-to-ship transfers—should not be classified as an export under the Natural Gas Act. This codifies a previous interpretation adopted during the Trump administration and reverses a Biden-era policy that introduced stricter regulatory scrutiny. By removing the need for additional export licensing and federal oversight, the bill is designed to streamline operations and lower costs for companies engaged in LNG bunkering within U.S. territorial waters.
Lawmakers backing the bill argue that unnecessary red tape has slowed the adoption of LNG as a marine fuel, despite its benefits as a cleaner and more efficient alternative to traditional fuels. They emphasize that reducing these bureaucratic hurdles will boost port infrastructure investments, especially in states like Florida, and support job creation and energy sector innovation.
If passed, the legislation would provide long-term legal certainty for the growing LNG bunkering industry and encourage further investment in U.S. port facilities. It also aligns with broader efforts to position American LNG as a competitive force in global energy markets while enhancing domestic maritime energy logistics. The bill is currently under consideration by the House Committee on Energy and Commerce.
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Source: Laurel Lee
