Editorial: Information wars

The Biden Administration on Aug. 16, 2021, appealed a June decision by Judge Terry Doughty of the US District Court for the Western District of Louisiana blocking the Interior Department’s pause on oil and gas leasing on public lands and waters. That same day, the American Petroleum Institute led the filing of a suit against the administration to force a resumption of leasing. The Department of Interior had said when Judge Doughty ruled that it would comply with the requirement to hold leases but had not yet done so.

Less than a week before filing its appeal to keep the leasing pause in place, the administration called on the Organization of Petroleum Exporting Countries and its allies (OPEC+) to increase oil production. OPEC+ rejected the request. But the political spin, predictably, kicked into overdrive.

A letter from 24 Republican senators read in part: “Since your first day in office, your Administration has pursued policies that have restricted and threatened American oil and gas development, which has had devastating consequences for American workers and consumers. It is astonishing that your Administration is now seeking assistance from an international oil cartel when America has sufficient domestic supply and reserves to increase output, which would reduce gasoline prices.”

In the end, the administration told Judge Doughty’s court that it would begin the process of restarting the leasing program with an eye toward holding a Gulf of Mexico auction in October or November. The move was doubtless a blow to climate activists’ hopes that Biden would start ‘leaving the oil in the ground’ as soon as possible and they will attempt to hold the President to task for his perceived backtracking.

Score one for the industry. It can bid on federal leases again. That’ll yield dividends at some point in the future. But it doesn’t mean much now. The Interior Department can no longer be held out as scofflaws, one of the biggest planks of the Biden-as-anti-fossil fuels platform has been lost, and (of course) it’s done nothing to reduce gasoline prices. Meanwhile, the budget act with legislative reforms to federal oil and gas leasing that will almost certainly raise costs and increase regulatory requirements looks increasingly likely to pass along party lines.

This is part of what happens when an industry allows its political surrogates—trying to win the next election or even just the next news cycle—to make specious arguments.

The US should strive to responsibly meet its own energy needs in whatever ways it can, including the extraction of hydrocarbons. But maintaining that gasoline prices are up because land for drilling is being held back, rather than simply acknowledging that increased demand has caused prices to rise, is no way to maintain one’s position as a serious participant in the discussions.

Most of what the average US citizen hears about the oil and gas industry is misinformation. The business is cast as either a relentless pillager of earth and sea, or the only affordable, safe path forward amidst an endless stream of half-baked pseudo technologies.

This sort of inane pandering has become expected from the talking heads, politicians, and social media platforms of the world, making it all the more important that the industry work proactively to disseminate accurate information. It has a strong record of environmental stewardship and has become increasingly effective in pushing back against misinformation to the contrary. The next step in this communications process will be speaking truth in response to ridiculous statements on the part of the industry’s ostensible allies.

The future is going to get here. There will be a role for hydrocarbons in it, even more so for those oil and gas companies already immersing themselves in the transition. Don’t let inaccurate or otherwise misleading statements from outsiders sully this possibility, regardless of the direction from which they come.