MercoPress. South Atlantic News Agency

US Petroleum lobby presents Trump a policy roadmap to ensure US leadership in global energy

API opposes California’s Advanced Clean Cars II rule, requiring 100% EV sales by 2035, which they argue restricts options and increase dependence on Chinese minerals

A five point policy roadmap with the purpose of ensuring United States leadership in energy, protecting consumers and reducing inflation, elaborated by the American Petroleum Institute, API, has been addressed to incoming president Donald Trump and the next Congress.

To maintain the US position as a global energy leader, API’s first priority is to safeguard consumer choice in the energy market, advocating he repeal of EPA’s Tailpipe Rules, which mandate a steep shift to electric vehicles (EVs) by 2032, arguing this limits choice and drives up costs.
Similarly API opposes California’s Advanced Clean Cars II rule, requiring 100% EV sales by 2035, which they believe overly restricts options and increases dependence on Chinese mineral supply chains

API calls for repealing Corporate Average Fuel Economy (CAFE) standards that align with California’s EV goals, fearing they will heighten costs and narrow consumer options. API’s stance is that EV mandates are premature, considering current infrastructure and market limitations. Instead, API supports a technology-neutral approach that lets consumers choose vehicles best suited to their needs without restrictive regulatory mandates.

A second priority emphasizes the strategic role of US energy exports in global stability. API urges the Department of Energy (DOE) to lift the pause on liquefied natural gas (LNG) permitting, a policy they see as detrimental to US influence abroad.

Open access to global markets for US oil and natural gas exports, API argues would support allies and counteract the energy leverage held by nations like Russia and China. Increased exports not only bolster geopolitical strength but also help balance trade and create domestic jobs. API underscores that US energy exports are an effective tool to strengthen alliances and reduce reliance on unstable foreign energy sources.

API’s third priority is to maximize US natural resources on federal lands and waters. They call for a predictable, five-year offshore leasing program to reflect global energy demands accurately and the repeal of restrictive onshore leasing rules that limit investment in energy development.

Additionally, API recommends working with Congress to repeal the EPA’s Methane Fee under the Inflation Reduction Act, which they believe adds unnecessary financial burdens.

By reforming leasing regulations and addressing high regulatory costs, API argues the US can enhance long-term energy security and economic growth through increased domestic energy production.

API’s fourth objective involves streamlining the permits process for energy projects. They call for comprehensive reform to make the process transparent, predictable, and efficient.

Specifically, API advocates for the repeal of recent Biden-era changes to the National Environmental Policy Act (NEPA), which they claim have introduced additional delays and uncertainties.

API believes that an optimized permitting system will benefit not only the energy industry but also other infrastructure-dependent sectors, fueling broader economic growth and creating jobs. Simplifying the permitting process, according to API, would help keep development timelines and costs manageable.

Finally tax policy, API supports retaining the 21% corporate tax rate to ensure US global competitiveness. Additionally, API seeks to maintain and extend critical tax provisions, such as immediate deductions for intangible drilling costs and 100% bonus depreciation, to support infrastructure investment. They also advocate for the preservation of international tax provisions that protect companies from double taxation on foreign earnings.

API’s goal is to create a stable, favorable tax environment that attracts both domestic and international investment in US energy, fostering innovation and bolstering economic growth.