Regulatory policy

API sends policy suggestions to president to deal with energy crisis

Following an ongoing energy crisis that has seen fuel prices soar both in Florida and across the country, the American Petroleum Institute has sent a letter to President Biden’s office with ten “immediate actions” that the recommends to help increase energy supply.

API is a trade association for the petroleum and natural gas industries, claiming to represent nearly 600 companies involved in production, refining, distribution and other areas of the petroleum industry.

According to its June letter — titled “Plan 10 in 2022” — API asked government officials to implement specific policy changes it says will increase supply and help lower fuel prices.

A d

[TRENDING: Shooting scare causes panic at Lake Eola fireworks show in Orlando | Fla. teen to have leg amputated after attack by 9-foot sharkBecome a News 6 Insider (it’s free!)]

One such measure suggested by the letter is to lift development restrictions on federal lands and waters, which would provide companies with more drilling opportunities.

API Gulf Coast Region director Gifford Briggs told News 6 that the government’s current energy policies have prevented companies from producing more fuel.

A d

“Once the administration came in, it made a number of energy policy decisions — the most well-known being the cancellation of the Keystone pipeline,” Briggs said. “Since then, we have seen consistent regulatory delays, particularly with respect to other pipeline projects, (liquefied natural gas) projects, which are needed to support the energy industry.”

With government policies targeting these industries, Briggs explained, companies are losing confidence and turning away from building infrastructure, resulting in lower energy production. Briggs cited as an example the construction of the Keystone XL pipeline, which was canceled by the president in 2021 after its inauguration.

“As companies plan for additional pipelines or (liquefied natural gas) projects or even exploration for production in the Gulf of Mexico or Alaska, they’re going to be very careful before making those decisions,” he said. -he declares. “Because they will not be sure that the administration will take the same measures vis-à-vis their projects.”

A d

Although about 9,000 permits have been approved, Briggs said not all of the land granted under those permits has been deemed suitable for drilling.

Briggs added that the administration canceled lease sales without creating new ones.

“We are without a lease sale for the first time in the history of the program under this administration,” he said. “We will go through all of 2022 without a lease sale in the Gulf of Mexico or Alaska or offshore federal waters. These are simple policies that we can just continue what was done before.

By lifting restrictions on land use, streamlining the permitting and approval process and waiving steel tariffs, the letter argues that companies will be in a better position to secure energy production .

A d

According to Briggs, permits and construction must take place before energy companies can even start producing fuel, so removing barriers at those two stages would be a boon to increasing energy supply.

“When we first get a lease, we have to go out and see if there’s even oil or natural gas there,” he said. “Then we have to get a permit from the federal government, and then we have to make sure we have the equipment in place, so these projects often take five to 10 years before they can come to fruition.”

In one of the letter’s suggestions, API calls on Congress to support tax credits for the development of carbon capture, utilization and storage – technologies that Briggs says would help address to environmental concerns by taking carbon dioxide emissions from the atmosphere and storing them underground.

“Right now the administration’s approach is that instead of producing here in the United States, where some of the toughest environmental restrictions on the planet are, (Biden) is going to Saudi Arabia and OPEC and those other countries that don’t have the environmental restrictions and asking them to produce more energy,” he said.

A d

To read “Plan 10 in 2022”, review the News 6 attachment below.

Get today’s headlines in minutes with Your Florida Daily:

Copyright 2022 by WKMG ClickOrlando – All Rights Reserved.