Former President Donald Trump is getting ready for a massive energy plan during his second term that would change the energy outlook in the US.
The ambitious plan, according to people close to the Trump team, will increase oil drilling, and gas exportations, and reverse some of the climate policies set by the Biden administration.
Reuters shared that more domestic oil and natural gas production would have anything but a harmless impact on everything from energy prices to environmental regulations if such a move occurs.
One of the key objectives of Trump's energy program is to make more federal lands in the United States and offshore available for drilling. While it takes the government months, sometimes even a year or so, to grant drilling permits, Trump would like the process to be hastened. This would allow oil companies access to more land for drilling, thereby increasing their potential production levels.
Trump also plans to end the moratorium or ban on Liquefied Natural Gas (LNG) export permits and allow the nation to sell more natural gas to other nations. This will probably solidify America as a key force in the global LNG market based on the growing demand globally for American energy and other natural resources.
Climate Policies Under Trump's Energy Plan
Under Trump, the plan will continue to roll back some climate policies set up by President Biden. Trump plans to revive an issue that has been quite controversial, which is the construction of the Keystone Pipeline that would transfer Canadian oil into the US. In particular, he wants to speed up the renewed focus through international organizations such as the International Energy Agency (IEA), which is said to concentrate mostly on environmental goals rather than energy security.
These changes proposed by Trump are likely to increase energy production in the US but also delay the advancement of the options concerning climate change.
According to Crude Oil Prices, increasing drilling and expanding gas exports could see energy prices reduced domestically, more specifically for gas and oil. More drilling could also create jobs in the energy sector, especially in oil-rich states. But Trump's enhanced commitment to fossil fuels may place him at odds with environmentalists who believe this move will harm efforts to keep carbon emissions at bay.
Ultimately, the Trump energy plan is a return to old policy positions that focus on an increase in domestic energy production and exports. This could strengthen the US energy market but it also raises key concerns over its sustainability.
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