A proposed ban on new federal oil and natural leasing on public lands and offshore would cost nearly 1 million American jobs, shift the United States to foreign energy sources, increase carbon dioxide emissions and reduce revenue to local governments and schools.
That assessment came in a new report prepared by the American Petroleum Institute, in the wake of such a ban being endorsed by Democratic president candidate Joe Biden, Kallanish Energy reports.
That puts Biden at odds with Republican incumbent Donald Trump who supports such federal O&G leasing. They will face off In the Nov. 3 presidential election.
“Banning federal leasing and development on federal lands and waters would derail decades of U.S. energy progress and return us to the days of relying on foreign energy sources hostile to American interests,” said API president and CEO Mike Summers in a statement.
“This is ultimately a choice between American-made energy and foreign energy, a choice between American jobs and foreign jobs. It’s clear a federal leasing ban should be off the table. There’s too much at stake for American workers, local economies and our nation’s energy security,” he said.
The report was prepared for the API by OnLocation.
If such leasing is banned, offshore production of natural gas would decline by 68% and for oil by 44% by 2030, the report said.
U.S. oil imports from foreign sources would increase by 2 million barrels a day, it said.
Through 2030, the U.S. would spend $500 billion more on energy from foreign suppliers, it said.
It estimated that the U.S. GDP would decline by a cumulative $700 billion through 2030, it said.
The states losing the most jobs are Texas, New Mexico and Wyoming, all energy-rich states, it said.
Coal use would also increase by 15% by 2030, it said.
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