US President-elect Donald Trump has vowed to increase production of oil and gas in the country by rolling back what he claims to be unnecessary regulations.
The US is already the world’s biggest producer of crude oil and also its biggest consumer.
Trump is expected to make way for policies that are beneficial for more production of oil and gas in the US.
He is also likely to roll back several climate regulations that were passed under the presidency of incumbent President Joe Biden.
Below are some of the executive energy orders that Trump could introduce after taking office at White House on January 20, according to a Reuters report.
Climate withdrawal
During his first days in White House, Trump could order the US to withdraw from the 2015 Paris Agreement, Reuters said.
The international agreement was signed to fight against climate change and reduce the rise in global temperatures by cutting down on fossil fuel-related emissions.
A withdrawal is crucial as the US is the world’s largest historical greenhouse gas emitter, and a key driver of global climate regulations.
Increase in gas exports
Trump is likely to remove a memorandum on new liquefied natural gas exports permits, which was imposed by the Biden administration.
The gas permits were banned by Biden in early 2024 to conduct a study on the environmental impacts of rising US gas exports.
Exports had risen sharply since Russia’s invasion of Ukraine in early 2022 as Europe shunned Moscow’s energy imports.
According to the Reuters report, the study had cautioned against issuing new gas export permits in the US.
However, the report said that Trump could wait until after the study’s comment period ends on February 18 to protect any permit approvals from court cases.
Declare energy emergency
Reuters said that Trump could declare a national emergency for US energy, in order to swiftly pass new permits for the power and energy sectors in the US.
According to the report, the move would be in line with Trump’s election promise where he vowed to increase energy production as the power sector prepares for a surge in demand from data centres.
Natural gas would be the primary focus in this segment, while other sources such as renewable energy, pipeline operators and the nuclear industry would also be beneficial.
The declaration, however, could run into issues if the Trump administration fails to prove that the country’s energy sector is in an actual emergency.
Trump to reverse Biden’s ban on federal oil drilling?
Trump is expected to order his administration to expand drilling for oil and gas on federal US lands and waters.
This is a complete reversal from the time under Biden’s presidency.
Biden had banned drilling on federal lands during his four years as president of the US.
According to the Reuters report, it would be up to the discretion of Trump’s Interior Department to make decisions on the frequency and the quantum of land given for auctions to the drillers.
The report said about a quarter of oil is produced from the US federal lands.
The issue would be to expand drilling to new offshore regions as Biden had used the Lands Act to protect vast areas of the Atlantic, Pacific and others from oil drilling.
Trump may block new offshore wind projects, limit imports
Trump had previously said that he intended to end any new offshore wind energy developments in the US.
He said that the industry is expensive, not good for whales and causes a landfill issue when old turbines are decommissioned.
In his first term as the US president, Trump’s administration was supportive of wind power.
This time, he could order his Interior Department to limit or stop new lease auctions for offshore wind power in federal waters.
Additionally, Trump may impose steep tariffs on all imported goods from other countries, including Canadian and Mexican oil.
This may extend to imports of solar and electric vehicle battery parts, too.
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