A bill has been introduced in the House Natural Resources Committee that would declare Louisiana a “fossil fuel sanctuary state” to preempt federal environmental rules and regulations that could hurt the state’s oil and gas industry.
Rep. Danny McCormick (R-Oil City) authored HB 617 to protect Louisiana’s energy industry from federal executive orders, laws or agency regulations that could cause economic harm to oil and gas producers around the state, according to the text of the bill.
Under the provisions of HB 619, any federal action that curtails operations of the energy sector would be seen as an infringement on Louisiana’s sovereignty under the state and federal constitutions. Specifically, the bill would classify any federal tax, levy or fee as such an infringement and also target the cancellation of oil lease sales and legal avenues to prevent the acquisition or use of oil and gas products.
In response to a query from the Louisiana Record about the bill, a spokeswoman for the Louisiana Oil and Gas Association noted that oil and gas resources remain the best way to address continuing demands for secure power.
“We are in support of all thoughtful proposals and policies that ensure future Louisianans and Americans have the power, fuel and byproducts needed to enjoy a stable, modern life,” Kati Hyer told the Record in an email. “... We appreciate Rep. McCormick, who has always been a staunch supporter of the industry.”
The Biden administration earlier this year canceled a March 17 oil and gas lease sale that would have opened up more than 120,000 square miles in the Gulf of Mexico to energy development. The administration is also pushing for new infrastructure spending that would focus on creating jobs in the renewable energy field.
McCormick’s bill would bar Louisiana local government and state agency officials from enforcing any federal law or regulation that negatively affects the state’s oil and gas industry, unless they are acting in compliance with a court order.
Oil field services and equipment jobs in Louisiana have declined by an estimated 6,700 since February of 2020, the onset of the coronavirus pandemic, according to data from the federal Bureau of Labor Statistics.