S. 4735: Protecting Americans from High Electricity Prices Act of 2026

This bill would change how the federal government decides whether to approve natural gas imports and exports under the Natural Gas Act.

What it does

• It directs the Federal Energy Regulatory Commission (FERC) and the Department of Energy to treat the public interest more broadly when reviewing natural gas trade applications.
• It says reviews should consider both environmental impacts and affordability.
• It states that certain outcomes are not consistent with the public interest, including:
  • raising natural gas prices for households or industries in the United States,
  • increasing greenhouse gas emissions, including emissions across a company’s supply chain, and
  • supplying energy to a “country of concern.”

Countries of concern

The bill defines “country of concern” to include Russia, China, North Korea, and Iran, plus any other country that the Secretary of Energy designates after public notice and comment, in consultation with other federal officials, as harmful to U.S. national security or foreign policy.

Emissions definitions

The bill adds definitions for different kinds of greenhouse gas emissions:

• Scope 1: direct emissions from sources controlled or owned by a company.
• Scope 2: indirect emissions from purchased electricity, steam, heat, or cooling.
• Scope 3: other indirect emissions in a company’s value chain, excluding purchased electricity.

Rulemaking deadline

Within 30 days after enactment, the Department of Energy would have to issue regulations setting procedures and criteria for deciding whether natural gas imports or exports are in the public interest under these new rules.

Other provisions

• The bill includes a savings clause saying it is not meant to be a general statement about FERC’s or the Energy Secretary’s authority under the Natural Gas Act.
• It also says the agencies are not prevented from considering the effects of natural gas exports on U.S. households, businesses, and natural gas-dependent industries.
• It clarifies that FERC could still deny approval of certain natural gas facilities if they are not in the public convenience or necessity because they raise prices in the United States.
• Several wording changes are made to existing Natural Gas Act provisions for LNG terminals and related procedures, mostly to conform the statute to the new framework.

Relevant Companies

• LNG — Cheniere Energy, a major U.S. liquefied natural gas exporter that could be affected by stricter review of LNG export approvals.
• CF — CF Industries, which has ammonia and hydrogen-related energy exposure and could be affected indirectly if natural gas export policy changes influence U.S. gas prices.
• EPD — Enterprise Products Partners, which is involved in energy infrastructure and could be affected indirectly by changes in natural gas export regulation.
• KMI — Kinder Morgan, an energy pipeline and infrastructure company that could be affected by changes in natural gas export and LNG terminal permitting.
• WMB — Williams Companies, a natural gas infrastructure company that could be affected by changes in export approval standards and gas market demand.