A federal judge has stopped the Biden administration right in its tracks, siding with the American consumer over the government by stopping Biden’s Executive Order 14008 which declared a moratorium on future oil and gas leasing and drilling permits on federal lands.
Louisiana Attorney General Jeff Landry led the lawsuit against the federal government, with twelve states joining in, including Alabama, Alaska, Arkansas, Georgia, Mississippi, Missouri, Montana, Nebraska, Oklahoma, Texas, Utah, and West Virginia.
In a press release, Attorney General Landry stated: “This is a victory not only for the rule of law, but also for the thousands of workers who produce affordable energy for Americans.”
“The President’s Executive Order abandons middle-class jobs, cripples our economy, and hits everyday Americans where it hurts the most – their pocketbooks,” he continued. “What’s more: it attacks Louisiana’s coast by reducing the revenue and royalties used for coastal restoration and hurricane protection.”
The case will likely be appealed to the Fifth Circuit in New Orleans, then ultimately to the Supreme Court.
There is a lot at stake in this lawsuit, including the United States’ energy independence. Biden and the Democrats have shown that they are fine with Russia building new pipelines and cornering the market on natural gas in Europe, but they refuse to let America succeed in the same industry.
Red State reports:
“The Federal Offshore produces 15% of the nation’s crude oil. With access cut off to new leases, exploration effectively ceases and is forced into a ‘going out of business sale’. This would affect the economies of Louisiana and Texas most directly, but the supply chain for offshore stretches from coast to coast.
Since 2006, states adjacent to offshore federal lands have shared in GOMESA funds. Louisiana receives the largest cut by far, and most of those funds are dedicated to coastal restoration. Ironically, Louisiana’s fragile environment would be one of the biggest unintended victims of the Biden Leasing Ban — to the tune of an estimated $57 million.
Unlike offshore, inland states enjoy a 50% share of royalties on federal lands within their borders. For example, sixty percent of New Mexico’s oil production is on federal lands. (Note that New Mexico did not join the suit.)”
The price of gas has skyrocketed since Joe Biden took office, which was no surprise to most conservatives, who had been warning about this since before the election. The average price of a gallon of gas nationwide is $2.97, which is an increase of almost $1 since November of 2020. The price of crude oil has increased by over 50%. If Biden’s moratorium is reinstated, it would lead to the supply of oil decreasing, which would lead to even higher prices for the consumer.