Court says FERC can consider gas exports for some pipelines

A three-judge panel cleared the way Friday for the Federal Energy Regulatory Commission to look at planned natural gas exports to justify condemning land to build certain interstate projects.

The U.S. Court of Appeals for the District of Columbia ruled that FERC did not violate constitutional protections for property owners or the Natural Gas Act when it granted a certificate for the 256-mile Nexus Gas Transmission pipeline from Ohio to Michigan.

The decision came after the D.C. Circuit had previously ordered FERC to explain why it was legal to include export precedent agreements in its analysis of the domestic public need for the project. A portion of the operational pipeline’s gas is sent across the northern border to the Enbridge Gas Dawn Hub in southwestern Ontario, Canada.

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