FERC Streamlines Gas Pipeline Approvals as US Generation Grows 2.2% and Ras Laffan Stays Curtailed

FERC Streamlines Gas Pipeline Approvals as US Generation Grows 2.2% and Ras Laffan Stays Curtailed The regulator proposed faster blanket certificates for gas projects while confirming gas-electric coordination standards, with Qatar's 20% LNG loss tightening global supply. The Federal Energy Regulatory Commission proposed revamping its decades-old blanket certificate programme for natural gas pipeline projects, framing the changes as necessary to build pipeline infrastructure faster amid rising energy demand. The blanket certificate provides an expedited path for construction approvals. FERC's update targets the permitting bottleneck that has constrained new pipeline capacity at a time when both domestic power generation and LNG exports are competing for the same gas molecules.⁶ The Edison Electric Institute reported US electricity generation up 2.2% year-on-year in the latest weekly reading, with total generation over the past year increasing 1.8%. Power-sector demand is growing at rates not seen in over a decade, driven by data centre construction and summer cooling loads. The generation growth translates directly into higher gas burn in regions where gas-fired plants set the marginal price.¹ Global supply constraints amplify the domestic picture. Qatar's Ras Laffan facility is still operating at reduced capacity after damage earlier this year took out roughly 20% of global LNG supply. The loss has kept spot LNG prices elevated and increased the strategic value of US domestic pipeline gas for both power generation and LNG export feedstock.¹ FERC simultaneously confirmed the adoption of NAESB gas-electric coordination standards, formalising the scheduling and nomination protocols that govern communication between gas pipelines and electricity grid operators. The standards are procedural but operationally significant. When gas-fired generators are being called more frequently and supply margins are tighter, miscommunication between the gas and electric systems can cause reliability problems.⁴ NYMEX Henry Hub front-month June futures broke above the 50-day moving average, the first clean technical signal that buyers were willing to take out offers. Whether follow-through buying materialises depends on weather forecast verification and continued tightening of the storage trend. Feedgas flows to US LNG export terminals remain a key variable. The 50% retracement at $2.787 is the technical support level traders are watching.¹ Federal energy investment is scaling up. The US Department of Energy finalised a $26.5 billion loan package to two Southern Company subsidiaries, the largest in DOE history. Equinor locked in a five-year deal to supply 0.5 bcm annually to Eneco in the Netherlands. Net income for one major US utility reached $567 million in Q4, up from $464 million a year earlier, with electric segment revenue climbing over 16% year-on-year.^3,2 The Asia-Pacific region accounts for approximately 60% of global greenhouse gas emissions and 80% of the world's coal supply, with energy demand projected to rise substantially by mid-century, UNESCAP data show. The UN launched a $4 million energy transition initiative for Southeast Asia. EU regulators at ACER continue monitoring wholesale gas, electricity, and LNG markets. Both sides of the Atlantic are adjusting regulatory frameworks in response to the same supply pressures.^3,5 FERC's blanket certificate revamp must go through public comment. The gap between regulatory intent and physical pipeline capacity is measured in years, not months. If US power demand keeps climbing at 2.2% annually while LNG export terminals pull more feedgas, the infrastructure bottleneck that FERC is trying to fix will only get tighter before it improves.^6,1