Energy Groups React to Debt Ceiling Deal

Energy Workforce & Technology Council (EWTC) President Tim Tarpley said the organization “applauds the bipartisan agreement to lift the debt ceiling”, which he highlighted includes “important reforms to the National Environmental Policy Act to help speed up projects” and “an agreement to finish the Mountain Valley Pipeline”.

“This is a positive step forward by Congress, but more must be done,” Tarpley noted in a statement sent to Rigzone.

“Global energy demand is increasing, including demand for oil and gas. Without changes to the status quo, we will not have the infrastructure, the resources or grid capacity to provide energy services to American consumers and our allies in an affordable, reliable manner,” he added.

“It is unacceptable that the average time to permit a new energy infrastructure project in the United States is now exceeding that of many western countries. This gridlock is a direct threat to American energy security,” he continued.

In the statement, Tarpley said the EWTC encourages passage of the bipartisan agreement “and a commitment from lawmakers to work together for more robust permitting reforms”.

Also commenting on the debt ceiling deal, American Petroleum Institute (API) President and CEO Mike Sommers said the API “applaud[s] Congress and the Biden administration for reaching a bipartisan agreement that includes important progress on permitting reform”.

“Our current system for reviewing the infrastructure projects that fuel our economy and support our way of life did not become an endless gauntlet of bureaucratic hurdles overnight, and it will take more than one step to develop a workable process,” he added.

“This is a positive start, and we look forward to continuing to work with policymakers on both sides of the aisle to pass this agreement and build on this progress,” Sommers went on to state.

The Congress website shows that H.R.3746 – the Fiscal Responsibility Act of 2023 – passed the House on May 30, with 225 yeas to 204 nays, after being introduced on May 29. The bill still needs to pass the Senate and go to the President before becoming law, the site outlines.

According to a summary of the bill posted on the site, H.R.3746 increases the federal debt limit, establishes new discretionary spending limits, rescinds unobligated funds, and expands work requirements for federal programs.

Specifically, the bill suspends the federal debt limit through January 1, 2025, and increases the limit on January 2, 2025, to accommodate the obligations issued during the suspension period, the summary notes. In addition, the bill establishes new discretionary spending limits for FY2024 and FY2025 that are enforced with sequestration, it adds.

The bill also includes provisions that “expedite the permitting process for certain energy projects”, the summary states.

Rigzone has contacted the U.S. Department of Energy (DOE) and the U.S. Department of the Interior (DOI) for comment on Tarpley and Sommers’ statements, and comment on H.R.3746. At the time of writing, the DOE and DOI have not yet responded to Rigzone’s requests.

The EWTC describes itself as the national trade association for the global energy technology and services sector. It represents more than 660,000 U.S. jobs in the technology-driven energy value chain, according to the organization, which notes that it works to advance member policy priorities and empower the energy workforce of the future.

The API represents all segments of America’s natural gas and oil industry, which supports nearly 11 million U.S. jobs, the organization notes on its site. The API has approximately 600 members which produce, process, and distribute the majority of the nation’s energy, its site highlights. The organization was formed back in 1919 as a standards-setting organization and has since developed more than 800 standards to enhance operational and environmental safety, efficiency, and sustainability, according to its site.

To contact the author, email andreas.exarheas@rigzone.com