(Central Square) – National business leaders have united to call on a Biden administration to boost domestic energy production and drop a proposal to ban new offshore lease sales.
More than 200 local chambers of commerce and 14 national associations in 47 states letter To President Joe Biden this week, urging him to “strengthen our energy security by removing barriers to increasing domestic energy production.”
“High energy prices remain a major concern for businesses across the U.S. and a major cause of inflation,” the letter reads. “Businesses of all sizes face the burden of increased costs for goods, services and transportation, coupled with a tight labor market. , which is a significant headwind for the U.S. economy.”
The letter argues that tackling climate change and energy security “are not mutually exclusive” and that increasing domestic oil and gas production could “accelerate the energy transition” while reducing cash flows to Russia and improving the lives of Americans.
“Furthermore, Russian oil is one of the dirtiest in the world, so replacing it with cleaner, less carbon-intensive U.S. production would have clear environmental benefits,” the letter reads.
Business leaders pointed to the Biden administration’s “mixed signals” on domestic energy production and outlined three main issues that should be addressed: ending the ban on new oil and gas exploration on federal lands and waters, reinstating canceled oil and gas lease sales and the adoption of a five-year plan for oil and gas development that enables the United States to maximize its offshore potential.
“Federal lands and waters account for 22 percent of all U.S. oil production and 12 percent of natural gas. Taking these resources off the table has significant implications for U.S. and global energy supplies today and for decades to come,” the letter reads. .
“On July 1, the Home Office presented a new plan that included the option to completely shut down offshore exploration by not allowing new leases to create more uncertainty,” it continued. “It is unreasonable to require companies to make significant long-term investments without knowing whether exploration is permitted.
“We urge the adoption of a new five-year plan by the end of the year that includes as many lease sales as possible,” the business leaders wrote.
The letter came as the Organization of the Petroleum Exporting Countries announced plans to cut oil production, a move expected to send U.S. energy prices soaring
Louisiana organizations that signed the letter include the Baton Rouge Area Chamber of Commerce, Southwest Louisiana Chamber of Commerce, Greater Shreveport Chamber of Commerce, Louisiana Chamber of Commerce and Industry, Louisiana Economic Development 100, One Acadiana and Tangipahoa Chamber of Commerce.
“The world needs safe, affordable energy, and thankfully America has it in abundance. Now is the time to get America back into the game, and the Gulf of Mexico is the perfect place to start,” said Stephen Waguespack, president of the Louisiana Chamber of Commerce and Industry. “We know that producers on the Gulf Coast provide nearly 15% of our nation’s oil production and more than 2% of our natural gas production, and have the ability to do more. We need the administration and Congress to stop tying our hands. On energy prices Rising and inflation still at historic levels, domestic energy producers.
“The United States has the tools and resources, especially in Louisiana and the Gulf Coast, to maintain our position as a global energy leader,” Waguespack said. “It’s time to flip the switch on American energy and let our energy creators do what they do best.”