Legislation to reform permitting process for cross-border energy projects passed by House

The House of Representatives approved bipartisan legislation on Tuesday that was co-authored by Rep. Fred Upton (R-Mich.) to clarify the approval process for oil pipelines that cross international borders.

Upton, the chairman of the House Energy and Commerce Committee, and Rep. Gene Green (D-Texas) co-authored the North American Energy Infrastructure Act.

“With lessons learned from the Keystone XL pipeline debacle, we’re creating a fair and transparent approval process for cross-border energy projects, putting them all on a level playing field, finally, for the benefit of North American energy security, lower energy prices and jobs,” Upton said.

Under the current cross-border approval process, which was established through a series of executive orders, presidential approval is required for pipelines that cross the U.S. borders with Canada and Mexico.

The legislation would require a “certificate of crossing” for any segment of oil pipeline or electric transmission lines that cross the border with Canada or Mexico. The certificate of crossing would be subject to review under the National Environmental Policy Act (NEPA).

“The pipeline and transmission line projects impacted by this bill would still be subjected to the same environmental and safety reviews as would a comparable project that stayed within the U.S.,” Upton said. “And you know those safety measures have been an important priority for our committee and for the Congress, including through the tough new pipeline safety measure we enacted two years ago. But these cross-border projects would no longer face additional red tape and open-ended delays simply because they cross a national border.”

Green said the United States has an opportunity to establish a North American energy market that creates jobs, grows the economy and reduces dependence on foreign oil.

“Unfortunately, the decision-making and the regulatory process associated with cross-border infrastructure has been bogged down by political calculations and obstructions,” Green said. “Our bill changes this process to reflect the realities of the North American energy sector and secure our energy needs well into the 21st century.”