• Tellurian founder urges USA to adopt carbon pricing and a ban on methane leakage

    Date posted:

    • Post Author

      Patrick Lavery

      Combustion Industry News Editor

Charif Souki, founder of Texas-based gas production company Tellurian (and former CEO of Cheniere Energy), has told the Financial Times that the US oil and gas industry must do more to clean up its business and make it more attractive for investors. Two possible moves would be to enforce a “complete ban” on methane leaks from gas operations and to institute a national carbon market, which Mr Souki perhaps somewhat mischaracterises as “easy to do”. Such moves would, however, help to significantly clean up the industry, which is currently experiencing an exporting boom, having gained a 20% share of the global export market. Interestingly, it appears that the change in presidential administration has also had an effect on the position of lobbying groups, with the American Petroleum Institute now supporting federal methane regulations after years of opposition, while the Chamber of Commerce is now open to a carbon tax. Mr Souki believes that gas exports will be recognised by the Biden administration for their strategic value, saying “We want to repair our relationships around the world and I think natural gas is going to be central to this discussion everywhere, whether it’s India or China or even Europe”. With industry figures such as Mr Souki suggesting major changes such as these, and the Biden administration keen on considerable reform, one expects to see a transformation in the industry during the coming years.