Bloomberg: U.S. Should Export Natural Gas, Not Coal

President Barack Obama’s suggestion last weekend that he may favor greater U.S. exports of liquefied natural gas is a welcome sign. More exports would spur more domestic production and help balance U.S. trade.

LNG exports could also help counter the unsettling increase in American exports of coal to Europe. In 2012, the U.S. sent about 66.4 million short tons (60.2 million metric tons) of coal across the Atlantic, 23 percent more than the year before. Exporting coal works against the progress the U.S. has made in lowering its own greenhouse-gas emissions by replacing coal power with cleaner-burning natural gas.

In Europe and Asia, where natural gas sells for $10 to $16 per million British thermal units -- three to four times the U.S. price -- demand is high. Imports from the U.S. could also give European countries greater power to bargain on prices with Russia’s OAO Gazprom, now a dominant supplier of natural gas. All that’s missing are the U.S. facilities to liquefy gas for export.   MORE