Rule2025-19533

Removal of Regulations Limiting Authorizations To Proceed With Construction Activities Pending Rehearing

Primary source

Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
October 10, 2025
Effective
November 10, 2025

Issuing agencies

Energy DepartmentFederal Energy Regulatory Commission

Abstract

The Federal Energy Regulatory Commission (Commission) removes from its regulations a rule that precludes the issuance of authorizations to proceed with construction activities with respect to natural gas facilities approved pursuant to section 3 or section 7 of the Natural Gas Act for a limited time while certain requests for rehearing are pending before the Commission.

Full Text

<html>
<head>
<title>Federal Register, Volume 90 Issue 195 (Friday, October 10, 2025)</title>
</head>
<body><pre>
[Federal Register Volume 90, Number 195 (Friday, October 10, 2025)]
[Rules and Regulations]
[Pages 48221-48229]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-19533]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

18 CFR Parts 153 and 157

[Docket No. RM25-9-000]


Removal of Regulations Limiting Authorizations To Proceed With 
Construction Activities Pending Rehearing

AGENCY: Federal Energy Regulatory Commission.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: The Federal Energy Regulatory Commission (Commission) removes 
from its regulations a rule that precludes the issuance of 
authorizations to proceed with construction activities with respect to 
natural gas facilities approved pursuant to section 3 or section 7 of 
the Natural Gas Act for a limited time while certain requests for 
rehearing are pending before the Commission.

DATES: This rule is effective November 10, 2025.

FOR FURTHER INFORMATION CONTACT: Indigo Brown, Office of the General 
Counsel, Federal Energy Regulatory Commission, 888 First Street NE, 
Washington, DC 20426, Washington, DC 20426, (202) 502-8505, 
<a href="/cdn-cgi/l/email-protection#076e69636e6068296575687069476162756429606871"><span class="__cf_email__" data-cfemail="e38a8d878a848ccd81918c948da385869180cd848c95">[email&#160;protected]</span></a>.

SUPPLEMENTARY INFORMATION: 
    1. Section 157.23 of the Federal Energy Regulatory Commission's 
(Commission) regulations provides that, with respect to orders issued 
pursuant to sections 3 and 7(c) of the NGA \1\ authorizing the 
construction of new natural gas transportation, export, or import 
facilities, no authorization to proceed with construction activities 
will

[[Page 48222]]

be issued during the periods specified therein. In this final rule, the 
Commission amends its regulations to remove Sec.  157.23 and modify 
Sec.  153.4 to remove the reference to Sec.  157.23. This action will 
advance the Commission's principal statutory mission under the Natural 
Gas Act ``to encourage the orderly development of plentiful supplies of 
. . . natural gas at reasonable prices.'' \2\
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 717b; 15 U.S.C. 717f(c).
    \2\ See Citizens Action Coal. of Ind., Inc. v. FERC, 125 F.4th 
229, 244 (D.C. Cir. 2025) (quoting NAACP v. FPC, 425 U.S. 662, 669-
70 (1976)).
---------------------------------------------------------------------------

I. Background

A. Order No. 871

    2. On June 9, 2020, the Commission in Order No. 871 \3\ issued a 
final rule amending its regulations to add 18 CFR 157.23, precluding 
the issuance of authorizations to proceed with construction of projects 
authorized under sections 3 and 7(c) of the Natural Gas Act (NGA) 
during the period for filing requests for rehearing of initial orders, 
or while rehearing is pending.\4\ Order No. 871 also revised Sec.  
153.4 of the Commission's regulations, which sets forth general 
requirements for NGA section 3 applications, to incorporate a cross-
reference to Sec.  157.23. The Commission issued Order No. 871 to 
address concerns raised in the then-pending appeal Allegheny Defense 
Project v. FERC \5\ before the U.S. Court of Appeals for the District 
of Columbia Circuit (D.C. Circuit).
---------------------------------------------------------------------------

    \3\ Limiting Authorizations to Proceed with Construction 
Activities Pending Rehearing, Order No. 871, 171 FERC ] 61,201 
(2020) (Order No. 871), order on reh'g, Order No. 871-A, 174 FERC ] 
61,050, order on reh'g, Order No. 871-B, 175 FERC ] 61,098, order on 
reh'g, Order No. 871-C, 176 FERC ] 61,062 (2021).
    \4\ Under NGA section 3(e), the Commission is authorized to 
grant or deny applications to site, construct, expand, or operate 
liquefied natural gas (LNG) terminals. Under NGA section 7(c), the 
Commission is authorized to issue certificates of public convenience 
and necessity for the construction of interstate natural gas 
transportation facilities.
    \5\ 932 F.3d 940 (D.C. Cir. 2019), and on reh'g en banc, 964 
F.3d 1 (D.C. Cir. 2020) (Allegheny).
---------------------------------------------------------------------------

    3. Following the issuance of Allegheny, in response to requests for 
clarification and rehearing of Order No. 871, the Commission in Order 
No. 871-A provided interested parties an opportunity to file initial 
and reply briefs on the arguments raised on rehearing and specific 
questions posed by the Commission.\6\
---------------------------------------------------------------------------

    \6\ Order No. 871-A, 174 FERC ] 61,050.
---------------------------------------------------------------------------

    4. After review of the briefs filed, the Commission in Order No. 
871-B revised Sec.  157.23 to provide that the rule prohibiting the 
issuance of construction authorizations pending rehearing would apply 
only when a request for rehearing raised issues reflecting opposition 
to project construction, operation, or need.\7\ Order No. 871-B also 
revised Sec.  157.23 to provide that the rule's restriction on issuing 
construction authorizations would expire, if no qualifying request or 
rehearing was filed or, if such a request was filed, when (1) the 
request was no longer pending (i.e., it had been withdrawn or the 
Commission had acted on it), (2) the record of the proceeding was filed 
with the court of appeals, or (3) 90 days had passed from the date that 
the request might be deemed denied by operation of law under NGA 
section 19(a).\8\ Finally, Order No. 871-B adopted a policy of 
presumptively staying, on a case-by-case basis where a pipeline 
developer has not already acquired all necessary property interests and 
where a landowner who would be subject to eminent domain proceedings 
protested,\9\ an NGA section 7(c) certificate order during the 30-day 
period for seeking rehearing, and pending Commission resolution of any 
timely requests for rehearing filed by a landowner, until the earlier 
of the date on which the Commission (1) issues a substantive order on 
rehearing or otherwise indicates that the Commission will not take 
further action, or (2) 90 days following the date that a request for 
rehearing may be deemed to have been denied under NGA section 
19(a).\10\
---------------------------------------------------------------------------

    \7\ Order No. 871-B, 175 FERC ] 61,098 at PP 14, 30.
    \8\ Id. PP 26, 30.
    \9\ Order No. 871-C, 176 FERC ] 61,062 at P 41 (clarifying that 
the stay policy applies to landowners subject to eminent domain).
    \10\ Order No. 871-B, 175 FERC ] 61,098 at PP 43-51 (noting at P 
51 that the new policy is only presumptive and that the question of 
whether to impose a stay will be decided on the circumstances 
presented in each particular certificate proceeding).
---------------------------------------------------------------------------

    5. In Order No. 871-C, the Commission addressed requests for 
rehearing and clarification of Order No. 871-B.\11\ The Commission 
modified the discussion but did not change the outcome of Order No. 
871-B.\12\
---------------------------------------------------------------------------

    \11\ Order No. 871-C, 176 FERC ] 61,062.
    \12\ The Interstate Natural Gas Association of America (INGAA) 
and others filed and later withdrew petitions for review of the 
Order No. 871 rulemaking.
---------------------------------------------------------------------------

    6. On January 20, 2025, the President issued Executive Order 14154, 
seeking to eliminate delays in and streamline the permitting process 
for energy infrastructure projects, and noting that it is ``in the 
national interest to unleash America's affordable and reliable energy 
and natural resources.'' \13\ On the same date, the President issued 
Executive Order 14156, which declares a national energy emergency and 
prioritizes the expansion of energy infrastructure as a matter of 
critical national and economic security.\14\
---------------------------------------------------------------------------

    \13\ Exec. Order No. 14,154, 90 FR 8353 (Jan. 20, 2025).
    \14\ Exec. Order No. 14,156, 90 FR 8433 (Jan. 20, 2025).
---------------------------------------------------------------------------

B. INGAA Petition

    7. On April 14, 2025, INGAA filed a petition for rulemaking 
requesting that the Commission adopt a rule rescinding Order No. 871, 
removing Sec.  157.23 from the regulations, and amending Sec.  153.4, 
which relates to applications to authorize liquefied natural gas 
facilities under NGA section 3, to remove the reference to Sec.  
157.23.\15\ In its petition, INGAA argues that the stakeholder 
protections afforded by the D.C. Circuit's decision in Allegheny 
rendered the regulations promulgated under Order No. 871 
unnecessary.\16\ Specifically, INGAA maintains that Allegheny's holding 
\17\ protects stakeholders from the possibility that project 
construction may proceed before the completion of the Commission's 
review because that decision allows parties to ``seek and receive a 
judicial stay of a certificate [or authorization] order as soon as 30 
days after a request for rehearing'' has been filed.\18\ INGAA contends 
that the current Order No. 871 framework assumes that the Commission 
erred in authorizing a project.\19\
---------------------------------------------------------------------------

    \15\ INGAA Petition for Rulemaking (Petition) at 18.
    \16\ Id. at 7.
    \17\ Allegheny, 964 F.3d 1, 13-17 (holding that parties that 
have filed a rehearing request may file a petition for judicial 
review of the underlying order immediately after rehearing is deemed 
denied).
    \18\ INGAA Petition at 7-8.
    \19\ Id. at 8.
---------------------------------------------------------------------------

    8. Additionally, INGAA notes that when creating project schedules, 
project developers must work with contractors and vendors to set the 
timeframes to accommodate anticipated construction, material 
procurement, and environmental compliance requirements, as well as 
seasonal constraints.\20\ It argues that Order No. 871's preemptive 
prohibition of the issuance of construction authorizations forces 
developers to account in their schedules for the maximum amount of time 
(150 days) that could be imposed as a result of a potential rehearing 
request, even where no eligible rehearing request is filed.\21\ INGAA 
avers that Order No. 871 subjects project developers to unnecessary 
costs and construction delays regardless of whether developers account 
in advance for the potential delays which would be encountered should 
an eligible rehearing request be filed or fail to

[[Page 48223]]

consider such potential delays and are forced to make last-minute 
schedule changes.\22\
---------------------------------------------------------------------------

    \20\ Id.
    \21\ Id. at 8-9.
    \22\ Id. at 9-11.
---------------------------------------------------------------------------

    9. Further, INGAA claims that Order No. 871 increased the number of 
rehearing requests, that non-landowner parties have filed most of the 
rehearing requests since the promulgation of Order No. 871, and that 
the regulation has become a tool to delay authorized projects.\23\ 
INGAA contends that the interests of project developers and landowners 
are unbalanced and that the burdens imposed on developers are not 
justified.\24\ INGAA maintains that if the Commission rescinds Order 
No. 871 landowners will not be materially impacted because they would 
still have statutory and other regulatory protections, such as the 
ability to file with the Commission rehearing requests of certificate 
and authorization orders and motions to stay the certificate or 
authorization order, as well as to seek an emergency judicial stay of 
the certificate holder's exercise of eminent domain if needed.\25\
---------------------------------------------------------------------------

    \23\ Id. at 12-14. As stated in the NOPR, we note that INGAA has 
not provided additional support for these specific claims.
    \24\ Id. at 14.
    \25\ Id. at 14-15.
---------------------------------------------------------------------------

    10. Finally, INGAA states that rescinding Order No. 871 would be 
consistent with the Administration's priorities to develop reliable 
energy infrastructure.\26\ INGAA argues that the Commission has 
previously proposed rules that are justified by federal policies 
established in prior Executive Orders.\27\
---------------------------------------------------------------------------

    \26\ Id. at 16-17.
    \27\ Id. (citing Applications for Permits to Site Interstate 
Elec. Transmission Facilities, Notice of Proposed Rulemaking, 181 
FERC ] 61,205, at P 30 (2022); Applications for Permits to Site 
Interstate Elec. Transmission Facilities, Order No. 1977, 187 FERC ] 
61,069, at P 111 (2024)).
---------------------------------------------------------------------------

C. Waiver Order and Notice of Proposed Rulemaking

    11. On June 18, 2025, the Commission issued an order temporarily 
waiving Sec.  157.23 for one year, until June 30, 2026 (Waiver Order). 
At the same time, the Commission issued a Notice of Proposed Rulemaking 
(NOPR), which proposed to permanently remove Sec.  157.23 from its 
regulations and revise Sec.  153.4 to eliminate the cross-reference to 
Sec.  157.23.\28\ The Commission proposed to remove Sec.  157.23 to 
respond to the imperative to remove barriers to the construction of 
necessary energy infrastructure.
---------------------------------------------------------------------------

    \28\ See NOPR, 191 FERC ] 61,208.
---------------------------------------------------------------------------

    12. In the NOPR, the Commission noted its broad authority under NGA 
section 16 \29\ to rescind regulations as it finds appropriate to carry 
out the provisions of the NGA, and its statutory duties under NGA 
section 7(e) to issue certificates for proposed pipelines that are 
required by the present or future public convenience and necessity and 
under NGA section 3 to authorize import or export facilities unless 
such facilities are inconsistent with the public interest.\30\
---------------------------------------------------------------------------

    \29\ 15 U.S.C. 717o.
    \30\ See NOPR, 191 FERC ] 61,208 at P 12.
---------------------------------------------------------------------------

    13. The Commission recognized that construction of natural gas 
infrastructure is a complex process and explained that, due to timing 
constraints and other outside factors effecting construction, a 
potential 150-day delay in the start of construction could cause 
further unforeseen delays that might jeopardize the availability of a 
project's capacity or reliability benefits within the timeframe when 
they are needed, which could frustrate the objectives of approved 
projects.\31\ The Commission acknowledged that there is widespread 
recognition that adequate natural gas infrastructure is critical to 
meet the increasing natural gas and electric system demand, 
particularly during periods of high demand, and to ensure the 
reliability of both systems.\32\ The Commission cited several reports 
analyzing projected growth in natural gas and electricity demand and 
the role of natural gas infrastructure in supporting reliability and 
demand, and executive actions that have also recognized resource 
adequacy and reliability concerns.\33\
---------------------------------------------------------------------------

    \31\ See NOPR, 191 FERC ] 61,208 at P 13.
    \32\ Id. PP 14-16.
    \33\ Id. PP 14-17.
---------------------------------------------------------------------------

    14. The Commission stated that the ruling in Allegheny provides 
safeguards to stakeholders' interests and ensures that parties may seek 
to halt the commencement of construction during the pendency of a 
rehearing request.\34\ The Commission emphasized that it carefully 
considers and balances the alleged harms of a proposed project, 
including potential impacts to landowners and communities, against its 
benefits before issuing a certificate or authorization and that it will 
continue to consider whether additional protections are warranted in 
individual proceedings.\35\
---------------------------------------------------------------------------

    \34\ NOPR, 191 FERC ] 61,208 at P 19 (citing Allegheny, 964 F.3d 
1, 13-17).
    \35\ Id. PP 20-21.
---------------------------------------------------------------------------

    15. In addition to requesting public comments on the NOPR proposal 
to eliminate Sec.  157.23 in its entirety, the Commission posed two 
specific questions. The Commission sought comment on whether it should 
instead revise Sec.  157.23 to (1) limit its scope while maintaining 
some protections for certain types of stakeholders or (2) reduce the 
time period on the limitation for issuing authorizations to proceed 
with construction.\36\
---------------------------------------------------------------------------

    \36\ Id. P 23.
---------------------------------------------------------------------------

    16. Several entities filed motions to intervene, without 
comment.\37\ Comments on the NOPR were due July 24, 2025. In response 
to the NOPR, 23 comments were filed. The Commission received 11 
comments from various individuals and organizations opposing the 
Commission's proposal to remove Sec.  157.23; \38\ and 12 comments from 
various entities supporting the removal of Sec.  157.23.\39\ We have 
considered these comments in developing this final rule.
---------------------------------------------------------------------------

    \37\ Motions to intervene were filed by Arizona Corporation 
Commission; Symmetry Energy Solutions, LLC; Atmos Energy 
Corporation; EQT Energy, LLC; Coterra Energy, Inc.; Cheniere Energy, 
Inc.; New England Local Distribution Companies; and Delaware 
Riverkeeper Network and Maya Van Rossum (Delaware Riverkeeper). 
Intervention is not necessary to obtain party status in a rulemaking 
proceeding. See, e.g., Order No. 871-B, 175 FERC ] 61,098, at n.14.
    \38\ Commenters that oppose the NOPR include: Marion Freistadt; 
Texas Environmental Justice Advocacy Services; a consortium of 
public interest organizations and individuals (Public Interest 
Organizations); Robert Feder; Lila Zastrow and Dave Hendrickson; 
Diana Dakey; Robert E. Rutkowski; Lakshmi Ford; Institute for Policy 
Integrity at New York University School of Law (Institute for Policy 
Integrity); PennFuture; Columbia Riverkeeper et. al; and Delaware 
Riverkeeper.
    \39\ Commenters that support the NOPR include: Arizona 
Corporation Commission; Energy Transfer LP; Eastern Shore Natural 
Gas Company; American Gas Association; Mountain Valley Pipeline, LLC 
(Mountain Valley); INGAA, the American Petroleum Institute, and GPA 
Midstream Association (INGAA); Cheniere Energy, Inc. (Cheniere 
Energy); Kinder Morgan, Inc. (Kinder Morgan); Enbridge Gas 
Pipelines; Boardwalk Pipeline Partners, LP (Boardwalk Pipeline); The 
Williams Companies, Inc.; and WBI Energy Transmission, Inc.
---------------------------------------------------------------------------

II. Discussion

A. Temporary Waiver Order

    17. Public Interest Organizations argue that the Waiver Order was, 
in essence, an improper rulemaking and that the NOPR offers a post-
promulgation comment period and functions as an attempt to cure the 
Commission's failure to engage in notice and comment rulemaking prior 
to issuing that order.\40\ They maintain that the Commission's 
contemporaneous issuance of the Waiver Order and the NOPR reflect the 
Commission's commitment to remove Sec.  157.23 before soliciting public 
comment, and therefore, the Commission's rulemaking effort is fatally 
flawed.\41\
---------------------------------------------------------------------------

    \40\ Public Interest Organizations July 24, 2025 Protest at 20-
21.
    \41\ Id.

---------------------------------------------------------------------------

[[Page 48224]]

    18. Any arguments challenging the Waiver Order are outside the 
scope of this rulemaking proceeding, which is entirely separate from 
the Waiver Order proceeding. Further, we find the Commission's process 
in promulgating this final rule is lawful. In compliance with APA Sec.  
553, the Commission provided notice and an opportunity to file comments 
in response to the proposal to eliminate Sec.  157.23.\42\ The 
Commission's separate finding of good cause to temporarily waive Sec.  
157.23 does not reflect a decision to remove the regulation on a 
permanent basis. As discussed below, after considering the submitted 
comments opposing and supporting the NOPR, and in light of the 
perspectives gained during the past four years of practical 
implementation, the Commission has determined that removing Sec.  
157.23 from its regulations will reduce the construction delays which 
have resulted from the regulation's limitation on the issuance of 
construction authorizations and hampered the timely development of 
natural gas infrastructure, and serve to promote and expedite efficient 
energy development, furthering the Commission's statutory mission under 
the NGA.
---------------------------------------------------------------------------

    \42\ See 5 U.S.C. 553; NOPR, 191 FERC ] 61,208.
---------------------------------------------------------------------------

B. Justification for Removing Sec.  157.23

    19. Several commenters oppose the NOPR, arguing that the Commission 
failed to provide evidence justifying the proposal to remove Sec.  
157.23 and raising concerns regarding the Commission's statutory duties 
under the NGA, the Commission's alleged reliance on Executive Order 
14156, and energy demand and reliability projections. The Commission 
finds that removal of Sec.  157.23 from its regulations is warranted to 
reduce unnecessary delays to constructing needed natural gas 
infrastructure and safeguards available to impacted stakeholders, 
including Allegheny's assurance that parties are able to seek judicial 
review immediately after rehearing is deemed denied and other 
protections provided by the Commission's case-by-case evaluation of 
proposed projects.
1. Reliance on the Allegheny Decision
    20. Supporting commenters argue that Allegheny mooted the concerns 
that originally motivated the issuance of Order No. 871 and that 
landowners have sufficient protections without Sec.  157.23.\43\ They 
contend that Allegheny ensured that stakeholders are able to seek 
judicial review or a stay immediately following a deemed denial of 
rehearing.\44\ Supporting commenters maintain that the stakeholders 
also have additional protections, including the Commission's balancing 
test and pre-filing requirements under the NGA, the ability to seek a 
stay from the Commission, and the requirement to obtain all necessary 
federal and state approvals prior to commencing construction.\45\
---------------------------------------------------------------------------

    \43\ See, e.g., INGAA July 24, 2025 Comments at 2, 8-12; 
Boardwalk Pipeline July 24, 2025 Comments at 10-11; Energy Transfer 
July 24, 2025 Comments at 2-3, 4, 11-13; Cheniere Energy July 24, 
2025 Comments at 6; Kinder Morgan July 24, 2025 Comments at 11-13.
    \44\ The Williams Companies, Inc. July 24, 2025 Comments at 5-6; 
Cheniere July 24, 2025 Comments at 6.
    \45\ INGAA July 24, 2025 Comments at 22-23; Cheniere July 24, 
2025 Comments at 6; Mountain Valley July 24, 2025 Comments at 8; 
Kinder Morgan July 24, 2025 Comments at 11-13.
---------------------------------------------------------------------------

    21. Opposing commenters argue that the decision in Allegheny does 
not justify the removal of Sec.  157.23.\46\ They emphasize that the 
Commission failed to explain its departure from its prior findings that 
both Order No. 871 and the ruling in Allegheny are necessary as they 
offer different protections.\47\ Opposing commenters state that Order 
No. 871 addressed serious concerns posed by the possibility of 
construction proceeding prior to the completion of the Commission's 
review, while Allegheny offered timely judicial review for parties 
opposing certificate or authorization orders.\48\ Public Interest 
Organizations maintain that due to the timing of the court's review of 
Commission orders Allegheny does not provide enough protection for 
stakeholders because a court may not act promptly enough to prevent 
permanent destruction or the exercise of eminent domain, or to issue a 
stay.\49\ They note that Allegheny is not a changed circumstance 
because the Commission issued rehearing orders of Order No. 871 
following that decision and that the Commission's failure to repeal 
Order No. 871 after Allegheny demonstrates the importance of Sec.  
157.23.\50\
---------------------------------------------------------------------------

    \46\ See Public Interest Organizations July 24, 2025 Protest at 
37; Delaware Riverkeeper July 24, 2025 Comments at 9-10.
    \47\ See Public Interest Organizations July 24, 2025 Protest at 
38-39; Delaware Riverkeeper July 24, 2025 Comments at 9-10.
    \48\ See Public Interest Organizations July 24, 2025 Protest at 
38-39; Delaware Riverkeeper July 24, 2025 Comments at 9-10.
    \49\ Public Interest Organizations July 24, 2025 Protest at 37-
38.
    \50\ Id. at 39-40.
---------------------------------------------------------------------------

    22. In issuing Order No. 871, the Commission considered the impacts 
that commencing construction during the pendency of a rehearing request 
would have on affected landowners and members of communities that would 
be affected by project construction.\51\ While at that time the 
Commission determined that Order No. 871 provided necessary protections 
along with Allegheny's assurance of timely judicial review of initial 
Commission orders, we now conclude that the protection offered by 
judicial review and the potential for other case-by-case relief 
discussed further below \52\ are sufficient given that the projects 
subject to 157.23 have been found to be needed and in the public 
interest following a fulsome agency review that includes environmental 
review and consideration of alternatives. Based on these considerations 
and given the Commission's command pursuant to the NGA to encourage the 
orderly development of plentiful supplies of natural gas \53\ the 
Commission concludes that Sec.  157.23 is no longer in the public 
interest.
---------------------------------------------------------------------------

    \51\ See Order No. 871-B, 175 FERC ] 61,098 at P 15.
    \52\ Infra PP 40, 43-46 (discussing other protections, including 
the Commission's evaluation of each individual project application, 
the ability to petition the Commission for a stay, and the 
presumptive stay policy established in Order No 871-B).
    \53\ NAACP v. FPC, 425 U.S. at 670.
---------------------------------------------------------------------------

    23. We note that many of the Public Interest Organizations' 
concerns are addressed by existing landowner protections. The 
Commission will continue to consider stay requests from landowners on a 
case-by-case basis, as well as continue the presumptive stay policy 
established in Order No. 871-B. The presumptive stay policy 
specifically protects directly affected landowners who would be subject 
to eminent domain under NGA section 7. In Order No. 871-B, the 
Commission recognized that ``eminent domain is among the most 
significant actions that a government may take with regard to an 
individual's private property,'' and that Allegheny alone does not 
preclude the harm that can arise when developers initiate eminent 
domain proceedings following the issuance of a certificate order.\54\
---------------------------------------------------------------------------

    \54\ See Order No. 871-B, 175 FERC ] 61,098 at P 47.
---------------------------------------------------------------------------

    24. Further, as clarified by Allegheny, affected landowners and 
stakeholders that have sought rehearing of an initial order are able to 
seek judicial review as soon as 30 days after rehearing is deemed 
denied, and to seek more immediate injunctive relief.\55\ Stakeholders 
may also file with the Commission a motion for a stay of the initial 
certificate or authorization order.

[[Page 48225]]

Based on these protections, we find that the removal of Sec.  157.23 is 
warranted.
---------------------------------------------------------------------------

    \55\ Allegheny, 964 F.3d at 13-17.
---------------------------------------------------------------------------

2. Resource Adequacy and Reliability Concerns
    25. Supporting commenters argue that Sec.  157.23 of the 
Commission's regulations hinders the additional pipeline infrastructure 
needed to serve growing electricity demand.\56\ They state that the 
U.S. is facing unprecedented increases in natural gas and electricity 
demand from the residential, manufacturing, commercial, and 
transportation sectors and artificial intelligence-driven growth, and 
contend that infrastructure development is necessary to ensure energy 
reliability and affordability.\57\ INGAA emphasizes that additional 
generation capacity is critical to the nation's energy security needs, 
particularly given the development of data centers to advance 
artificial intelligence.\58\
---------------------------------------------------------------------------

    \56\ See, e.g., INGAA July 24, 2025 Comments at 3, 20-21; Energy 
Transfer July 24, 2025 Comments at 10-11; The Williams Companies, 
Inc. July 24, 2025 Comments at 7-9.
    \57\ The Williams Companies, Inc. July 24, 2025 Comments at 7-8; 
Kinder Morgan July 24, 2024 Comments at 3, Enbridge Gas Pipelines 
July 24, 2025 Comments at 2; WBI Energy Transmission, Inc. July 24, 
2025 Comments at 3-4.
    \58\ See INGAA July 24, 2025 Comments at 3, 21.
---------------------------------------------------------------------------

    26. Opposing commenters express concerns regarding the Commission's 
reliance on natural gas and electricity demand projections and 
reliability concerns to justify its proposal and argue that it is 
unclear how the removal of Sec.  157.23 would ease resource adequacy 
constraints.\59\ Opposing commenters note that the Commission failed to 
consider that the U.S. Energy Information Administration's (EIA) Short-
Term Outlook \60\ projected that, in 2025, the percentage of renewable 
energy resources supporting electric generation is increasing while the 
percentage of natural gas doing so is decreasing.\61\ Public Interest 
Organizations acknowledge the expected growth for domestic electricity 
demand, but argue that due to the uncertainty surrounding data centers 
there is uncertainty regarding the degree to which both demand for 
electricity, generally, and natural gas to support electric generation, 
specifically, will increase.\62\ Opposing commenters dispute the 
reports that INGAA cited in its Petition and the Commission cited in 
the NOPR, arguing that they do not provide evidence that expanded 
pipeline capacity is the optimal solution to ensure and improve 
reliability and that the reports indicate that the rate of natural gas 
demand increase is lowering from previous years.\63\ They contend that 
the Commission does not provide evidence that the increasing energy 
demand constitutes an emergency or that the current pace of natural gas 
infrastructure additions would fail to meet such demand.\64\
---------------------------------------------------------------------------

    \59\ See Public Interest Organizations July 24, 2025 Protest at 
26, 30; Institute for Policy Integrity July 23, 2025 Comments.
    \60\ See EIA, Short-Term Energy Outlook (May 6, 2025), <a href="https://www.eia.gov/outlooks/steo">https://www.eia.gov/outlooks/steo</a> (accessed Sept. 16, 2025);
    \61\ See Public Interest Organizations July 24, 2025 Protest at 
27-28; Diana Dakey July 21, 2025 Comments.
    \62\ Public Interest Organizations July 24, 2025 Protest at 28-
29, 33-34.
    \63\ See Public Interest Organizations July 24, 2025 Protest at 
31-32; Institute for Policy Integrity July 23, 2025 Comments at 2-4.
    \64\ See Public Interest Organizations July 24, 2025 Protest at 
32-33; Delaware Riverkeeper July 24, 2025 Comments at 11.
---------------------------------------------------------------------------

    27. Opposing commenters argue that given the alleged uncertainty 
regarding natural gas and electricity demand, removing Sec.  157.23 
could lead to overbuilding infrastructure. The Institute for Policy 
Integrity urges the Commission to conduct its own updated analysis of 
existing infrastructure and current projections for load growth and 
system needs prior to concluding that widespread infrastructure 
expansion is necessary.\65\ It maintains that a range of operational 
and market reforms to increase the effective utilization of existing 
gas and electricity systems, along with targeted infrastructure 
expansion are critical to improving reliability.\66\
---------------------------------------------------------------------------

    \65\ Institute for Policy Integrity July 23, 2025 Comments 7-8.
    \66\ Id. at 4-6
---------------------------------------------------------------------------

    28. Section 157.23 is a procedural regulation, delaying the 
commencement of construction of projects that the Commission has 
already found to be in the public interest for a period of time pending 
consideration of certain requests for rehearing. Despite comments 
suggesting the contrary, it is not the mechanism by which the 
Commission determines whether there is a need for additional energy 
infrastructure. The Commission continues to evaluate proposed projects 
under the existing standards in NGA sections 3 and 7, as appropriate. 
Therefore, the Commission need not find that there is an energy 
infrastructure emergency in order to conclude that Sec.  157.23 is not 
necessary to protect stakeholders. Regarding the NGA's mandate to 
oversee the orderly development of the natural gas grid, the Commission 
recognizes that the projected natural gas and electric system demand 
requires natural gas infrastructure. Moreover, the reports estimating 
that the percentage of natural gas supplying electric generation will 
decrease \67\ do not negate the interdependence of natural gas supplies 
and electric generation. Even though more renewable energy resources, 
such as wind and solar, are supplying electric generation, the electric 
power sector has relied on natural gas over the past decades and 
continues to do so, which leads to increased interdependence.\68\ 
Accordingly, an increase in electricity demand, without sufficient 
natural gas supplies and interstate transportation infrastructure to 
support such demand, could impact grid reliability even if renewable 
energy source generation increases.
---------------------------------------------------------------------------

    \67\ EIA, EIA Expects Record U.S. Natural Gas Consumption in 
2025 (Aug. 25, 2025), <a href="https://www.eia.gov/todayinenergy/detail.php?id=65984">https://www.eia.gov/todayinenergy/detail.php?id=65984</a> (accessed Sept. 16, 2025).
    \68\ See NERC, Draft Electric-Natural Gas Strategy Report (Aug. 
2025), <a href="https://www.nerc.com/comm/RSTCReviewItems/1_08_Electricity_Natural_Gas_Strategy%20Draft.pdf">https://www.nerc.com/comm/RSTCReviewItems/1_08_Electricity_Natural_Gas_Strategy%20Draft.pdf</a> (accessed Sept. 
16, 2025).
---------------------------------------------------------------------------

    29. Domestic natural gas consumption, natural gas exports, and 
demand for electricity are expected to increase.\69\ The U.S. 
Department of Energy reports increased electricity demand due to the 
development of new manufacturing, re-industrialization of the U.S. 
economy, and the growing development of data centers to support 
artificial intelligence--and emphasizes that the nation's power grid 
may be unable to meet projected demand, while maintaining a reliable 
grid and low costs for consumers.\70\ As stated in the NOPR, there are 
growing concerns regarding insufficient gas pipeline capacity,\71\ 
partially due to the retirement of dispatchable generation
---------------------------------------------------------------------------

    \69\ See EIA, Short-Term Energy Outlook (May 6, 2025), <a href="https://www.eia.gov/outlooks/steo">https://www.eia.gov/outlooks/steo</a> (accessed Sept. 16, 2025); EIA, EIA 
Expects Record U.S. Natural Gas Consumption in 2025 (Aug. 25, 2025), 
<a href="https://www.eia.gov/todayinenergy/detail.php?id=65984">https://www.eia.gov/todayinenergy/detail.php?id=65984</a> (accessed 
Sept. 16, 2025).
    \70\ U.S. Department of Energy (DOE), Resource Adequacy Report, 
at 1 (July 7, 2025), <a href="https://www.energy.gov/sites/default/files/2025-07/DOE%20Final%20EO%20Report%20%28FINAL%20JULY%207%29.pdf">https://www.energy.gov/sites/default/files/2025-07/DOE%20Final%20EO%20Report%20%28FINAL%20JULY%207%29.pdf</a> 
(accessed Sept. 16, 2025).
    \71\ NOPR, 191 FERC ] 61,208 at P 16; NERC, 2024 Long-Term 
Reliability Assessment, 8 (2024), <a href="https://www.nerc.com/pa/RAPA/ra/Reliability%20Assessments%20DL/NERC_Long%20Term%20Reliability%20Assessment_2024.pdf">https://www.nerc.com/pa/RAPA/ra/Reliability%20Assessments%20DL/NERC_Long%20Term%20Reliability%20Assessment_2024.pdf</a> (accessed Sept. 
16, 2025); Federal-State Current Issues Collaborative, <a href="https://www.ferc.gov/federal-state-current-issues-collaborative">https://www.ferc.gov/federal-state-current-issues-collaborative</a>.

---------------------------------------------------------------------------

[[Page 48226]]

sources and the lack of comparable replacement capacity.\72\
---------------------------------------------------------------------------

    \72\ DOE, Resource Adequacy Report, 1 (July 7, 2025), <a href="https://www.energy.gov/sites/default/files/2025-07/DOE%20Final%20EO%20Report%20%28FINAL%20JULY%207%29.pdf">https://www.energy.gov/sites/default/files/2025-07/DOE%20Final%20EO%20Report%20%28FINAL%20JULY%207%29.pdf</a> (accessed 
Sept. 16, 2025); NERC, 2024 Long-Term Reliability Assessment, 8 
(2024), <a href="https://www.nerc.com/pa/RAPA/ra/Reliability%20Assessments%20DL/NERC_Long%20Term%20Reliability%20Assessment_2024.pdf">https://www.nerc.com/pa/RAPA/ra/Reliability%20Assessments%20DL/NERC_Long%20Term%20Reliability%20Assessment_2024.pdf</a> (accessed Sept. 
16, 2025).
---------------------------------------------------------------------------

    30. Reports recommend several measures including coordination among 
utilities, grid operators, regulators and policymakers, new analyses to 
evaluate future reliability risks, and infrastructure development.\73\ 
We continue to find that ensuring the timely development of sufficient 
natural gas pipeline capacity is critical to addressing natural gas and 
electricity system reliability and resource adequacy concerns.
---------------------------------------------------------------------------

    \73\ DOE, Resource Adequacy Report, 1-2 (July 7, 2025), <a href="https://www.energy.gov/sites/default/files/2025-07/DOE%20Final%20EO%20Report%20%28FINAL%20JULY%207%29.pdf">https://www.energy.gov/sites/default/files/2025-07/DOE%20Final%20EO%20Report%20%28FINAL%20JULY%207%29.pdf</a> (accessed 
Sept. 16, 2025); NERC, 2024 Long-Term Reliability Assessment, 10 
(2024), <a href="https://www.nerc.com/pa/RAPA/ra/Reliability%20Assessments%20DL/NERC_Long%20Term%20Reliability%20Assessment_2024.pdf">https://www.nerc.com/pa/RAPA/ra/Reliability%20Assessments%20DL/NERC_Long%20Term%20Reliability%20Assessment_2024.pdf</a> (accessed Sept. 
16, 2025).
---------------------------------------------------------------------------

    31. Opposing commenters' concerns that adopting the NOPR proposal 
will result in overbuilding pipeline infrastructure are misplaced. The 
removal of Sec.  157.23 would not lead to overbuilding as the 
regulation only prevented the start of construction of projects 
approved under NGA section 3 or section 7 for a period of time during 
the pendency of a rehearing request. Given that the Commission only 
authorizes projects consistent with its statutory mandates, i.e., those 
found to be required by the public convenience and necessity or not 
inconsistent with the public interest, there is no risk of overbuilding 
gas infrastructure.
3. Executive Orders
    32. Supporting commenters generally argue that the regulation is 
inconsistent with federal policy, including Executive Order 14154 and 
Executive Order 14156, to streamline energy infrastructure development 
and eliminate delays.\74\ Citing the Supreme Court's decision in Seven 
County Infrastructure Coalition v. Eagle County, commenters argue that 
recent judicial decisions signal a government-wide effort to expand 
energy infrastructure.\75\
---------------------------------------------------------------------------

    \74\ See, e.g., INGAA July 24, 2025 Comments at 17-18; Boardwalk 
Pipeline July 24, 2025 Comments at 5, 10; Energy Transfer July 24, 
2025 Comments at 2, 9-11; Kinder Morgan, July 24, 2025 Comments at 
4-5.
    \75\ See INGAA July 24, 2025 Comments at 18-19 (citing Seven 
Cnty. Infrastructure Coal. v. Eagle Cnty., 145 S. Ct. 1497 (2025)); 
Kinder Morgan July 24, 2025 Comments at 5; Enbridge Gas Pipelines 
July 24, 2025 Comments at 5.
---------------------------------------------------------------------------

    33. Opposing commenters claim that the Commission erroneously 
relied on Executive Order 14156 to justify the removal of Sec.  
157.23.\76\ Specifically, Public Interest Organizations argue that the 
Executive Order neither provides sufficient evidence to support the 
declaration of an energy emergency nor clarifies the specific nature of 
the alleged emergency, and that the Commission validates the alleged 
energy emergency without justification.\77\ They urge that compliance 
with Executive Order 14156 is voluntary, as agencies may lawfully 
implement executive orders only so long as they also abide by their 
statutory duties.\78\ Public Interest Organizations maintain that 
complying with the Executive Order violates what they characterize as 
the NGA's mandate barring the Commission from certifying unnecessary 
facilities.\79\
---------------------------------------------------------------------------

    \76\ See, e.g., Public Interest Organizations July 24, 2025 
Protest at 23-24, 30; Diana Dakey July 21, 2025 Comments; PennFuture 
July 24, 2025 Comments.
    \77\ Public Interest Organizations July 24, 2025 Protest at 24-
25.
    \78\ Id. at 36.
    \79\ Id. at 37 (citing 15. U.S.C. 717f(e)).
---------------------------------------------------------------------------

    34. While the Commission noted executive actions, including 
Executive Order 14156 and Executive Order 14154, in the NOPR,\80\ they 
are not the primary basis for Commission's decision. In proposing to 
remove Sec.  157.23, the Commission considered (1) its broad statutory 
authority to make and rescind any regulations as it may find 
appropriate; (2) its statutory obligation to encourage the orderly 
development of natural gas supplies; (3) the potential 150-day delay 
that Sec.  157.23 imposes; and (4) other protections for stakeholders' 
interests, including the availability of judicial review and 
consideration of alleged harms during the NGA sections 3 and 7 
authorization process.\81\ Additionally, the Commission also noted (1) 
several reports emphasizing the increase in natural gas and electricity 
system demand, the expanded capacity necessary to meet such demand, and 
the resultant reliability concerns; and (2) executive action 
recognizing the resource adequacy and reliability concerns. The 
Commission did not rely on compliance with executive policy to justify 
the regulation's removal, rather it discussed the Executive Orders as 
evidence that the pressing resource adequacy and system reliability 
concerns have been widely recognized.\82\
---------------------------------------------------------------------------

    \80\ See NOPR, 191 FERC ] 61,208 at P 17.
    \81\ See id. PP 12-21.
    \82\ See id. P 17.
---------------------------------------------------------------------------

    35. The Commission finds that the removal of Sec.  157.23 is 
consistent with Commission's command pursuant to the NGA to facilitate 
the orderly development of natural gas supplies.\83\ By removing the 
blanket delays in Sec.  157.23, the Commission ensures natural gas 
infrastructure projects that it has determined to be required by the 
public convenience and necessity or not inconsistent with the public 
interest \84\ may proceed in a timely manner.
---------------------------------------------------------------------------

    \83\ See Citizens Action Coal. of Ind., Inc. v. FERC, 125 F.4th 
at 244 (quoting NAACP v. FPC, 425 U.S. at 669-70).
    \84\ See 15 U.S.C. 717f(e), 717b(a).
---------------------------------------------------------------------------

C. Impacts of Delay

    36. Supporting commenters generally argue that Sec.  157.23 unduly 
delays the construction of approved projects.\85\ Along with timing 
constraints related to weather and certain species, Cheniere Energy 
notes that the uncertainty resulting from a potential 150-day delay 
could result in contractual impacts on project sponsors, such as 
obligations and deadlines established in offtake sale and purchase 
agreements or Engineering Procurement and Construction agreements for 
LNG projects.\86\ Cheniere Energy emphasizes that these contractual 
impacts could also lead to increased costs.\87\
---------------------------------------------------------------------------

    \85\ See, e.g., Arizona Corporation Commission July 8, 2025 
Comments at 3-4; The Williams Companies, Inc. July 24, 2025 Comments 
at 2-5; American Gas Association July 24, 2025 Comments at 4; Energy 
Transfer July 24, 2024 Comments at 5-7.
    \86\ Cheniere Energy July 24, 2025 Comments at 9-10.
    \87\ Id.
---------------------------------------------------------------------------

    37. Opposing commenters aver that any harm caused by alleged 
construction delays or costs to project sponsors is outweighed by the 
benefits and protections provided by Sec.  157.23.\88\ Citing Order No. 
871-B, Public Interest Organizations contend that project sponsors do 
not have a right to the issuance of construction authorizations within 
a specific timeframe.\89\ They argue that construction delays are of 
little consequence because, prior to Order No. 871, project sponsors 
had to account for time uncertainty regarding order issuance and, 
following order issuance, sponsors may conduct certain pre-construction 
activities to develop the project while waiting for a construction 
authorization.\90\ Delaware

[[Page 48227]]

Riverkeeper argues that the Commission failed to explain why a 
potential 150-day delay prevents the construction of natural gas 
infrastructure.\91\ Public Interest Organizations argue that the 
Commission failed to provide evidence that Order No. 871 became a tool 
for stakeholders and parties seeking rehearing to stop or delay 
construction.\92\
---------------------------------------------------------------------------

    \88\ See Public Interest Organizations July 24, 2025 Protest at 
42-43; Delaware Riverkeeper July 24, 2025 Comments at 10-11; 
PennFuture July 24, 2025 Comments.
    \89\ Public Interest Organizations July 24, 2025 Protest at 41.
    \90\ Id. at 42-43
    \91\ Delaware Riverkeeper July 24, 2025 Comments at 10-11.
    \92\ Public Interest Organizations July 24, 2025 Protest at 44-
45.
---------------------------------------------------------------------------

    38. In response to the specific questions posed in the NOPR, 
supporting commenters argue that the Commission should fully rescind 
Sec.  157.23 rather than revise the regulation to reduce the time 
period for issuing construction authorizations because such revision 
would still cause delays and allow project opponents to use the 
regulation to delay authorized projects.\93\
---------------------------------------------------------------------------

    \93\ Id. at 12, 15-16; Energy Transfer July 24, 2024 Comments at 
15; INGAA July 24, 2025 Comments at 22-24; Mountain Valley July 24, 
2025 Comments at 4-7. We note that, in the NOPR, the Commission did 
not adopt INGAA's statement that Sec.  157.23 has become a tool to 
delay authorized projects. See supra note 23; NOPR, 191 FERC ] 
61,208 at n.23. Indeed, we note that INGAA and other supporting 
commenters have not provided additional support for these specific 
claims.
---------------------------------------------------------------------------

    39. We find that preventing delays in the commencement of 
construction of projects that have been found to be in the public 
interest is an effective step in addressing the resource adequacy and 
reliability concerns associated with the projected increase in natural 
gas and electricity system demand.
    40. While project sponsors will always be faced with some degree of 
unpredictability, such as the timeframe for obtaining federal and state 
approvals, removing Sec.  157.23 eliminates one, potentially five-
month, delay from the process and will increase the potential that 
natural gas capacity additions will be available when needed to meet 
increasing natural gas and electricity system demand and maintain and 
improve the reliability of such systems. Further, the Commission finds 
that it is no longer necessary to impose such a delay given the other 
protections available to landowners and stakeholders, including (1) the 
Commission's ability to consider stays on a case-by-case basis and (2) 
the availability of both judicial review, which, after Allegheny, 
parties may now seek more promptly following an initial order, and 
judicial stays.

D. Impacts of Expedited Construction

    41. Generally, opposing commenters express concerns regarding 
potential adverse impacts to stakeholders, including environmental and 
cultural impacts, increased costs, and safety concerns, of approved 
projects that commence construction during the pendency of a rehearing 
request, and the potential exercise of eminent domain.\94\ They argue 
that removal of Sec.  157.23 would erode public trust in the regulatory 
process and undermine the rights of affected communities, particularly 
communities with environmental justice concerns and non-English 
speaking communities.\95\ Delaware Riverkeeper notes that Order No. 871 
was promulgated for the protection of landowners and other stakeholders 
due to increased interest and participation of community members, non-
governmental organizations, property rights advocates, and governmental 
entities.\96\ It contends that removing Sec.  157.23 assumes that in 
all cases that the Commission's initial certificate or authorization 
order will be correct and that parties seeking rehearing would not 
present new information or arguments worth considering before 
construction begins.\97\
---------------------------------------------------------------------------

    \94\ See, e.g., Delaware Riverkeeper July 24, 2025 Comments at 
13; Diana Dakey July 21, 2025 Comments; Columbia Riverkeeper et. al 
July 24, 2025 Comments; Robert Feder July 21, 2025 Comments; Robert 
E. Rutkowski July 22, 2025 Comments; PennFuture July 24, 2025 
Comments; Texas Environmental Justice Advocacy Services July 7, 2025 
Comments; Lakshmi Ford July 22, 2025 Comments.
    \95\ PennFuture July 24, 2025 Comments; Texas Environmental 
Justice Advocacy Services July 7, 2025 Comments.
    \96\ Delaware Riverkeeper July 24, 2025 Comments at 12-13 
(quoting Order No. 871, 171 FERC ] 61,201 at P 11) (quotations 
omitted).
    \97\ Delaware Riverkeeper July 24, 2025 Comments at 12.
---------------------------------------------------------------------------

    42. We emphasize that natural gas infrastructure projects subject 
to Sec.  157.23 have been found to be needed and in the public interest 
following a fulsome agency review that requires that the Commission 
consider concerns raised by all stakeholders. Although Commission 
orders are the ``product of expert judgment which carries a presumption 
of validity,'' \98\ when the Commission receives a rehearing request, 
it considers all properly raised arguments and evidence on the record 
to determine whether the initial order must be reconsidered.
---------------------------------------------------------------------------

    \98\ FPC v. Hope Nat. Gas Co., 320 U.S. 591, 602 (1944).
---------------------------------------------------------------------------

    43. While the Commission previously sought to ensure the 
construction of an approved natural gas project will not commence until 
the Commission has acted upon the merits of any rehearing request,\99\ 
in light of the reliability and expediency concerns discussed, this 
blanket approach has become overly broad. Based on our statutory 
command pursuant to the NGA and the Commission's extensive review 
before issuing a certificate, the default should be for certificate 
orders to go into effect absent case-specific reasons to the contrary. 
We conclude that existing judicial and Commission remedies provide 
sufficient avenues for those case-specific inquiries.
---------------------------------------------------------------------------

    \99\ Order No. 871-B, 175 FERC ] 61,098 at P 15.
---------------------------------------------------------------------------

    44. Further, during its evaluation of each individual NGA section 3 
or section 7 project application, the Commission will consider what 
additional protections, such as mitigation measures, are warranted 
during project construction and operation on a case-by-case basis. 
Project developers may not commence construction on an approved project 
until they have complied with the required conditions stipulated in a 
section 3 authorization or section 7 certificate order \100\ and 
provided documentation demonstrating that they have received all 
applicable state and federal authorizations or that such authorizations 
have been waived.\101\
---------------------------------------------------------------------------

    \100\ The Commission has broad authority to condition 
certificates for interstate pipelines on ``such reasonable terms and 
conditions as the public convenience and necessity may require.'' 15 
U.S.C. 717f(e); see also, e.g., ANR Pipeline Co. v. FERC, 876 F.2d 
124, 129 (D.C. Cir. 1989) (noting the Commission's ``extremely 
broad'' conditioning authority).
    \101\ Order No. 871-B, 175 FERC ] 61,098 at PP 41-42.
---------------------------------------------------------------------------

E. Presumptive Stay Policy

    45. Several commenters request that the Commission clarify, revise, 
or rescind its presumptive stay policy. Commenters argue that the 
policy is contrary to section 19(c) of the NGA,\102\ creates regulatory 
uncertainty and promotes delays in the section 7 certificate 
process,\103\ and is unnecessary given the considerations and 
protections under the NGA.\104\ Boardwalk Pipeline argues that, if the 
Commission retains the policy, it should revise the policy to ensure 
that the stay will not extend beyond the date that a landowner's 
rehearing request is deemed denied.\105\ INGAA requests that the 
Commission clarify whether it will apply a stay only where a landowner 
files a motion for a stay and the

[[Page 48228]]

traditional standards for a stay are met.\106\
---------------------------------------------------------------------------

    \102\ Boardwalk Pipeline July 24, 2025 Comments at 12-17; Kinder 
Morgan July 24, 2025 Comments at 9-11.
    \103\ INGAA July 24, 2025 Comments at 24-27; Kinder Morgan July 
24, 2025 Comments at 9-11.
    \104\ INGAA July 24, 2025 Comments at 24-27; Boardwalk Pipeline 
July 24, 2025 Comments at 12-17.
    \105\ Boardwalk Pipeline July 24, 2025 Comments at 14.
    \106\ INGAA July 24, 2025 Comments at 24-25.
---------------------------------------------------------------------------

    46. We decline commenters' requests to clarify, revise, or rescind 
the case-by-case application of the presumptive stay policy. As stated 
in Order No. 871, nothing in NGA section 19(c) precludes the Commission 
from determining that a stay of an individual certificate order is 
warranted.\107\ The presumptive stay policy applies to only a limited 
subset of parties in NGA section 7 proceedings on a case-by-case basis, 
and it does not apply at all in section 3 proceedings.\108\ 
Specifically, the policy only applies to protect landowners who meet 
all of the following criteria, and subject to case-by-case 
considerations: (1) the landowner would be subject to federal eminent 
domain proceedings due to the Commission's certificate order, because 
the landowner owns property for which the pipeline developer has not 
already acquired all necessary property interests; and (2) the 
landowner has intervened and protested the certificate proceeding.\109\ 
In Order No. 871-B and Order No. 871-C, the Commission also explained 
our process for applying the presumptive stay policy on a case-by-case 
basis.\110\
---------------------------------------------------------------------------

    \107\ Order No. 871-C, 176 FERC ] 61,062 at P 39.
    \108\ Commission authorizations under NGA section 3 do not 
confer federal eminent domain authority to the applicant. See Order 
No. 871-B, 175 FERC ] 61,098 at P 46 n.95.
    \109\ See id. P 43; Order No. 871-C, 176 FERC ] 61,062 at P 33.
    \110\ Order No. 871-C, 176 FERC ] 61,062 at PP 33, 38; Order No. 
871-B, 175 FERC ] 61,098 at PP 43-51. The Commission has 
affirmatively directed a presumptive stay in four orders issuing 
section 7 certificates. See Transcon. Gas Pipe Line Co., LLC, 182 
FERC ] 61,006 (2023), N. Nat. Gas Co., 178 FERC ] 61,203 (2022), 
Spire Storage W. LLC, 179 FERC ] 61,123 (2022), Gulf S. Pipeline 
Co., LLC, 181 FERC ] 61,145 (2022); see also Transcon. Gas Pipe Line 
Co., LLC, 182 FERC ] 61,091 (2023) (order lifting presumptive stay).
---------------------------------------------------------------------------

F. Commission Determination

    47. In this final rule, the Commission removes Sec.  157.23 from 
its regulations and revises Sec.  153.4 to eliminate the cross-
reference to Sec.  157.23 to reduce construction delays resulting from 
the regulation's limitation on the issuance of construction 
authorizations, as well as to promote and expedite efficient energy 
development and ensure that there is sufficient natural gas 
infrastructure to timely address resource adequacy and reliability 
concerns. In light of the protections provided by Allegheny and the 
Commission's evaluation of a proposed project's alleged harms in NGA 
section 3 and section 7 proceedings, we find that Sec.  157.23 is no 
longer necessary.

III. Information Collection Statement

    48. The Paperwork Reduction Act \111\ requires each federal agency 
to seek and obtain the Office of Management and Budget's (OMB) approval 
before undertaking a collection of information (i.e., reporting, 
recordkeeping, or public disclosure requirements) directed to ten or 
more persons or contained in a rule of general applicability. OMB 
regulations require approval of certain information collection 
requirements contained in final rules published in the Federal 
Register.\112\ This final rule does not contain any information 
collection requirements. The Commission is therefore not required to 
submit this rule to OMB for review.
---------------------------------------------------------------------------

    \111\ 44 U.S.C. 3501-3521.
    \112\ See 5 CFR 1320.12.
---------------------------------------------------------------------------

IV. Environmental Analysis

    49. The Commission is required to prepare an Environmental 
Assessment or an Environmental Impact Statement for any action that may 
have a significant adverse effect on the human environment.\113\ The 
Commission has categorically excluded certain actions from this 
requirement as not having a significant effect on the human 
environment, including the promulgation of rules that are clarifying, 
corrective, or procedural, or that do not substantially change the 
effect of legislation or the regulations being amended.\114\ This final 
rule removes Sec.  157.23 from the Commission's regulations and revises 
Sec.  153.4 to remove the cross-reference to Sec.  157.23. Because the 
final rule is procedural in nature and falls within this categorical 
exclusion, preparation of an Environmental Assessment or an 
Environmental Impact Statement is not required. Further, we note that 
this final rule only changes the potential construction commencement 
date for natural gas projects, and such a change would not alter the 
environmental effects of a project constructed and operated in 
compliance with its certificate or authorization order.
---------------------------------------------------------------------------

    \113\ Reguls. Implementing the Nat'l Env't Pol'y Act of 1969, 
Order No. 486, 41 FERC ] 61,284 (1987).
    \114\ 18 CFR 380.4(a)(2)(ii).
---------------------------------------------------------------------------

V. Regulatory Flexibility Act

    50. The Regulatory Flexibility Act of 1980 (RFA) \115\ generally 
requires a description and analysis of proposed rules that will have 
significant economic impact on a substantial number of small entities. 
The RFA mandates consideration of regulatory alternatives that 
accomplish the stated objectives of a proposed rule and minimize any 
significant economic impact on a substantial number of small 
entities.\116\ In lieu of preparing a regulatory flexibility analysis, 
an agency may certify that a proposed rule will not have a significant 
economic impact on a substantial number of small entities.\117\ The 
Small Business Administration's (SBA) Office of Size Standards develops 
the numerical definition of a small business.\118\ The SBA has 
established a size standard for pipelines transporting natural gas, 
stating that a firm is small if its annual receipts (including its 
affiliates) are less than $41.5 million.\119\
---------------------------------------------------------------------------

    \115\ 5 U.S.C. 601-612.
    \116\ Id. 603(c).
    \117\ Id. 605(b).
    \118\ 13 CFR 121.101.
    \119\ 13 CFR 121.201, subsection 486.
---------------------------------------------------------------------------

    51. This final rule applies to entities, a small number of which 
may be small businesses, that receive Commission authorization to 
construct new natural gas transportation, export, or import facilities 
under section 3 or 7 of the NGA. However, the final rule has no adverse 
effect on these entities, regardless of their status as a small entity 
or not, as the rule imposes no action or requirement on those entities. 
Instead, the rule removes a time-limited prohibition on the issuance of 
authorizations to proceed with construction activities while rehearing 
is pending. Accordingly, pursuant to section 605(b) of the RFA, the 
Commission certifies that this final rule will not have a significant 
economic impact on a substantial number of small entities.

VI. Document Availability

    52. In addition to publishing the full text of this document in the 
Federal Register, the Commission provides all interested persons an 
opportunity to view and/or print the contents of this document via the 
internet through the Commission's Home Page (<a href="http://www.ferc.gov">http://www.ferc.gov</a>).
    53. From the Commission's Home Page on the internet, this 
information is available on eLibrary. The full text of this document is 
available on eLibrary in PDF and Microsoft Word format for viewing, 
printing, and/or downloading. To access this document in eLibrary, type 
the docket number excluding the last three digits of this document in 
the docket number field.
    54. User assistance is available for eLibrary and the Commission's 
website during normal business hours from FERC Online Support at 202-
502-6652 (toll free at 1-866-208-3676) or email at 
<a href="/cdn-cgi/l/email-protection#fd9b988f9e9293919493988e888d8d928f89bd9b988f9ed39a928b"><span class="__cf_email__" data-cfemail="33555641505c5d5f5a5d56404643435c414773555641501d545c45">[email&#160;protected]</span></a>, or the Public Reference Room at (202) 502-

[[Page 48229]]

8371, TTY (202) 502-8659. Email the Public Reference Room at 
<a href="/cdn-cgi/l/email-protection#5b2b2e3937323875293e3d3e293e35383e293434361b3d3e2938753c342d"><span class="__cf_email__" data-cfemail="58282d3a34313b762a3d3e3d2a3d363b3d2a373735183e3d2a3b763f372e">[email&#160;protected]</span></a>.

VII. Effective Date and Congressional Notification

    55. These regulations are effective November 10, 2025. The 
Commission has determined, with the concurrence of the Administrator of 
the Office of Information and Regulatory Affairs of OMB, that this rule 
is not a ``major rule'' as defined in section 351 of the Small Business 
Regulatory Enforcement Fairness Act of 1996.

List of Subjects

18 CFR Part 153

    Exports, Natural gas, Reporting and recordkeeping requirements.

18 CFR Part 157

    Administrative practice and procedure, Natural gas, Reporting and 
recordkeeping requirements.

    By the Commission.

    Issued: October 7, 2025.
Debbie-Anne A. Reese,
Secretary.

    In consideration of the foregoing, the Commission amends parts 153 
and 157, chapter I, title 18, Code of Federal Regulations, as follows:

PART 153--APPLICATIONS FOR AUTHORIZATION TO CONSTRUCT, OPERATE, OR 
MODIFY FACILITIES USED FOR THE EXPORT OR IMPORT OF NATURAL GAS

0
1. The authority citation for part 153 continues to read as follows:

    Authority:  15 U.S.C. 717b, 717o; E.O. 10485; 3 CFR, 1949-1953 
Comp., p. 970, as amended by E.O. 12038, 3 CFR, 1978 Comp., p. 136, 
DOE Delegation Order No. S1-DEL-FERC-2006 (May 16, 2006).


0
2. Revise Sec.  153.4 to read as follows:


Sec.  153.4  General requirements.

    The procedures in Sec. Sec.  157.5, 157.6, 157.8, 157.9, 157.10, 
157.11, and 157.12 of this chapter are applicable to the applications 
described in this subpart.

PART 157--APPLICATIONS FOR CERTIFICATES OF PUBLIC CONVENIENCE AND 
NECESSITY AND FOR ORDERS PERMITTING AND APPROVING ABANDONMENT UNDER 
SECTION 7 OF THE NATURAL GAS ACT

0
3. The authority citation for part 157 continues to read as follows:

    Authority:  15 U.S.C. 717-717w, 3301-3432; 42 U.S.C. 7101-7352.


Sec.  157.23  [Removed]

0
4. Remove Sec.  157.23.

[FR Doc. 2025-19533 Filed 10-9-25; 8:45 am]
BILLING CODE 6717-01-P


</pre><script data-cfasync="false" src="/cdn-cgi/scripts/5c5dd728/cloudflare-static/email-decode.min.js"></script></body>
</html>
Indexed from Federal Register on October 10, 2025.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.