FERC Proposes Blanket Authorization for LNG Facilities
New rules could allow operators to proceed with certain projects without seeking case-specific commission orders.
Updated on Oct. 16, 2026 in Oil and Gas
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The Federal Energy Regulatory Commission has proposed a new blanket authorization program for liquefied natural gas facilities. This rule change, which aims to expedite infrastructure projects, would allow certain eligible activities to proceed without needing case-specific commission orders.
Why it matters
The proposal seeks to reduce regulatory delays for energy infrastructure projects by creating a more streamlined, automated approval process. By modeling the program after existing pipeline certificate rules, the agency aims to harmonize oversight and shorten project timelines.
The agency proposed creating 3 distinct tiers of authorization to replace individual order requirements, drawing on a model used by the interstate natural gas pipeline industry for over 40 years. It remains unclear which specific activities will fall into each proposed tier.
The players
Federal Energy Regulatory Commission
An independent federal agency that regulates the interstate transmission of natural gas, oil, and electricity.
The details
Under the proposed framework, eligible activities at LNG facilities would proceed either automatically through periodic reporting or by providing advance notice to the commission. This mechanism mimics the existing blanket certificate program for interstate natural gas pipelines, replacing the need for individual, project-specific authorizations. By adopting this structure, the commission aims to accelerate infrastructure development under Sections 3 and 7 of the Natural Gas Act.
Timeline
October 15, 2026: The Federal Energy Regulatory Commission voted unanimously to propose the blanket authorization program.
Market Landscape
The proposal mirrors the existing blanket certificate program for interstate natural gas pipelines that has been in effect for over 40 years. This move extends a proven regulatory framework to LNG facilities, marking a shift toward standardized oversight for broader energy infrastructure.
Operators in the LNG sector should review their upcoming infrastructure projects to determine if they might qualify for automatic or notice-based approvals under the new tiers. Consult with legal counsel to monitor the rulemaking process and assess how these changes could influence project permitting timelines.
The takeaway
The commission is moving to standardize approvals to maintain energy infrastructure efficiency. Operators should track the rulemaking docket to identify when these tier-based authorization categories are finalized and whether specific planned facility upgrades qualify.
Further reading
For more on industry oversight, see our coverage of Oil and Gas.
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