Bill Positions

Bill Number: HB 1043

Bill Title: Liquefied Natural Gas Facilities - Approval for Construction or Operation - Prince George's County PG 423-08

Bill Sponsor(s): Prince George's County Delegation

Subject: Environment & Energy

Committee: ECM

Bill Summary: This bill would Prohibit the construction or operation of a liquefied natural gas facility without the approval of the Public Service Commissio in Prince George's County. It prohibits the Commission from granting regulatory approval for the construction or operation of a liquefied natural gas facility in Prince George's County that is located within a specified distance of a residence.

History: In 2006 a two LNG bills (HB 1095 and HB 927) were introduced by the Prince George's County Delegation. Both bills died in the Senate Finance Committee.

Chamber Position: Oppose

Position Summary: This bill prohibits the Public Service Commission from granting any approval for the construction or operation of an LNG facility in Prince George’s County or within two miles of any residence in Prince George’s County.

However, this is not a local only bill, due to its impact on five other counties in the State. The existing Chillum site pipelines serve as a major distribution hub for natural gas transmission with eight major lines. This location, which has been used for over 60 years without incident, would have the least impact on customer rates.

The construction of new pipelines facilities in Prince George’s County, Charles, and Montgomery Counties to deliver equivalent volumes of natural gas would cost millions of dollars in interstate pipeline annual gas storage or transportation contract charges that would be borne by all Maryland ratepayers

Washington Gas argues that it would cost rate payers $500 million more ($680 million/$164 million- over 20 years) to use an alternative route (for pipelines) outside of Prince George’s County, instead of Chillum location.

For these reasons, the Maryland Chamber of Commerce opposes this legislation.

Position Statement: Click here to download a pdf version of the Maryland Chamber's position statement.

Chamber Staff: Allyson Black

General Assembly: Click here to view the bill on the Maryland General Assembly's website.