This week the Department of the Interior finally gave conditional approval to begin production of the vast energy resources in Alaska’s Chukchi Sea. The approval of Shell’s exploration plan, following a finding of no significant environmental impact, marks a critical milestone in what has proved to be an exhaustive bureaucratic process spanning several years. Despite the bounty of rich energy resources in these Arctic waters, Shell’s efforts to obtain a permit have been slowed by federal red tape and needless litigation.
The House of Representatives approved legislation in 2011 to eliminate the delays blocking energy exploration and job creation opportunities in the Arctic, which the Energy Information Administration estimates may hold 22 percent of the world’s undiscovered oil and gas resources. The Jobs and Energy Permitting Act would have eliminated the permitting ping-pong between EPA and its Environmental Appeals Board, one of the many hurdles holding up the process. During debate, House Energy and Commerce Committee Chairman Fred Upton (R-MI) underscored the importance of Alaska’s Arctic areas: “We know that if production is allowed here we could produce as much as a million barrels of oil a day from these sites and it would add about 54,000 American jobs."
The energy production and job creation opportunities off Alaska’s coasts are just as important today as they were four years ago. And while this week’s announcement is welcome news, impediments to energy development still remain. More permits are needed before drilling can commence in the Arctic, and it is critical that they be obtained in a timely manner given the short summer drilling season.
Sadly, offshore Alaska is only one example of America’s energy progress being thwarted or delayed. The well-known Keystone XL pipeline is still stuck in review, even after six and half years. Permitting inefficiencies continue to block important energy production on federal lands. In fact, the majority of the growth in oil and gas production since 2007 has occurred on state and private lands. Liquefied natural gas (LNG) exports are being bogged down by bureaucratic delays, and outdated policies continue to block the construction of natural gas pipelines, transmission lines, and other important energy infrastructure projects.
By building the Architecture of Abundance, the Energy and Commerce Committee is working to say #Yes2Energy and cut some of the red tape standing in the way of fulfilling America’s energy potential.
