As more political appointments fall into place, the Trump administration is poised to deliver more energy-related executive orders and revocations and reviews of existing regulations. All federal agencies are in the process of reviewing all regulatory actions that could potentially burden domestically produced energy with an eye toward rescinding or amending those regulations. Final agency recommendations are due Sept. 25. At the same time, federal agency heads have been ordered to put a regulatory reform officer in place to review and reform burdensome regulations.
Federal actions
President Trump has signed a resolution repealing the Bureau of Land Management‘s 2.0 planning rule. On March 27 President Trump signed House Joint Resolution 44 by Liz Cheney (R-WY) into law. The joint resolution repealed a rule centralizing management of federal lands in Washington, D.C. Opponents of the rule claimed it diluted the concerns of local citizens. Additionally, the Energy Independence Executive Order, signed March 28, directs the Environmental Protection Agency (EPA) to review and, as appropriate, suspend, rescind or revise the 2016 rule establishing new source performance standards (known as Quad O) limiting methane emissions from new, modified and reconstructed sources in the oil and gas sector. The Order also directs EPA, “if appropriate” and “as soon as practicable,” to suspend, rescind or revise “any rules and guidance issued pursuant to” its oil and gas methane rule.
State/local actions
Colorado
- The Colorado Oil and Gas Association is reviewing Boulder County’s new drilling regulations in consideration of future legal action. The Colorado attorney general’s office continues to exchange legal arguments with the county’s current moratorium set to expire May 1.
Florida
- Senate Bill 442 by Dana Young (R-Tampa), a bill to ban hydraulic fracturing for oil and gas in the state, was killed when Chairman Rob Bradley (R-Orange Park) stated he would not schedule any more meetings for the Subcommittee on Environment and Natural Resources where the bill is assigned.
Maryland
- Governor Larry Hogan signed the state’s proposed hydraulic fracturing rule into law.
Oklahoma
- U.S. District Judge Stephen Friot dismissed the Sierra Club lawsuit attempting to impose federal rules on wastewater disposal and earthquake monitoring in Oklahoma via the Resource Conservation and Recovery Act.
- The Oklahoma Energy Producers Alliance is asking state lawmakers to increase the gross production tax to 7%.
Pennsylvania
- U.S. Magistrate Judge Martin Carlson threw out a $4.2 million jury verdict against Cabot Oil and Gas and ordered a new trial. However, before any new trial can commence, the judge ordered families in Dimock who claim their water had been contaminated by hydraulic fracturing to first seek a settlement with Cabot Oil and Gas.
West Virginia
- Senate Bill 576 by Charles S. Trump (R-Morgan), a bill to impose forced pooling on land and mineral owners, was not placed on the agenda for the state’s Committee on Energy, thus effectively killing the proposed legislation.
Recommended Reading
Kissler: OPEC+ Likely to Buoy Crude Prices—At Least Somewhat
2024-03-18 - By keeping its voluntary production cuts, OPEC+ is sending a clear signal that oil prices need to be sustainable for both producers and consumers.
Canadian Natural Resources Boosting Production in Oil Sands
2024-03-04 - Canadian Natural Resources will increase its quarterly dividend following record production volumes in the quarter.
Enbridge Advances Expansion of Permian’s Gray Oak Pipeline
2024-02-13 - In its fourth-quarter earnings call, Enbridge also said the Mainline pipeline system tolling agreement is awaiting regulatory approval from a Canadian regulatory agency.
Uinta Basin: 50% More Oil for Twice the Proppant
2024-03-06 - The higher-intensity completions are costing an average of 35% fewer dollars spent per barrel of oil equivalent of output, Crescent Energy told investors and analysts on March 5.
Buffett: ‘No Interest’ in Occidental Takeover, Praises 'Hallelujah!' Shale
2024-02-27 - Berkshire Hathaway’s Warren Buffett added that the U.S. electric power situation is “ominous.”