The House Natural Resources Committee is preparing a major overhaul of U.S. oil and gas drilling laws to increase energy production on federal lands. The proposed changes aim to boost lease sales in key regions and will be folded into a budget reconciliation bill set for a hearing later today.
If approved by the committee, the bill will advance to the Senate, where Republicans hold a majority. Using the budget reconciliation process will allow supporters to bypass Democratic opposition, according to Reuters.
In a memo cited by the outlet, the committee said, “The House Committee on Natural Resources is answering President Trump’s call to unleash American energy dominance through commonsense, science-based, and economically sound provisions in budget reconciliation.”
The proposed bill includes 30 offshore oil and gas lease sales in the Gulf of Mexico over the next 15 years. It also calls for six offshore lease sales in Alaska and four in the Arctic National Wildlife Refuge over the next decade. Additionally, it would require lease sales in the National Petroleum Reserve every two years.
The energy industry welcomed the proposal. The Independent Petroleum Association of America (IPAA) praised the move, saying it would strengthen the domestic energy supply and help lower prices.
“These provisions…will increase domestic energy production, allowing for affordable and reliable energy to all Americans,” the IPAA and other trade groups wrote in a letter to the House Speaker. They added that reinstating quarterly onshore lease sales, as required by the Mineral Leasing Act, and setting firm deadlines for offering eligible land are long-overdue steps.
The push for increased leasing comes after years of reduced activity on federal lands, with industry leaders blaming the Biden administration for delays and inaction.
Related Topics:
- USA EIA Predicts WTI Oil Prices Will Fall in 2025 and 2026
- Oil Prices Fall as EIA Reports Rising Crude Inventories
- USA EIA Unveils Updated Brent Oil Price Predictions