CEI - Competitive Enterprise Institute

01/06/2025 | News release | Distributed by Public on 01/06/2025 15:41

Congress needs to undo Biden’s sweeping attack on offshore drilling

Photo Credit: Getty

Today, President Joe Biden announced that he is blocking more than 625 million acres of US ocean from future offshore drilling. It covers "the entire U.S. East coast, the eastern Gulf of Mexico, the Pacific off the coasts of Washington, Oregon, and California, and additional portions of the Northern Bering Sea in Alaska."

Under Section 12(a) of the Outer Continental Shelf Lands Act (OCSLA), Biden is withdrawing this massive area of ocean from new oil and gas lease sales. There is no expiration date on this withdrawal. So, until this action is rescinded in some fashion, it will remain in effect.

This last second unilateral action at the end of his term is a "perfect" bookend in Biden's war on energy, pairing with his decision to shut down the Keystone XL pipeline on his first day in office.

The last thing the United States should be doing is tying our hands from meeting the nation's energy needs. Yet this is precisely what Biden has done. About 80 percent of America's energy needs are met through fossil fuels and this number itself doesn't tell the whole story. It's hard to think of any industry, including the renewable energy industry, which doesn't rely on fossil fuels to some extent.

By limiting future supply of oil and natural gas, this action will inevitably drive-up prices and make the US more dependent on foreign sources, including unfriendly sources. And even if supplies are not immediately limited due to Biden's blocking of future leases, the signal it sends to the market could have effects on prices in the short-term.

So, what should be done?

President-elect Donald Trump could try and revoke the withdrawal. Past presidents have taken similar actions. However, there is some legal question whether a president can revoke a withdrawal issued under Section 12(a) of the OCSLA. In 2019, a federal district court in Alaska vacated then-President Trump's revocation of President Barack Obama's withdrawals of US ocean from offshore drilling. Having said this, the legal issue is far from resolved.

However, there is a simpler and better solution that wouldn't face legal questions: Congress should pass legislation under the Congressional Review Act (CRA).

The CRA provides an expedited process for Congress to consider legislation rejecting a "rule," which is broadly defined. Biden issued two presidential memoranda to block the 625 million acres and each would almost certainly be a "rule" under the CRA. The most important procedural benefit of the CRA is getting around the filibuster in the Senate.

Republicans will soon have the House, Senate, and White House. They are in an ideal position to undo this egregious unilateral action that will undermine our nation's ability to meet our energy needs. Regardless of party, the sweeping scope of Biden's action, which was in no way blessed by Congress, should be a concern.

One of the big challenges for Republicans and the incoming Trump administration is to undo the harm caused by Biden when it comes to energy. This new ban on future oil and gas lease sales is yet another thing to undo.

Legislators should immediately make use of the CRA to reject this latest attack on energy. In doing so, they will enable the country to better meet future energy needs, which as a result will improve energy affordability and our quality of life.

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