FERC removes rule delaying pipeline construction during rehearing requests
By Mary Holcomb, Digital Lead
(UI) — The Federal Energy Regulatory Commission (FERC) has approved a final rule eliminating a regulation that had prevented pipeline developers from starting construction while rehearing requests were pending, a move industry groups say will accelerate natural gas infrastructure development.
The rule, issued Oct. 7 under Docket No. RM25-9-000, removes Section 157.23 from FERC’s regulations and amends Section 153.4 to delete related references. The deleted provision—established in 2020 under Order No. 871—had prohibited FERC from granting construction authorizations for projects approved under Sections 3 and 7 of the Natural Gas Act until rehearing challenges were resolved.
FERC said the change “reduces unnecessary delays” and helps advance its statutory mission to promote the “orderly development of plentiful supplies of natural gas at reasonable prices.” The Commission noted that parties still have protections through the Allegheny Defense Project v. FERC decision, which allows judicial review 30 days after a rehearing request is deemed denied.
The Interstate Natural Gas Association of America (INGAA) petitioned earlier this year to rescind the rule, arguing it imposed costly delays on projects even when no valid rehearing requests were filed. Supporters of the repeal—including Energy Transfer, Williams, and Kinder Morgan—said the regulation had become a tool for opposition groups to stall approved projects without improving landowner protections.
Public interest organizations opposed the change, warning it could allow construction to begin before landowner or environmental challenges are fully reviewed. However, FERC emphasized that landowners can still seek case-by-case stays and judicial relief.
The Commission said the revision aligns with its obligation under the Natural Gas Act to encourage timely, reliable energy infrastructure development. “Removing Section 157.23 ensures projects found to be required by public convenience and necessity may proceed in a timely manner,” the agency wrote in its decision.
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