President-elect Trump during his election campaign promised to make America great again, assuring tax cuts, pro-business policies, and massive infrastructure projects. Which he believes will help the country’s economy grow and generate millions of new jobs. With the republican taking over the White House and Congress, it is assumed that along with president Obama his plan of coal-killing clean power will be on its ways out.
Robust production of oil and gas in the country is expected in the near future. The U.S. is unlikely to sanction the Paris climate accord leaving any chance for a cap-and-trade regime or federal carbon tax. Hydraulic Fracturing on Federal and Indian Lands will have lesser interference from the Bureau of Land Management (BLM). Under Trump BLM’ interest in regulating fracking will be anything but serious. A large section of voters in Ohio was strictly against banning fracking locally. The small success ratio of frack-ban means oil companies will have plenty to drill in. Frack-friendly states such as Oklahoma, North Dakota, and Texas will offer greater business opportunities to oil companies. If the rumors are to be believed a close Trump associate Harold Glenn Hamm also an energy business tycoon has been linked with the position of secretary of energy. However, it is too early to predict anything of that sort at this moment. But the trump advisor will surely be delighted by the fact that with Hillary not in power fracking will continue without much of federal interference. According to one of his statements, Hemm believes that under Donald Trump presidency U.S. will be energy independent.
Private pipeline builders are also expected to benefit from Trump’s pro-infrastructure policies. Which was quite evident when Donald Trump extended his support to Keystone XL pipeline. Development of the oil pipeline infrastructure in the country will be in priority for the newly elect government. However, push for oil, gas, and coal will not do any favors to nuclear and renewable energy supply demand. Trump stances towards the Gulf countries that supplying Oil and gas to America are yet to be understood, though it is much likely to remain similar to that of president Obama’s. We can further expect to see an increase in oil and gas trade between U.S. and the Gulf countries.
Summary: The U.S. Energy sector is expected to flourish under President-elect Trump.