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Major business groups urge Biden to ‘remove barriers to greater domestic energy production’

By VICTOR SKINNER | THE CENTER SQUARE

Business leaders across the country have united in calling on the Biden administration to boost domestic energy production and drop a proposal to ban new overseas lease sales.

More than 200 local chambers of commerce in 47 states and 14 national associations have drafted a letter to President Joe Biden this week urging him to “strengthen our energy security by removing barriers to greater domestic energy production.”

The Alaska Chamber of Commerce, Anchorage Chamber of Commerce, and Greater Haines Chamber of Commerce are on this list.

The letter asks:

  • End the ban on all new oil and gas exploration on federal lands and waters. Federal lands and waters were responsible for 22% of all US oil production and 12% of natural gas. Taking these resources off the table has a significant impact on US and global energy supply, now and in the decades to come.
  • Reinstatement of Canceled Lease Sales. Canceling oil and gas lease sales sends the wrong message to producers and investors.
  • Adoption of a five-year oil and gas development plan that allows the United States to maximize offshore potential: For the first time in history, the five-year plan was allowed to expire. On July 1, the Home Office proposed a new plan that included an option to completely halt offshore exploration by not allowing any new leases, creating even more uncertainty. It is unreasonable to ask companies to make large, long-term investments without knowing whether exploration will even be permitted. We urge the adoption of a new five-year plan by the end of the year which includes the maximum possible number of lease sales.

“High energy prices remain a major concern for businesses across the United States and are a major cause of inflation,” the letter read. “Businesses of all sizes face the burden of rising costs for goods, services and transportation, which, combined with tight labor markets, present major headwinds for the U.S. economy.”

The letter asserted that the fight against climate change and energy security “are not mutually exclusive” and that increasing domestic production of oil and natural gas can “accelerate the energy transition” while simultaneously limiting liquidity. destined for Russia and improving the lives of Americans.

“Furthermore, Russian oil is one of the dirtiest in the world, so replacing it with cleaner, lower-carbon US production would bring clear environmental benefits,” the letter read.

Business leaders pointed to the Biden administration’s “mixed signals” on domestic energy production and pointed to three major issues that should be addressed: ending the ban on new oil and gas exploration on federal lands and waters, restore canceled oil and gas lease sales, and adopt a five-year oil and gas development plan that allows the United States to maximize offshore potential.

“Federal lands and waters were responsible for 22% of all US oil production and 12% of natural gas. Taking these resources off the table has a significant impact on U.S. and global energy supply, now and in the decades to come,” the letter read.

“On July 1, the Home Office proposed a new plan which included an option to completely halt offshore exploration by not authorizing any new leases, creating even more uncertainty,” he continued. “It is unreasonable to ask companies to make major long-term investments without knowing whether exploration will even be permitted.

“We urge the adoption of a new five-year plan by the end of the year that includes the maximum possible number of rental sales,” the business leaders wrote.

The letter came around the same time that OPEC – the Organization of the Petroleum Exporting Countries – announced plans to cut oil production, a move that is expected to contribute to a spike in energy prices in the United States. United States.