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On December 12, 2025, the U.S. House of Representatives passed significant legislation aimed at streamlining the permitting process for interstate natural gas pipelines. H.R. 3668, known as the "Improving Interagency Coordination for Pipeline Reviews Act" (the "Act"), was advanced as part of a broader legislative energy package and is intended to accelerate the approval and construction of critical energy infrastructure. This alert summarizes certain key provisions, legislative context, and potential implications for stakeholders in the energy sector.
Key Provisions of the Bill
The legislation seeks to amend the current permitting framework for interstate natural gas pipelines by:
- Establishing Firm Timelines: The bill establishes specific deadlines for the Federal Energy Regulatory Commission (FERC) to issue or deny authorizations and certificates of public convenience and necessity for the construction of interstate natural gas pipelines. This is a significant reduction in current timelines, which can extend for longer periods due to regulatory reviews and litigation.
- Lead Agency Designation: FERC would be designated as the only lead agency for coordinating all federal authorizations and environmental reviews related to interstate natural gas pipeline projects. This includes giving the agency the authority to consider and evaluate water quality assessments in its environmental review process.
- Deadlines for Federal Authorization: The deadline for a federal approval required for an application for authorization under section 3 of the Natural Gas Act or a certificate of public convenience and necessity under section 7 of such Act is not later than 90 days after the FERC completes its project-related National Environmental Policy Act (NEPA) review, unless an applicable schedule is otherwise established by Federal law.
Legislative Context and Support
The bill is part of a broader legislative effort to address energy infrastructure bottlenecks. The Act was passed with several other related bills, including the Promoting Efficient Review for Modern Infrastructure Today Act, which limits the scope of the Clean Water Act by redefining navigable waters to exclude (1) waste treatment systems, (2) ephemeral features that flow only in direct response to precipitation, (3) prior converted cropland, (4) groundwater, or (5) any other features determined to be excluded by the U.S. Army Corps of Engineers. These bills collectively seek to address, among other things, the demand for electricity and power for planned data centers and manufacturing projects. The Act was passed in the House of Representatives largely along party lines. Supporters argue that the reforms are necessary to meet growing energy demand, ensure grid reliability, and support domestic energy production. Opponents have raised concerns about the potential environmental impact and the adequacy of environmental reviews under the accelerated timelines.
Potential Implications
If enacted, the bill would likely reduce regulatory uncertainty and shorten the timeline for constructing new interstate natural gas pipelines. Pipeline developers and other proponents argue this could unlock investment, create jobs, and improve grid reliability. Similarly, designating the FERC as the lead agency may create regulatory clarity and coordination in decision-making authority. However, some experts speculate that the shortened review deadlines may strain resources within the agency, particularly with complex pipeline projects.
Next Steps
The bill will go before the Senate, which may consider amendments or alternative approaches. If passed in the Senate, the bill will go to the President to be signed into law. The White House has not yet issued a formal statement on the bill. Stakeholders should monitor further legislative developments, which may help address outstanding concerns or seek clarifications.
Conclusion
The House-passed pipeline permitting bill represents a long-awaited and potentially significant shift in U.S. energy infrastructure policy, with the aim of accelerating the approval and construction of interstate natural gas pipelines. While the bill's supporters highlight its potential to lower energy costs and improve reliability, opponents caution that it could undermine environmental protections and public oversight. The ultimate impact will depend on the Senate's actions and how any final legislation is implemented.
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