Federal onshore and offshore activity accounted for 22% of total U.S. oil production in 2019. More than 70% of federal oil production comes from offshore. Given its long production timeline, the Outer Continental Shelf (OCS) can be a robust source of future supply, yet 94% of federal offshore acreage remains off limits to development. The country should be preparing for the future with a well-crafted, five-year offshore leasing plan instead of unilaterally removing areas from possible exploration and production – as with recent presidential actions to bar development in the Eastern Gulf of Mexico and Southern Atlantic Ocean. Policies for offshore development should ensure reliable, predictable and orderly leasing on the OCS. For onshore, 95% of new wells are developed with hydraulic fracturing (fracking), so proposals to ban fracking would essentially stop all new development on federal lands. Producing natural gas and oil on federal lands and waters requires a legal and regulatory structure that fosters investment certainty and operational efficiency – such as the Bureau of Safety and Environmental Enforcement’s 2019 revised well-control rule – while reducing greenhouse gas emissions, such as the Bureau of Ocean Energy Management’s offshore air quality rule.">

modernize the National Environmental Policy Act (NEPA) and to renew the Nationwide Permit 12 program (NWP 12), both of which are critically important in advancing needed energy infrastructure. Smart energy regulation ensures safe and responsible development. EPA’s proposed Benefit-Cost Rule under the Clean Air Act is an example. It would help ensure sound analyses for new regulations by requiring that data used to evaluate environmental, scientific and economic impacts be transparent and replicable. Likewise, EPA’s National Ambient Air Quality Standards Particulate Matter action (NAAQS PM) retaining existing standards, recognizes that annual concentrations of Particulate Matter 2.5 dropped 39% between 2000 and 2018. It also acknowledges that fuel switching to natural gas in the power sector has played a significant role in reduced emissions that can contribute to PM, as well as greenhouse gases.">

wealthier Americans. Likewise, sales mandates like the one announced last fall by California and under consideration by other states, and banning new gasoline- and diesel-fueled vehicles by a certain date, limit options for Americans who can’t afford zero-emission vehicles (ZEVs) or might prefer a conventionally powered vehicle. Consumer choice must be preserved, unencumbered by mandates and bans that distort the market. A fuel- and technology-neutral approach to reducing greenhouse gases on a life-cycle basis will likely provide the most cost-effective options.">

$1.4 billion per month in real incomes, according to National Bureau of Economic Research analysis. Instead, the U.S. should continue promoting expanded international trade and investment, fair and equitable market access for American products abroad, and the elimination of trade barriers that undermine trade flows. Free trade, especially energy trade, supports U.S. jobs and builds energy security for U.S. consumers. Conversely, tariffs and sanctions, such as those on imported steel, ultimately delay energy projects, harm U.S. energy leadership and impact consumers. Free trade also provides enormous benefits to American businesses and families. For example, LNG exports bring overseas sales revenue into America and lower global carbon emissions by helping other nations follow the U.S. in switching power generation to lower-emission natural gas. The permitting process for LNG export facilities must be swift, transparent and consistently applied, following the process developed by the Federal Energy Regulatory Commission and the U.S. Department of Energy, so that the U.S. can continue to increase LNG exports and help reduce global greenhouse gas emissions.">

decreased 8% in 2019 and have fallen 33% since peaking in 2007. Government policies that spur technologies and innovation can help tackle the dual challenge of reducing GHG emissions while meeting demand for affordable, reliable energy. Market-based policies can foster meaningful emissions reductions across the economy at the lowest societal cost. An example can be carbon pricing – balancing reducing GHGs with flexibility and pacing to keep energy affordable. Government policy can encourage more innovation from industry, such as carbon capture, utilization and storage (CCUS). According to the National Petroleum Council, CCUS needs increased government support to achieve deployment at scale. Meanwhile, The Environmental Partnership, whose participants represent 74% of new U.S. natural gas and oil production, and other initiatives show industry’s commitment to continuous reductions of GHG emissions associated with production. The Partnership’s program of sharing knowledge, best practices and technologies – expanded in 2020 to invite midstream companies – is building on progress. Preliminary analysis of EPA’s latest GHGRP report and EIA data shows methane emission rates from five of the largest U.S. producing regions fell nearly 70% between 2011 and 2019. The Partnership’s focus continues to expand, adding a flaring program in 2020.">

$100 billion on average a year from foreign operations. American businesses and consumers shouldn’t be punished so lawmakers can score political points. The natural gas and oil industry does not receive special tax treatment. It uses expensing and cost recovery mechanisms like other capital-intensive industries, all of which promote investment and economic growth. Non-retail industry employees earn almost twice the national average, while industry pays billions every year in taxes, royalty payments and fees to state and federal coffers. In addition, our industry’s revolutionary investment in natural gas production has reduced electricity bills for American families 14.5% since 2008, according to the Bureau of Labor Statistics.">