Long Beach Position on Gas Plant Debated

As California and federal agencies resumed their fight this week for authority over a proposed liquefied natural gas plant in Long Beach, city officials discussed what, if any, role they should play.

After an hourlong discussion, the City Council ultimately decided not to take a position yet and instead wait and see.

It has been almost a year since the LNG project first appeared before the City Council, which then voted to begin talking to an energy company about the possibility.

Since then, the debate has spiraled into an interagency fight for power. Most of the controversy has focused on the battle between federal and state energy agencies.

The Federal Energy Regulatory Commission announced in March that it had final say on whether the Long Beach terminal can be built. Last month, the California Public Utilities Commission appealed, saying that the state should have final say.

Then, on Wednesday, FERC granted California’s request for the rehearing and promised a second ruling by June 21.

Companies want to build LNG plants because the fuel cuts costs and is economical to transport. When chilled at minus 260 degrees Fahrenheit, natural gas turns into liquid and shrinks to a fraction of its normal size. Companies then can easily haul large quantities by ship. But critics say that having the highly flammable liquid so near Long Beach residents is too dangerous.

After watching the yearlong fight between state and federal officials, City Council members at Tuesday’s meeting wanted to know whether they could enter the fray.

“What’s our role in this,” asked Councilwoman Tonia Reyes Uranga, “because there’s been a lot of confusion in Long Beach.”

That was the view of Councilman Val Lerch, who cited the various agencies involved in the debate over the plant. “I am a confused person,” he said. “There’s just too many acronyms out there. The FERC, the CPUC, the ABC, the SSP ... and everybody else out there.”

At first, council members proposed a study session to decide whether they should take a stance on the LNG project. But city officials concluded that the city and port should have the final say on the plant -- even if officials don’t know what that say should be.

“I don’t want FERC telling us what we want to do and I don’t want CPUC telling us what to do,” said City Atty. Bob Shannon. “In other words, we’re getting back to the issue of home rule.”