What to expect from U.S. energy policy under President-elect Donald Trump
Joan Dodd, PR Manager, Region 2
There is major speculation that the new U.S. administration will be highly favorable toward the oil and gas industry, especially in light of the appointments of Exxon Mobil CEO Rex Tillerson as Secretary of State and former Texas Governor Rick Perry as Secretary of Energy. Albeit Mr. Tillerson and Mr. Perry will have to be approved by the U.S. Senate before they're appointed to the new administration.
In 2013, Russian President Vladimir Putin bestowed a major Russian state award, the Order of Friendship, on Tillerson, citing his work in "strengthening cooperation in the energy sector." Russian Foreign Minister Sergei Lavrov said Trump and Tillerson were "pragmatic people" who could help America and Russia build a mutually beneficial relationship. Another appointment to the new administration that is well-known and respected in the energy sector was announced on December 2, 2016. Dr. Daniel Yergin, Pulitzer Prize-winner and Vice Chairman of IHS Markit, was appointed to the President’s Strategic and Policy Forum. The Forum will be comprised of sixteen members to be called upon to meet with the President frequently to share their experience and knowledge. The first meeting is scheduled for February 2017 at the White House.
In Mr. Trump’s first in-depth speech about energy policy at a North Dakota oil industry conference on May 26, 2016, Trump promised to make American energy "dominance" a strategic economic and foreign policy goal of the U.S. and stated that "America's incredible energy potential remains untapped.”
"America's incredible energy potential remains untapped. It's a wound that is totally selfinflected," Trump said during a speech at a North Dakota oil industry conference.
MR. TRUMP'S PROPOSAL TO CHANGE U.S. ENERGY POLICY IS DETAILED IN HIS PLAN TITLED “AN AMERICA FIRST ENERGY PLAN” THAT CAN BE FOUND ON HIS PRESIDENTIAL CAMPAIGN WEBSITE.
- American energy dominance will be declared a strategic economic and foreign policy goal of the United States.
- America has 1.5 times as much oil as the combined proven resources of all OPEC countries; we have more Natural Gas than Russia, Iran, Qatar and Saudi Arabia combined; we have three times more coal than Russia. Our total untapped oil and gas reserves on federal lands equal an estimated $50 trillion.
- We will become, and stay, totally independent of any need to import energy from the OPEC cartel or any nations hostile to our interests.
- At the same time, we will work with our Gulf allies to develop a positive energy relationship as part of our anti-terrorism strategy.
- We will use the revenues from energy production to rebuild our roads, schools, bridges and public infrastructure. Cheaper energy will also boost American agriculture.
- We will get the bureaucracy out of the way of innovation, so we can pursue all forms of energy. This includes renewable energies and the technologies of the future. It includes nuclear, wind and solar energy – but not to the exclusion of other energy. The government should not pick winners and losers. Instead, it should remove obstacles to exploration. Any market has ups and downs, but lifting these draconian barriers will ensure that we are no longer at the mercy of global markets.
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