PORT ARTHUR, Texas — The Biden administration announced today that it will delay any decisions on future LNG export facilities.
In Southeast Texas, this means that phase 2 of Sempra's Port Arthur LNG facility could be put on hold.
The Biden administration has faced intense pressure from environmentalists, but many in the energy industry are condemning the White House's decision.
Texas House Speaker Dade Phelan fears this decision could cost the region hundreds of good jobs. But supporters say it will preserve the health of the community for future generations.
"He's taking a big risk here with this and I think it's going to backfire on him," said Phelan.
Phelan says the Biden administration is caving in to pressure from environmentalists in exchange for votes in November.
"This is classic election year pandering," Phelan said. "He's done all he can to shut down coal, now he's doing all he can to shut down natural gas and LNG. He wants to move everything to wind, solar, which, again, is not feasible."
Despite the decision Sempra Port Arthur LNG is continuing construction in phase 1. But Phelan says phase 2 will be tied up in legal limbo hindering regional economic and job growth.
"The oil and gas industry it pays for our roads. It pays for a lot of our public education through the oil and gas severance tax. It's a huge part of our economy. It's a huge part of our tax base," he said.
Supporters of decision question the impact the industry actually have on the region.
"What are the benefits? How are we benefiting? I don't know many people who get the good jobs in those industries," said Founder of The Vessel Project of Louisiana Roishetta Ozane.
She's watched the LNG growth along the Gulf Coast and questions how the facilities will impact health.
"We're talking about these energy facilities that are worse than coal plants when it comes to pollution," Ozane said. "My children have asthma. I know several other children with asthma. My nephew had cancer. My sister had cancer."
She hails the White House's decision as a victory for the Gulf Coast and the health of its future generations.
"This is not the end all, be all. There is still so much work to be done... There is no planet b. We have to save this planet," said Ozane.
Energy companies have vowed to push back, calling LNG one of the gamechangers of the modern energy industry.
"We have to push back on this. We can't take the oil and gas industry for granted," Phelan said.
It's unclear how long this pause on permits might last. Energy Secretary Jennifer Granholm said the pause will not affect already authorized export projects.