Louisiana Sen. Bill Cassidy and Gov. John Bel Edwards are making a bipartisan push to convince the Biden administration to rethink its moratorium on new oil and gas leases.
During testimony before the U.S. Senate Committee on Energy and Natural Resources, Edwards urged the administration to allow oil and gas production in the Gulf of Mexico, including leasing, to continue as the state and nation move to transition away from fossil fuels to address the effects of climate change.
Edwards walked a fine line between his concerns about Louisiana being on the front lines of climate change, and the state’s continuing economic dependence on the oil and gas industry.
“Both the effects of climate change and the economic health of our state are affected directly by federal policy regarding the production of oil and gas resources on the Outer Continental Shelf in the Gulf of Mexico and the distribution of federal revenues derived therefrom,” he told the committee.
A spokesman for Cassidy directed the Louisiana Record to similar comments the senator made during the committee hearing on May 13.
“We both recognize it is a false choice between environmental stewardship and energy development,” Cassidy said prior to Edwards’ testimony, adding that there needs to be a balance between the two concerns.
The oil and gas industry will be an important part of the U.S. energy mix for years to come, the senator said, noting that revenues derived from oil and gas production are used for key coastal protection programs in Louisiana and elsewhere.
The jobs of about 250,000 Louisianans and more than a quarter of the state’s gross domestic product are linked to oil and gas activities, according to Edwards. Such activities net the state nearly $4.5 billion in annual state and local tax funds, he said.
“Louisiana cannot afford to ignore climate changes that are attributable to the release of greenhouse gases,” Edwards said. “Nor can we afford blanket restrictions on oil and gas development in our nation.”
A decision to overly restrict U.S. oil and gas production could lead to rising production of fossil fuels in nations with less robust environmental regulations, leading to an increase in greenhouse gases overall and causing harm to the U.S. economy, according to Cassidy.
Tyler Gray, the president and general counsel of the Louisiana Mid-Continent Oil and Gas Association, praised both Louisiana public officials for their efforts on behalf of the industry.
“All the elective officials have been really helpful," Gray told the Louisiana Record. “Anything that raises the profile that oil is part of our energy future is helpful."