WASHINGTON, D.C. – Congressman Clay Higgins (R-LA) and Congresswoman Harriet Hageman (R-WY) introduced the Federal Lands and Waters Leasing Transparency Act, which would hold energy regulators accountable and streamline the federal leasing process for lands and waters.
In recent years, the oil and gas industry has experienced significant challenges regarding the leasing process managed by the Bureau of Ocean Energy Management (BOEM) and the Bureau of Land Management (BLM). Current evaluation methods by BOEM are problematic because they do not accurately reflect the true market value of resources. This leads to frequent rejections of industry bids with little explanation, causing uncertainty and discouraging investment in new energy exploration and production.
The legislation, which is available here, would:
- Require the Secretary of Interior to provide detailed reports to bidders if their bids are rejected, ensuring transparency by explaining how the bid compares to various valuation metrics;
- Amends the Mineral Leasing Act to prevent court orders from delaying the issuance of onshore oil and gas leases unless said lease violates federal law, thereby streamlining the leasing process;
- Ensures that civil actions that challenge offshore lease sales do not invalidate the leases or delay related approvals and applications.
“The Biden-Harris weaponization of the federal bureaucracy against America’s oil and gas industry is yet another failed Bidenomics policy which negatively impacts American families’ jobs and financial outlook.” “The oil and gas industry is vital and supports economic prosperity in Louisiana and across the country. The Biden-Harris administration’s anti-American energy leasing plan destroys American jobs, brings higher energy costs, and undermines our national security interests. This legislation is vital in encouraging growth and creating new jobs while making our nation less reliant on foreign oil,” said Congressman Higgins.
Rep. Hageman stated, “In passing the Federal Lands and Waters Leasing Transparency Act, Congress can restore certainty and accountability in the oil and gas leasing process. Under the Biden-Harris administration, the lease approval process has changed to see more fees, stricter regulations, lawfare, and ambiguity. The Biden-Harris administration is doing everything in its power to eliminate fossil fuels and force energy policies on us that will drive up costs, reduce dependability, and decrease our national security. I thank Congressman Higgins for joining me in taking action to improve the leasing process for the oil and gas industry.”
The bill has also earned widespread support from industry leaders, which includes the American Petroleum Institute, the National Ocean Industries Association, and the Western Energy Alliance.
“Energy development on federal lands and waters is critical not only for meeting current and future energy demand, but also for supporting American jobs, driving state and local economies and generating key funding for conservation and education programs. We commend Rep. Higgins for his commitment to strengthening America’s energy advantage and support this important legislation to bring more transparency and accountability to the federal leasing process,” Amanda Eversole, Executive Vice President & Chief Advocacy Officer, American Petroleum Institute.
“We support Congressman Higgins’ Federal Lands and Waters Leasing Transparency Act, which will enhance transparency and clarity in the federal oil and gas leasing process. By preventing the invalidation of leases and halting of related federal authorizations due to arbitrary civil challenges, the bill promotes a more stable and predictable process for developing critical offshore energy resources. These reforms will benefit both energy workers and consumers and the federal government, fostering competitive and responsible development and providing increased certainty for investments in the Gulf of Mexico,” said National Ocean Industries Association (NOIA) President Erick Milito.
“Western Energy Alliance is in court defending 5,900 leases being litigated by anti-development groups, or nearly every lease sold since 2016. Courts need clarity that when the Mineral Leasing Act says leases shall be issued within 60 days of sale, Congress means 60 days. Not 60 days unless some unaccountable group decides it doesn’t like leasing and chooses to file a frivolous lawsuit, however low the chances of prevailing. BLM often waits to issue leases for fear of litigation even if not under a court order, sometimes for years. We appreciate the certainty provided by Representatives Higgins and Hageman’s bill,” said Western Energy Alliance President Kathleen Sgamma.
