NEW YORK, BRONX (ORDO News) — In a significant shift in U.S. energy policy, the Biden administration is set to unveil its five-year plan for offshore oil and gas leasing, which will include the lowest number of auctions in the program’s history.
The plan, covering 2024 to 2028, reflects a compromise between environmental advocates and drilling proponents and marks a significant reduction from the 2018 proposal crafted by the Trump administration, which envisioned 47 lease sales, including in California and the Atlantic.
Reduced Auctions, But Not Zero
Under this new plan, there will be no lease sales in 2024 and only three in the final four years, signaling a dramatic reduction in offshore drilling opportunities. However, it falls short of President Joe Biden’s campaign promise to halt new federal drilling entirely as part of the fight against climate change.
Court decisions necessitated continued leasing, and last year’s Inflation Reduction Act made them a prerequisite for new offshore wind power lease auctions.
Balancing Climate Goals and Energy Needs
The White House is expected to argue that conducting oil lease sales is a necessary step to achieve its ambitious wind energy goals. President Biden views offshore wind power as a key tool in the administration’s efforts to decarbonize the economy.
The administration intends to fulfill the leasing mandates to support the growth of the U.S. offshore wind energy industry.
“The number of oil and gas lease sales will be the lowest in history and will enable the rapid expansion of the offshore wind industry,” a source familiar with the plan explained. This approach aims to strike a balance between addressing climate change concerns and ensuring domestic energy supplies.
The Controversial Leasing Program
The Interior Department is legally required to create a national oil and gas leasing schedule every five years, but the process has faced significant delays and disputes. The previous schedule expired in June 2022, contributing to the ongoing debate over the program’s future.
The leasing program has become a symbol of the broader discussions surrounding fossil fuel development, with various stakeholders viewing it as essential for energy security or as a critical step in curbing global warming‘s worst effects. As the plan is unveiled, it is likely to ignite further debates and discussions over the nation’s energy future.
The plan will undergo a 60-day waiting period before potential approval by Interior Secretary Deb Haaland.
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News agencies contributed to this report, edited and published by ORDO News editors.
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