FERC Greenhouse Gas and Environmental Justice Policy Act of 2025
- Bill Number
- S. 3324
- Origin Chamber
- Senate
- Congress
- 119th Congress, Session 1
- Policy Area
- Environmental Protection
- Status
- Introduced
- Latest Action
- 2025-12-03: Read twice and referred to the Committee on Energy and Natural Resources.
- Last Updated
- 2026-03-24T12:48:03Z
AI-Generated Summary
Summary of S. 3324: FERC Greenhouse Gas and Environmental Justice Policy Act of 2025
Purpose
This bill aims to require the Federal Energy Regulatory Commission (FERC) to evaluate and address climate change effects and impacts on environmental justice communities when approving natural gas projects under the Natural Gas Act. It seeks to ensure these factors are considered in decisions about project approvals.
Key Provisions
- Mitigation Requirements: Amends Section 7(d) of the Natural Gas Act to require applicants to include a mitigation proposal addressing environmental effects in their certificate applications.
- Public Convenience and Necessity Determinations: Adds a new subsection (i) to Section 7, directing FERC to assess whether a proposed project meets the "present or future public convenience and necessity" by evaluating:
- Environmental effects on environmental justice communities and climate change.
- Whether those effects can be mitigated.
- If the effects outweigh the project's benefits.
- Whether the project is needed for energy reliability and affordability.
- Evaluation of Environmental Justice Communities: FERC must review effects based on existing stressors, adverse impacts from the project, cumulative stressors, and input from affected communities after public engagement.
- Greenhouse Gas Emissions Quantification: FERC must calculate foreseeable emissions from construction, operation, upstream sources (like leaks), and downstream uses (like combustion), using a 100,000 metric tons per year of carbon dioxide equivalent as a threshold for significance. Other gases are converted using 20-year global warming potentials from the latest Intergovernmental Panel on Climate Change report.
- Mitigation and Conditions: Applicants must propose ways to reduce or offset effects; FERC can attach conditions to certificates requiring mitigation. If full mitigation is not possible, FERC must explain why.
- Weighing Process: FERC must balance benefits against environmental effects and provide detailed explanations if approving a project despite unmitigated significant effects.
Significant Changes to Existing Law
- The Natural Gas Act previously focused on economic and reliability factors for certificates of public convenience and necessity. This bill adds explicit requirements to assess and mitigate climate change impacts and effects on environmental justice communities.
- It introduces a presumption of significance for certain emission levels and mandates consideration of upstream and downstream emissions, which were not previously required in this structured manner.
- New definitions are added for terms like "environmental effect," "environmental justice community," and "proposed action."
Potential Impacts
- On Government Agencies: FERC would face expanded review responsibilities, potentially requiring additional resources, expertise in climate and community analysis, and longer approval timelines.
- On Citizens: Environmental justice communities (defined as populations of color, indigenous groups, or low-income areas facing disproportionate pollution burdens) could see reduced project placements or better protections; all citizens might experience changes in energy costs or reliability due to stricter project standards.
- On International Relations: Indirect effects could arise from reduced greenhouse gas emissions aligning with global climate efforts, though the bill does not address foreign policy directly.
- On Industry: Natural gas companies may encounter higher compliance costs for mitigation and potential project denials or modifications.
Main Stakeholders Affected
- FERC, as the primary agency implementing the new requirements.
- Natural gas pipeline and infrastructure applicants seeking certificates.
- Environmental justice communities and nearby residents.
- Energy consumers concerned with affordability and reliability.
- Environmental advocacy organizations and public health groups.
- Congress, through its role in clarifying agency obligations.
Notable Legal, Constitutional, or Political Implications
- Legal: The bill clarifies and potentially expands FERC's interpretive authority under the Natural Gas Act, which could lead to court challenges over whether these environmental considerations fall within the agency's existing mandate.
- Constitutional: Raises questions about the balance of federal regulatory power over interstate energy projects versus state or local interests, particularly in environmental reviews.
- Political: Emphasizes climate and equity priorities in energy policy, which may influence future legislative debates on infrastructure and environmental regulations.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Sen. Durbin, Richard J. [D-IL]
Cosponsors (4)
Sen. Blunt Rochester, Lisa [D-DE], Sen. Duckworth, Tammy [D-IL], Sen. Markey, Edward J. [D-MA], Sen. Booker, Cory A. [D-NJ]
Recent Actions
- 2025-12-03: Read twice and referred to the Committee on Energy and Natural Resources.
- 2025-12-03: Introduced in Senate
Bill Versions
- FERC Greenhouse Gas and Environmental Justice Policy Act of 2025 — issued 2025-12-03 — PDF (9 pages)