• Sign up for the Daily Digest E-mail
  • X
  • LinkedIn
  • See more results

    Generic selectors
    Exact matches only
    Search in title
    Search in content
    Post Type Selectors

BOE Report

Sign up

See more results

Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
  • Home
  • StackDX Intel
  • Headlines
    • Latest Headlines
    • Featured Companies
    • Columns
    • Discussions
  • Well Activity
    • Well Licences
    • Well Activity Map
  • Property Listings
  • Land Sales
  • M&A Activity
    • M&A Database
    • AER Transfers
  • Markets
  • Rig Counts/Data
    • CAOEC Rig Count
    • Baker Hughes Rig Count
    • USA Rig Count
    • Data
      • Canada Oil Market Data
      • Canada NG Market Data
      • USA Market Data
      • Data Downloads
  • Jobs

Biden’s lofty climate goals collide with political, economic reality

September 15, 20217:00 AM Reuters0 Comments

Joe Biden

President Joe Biden campaigned on a promise to restore U.S. leadership in the global fight against climate change and followed up with a dizzying number of executive orders and lofty targets to slash emissions.

But nine months into his presidency, political, legal, and economic obstacles have forced his administration to make several moves in support of fossil fuels development at home and abroad, and raised questions about whether the Democrat will be able to meet his commitments to clean energy.

Setbacks include a judge overturning the administration’s effort to block new oil and gas leasing on federal lands, forcing it to offer millions of new acres for drilling, and rising retail gas prices that have led the White House to publicly ask the global oil cartel, OPEC, to boost production.

Most importantly, heavy political opposition has forced the administration to put its centerpiece climate proposals that would help deliver an April pledge to halve greenhouse gas emissions by 2030 into a budget reconciliation bill that has an uncertain future in the closely-divided U.S. Congress.

Democrats, who hope to pass the bill by the end of September, are already talking about paring back investments and targets.

The stakes couldn’t be higher. If Washington fails to deliver ahead of a climate summit in November in Glasgow, Scotland, other global powers, including the world’s top greenhouse gas emitter, China, will be reluctant to commit to slashing their own emissions.

“If that (climate-related legislation) went down before Glasgow, it would be a big mess for Biden and his administration,” said Bill Hare, chief executive of non-profit Climate Analytics.

A Biden administration official said legal and economic realities have compelled certain administration moves and touted Biden’s progress so far.

“We can do two things at once: Achieve our climate goals while ensuring the energy transition is one that takes into account the interests of the middle class, who experience changes in energy prices very directly, and meet global energy needs as the economy recovers from the pandemic,” the official said, asking not to be named in order to be able to speak freely.

Biden’s mission is uniquely challenging in the United States, where some voters and even some senior leaders in the opposition Republican party are skeptical that climate change is caused by human activity.

Congress “is where the main theater of activity is taking place. And that is where I would pin the fate of the Biden administration’s climate legacy,” said Sam Ricketts, a co-founder of Evergreen Action, a group aiming to advance climate policy at the federal level.

HARD TO QUIT

Biden has reengaged the United States in the Paris international agreement to fight climate change, canceled the Keystone XL crude oil pipeline project from Canada, paused new oil and gas leasing on federal lands, and suspended drilling rights in the pristine Arctic National Wildlife Refuge.

His administration also aimed to decarbonize the power sector by 2035 – a key marker on the U.S. path to its Paris agreement goal of net zero emissions by 2050.

In addition, the United States and Europe have agreed to big voluntary cuts to methane emissions this decade, Reuters reported earlier this week.

At the same time, however, the administration has backed lesser-known oil and gas infrastructure projects like Enbridge’s Line 3 pipeline from Canada and sped up processing of oil and gas drilling permits. Government data show the administration has approved more than 2,600 drilling permits on onshore leases, a faster pace than during the Trump administration.

In August, the White House also urged the Organisation of the Petroleum Exporting Countries to lift production to help the global economy recover from the impacts of the coronavirus crisis and keep retail pump prices in check for U.S. motorists.

After a federal judge in Louisiana in June blocked Biden’s signature attempt to pause new leasing, the Interior Department plans to open millions of acres for oil and gas exploration, including some 80 million acres in the Gulf of Mexico to be auctioned later this year.

ALL EYES ON CONGRESS

Climate Analytics’ Hare said much now depends on the legislation making its way through Congress, which includes provisions to reduce carbon emissions from the power and transport sectors, tax credits for clean energy technologies, fees on methane releases from oil and gas, more investments in electric vehicle deployment, and a fund to funnel climate investments to low-income communities.

Many of the proposals were initially in a smaller infrastructure package but have since been either weakened or wedged into the $3.5 trillion budget bill that only requires a simple majority in the 100-member Senate rather than 60 votes as usual under the chamber’s rules.

Even that will require the backing of every single Democratic senator, a big ask given that both Joe Manchin, a moderate from coal-producing West Virginia, and Kyrsten Sinema of Arizona have said they will not vote for a bill of that size.

Neither Manchin nor Sinema’s offices responded to requests for comment.

Ahead of the Glasgow summit, international observers are not optimistic about the prospects.

“It is not too hard for China to be cynical about U.S. climate action,” said Li Shuo, a senior climate policy officer at environmental group Greenpeace East Asia, who is in regular contact with government officials in China.

Even America’s partners are worried, according to Pete Betts, a former lead European Union and United Kingdom climate negotiator who now works at think tank Chatham House.

“The international climate community has had to become expert over the years on U.S. domestic politics and legislative processes, and the challenges of delivering are well understood by allies and competitors of the U.S. alike,” he said.

Enbridge Keystone XL

Follow BOE Report
  • Facebook
  • X
  • LinkedIn

Sign up for the BOE Report Daily Digest E-mail

Successfully subscribed

Latest Headlines
  • Iran’s IRGC launches missile, drone strikes on US military sites in Kuwait, Bahrain
  • B.C. premier visiting China to pitch LNG project as province’s ‘really big fish’
  • Iran says it hits US-linked targets as Bahrain reports drone attack
  • Norway oil service lockout takes effect, disrupts offshore drilling
  • Tanker reports strike by unidentified projectile in Strait of Hormuz, UKMTO says

Return to Home
Alberta GasMonthly Avg.
CAD/GJ
Market Data by TradingView

    Report Error







    Note: The page you are currently on will be sent with your report. If this report is about a different page, please specify.

    About
    • About BOEReport.com
    • In the News
    • Terms of Use
    • Privacy Policy
    • Editorial Policy
    Resources
    • Widgets
    • Notifications
    • Daily Digest E-mail
    Get In Touch
    • Advertise
    • Post a Job
    • Contact
    • Report Error
    BOE Network
    © 2026 Stack Technologies Ltd.