Staff Reports
In the latest blow to the American oil and gas industry, the Biden administration has taken an unconventional approach by incentivizing states to reduce oil production instead of pursuing strategies to enhance it. The American Automobile Association (AAA) reports that the average price of a gallon of gasoline has soared to a staggering $3.60, while Californians are grappling with an even more astonishing $5.62 per gallon. These exorbitant costs have placed a significant burden on Americans, particularly in terms of their daily transportation expenses.
A glimpse into president Biden policy:
$80 billions in oil revenue. The real money is the rising of Iranian oil output as sanctions aren't enforced. At current price Iran is making about 1.5 billion per month extra vs if it's production was capped at Oct 2022 levels. #Corrupt pic.twitter.com/4C9qvK7rCa
— Gol?? (@goliizz) October 13, 2023
The administration's response to this crisis revolves around a $350 million program, which is funded by the Inflation Reduction Act. The Environmental Protection Agency (EPA) and the Department of Energy (DOE) are offering grants to states, contingent on their commitment to shutting down low-producing oil and gas wells. Termed the "Mitigating Emissions from Marginal Conventional Wells," this initiative primarily focuses on reducing methane emissions and restoring well sites. While the emphasis on environmental issues is laudable, it should not come at the expense of American citizens and their financial well-being.
Jennifer M. Granholm, the U.S. Secretary of Energy, argues that addressing methane emissions is of paramount importance due to their significant contribution to climate change. However, this approach appears to overlook the economic implications and the potential adverse effects on states that heavily rely on the oil and gas industry. It is another instance of the Biden administration giving priority to its radical environmental agenda over the welfare and livelihoods of hardworking Americans.
Not surprisingly, the EPA is a vocal supporter of this program, with its leader, Michael Regan, contending that methane emissions from oil and gas plants are the sole cause of the climate crisis. This perspective conveniently disregards the numerous benefits the industry offers, from providing fuel for homes to creating employment opportunities and generating revenue for schools and local governments.
One state governor who refuses to endorse this flawed program is Wyoming's Republican Governor, Mark Gordon. He has expressed his deep reservations about the plan crafted by bureaucrats in Washington, highlighting the oil and gas industry's essential role in Wyoming's economy. Governor Gordon aptly recognizes that these low-producing wells still contribute significantly to oil production, and their closure would deliver a devastating blow to small businesses, jobs, and government revenues.
The Biden administration's ongoing assault on American energy has tangible consequences for the economy and consumers. Instead of penalizing the oil and gas sector, the emphasis should be on expanding production and seeking innovative solutions that balance economic growth with environmental sustainability. Prioritizing American energy independence and affordable fuel prices is imperative to secure a prosperous future for all citizens. With a different approach, these objectives are certainly within reach.
