Oil and gas groups welcome White House’s change in tone

March 1, 2017
US oil and gas associations welcome changes in the policymaking tone at the White House and look forward to working with the Trump administration, officials said in statements before and after US President Donald J. Trump’s address to a joint session of Congress on Feb. 28.

US oil and gas associations welcome changes in the policymaking tone at the White House and look forward to working with the Trump administration, officials said in statements before and after US President Donald J. Trump’s address to a joint session of Congress on Feb. 28.

Trump specifically mentioned the industry only once in his remarks: an early reference to his orders concerning the Dakota Access and Keystone XL crude oil pipelines, and the use of US-manufactured steel for new pipelines and repairs of existing systems.

Association leaders welcomed the president’s moves aimed at removing federal roadblocks and delays, and his promises to do more, including several he discussed when a delegation of US governors visited the White House on Feb. 27 (OGJ Online, Feb. 28, 2017).

“GPA Midstream Association and its members are thrilled with President Trump’s efforts so far to roll back regulations that have been negatively impacting the midstream sector,” Mark Sutton, president of the group formerly known as the Gas Processors Association, said in Tulsa immediately following the president’s address.

“We believe that under his leadership, GPA Midstream members will be able to get back to business and will stop being impeded by unnecessary regulations,” Sutton said.

National Ocean Industries Association Pres. Randall B. Luthi said of Trump’s remarks, “As President Trump begins work on his ambitious agenda, it appears that efficiency and cost-cutting are major themes throughout much of the federal government. Those of us in the energy producing industries say welcome to our world.”

Industry can help rebound

While low commodity prices and overly burdensome regulations may have devastated energy job growth over the last 2 years, they also have made operations more efficient, particularly offshore, Luthi said.

“Ironically, as the administration begins to unravel some of the regulatory weight and uncertainty, it is also the energy industry that can assist the overall economic goals outlined tonight,” Luthi said. “Not only does a more robust offshore energy industry mean thousands of potential new jobs and billions in new government revenue, it also means lower manufacturing costs, more consumer savings and more energy security.”

Hours before Trump spoke, Independent Petroleum Association of America Pres. Barry Russell identified potential energy themes for the administration to consider. “During [the president’s] first 5 weeks in office, the Trump administration has signaled a historic rebalancing between the best way to protect the environment and to maximize energy production,” Russell said. “In policy outlines, this administration recognizes energy as a strategic, American asset that should not be snarled by needless, duplicative regulatory regimes.”

Energy policies that the Trump administration has discussed refocus on markets, a reassessment of top-down controls, and a better balance to have the safest, most efficient regulations for the energy industry, while also protecting the environment, IPAA’s president said.

“This will mean using US assets, such as oil, natural gas, and manufacturing, to do what’s best economically for the United States. IPAA believes that’s a recipe for a good, forward-thinking national energy policy. Adding in President Trump’s emphasis on improving national infrastructure, it’s powerful,” Russell said.

Contact Nick Snow at [email protected].