The US oil and gas industry will be working hard in the coming year to make certain that federal, state, and local governments resist policies which would undo 25 years of progress in making domestic energy affordable and reliable, American Petroleum Institute Pres. Mike Sommers said.
“We’re going on the offensive to tell the story of this industry,” he told reporters during a teleconference before addressing API’s 2020 State of American Energy event on Jan. 7. “The hydraulic fracturing revolution is one of the most important things to happen in this country in the last 25 years. But we know many candidates are making campaign promises, including a fracing ban which would cost 7.3 million US jobs and make the US more dependent on foreign supplies.”
Sommers said that API and its members recognize that renewable technologies will be a growing part of the US energy mix. “But we’ll still need natural gas to back up those renewables. That’s why we expect it to continue playing a key role in the power generation mix,” he indicated.
In his remarks at the event, API’s president said that the State of American Energy in 2020 is one of leadership that offers stability during chaotic times. “American energy is powering the lives of people across our nation. It’s helping revive economies across the country. Natural gas and oil help explain why, in communities which haven’t seen economic growth in years, they are benefiting from good-paying jobs, safe workplaces, and affordable energy,” he said.
“No nation on earth has reduced annual carbon emissions more than the US, and we have the desire and grit to step up and continue doing this. Every day, our industry is focused on lowering emissions and reducing climate impacts. Bold action at the local level is essential. The American oil and gas industry is committed to this,” Sommers maintained.
He said that for 2020, API has identified six energy policy priorities to continue US energy progress:
Expand the domestic energy transportation systems by increasing efficiency, transparency, and certainty in the federal pipeline permitting process to align smart regulations with responsible and timely investments in necessary projects.
Support responsible domestic energy development by expanding offshore leasing opportunities since developing those resources can take more than 10 years but would help preserve the country’s long-term security.
Remove US trade barriers and open global markets by de-escalating disputes with China and other nations while removing US tariffs on specialty steel that domestic companies import from US allies.
Level the playing field for transportation by removing biofuel mandates under the federal Renewable Fuel Standard that favor domestic ethanol producers but potentially could damage engines in some 70% of vehicles presently on the road which were not designed to run on fuels with a 15% ethanol blend.
Adopt solutions that reduce the risk of global climate change while meeting the world’s growing energy needs.
Unlock innovation and cultivate coalitions such as the Environmental Partnership which is comprised of companies committed to continuously improving the domestic industry’s environmental performance.
“Whenever we advance new technologies to reduce carbon emissions, we take those steps with other industries that want to do the same,” Sommers said. “To meet those challenges, you want the capable men and women in the US oil and gas industry on your side. No one should close them off from the opportunities ahead. To do that, we must continue to develop reliable energy delivery systems.
“Our impact extends far beyond that of any single industry or group. Everyone stands to gain from a strong energy future,” he declared. “It’s clear that climate issues won’t be solved by unrealistic changes. Wherever our commitment to environmental and worker safety is questioned, API will be on the job.”