San Juan LNG Terminal
|This article is part of the Global Fossil Infrastructure Tracker, a project of Global Energy Monitor.|
San Juan LNG Terminal is a floating LNG terminal currently under construction near San Juan, Puerto Rico.
- Owner: New Fortress Energy (100%)
- Location: San Juan, Puerto Rico
- Coordinates: 18.461942, -66.110910 (approximate)
- Type: Import
- Capacity: 1.1 mtpa
- Status: Operating
- Start Year: 2020
Note: mtpa = million tonnes per year; bcfd = billion cubic feet per day
The San Juan LNG Terminal is a floating LNG regasification terminal currently under construction offshore of Puerto Rico. Its capacity is 0.5 mtpa and it is fully owned by New Fortress Energy. The terminal was originally expected to be operational in 2020.
Following an investigation by the Institute for Energy Economics and Financial Analysis (IEEFA) which discovered that the project's contract process was riddled with irregularities which provided unfair advantage to New Fortress Energy, in June 2020 the U.S. Federal Energy Regulatory Commission (FERC) issued an order to the company to show cause, within 30 days, why the LNG terminal facilities are not subject to FERC’s jurisdiction under section 3 of the Natural Gas Act. The IEEFA report revealed that New Fortress Energy has failed to seek FERC authorisation for the project.
The terminal supplies a PREPA gas-burning plant. The developer built the facility without FERC authorization, claiming the terminal is outside of the commission’s jurisdiction under Section 3 of the Natural Gas Act. In March 2021, environmental groups were pushing PREPA to adopt renewable energy infrastructure more rapidly, and are calling for FERC to revisit the permitting process for the LNG terminal and to consider shutting it down. PREPA officials say the utility's strategy to continue burning gas is saving money compared with diesel-fired generation, while also lowering emissions.
Articles and resources
- 2020 World LNG Report, page 129, International Gas Union, April 27, 2020
- GIIGNL 2021 Annual Report, accessed May 5, 2021
- Robert Walton, FERC's expected jurisdiction claim over Puerto Rico LNG terminal could impact PREPA gas plant, renewables plans, Utility Drive, March 16, 2021
- "IEEFA Puerto Rico: FERC orders New Fortress Energy to explain lack of permission for San Juan LNG facility", Institute for Energy Economics and Financial Analysis press release, Jun. 22, 2020