The Sierra Club calculated that industrial tax breaks for existing and planned natural gas export facilities will cost Louisiana communities more than $21 billion. The report also included $492 million worth of rebates for LNG export terminals under Louisiana’s Quality Jobs tax incentive program. The state offers companies a break on state payroll taxes for each job they create through the Quality Jobs program, Elise Plunk wrote in the Illuminator article Dec. 3.

The Sierra Club study included the following figures for facilities that are currently operating, under construction and planned for Calcasieu and Cameron parishes:

• For Cheniere’s Sabine Pass LNG in Johnson Bayou in Cameron Parish, the 10-year value of  ITEP exemption is $4.9 billion, and ITEP jobs promised were 1,096 making the ITEP subsidy per job $4.5 million.
• Sempra and Total Energies Cameron LNG in Hackberry in Cameron Parish $2.7 billion 10-year value of ITEP exemptions, 438 jobs promised.
• Venture Global Calcasieu Pass LNG in Cameron, La. in Cameron Parish, $2.9 billion, 370 jobs promised.     
• Woodside Louisiana LNG (formerly known as Tellurian Driftwood) in Carlyss in Calcasieu Parish, $2.8 billion 10-year value of ITEP, 350 jobs promised.
• Planned projects are the following: Venture Global Calcasieu Pass 2 in Cameron, La. in Cameron Parish, $2.7 billion 10-year value of ITEP, 200 jobs promised.
• Lake Charles LNG, Lake Charles, La. in Calcasieu Parish, $1.9 billion 10-year value of ITEP, 145 jobs promised.
• Commonwealth LNG (owns 10 %) Kimmeridge Energy Management Company (owns 90%)  in Cameron, La. in Cameron Parish,  $746 million 10-year value of ITEP, 50 jobs promised.
• Magnolia LNG, Lake Charles, La., in Calcasieu Parish, $501 million 10-year value of ITEP, 191 jobs promised.

The Sierra Club told the American Press in an email that their report does not include information about when the tax exemptions will be up for renewal.

“The state’s database is a bit spotty with its tracking of contract expiration dates and renewal contract status,” wrote Grace Nolan, Sierra Club. Based on available information Cameron LNG and Sabine Pass LNG contract renewals are up in 2025.

“The same LNG terminal may have multiple ITEP agreements,” Nolan wrote. “The maximum exemption depends on the timing of the application. Before 2016, companies could receive up to 100% exemption of their assessed property taxes. From 2016-2024, companies could get up to 80% of their property tax exempted. However, if classified as a ‘mega project’ they could get up to a 93% exemption. Landry’s 2024 executive decision brought the maximum exemption back up to 100%.”

The American Press reached out to the Louisiana Economic Development for clarification on the ITEP process, the total ITEP value that has benefitted Calcasieu and Cameron Parish to date. The LED advised going to the Fastlane database and checking out the 10-step process outlined on the LED website.

The following sentence was provided in the email from Kevin Litten, LED, without having to access a website or link: “Data has consistently showed that ITEP plays a crucial role in giving Louisiana communities of all sizes the ability to compete for major manufacturing projects without – without putting any money up front. ITEP serves as one of Louisiana’s strongest business assistance programs for manufacturing investment. It also encourages new investment, modernization and reinvestment.”