(Calgary) Canada’s energy industry is reacting with dismay to U.S. President Joe Biden’s decision to suspend approval of new liquefied natural gas (LNG) export terminals in that country.
Mr. Biden’s decision is seen as a victory by environmentalists who fear that an increase in North American LNG exports could boost greenhouse gas emissions in the long term and prevent countries from meeting their climate commitments.
The Canadian Association of Petroleum Producers said Friday it was disappointed by the decision, adding that it views LNG as a safe, low-emissions energy source that can help countries transition away from coal.
The industry group added that LNG facilities on the U.S. Gulf Coast also provide Canadian natural gas producers with the opportunity to export their products globally.
The United States is the world’s largest LNG exporter, while Canada does not yet have its own LNG export capacity.
Canadian natural gas producers are eagerly awaiting the start-up of joint venture LNG Canada’s massive export terminal under construction near Kitimat, British Columbia, which is 90% complete and expected to be operational later this year.