Biden Team needs a reality check - Feb 2

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dan_s
Posts: 34471
Joined: Fri Apr 23, 2010 8:22 am

Biden Team needs a reality check - Feb 2

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The Hill: The Biden administration needs an energy reality check
Opinion. During the first week of his presidency, Joe Biden signed two significant executive orders to help burnish his environment bona fides. On day one, he revoked the permit for the Keystone XL pipeline and, a week later, he declared a one-year moratorium on new leases for oil and gas drilling and fracking on federal lands and waters. Building the Keystone pipeline would have supported more than 1,000 high-wage American jobs and generated about $8 billion of much-needed economic activity during this pandemic-induced recession. Instead, the canceled pipeline will generate 48,000 tons of scrap metal that may fetch $51 million.

OilPrice.com: U.S. Shale: Biden's drilling ban actually undermines emission targets
The U.S. oil industry has a message to President Joe Biden's recent climate executive orders involving the oil and gas sector—restricting America's oil production would increase its reliance on foreign imports of oil with more emissions than the crude pumped from America's oilfields. Over the past two weeks, President Biden rescinded the Presidential Permit for the Canada-U.S. cross-border oil pipeline Keystone XL and suspended permitting for new oil and gas drilling leases on federal lands and waters.

Also from me: As U.S. oil imports increase our trade deficit will grow and our economy is at the mercy of a steady flow of oil from countries that don't like us.
Dan Steffens
Energy Prospectus Group
dan_s
Posts: 34471
Joined: Fri Apr 23, 2010 8:22 am

Re: Biden Team needs a reality check - Feb 2

Post by dan_s »

Job Killers

Federal lands account for about 22 percent of U.S. oil production and 12 percent of natural gas. But in some states, the percentage is much higher. For example, 52 percent of New Mexico’s oil production and 67 percent of its natural gas occurs on federal lands. Most oil and gas production in Colorado, Utah and Wyoming also takes place on federal government property. According to the Bureau of Land Management, in 2019 oil and gas operations in western states generated $76 billion in economic output and supported 300,000 jobs. A study by the University of Wyoming estimates potential tax losses of more than $110 billion in eight western states from a leasing moratorium. New Mexico, the fourth-poorest state in the nation as measured by median household income, could suffer the most in terms of employment and revenues losses.
Dan Steffens
Energy Prospectus Group
dan_s
Posts: 34471
Joined: Fri Apr 23, 2010 8:22 am

Re: Biden Team needs a reality check - Feb 2

Post by dan_s »

From Bernard L. Weinstein recently retired as associate director of the Maguire Energy Institute at Southern Methodist University. He is also an emeritus professor of applied economics at the University of North Texas.

"Though domestic oil consumption may have peaked, that is not the case for natural gas, which is being substituted for coal in power generation and is largely responsible for the huge drop in greenhouse gas emissions in recent years. Over the past decade, U.S. energy companies have invested heavily in the infrastructure to produce, process and transport oil, natural gas and petroleum products. We have become a major exporter of oil and have the potential to become the world’s top supplier of clean liquefied natural gas.

The Biden administration needs an energy reality check. Though renewables such as wind and solar are making inroads, oil and gas will remain America’s — and the world’s — primary energy sources for at least the next 30 years. What’s more, the global economy will recover from the pandemic, as will the demand for oil and natural gas. Canceling pipelines and banning oil and gas production on federal lands simply cedes market share to other countries while doing nothing to combat climate change."
Dan Steffens
Energy Prospectus Group
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