Biden and the TikTok Anti-LNG Crusade

His ‘pause’ on export permits may be his most destructive climate act—damaging to the economy at home and U.S. influence abroad

WSJ editorial. Excerpts:

"Global demand for natural gas is expected to increase 46% by 2050 as countries industrialize and shift from coal. Most developing Asian economies still rely on coal for power, including India (71%), Indonesia (59%), Vietnam (57%) and the Philippines (55%). Global coal exports and power generation last year hit a record.

China was the biggest coal importer, followed by India, Japan, South Korea and Taiwan. Demand for LNG has outstripped supply especially as Europe tries to wean itself from Russian gas. A Bangladesh energy official complained last year that Asian countries couldn’t buy gas because of skyrocketing prices. Instead, they burned coal. How will this be good for the climate?

The climate lobby also doesn’t care that some 2.3 billion people in the world still cook with open fires or stoves that burn heavily-polluting wood, coal, biomass or kerosene. Developing countries want and need gas to escape poverty, which is another reason demand for LNG is expected to exceed supply for decades.

Hence, Russia, Iran and Qatar are expanding their export capacities. By the way, Russia last year supplied Europe with almost as much gas as the U.S. The White House says its pause won’t jeopardize supply to Europe, but energy officials across the pond disagree. Germany accounted for a third or more of the contracted capacity of a large planned Gulf Coast LNG project.

Nobody in the White House seems to understand that countries sign long-term contracts years in advance so they can plan their energy infrastructure and needs. They won’t build new gas plants or import terminals without supply locked in—or they will turn to more reliable sources. Russia now looks like a more reliable energy source than the U.S.

Much of the supply from LNG projects in the works is slated for Asia. They would strengthen U.S. relationships and influence in the region to counter China. Xi Jinping no doubt is elated by the Administration’s pause, which will do more damage to U.S. strategic interests than blocking the Keystone XL pipeline."