The American Energy Renaissance Act
The American Energy Renaissance Act
U.S. Sen. Ted Cruz, R-Texas, and Congressman Jim Bridenstine, R-Oklahoma-1,
today introduced companion legislation, S. 2170 and H.R. 4286, to empower the
private sector to create good-paying, American jobs and spur economic growth by
harnessing our nation's energy resources and removing federal impediments to
energy exploration, development and trade. These bills will also provide a real
reset of our foreign policy so we are no longer beholden to unfriendly nations
for our energy needs, and can use our own resources to exert our influence
around the globe, notably in
"We are on the cusp of a
Great American Energy Renaissance that will create both a stronger economy and a
said Sen. Cruz. "The energy revolution that is already underway can produce the
jobs and opportunities that our country needs to grow. A booming new energy
economy can also provide critical resources to our allies so they are no longer
energy dependent on petro-tyrants, such as Russia's
Vladimir Putin. This is a win-win. The only thing the federal government needs
to do is get out of the way and let Americans do what they do best: dream,
innovate, and prosper."
"Despite the Obama
Administration's hostility to fossil fuels, the U.S. is the
world's largest natural gas producer and third largest - and fastest growing -
crude oil producer. The United States
is poised to develop and export energy to the advantage of the American economy
and permanently reduce Russia's
control over European energy markets," Rep. Bridenstine added. "Control a
nation's energy and you control the nation. The biggest hurdle to the American
energy renaissance - and European energy security - is not Moscow, but
D.C. Our bill frees up the private
sector and gets the government out of the way."
Both bills will prevent
federal regulation of hydraulic fracturing, facilitate the expansion of domestic
refining capacity, improve processes to develop energy infrastructure, stop EPA
overreach and its war on coal, force Congress and the President to approve any
new EPA regulations that kill jobs, broaden energy development on federal land,
open offshore exploration, expand U.S. energy exports, and dedicate additional
revenues to debt reduction.
Specifically, S. 2170 and
H.R. 4286 propose the following:
of hydraulic fracturing in state hands.
Hydraulic fracturing is driving the American Energy Renaissance. States have
proven they can oversee hydraulic fracturing in a responsible, safe manner,
and they should be allowed to continue. The American Energy Renaissance
cannot thrive if the federal government disrupts this effective framework
and impedes the jobs and economic growth hydraulic fracturing is already
permitting process for upgrading existing and building new refineries.
The operating capacity of
refineries has remained essentially stagnant for three decades. In order
for the American Energy Renaissance to reach its full potential, barriers
must be removed from expanding or constructing new refineries in the United States
and the private sector jobs they will create.
Phase out and
repeal the Renewable Fuel Standard (RFS) over five years.
The RFS has proven unworkable and costly. Its mandate that an increasing
percentage of renewable biofuels be blended into gasoline and diesel each
year ignores the reality there are insufficient amounts of some biofuels to
meet the standard. It imposes significant costs, and offers few, if any,
benefits. The RFS should be phased out so producers and refiners can focus
on maximizing domestic resource potential.
approve and allow the private sector to build the Keystone pipeline.
According to the U.S.
State Department, constructing the Keystone XL pipeline could result in
42,000 jobs. Keystone has undergone five environmental reviews since its
initial application in 2008, and none has found a significant negative
impact on the environment. President Obama's former Energy Secretary
admitted that the decision as whether to approve the Keystone XL oil
pipeline is a political one, and not a decision founded in science.
barriers to developing and approving additional national pipelines and
cross-border energy infrastructure.
The Keystone saga imposed by the federal government demonstrates the
need to reform the process of approving oil and natural gas pipelines,
as well as electric transmission lines, between the
Canada, and Mexico.
greenhouse gases from regulation by the EPA and other federal agencies.
Proposals to regulate greenhouse gases are very expensive and threaten
hundreds of thousands of jobs. The authority to regulate such gases should
only occur with explicit authority from Congress.
Stop certain EPA
regulations that will adversely impact coal and electric power plants.
In 2008, President Obama promised to bankrupt coal. As of June 2013, there
were already 288 coal units closed or closing in 32 states because of EPA
policies. These 288 closures amount to a total of more than 41,000 megawatts
of electricity generation no longer being available. Job losses as a result
of coal units being affected by EPA regulations could amount to more than
50,000 direct jobs in the coal, utility, and rail industries, and an
indirect job loss figure exceeding 250,000.
to approve and the President to sign EPA regulations that will have a
negative job impact, rather than allowing them to hide behind bureaucrats
who are assumed to be responsible for them now.
Certain planned and proposed EPA regulations could cost more than 2 million
jobs. Increasing regulatory restrictions more broadly could cost nearly 2.8
million jobs over the next decade.
development on federal lands by providing states the option of leasing,
permitting and regulating energy resources (oil and gas, wind and solar) on
federal lands within their borders.
Onshore and offshore federal land lands have about 43 percent of America's
proven oil reserves and 28 percent of natural gas reserves, but not all of
the land is available for energy development. Leasing and producing oil and
natural gas on federal land could create more than 1 million jobs.
states opting not to self-regulate, federal leasing, permitting, and
regulating must be reformed by:
permitting and expanding development on federal lands by requiring
decisions regarding drilling permit applications to be made within
30 days (which can be extended), requiring an explanation for any
denial, and deeming applications to be approved if no decision has
been made within 60 days, unless there are existing incomplete
certainty in the leasing and development process by instituting a
presumption that certain land will be leased and by prohibiting the
government from withdrawing a lease for any energy project, unless
there is a violation of terms of the lease.
development in the National Petroleum Reserve in
and on Indian Lands.
The mean estimate for conventional oil in the National Petroleum Reserve in Alaska is 895 million barrels of oil and
52.8 trillion cubic feet of gas. West of the Mississippi River, Indian
reservations contain almost 30 percent of the nation's coal reserves, 50
percent of potential uranium reserves, and 20 percent of known oil and gas
Open up the
Coastal Plain of Alaska (ANWR) for
ANWR consists of 19 million acres in northeast
Alaska. Its 1.5-million-acre Coastal Plain is viewed
as a promising onshore oil prospect with potentially 7 billion barrels of
technically recoverable oil.
offshore areas of the Outer Continental Shelf (OSC) available for
Despite the potential for significant oil and gas development off the coasts
of the United States, the
Obama Administration has severely limited access to such resources by
essentially prohibiting energy exploration and development off the Atlantic and Pacific coasts.
permitting process for additional offshore exploration.
Regulatory barriers to obtain leases and permits to explore and develop
offshore areas of the Outer Continental Shelf should be removed by requiring
lease sales within 180 days of enactment of the legislation and every 270
days thereafter, and requiring approval or disapproval of drilling permits
no later than 20 days after an application is submitted.
exports by facilitating permits.
As of March 24, 2014, the Dept. of Energy had approved only seven export
permits to non-Free Trade Agreement countries. More than twenty applications
are currently pending.
End the crude
oil export ban.
Last year, U.S.
crude oil production increased 15 percent but many American refineries
cannot handle the additional crude for technical and capacity reasons. The
United States is missing
out on export opportunities that could produce good paying private sector
jobs in the United States.
excessively broad environmental review of coal export terminals.
As the EPA makes it harder to use coal as a source of energy for electricity
in the United States,
there are opportunities to export coal to other nations. Removing excessive
environmental reviews can help promote coal exports that will help keep coal
jobs in the United States.
additional revenues generated by exploration and drilling on federal lands
(excluding the share allocated to the states) exclusively to national debt
national debt is approximately $17.5 trillion. As we free the development
natural resources to spur economic and job growth, we should prevent
revenues from being used to further expand government programs and instead
use it to free taxpayers from the debt burden that hampers the nation's