Pipelines & the New Administration Donald F. Santa President & CEO, Interstate Natural Gas Association of America Pipeline Opportunities Conference | March 21, 2017

Election Outcome Speak to alternative outcome; what would we had seen had Clinton won? Likely a continuation of the status quo as set by former President Obama With Trump, we see the opposite: we see an unpredictability and willingness to upend not only established law, but also established processes

Trump Administration: Domestic Energy, Infrastructure Executive Orders & Memoranda Agencies FERC PHMSA EPA Congress Outline of the upcoming slides highlighting Trump’s actions and inactions affecting the industry.

January Executive Orders & Memoranda Presidential Executive Order on Expediting Environmental Reviews and Approvals for High Priority Infrastructure Projects Presidential Executive Order on Reducing Regulation and Controlling Regulatory Costs Presidential Memorandum Regarding Construction of American Pipelines

The Price of Paralysis: FERC Lacks a Quorum Cap Ex of Pipelines Awaiting Approval Pipeline Cap Ex Atlantic Coast $5.5 billion Nexus $2.1 billion Penn East $1 billion Mountain Valley $3.5 billion Other Projects $1.9 billion Total Capital Ex $14 billion Total capital expenditures – these cannot be approved until FERC has a quorum Other projects include those under 1 billion – Transco Expansion St. Charles Parish Expansion Project Bayway Lateral Project Eastern Market Access Project B-system Project Texas Eastern Appalachian Lease Project Tennessee Gas Pipeline Company Abandonment And Capacity Restoration Project Wb Xpress Only speak to tax allowance policy if asked?

PHMSA New administrator, Gas transmission pipeline rule, underground gas storage rule EPA ICR, Quad Oa

Congressional Issues Confirmations Infrastructure Tax Reform Only 48 of 553 key appointments nominated*  1,600 smaller roles remain that require no confirmation** 99 vacancies total within Department of Energy ** Vacancies will be distraction alongside ACA; will take attention away from other priority issues, such as tax reform and infrastructure. Perhaps the president is intentional in this, both adding more to the Senate’s plate in the upcoming months and “starving to death” the bureaucracy. * WaPo, https://www.washingtonpost.com/graphics/politics/trump-administration-appointee-tracker/database/?tid=a_inl , as of March 15 ** CNN, http://www.cnn.com/2017/02/25/politics/donald-trump-cabinet-vacancies/ , as of Feb 25

The Opposition Doubles Down Photo from Greenpeace’s Jan 25 demonstration near the White House; Resist pipelines is becoming apart of resist Trump. Its more than just public protest and litigation…both flashy, borderline-illegal actions as well as a concerted effort at fundraising and PR Sierra Club signed up 11,000 new monthly donors in the week following the election – nine times its best monthly record.  A recent tax return for the Southern Environmental Law Center showed the three largest outside expenditures by this law firm – totaling $1.6 million -- were for advertising and public relations. Environmental Defense Fund saw over 50,000 donations between Nov 7 and Dec 1. (SC- Bloomberg, https://www.bloomberg.com/news/articles/2016-11-16/environmental-donors-pledge-cash-at-frantic-pace-after-trump-win) (SELC – Cathy) (EDF – Buzzfeed News, https://www.buzzfeed.com/dinograndoni/environmental-trump-card?utm_term=.fw9jjxBZVD#.oeMooLzJvd)

How Should Industry Respond? Safe & reliable operations Good corporate stewardship Effective communications Ask: Sign up on America’s Energy Link to work to spread the good our industry does and the benefit to society it provides. When you sign up, you will be sent our monthly social media toolkit. Also find us on Facebook, Twitter (@ingaapipelines ) and LinkedIn.

Questions? Contact: Donald F. Santa President & CEO Interstate Natural Gas  Association of America (INGAA) (202) 216-5901 dsanta@ingaa.org www.ingaa.org/energylink