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The Maritime Administration (MARAD) has taken on environmental oversight of deepwater port licensing from the U.S. Coast Guard (USCG), which officials say will streamline environmental reviews, accelerate license approvals, and lower domestic energy costs.
The change, announced on Monday, means that MARAD will oversee National Environmental Protection Act (NEPA) and environmental compliance review duties, with the USCG providing additional oversight in areas including safety, design, construction, and operations of deepwater port facilities. Congress required this change as part of the Coast Guard Authorization Act of 2025.
MARAD, USCG and the Department of Transportation (DOT) said the shift in leadership aims to advance President Donald Trump’s Executive Order on Unleashing American Energy.
“We’ll accelerate project approvals so the nation can safely utilize more of its abundant natural resources, create more high paying jobs, and lower energy costs for American families.”
“The Deepwater Port Program is a key pillar of President Trump’s energy dominance strategy,” U.S. Transportation Secretary Sean Duffy said in a statement. “With this change, we’ll soon accelerate project approvals so the nation can safely utilize more of its abundant natural resources, create more high paying jobs, and lower energy costs for American families.”
History of Deepwater Port Program
The establishment of the Deepwater Port Act of 1974 (DWPA) provides a licensing system for construction, operation, ownership, and decommissioning of deepwater port structures to import and export oil and natural gas from U.S. waters.
Under the DWPA license applicants must meet certain conditions for approval, including minimized adverse impacts on the marine environment in addition to providing detailed plans for construction, operation, and decommissioning of deepwater ports.
Since 1975 a total of 31 such applications have been filed for approval. They are as follows:
- Eighteen were filed for licenses to import liquefied natural gas (LNG).
- Five were filed to export LNG.
- Six were filed to export oil.
- Two were filed for licenses to import oil.
However, just 11 of the 31 applications have been approved. To date, eight licenses have been issued out of those 11 approved applications, including the Louisiana Offshore Oil Port and Northeast Getaway.
“MARAD is excited and proud to lead the Deepwater Port Program. We look forward to continuing to collaborate with our partners at the U.S. Coast Guard to make this process more efficient and fuel our energy economy for years to come,” said MARAD Administrator Steve Carmel in a statement.
But not everyone is sold. Jeff Lewis, former MARAD chief counsel now part of Cozen O’Connor’s Transportation and Trade Group in Washington, D.C. wrote in an op-ed last year in Marine Link that the USCG should still maintain regulatory authority over environmental reviews despite criticisms of drawn out processes.
“While there has been frustration among some applicants in recent years with the slowness of the review process, I would argue that this current division and specialization of roles between Coast Guard and MARAD is an outgrowth of the agencies’ inherent, organic capabilities, and should be left as it is,” Lewis said.
He added that the USCG standards and law divisions “already have the breadth and depth of experience from 50 years of deepwater port work” and that MARAD “does not possess these competencies at all.”
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24 Comments
The shift in leadership from the USCG to MARAD is expected to accelerate project approvals, which could lead to the creation of more high-paying jobs and lower energy costs for American families, as stated by U.S. Transportation Secretary Sean Duffy.
The mention of the Louisiana Offshore Oil Port and Northeast Gateway as examples of approved licenses is interesting, and I’d like to know more about the specifics of these projects and their impact on the environment.
The statement by MARAD Administrator Steve Carmel about collaborating with the U.S. Coast Guard to make the process more efficient is reassuring, but I’d like to see more details on how they plan to achieve this.
I’m skeptical about the claim that this change will lower domestic energy costs, considering the complexity of the energy market and the various factors that influence prices.
That’s a valid concern, but the administration’s goal of unleashing American energy could potentially lead to increased production and lower costs in the long run.
The fact that only 11 out of 31 applications have been approved since 1975 raises questions about the efficiency of the current process, and whether MARAD’s takeover will truly streamline environmental reviews as promised.
The fact that only eight licenses have been issued out of 11 approved applications suggests that there may be other factors at play, and I’d like to see more transparency on the approval process.
The Coast Guard Authorization Act of 2025 requiring this change is a significant development, and I’m interested in learning more about the implications of this act on the energy industry as a whole.
The environmental impact of deepwater ports is a concern, and I hope that MARAD’s takeover will not compromise the safety and environmental standards currently in place.
The National Environmental Protection Act and environmental compliance review duties will still be overseen by MARAD, so it’s likely that safety and environmental standards will be maintained.
The collaboration between MARAD and the U.S. Coast Guard will be crucial in making this process more efficient, and I’m interested in seeing how they will work together to achieve their goals.
I’m curious to know how the change in environmental oversight will affect the marine environment, considering that license applicants must meet certain conditions for approval, including minimized adverse impacts on the marine environment.
With MARAD taking over environmental oversight, I wonder if this will lead to more oil and natural gas exports, and how this will affect the global energy market, considering the current geopolitical climate.
The energy dominance strategy mentioned by U.S. Transportation Secretary Sean Duffy is an interesting concept, and I’d like to know more about how the Deepwater Port Program fits into this strategy.
The goal of accelerating project approvals and lowering energy costs is laudable, but I’m concerned about the potential risks and unintended consequences of this change, and I hope that MARAD and the U.S. Coast Guard will carefully consider these factors.
The history of the Deepwater Port Program, including the establishment of the Deepwater Port Act of 1974, is fascinating, and I’d like to know more about the evolution of the program over the years.
The fact that MARAD is excited and proud to lead the Deepwater Port Program is a positive sign, but I’d like to see more concrete actions and results before judging the success of this change.
The role of the U.S. Coast Guard in providing additional oversight in areas including safety, design, construction, and operations of deepwater port facilities is crucial, and I hope this aspect of the program is not compromised under MARAD’s leadership.
The Deepwater Port Act of 1974 provides a licensing system for construction, operation, ownership, and decommissioning of deepwater port structures, but I’m concerned about the potential environmental impact of increased oil and natural gas exports.
The quote from U.S. Transportation Secretary Sean Duffy about advancing President Donald Trump’s Executive Order on Unleashing American Energy is telling, and I’m curious to know more about the administration’s energy policy and how it relates to the Deepwater Port Program.
The change in leadership from the USCG to MARAD may have significant implications for the energy industry, and I’m interested in seeing how this plays out in the coming months and years.
The history of the Deepwater Port Program, including the number of applications filed and approved, provides valuable context for understanding the current state of the program and the potential impact of MARAD’s takeover.
The statement by Jeff Lewis, former MARAD administrator, about not being sold on the change in leadership is worth considering, and I’d like to hear more about his concerns and potential alternatives.
The Deepwater Port Program has the potential to play a significant role in the energy industry, and I’m interested in seeing how MARAD’s leadership will shape the program’s future.