skip-navigation

U.S. CONGRESSMAN BILL JOHNSON Proudly Representing Eastern and Southeastern Ohio

Articles

Liquid natural gas tops Johnson’s talk

f t # e
Pomeroy, May 28, 2015 | comments
Liquid and natural gas usage was the main topic of conversation Wednesday during Congressman Bill Johnson’s visit to Pomeroy.
share: f t
Pomeroy Daily Sentinel
By Lindsay Kriz
Published May 28, 2015

POMEROY — Liquid and natural gas usage was the main topic of conversation Wednesday during Congressman Bill Johnson’s visit to Pomeroy.

Locally, Johnson said that shale counties —those areas that produce natural gas from Utica Shale — north of Meigs are booming when it comes to this production.

“You can’t go up and down the Ohio River in those shale counties (where) you don’t see construction going on,” he said.

In particular, Johnson discussed Belmont County, Ohio, which was named in April as one of the potential places for a cracker plant. “Cracking” refers to the ethane molecules that are extracted from Utica Shale and then “cracked,” or scientifically engineered, to become ethylene, which is part of polyethylene. Johnson said this potential new Belmont plant, which would be a $5 billion project over five years, would create 10,000 temporary construction jobs and 1,000 permanent jobs once construction is complete.

“That’s just the tip of the iceberg,” he said. “Once ethylene comes out of the plant, manufacturers are going to want to park close to where the plant is. There are lots of big things happening, it’s getting bigger and bigger every day. It seems like every week I find out about new projects. There’s so much activity it’s almost hard to keep track of it — and it’s coming in this direction.”

While Johnson said there’s not a lot of shale in Meigs County, there will still be an overflow of opportunities that will reach the area, and that the liquid and natural gas market has the potential to create 45,000 jobs in the United States alone.

Johnson also spoke about liquid and natural gas usage, citing his recent international trip to the European countries of Portugal, Belgium, Ukraine and Germany.

“They’re our friends and allies, and they are begging for America to lead politically and economically on the liquid/natural gas front,” he said.

Johnson also discussed Russia’s monopoly on Ukraine’s energy resources and said that currently there’s not yet a global market for liquid and natural gas.

“Our producers sit on the sidelines and jobs don’t get created,” he said. “We need a time clock on the Department of Energy to make a decision on some 33 liquid natural gas permits that are languishing, so it is a big deal.”

Johnson is involved with the LNG Permitting Certainty and Transparency Act, which will call on the Department of Energy to give a certain time as to when they expect to approve or deny applications regarding natural gas. Johnson said the bill is currently in the Senate, and he hopes to see it on President Obama’s desk before the August Congressional break.

During a question-and-answer session, Johnson also discussed funding highway bills, and how Washington, D.C., is exploring that issue. He also shared how he helped pass legislation to extend the authorization of the Highway Trust Fund, which was set to expire May 31 but will now expire July 31, allowing officials to have more time to come up with a solution for the fund so the country can move on with infrastructure and highway projects.

Mike Hendrickson, Middleport’s building inspector and floodplain administrator, shared with Johnson his frustration over Federal Emergency Management Agency regulations regarding the “50 percent rule.” According to Hendrickson, if one purchases or already owns a building, and takes the improved value of only the structure, FEMA limits that person to put 50 percent of that cost back into the building. Similarly, residents in the area who own property must make sure their property is above the base flood elevation, and business owners suffer because businesses in the area require flood gates, which are incredibly expensive.

“After that, you can put whatever you want into your structure, but you’re only allowed to put 50 percent back into that structure,” Hendrickson said. “In Middleport, our buildings just aren’t up to that. It devastates this area. It really does. I have to take a businessman to court just because he wants to improve his business.”

Johnson said that a few years ago, FEMA wanted to redraw the floodplain maps and Congress told FEMA to first perform an economic analysis, which they didn’t do. Now, certain locations are in a floodplain that were not before. This includes Pomeroy and Marietta, who were both hit hard by rising flood insurance premiums. However, thanks to the Biggert-Waters Flood Insurance Reform Act of 2012, which extends the National Flood Insurance, it expires in 2016.

“There’s no certainty right now,” Johnson said.

He also mentioned the EPA being overreaching and said that nearly $2 trillion comes out of the United States economy every year in the form of compliance with federal regulations. He compared it to a person paying to get into a movie theatre without a working screen or any snacks available.

In particular, Johnson critiqued the EPA’s coal/fire regulations that are attempting to get both “off the grid” with nothing to replace the two in terms of energy.

“We have made ourselves so ‘business unfriendly’ it’s not even funny,” he said.

On his trip, Johnson observed that many European countries are making a return to coal because their citizens are no longer willing to pay the high price for alternative energy. But, Johnson said he does believe the answer for affordable alternative fuels is out there.

“I think we will figure that out,” he said. “Faith motivates everything that I do. God’s a lot bigger than we are He’s so big and we’re so small, I think anything we can imagine we can do, someday. We’ll crack that nut, but we’re not there yet.”

Tim King, of King Hardware in Middleport, asked Johnson how local residents can show their displeasure regarding FEMA changes and regulations. Johnson said letters can be written to congressional members, including himself, as well as the White House, since FEMA and the EPA are both under the U.S. executive branch.

f t # e
Tags: Energy