The US oil and natural gas industry is looking towards the new Trump administration with hopeful eyes. For long the industry was kept off-limits by President Obama’s energy policies, but with Trump taking charge, the industry is expected to get more freedom and support from the federal government. Trump has always been a well-wisher of the industry and has earlier stated that he would avail federal grounds for drilling to reinstate the country’s energy sector.
Meanwhile, local communities and environmentalist are keeping a close eye on the proceedings as they will strongly oppose any further energy exploration activities on conserved territories. Moreover, most of these federal territories come under wildlife shelters, national parks and Native American tribal territories.
Experts suggest that the industry may get a green signal from the government to tapping the uranium, coal and oil and gas reserves in federal territories, however, it should prepare itself for facing some stern opposition. It is most likely that environmental and conservation activists along with local communities will put up some serious resistance including intensive lobbying and lawsuits. A second picture also suggests that these oil and gas players may get a helping hand from the same local settlers, many of whom are struggling to find any satisfactory job as things stand now and will welcome companies into federal lands.
Despite the GOP domination of House of Representatives, it is expected that the road will be quite bumpy for Trump’s energy industry plans. Recently, the House voted in favor of a new Republican suggested bill that is intended at facilitating the transfer of federal land ownership to native American tribes, local communities and the states. As per the bill, no transfer cost will be added to the federal budget.
On his campaign trail, Trump clearly showed his disagreement with handing over control of federal territories to anonymous bodies since it becomes unpredictable — as what they are going to do next with these lands.
Summary: The US energy industry increasingly getting drawn towards Federal land