FERC Reaffirms Rule Allowing Gas Pipeline Construction During Appeals

FERC has reaffirmed a rule eliminating delays that previously prevented construction of approved natural gas pipelines while rehearing requests were pending, a move aimed at speeding infrastructure development.

(P&GJ) — The Federal Energy Regulatory Commission (FERC) has reaffirmed a rule change that removes a regulation which previously delayed construction of approved natural gas infrastructure projects while rehearing requests were pending.

The order addresses arguments raised by opponents of the rule and confirms that the change, first finalized in October 2025, remains in effect. The move eliminates a provision that restricted authorizations allowing developers to begin building natural gas pipelines and LNG facilities during the rehearing process.

FERC said the change is intended to reduce delays in building energy infrastructure and ensure the timely development of natural gas supplies needed to meet growing demand.

In its decision, the Commission said removing the regulation would help avoid unnecessary construction delays and improve the reliability of energy supplies.

“The Commission ultimately found that removal of the regulation was warranted to reduce construction delays 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,” the order states.

The rule removes Section 157.23 of FERC’s regulations, which had been adopted in 2020 to prevent construction of new natural gas transportation or export facilities while rehearing requests were under review.

FERC said that policy is no longer necessary because other safeguards remain available for landowners and stakeholders, including judicial review and case-by-case stay requests.

The Commission noted that increasing electricity and natural gas demand also influenced the decision, stating that delays in building new infrastructure could create supply and reliability challenges.

“Evidence of increasing demand amplifies our concern that the potential delay resulting from application of §157.23 could affect the timeliness of natural gas supplies,” the Commission said.

The order follows a rehearing request from a coalition of environmental organizations and other groups that argued the rule change weakened protections for landowners and communities affected by pipeline construction.

FERC acknowledged the policy shift from earlier rules but said it determined the regulation had become overly broad and could unnecessarily slow development of needed energy infrastructure.