If passed, HB1559 will significantly alter the current federal framework for offshore oil and gas leasing. The bill requires annual lease sales in the Gulf of Mexico, which is anticipated to increase the rate of energy exploration and production in these waters. This could lead to increased job creation in the energy sector, thereby supporting economic growth. By establishing mandatory lease sales, the bill holds the potential to shift energy policy towards a more aggressive domestic drilling strategy, which may both bolster state economies involved and enhance national energy independence.
Summary
House Bill 1559, titled the 'More Energy More Jobs Act of 2023', seeks to direct the Secretary of the Interior to develop a new oil and gas leasing program under the Outer Continental Shelf Lands Act. The bill mandates that the Secretary include areas of the outer Continental Shelf nominated by coastal state governors for leasing, thus emphasizing state involvement in the federal leasing process aimed at energy development. The bill stipulates that the new leasing program must be prepared with resource estimates and outlines a timeline for its implementation.
Contention
The proposed legislation has generated a range of responses from various stakeholders. Proponents argue that increased leasing will not only create jobs but will also contribute to national energy security by reducing dependency on foreign oil. However, environmental advocates and some coastal community leaders express concerns over the potential ecological impacts of expanded drilling, particularly in sensitive marine environments. Critics point out that the bill could weaken environmental reviews and protections that are currently in place, raising alarms over the long-term consequences for marine ecosystems.
Lower Energy Costs Act This bill provides for the exploration, development, importation, and exportation of energy resources (e.g., oil, gas, and minerals). For example, it sets forth provisions to (1) expedite energy projects, (2) eliminate or reduce certain fees related to the development of federal energy resources, and (3) eliminate certain funds that provide incentives to decrease emissions of greenhouse gases. The bill expedites the development, importation, and exportation of energy resources, including by waiving environmental review requirements and other specified requirements under certain environmental laws, eliminating certain restrictions on the import and export of oil and natural gas, prohibiting the President from declaring a moratorium on the use of hydraulic fracturing (a type of process used to extract underground energy resources), directing the Department of the Interior to conduct sales for the leasing of oil and gas resources on federal lands and waters as specified by the bill, and limiting the authority of the President and executive agencies to restrict or delay the development of energy on federal land. In addition, the bill reduces royalties for oil and gas development on federal land and eliminates charges on methane emissions. It also eliminates a variety of funds, such as funds for energy efficiency improvements in buildings as well as the greenhouse gas reduction fund.
Unleashing American Energy Act This bill requires a minimum amount of oil and gas lease sales a year on certain submerged lands of the Outer Continental Shelf (OCS) and limits delays on federal oil and gas leases on such lands. Specifically, this bill requires the Department of the Interior to annually conduct a minimum of two region-wide oil and gas lease sales in each of the following regions of the OCS: (1) the Gulf of Mexico region in the Central Gulf of Mexico Planning Area and the Western Gulf of Mexico Planning Area, and (2) the Alaska region. In addition, the bill requires the President to obtain congressional approval before delaying federal oil and gas leases on the OCS.