In 2011, Congress was considering legislation that would encourage more natural gas-powered vehicles on American roads by providing various subsidies for the production and use of natural gas-powered vehicles. In response, a group of American manufacturers, chemical companies and agricultural organizations sent this letter to the House leadership expressing their strong opposition to bipartisan legislation that was being considered then - the “Natural Gas Act” (H.R. 1380) – which would have provided subsidies for natural gas vehicles.
In the first paragraph of the letter, the signers “urged Congress to allow the market to set supply and demand for natural gas instead of picking ‘winners’ and ‘losers’ through legislation.”
Some of the companies that signed that letter in 2011 are now members of America’s Energy Advantage, which is now asking for exactly the opposite treatment from Congress when it comes to natural gas exports.
According to its website, America’s Energy Advantage believes in:
1. Carefully considering the economic consequences before allowing unfettered natural gas exports.
2. Encouraging the federal government to move cautiously on permitting natural gas exports in order to measure impact on price, security and jobs.
3. Educate policymakers on the potential risks to the U.S. economy of unfettered natural gas exports.
Bottom Line: It now appears that some of the companies that signed the letter in 2011 supporting market forces and opposing government intervention in the natural gas market are now asking for Congress to circumvent the market for natural gas and pick winners and losers through government policy by restricting or limiting natural gas exports.