The US oil and gas industry will face some serious challenges in the months and years ahead no matter who wins the 2016 presidential election on Nov. 8. Energy issues barely were mentioned in those campaigns. That doesn't mean they have gone away.
From the Watching Government standpoint, there were five basic talking points in OGJ's Oct. 28 Political Webcast with hundreds of readers from 16 countries.
First, alliances with industries outside oil and gas will matter more than ever. Groups like the US Chamber of Commerce and National Association of Manufacturers historically have been allies. Regional trade associations have wisely included local government and officials and business leaders in their annual Washington member call-ups. They clearly help make a bigger impression during visits with federal regulators and congressional staffs.
Second, state and local regulators will be pressed to implement more federal rules. This can happen when regulations are imposed without the necessary funding. Affected oil and gas entities are likely to find state and local officials more sympathetic because they obviously will be more familiar with actual operating conditions.
Third, aggressive oil and gas transportation system improvements must continue. This obviously won't be easy, as continuing protests against the Dakota Access crude oil pipeline show.
Many environmental organizations take a very narrow view with their keep-it-in-the-ground opposition to fossil fuels of any kind. It will continue to be essential to explain forcefully the consequences of a project's not being built to consumers who may be indifferent because fuel prices presently are low. This may be the US oil and gas industry's single most daunting post-2016 election task. It shouldn't be avoided.
Fourth, more measurements to supplement emissions estimates are essential. Actual data regularly show that initial estimates are high, but wellhead, pipeline, and refinery measurements need to grow so policymakers will have better information.
Ignoring measurements, by the way, contradicts federal officials when they say their decisions are based on sound science. It only makes political actions such as delaying necessary permits for overdue geologic and geophysical surveys of the US Mid-Atlantic Outer Continental Shelf laughable and infuriating at the same time.
Long-term mutual interests
Finally, cooperation with groups on mutual concerns such as career opportunities should increase. This seemingly is the least immediate problem, but it still should be encouraged.
Engineers, geologists, and other oil and gas professionals are retiring and need to be replaced. Organizations like the National Urban League want to increase science, technology, engineering, and mathematics education for minorities and women.
Enough people in the industry recognize that the resulting more diverse workforce would be a win-win situation for all concerned. It needs to move ahead.
Nick Snow
NICK SNOW covered oil and gas in Washington for more than 30 years. He worked in several capacities for The Oil Daily and was founding editor of Petroleum Finance Week before joining OGJ as its Washington correspondent in September 2005 and becoming its full-time Washington editor in October 2007. He retired from OGJ in January 2020.
