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President-elect Donald Trump is preparing to use emergency powers to drive a substantial shift in U.S. energy policy, focusing on increasing domestic energy production and reversing key climate-related actions taken by the Biden administration, sources familiar with the plans revealed.
Starting hours after his inauguration on Monday, Trump is expected to take swift action to fulfill campaign promises, including boosting oil and gas development on federal lands and rolling back Biden-era climate regulations. The actions will not only affect oil fields but also industries ranging from car dealerships to power generation, signaling a dramatic pivot from the Biden administration’s efforts to reduce fossil fuel reliance and combat climate change.
While the exact scope of the emergency powers remains unclear, a declaration of a national emergency would unlock a range of special authorities designed to respond to crises like hurricanes or terrorist attacks. These powers, as outlined by the Brennan Center for Justice, could be used to influence the transportation of crude oil or even adjust how electricity is generated and transmitted. On the campaign trail, Trump indicated that such an emergency declaration would help meet growing energy demands, particularly as technologies like artificial intelligence evolve and require more energy. He emphasized, “We need double the energy that we already have, and it’s going to end up being more than that.”
Trump’s emergency declaration could also tap into Cold War-era statutes, like the Defense Production Act, which has been invoked in recent years to encourage U.S. manufacturing of renewable energy technologies. In the past, President Biden used this act to boost solar panel production and energy efficiency technologies, seeing them as vital to both climate goals and national security.
One of Trump’s initial steps could include lifting the moratorium on new U.S. licenses for liquefied natural gas (LNG) exports, which was imposed by Biden. The reversal would mark another fulfillment of Trump’s campaign pledge to prioritize fossil fuel production and reduce barriers for energy exporters. Additionally, Trump is likely to target electric vehicle (EV) policies, aiming to reverse a set of strict regulations on vehicle pollution and fuel economy that Biden implemented, which Trump had previously criticized as part of an “EV mandate.”
Another key aspect of Trump’s first-day actions is expected to be the reversal of Biden’s decision to withdraw millions of acres of U.S. waters from potential oil and gas leasing. This decision, aimed at protecting the Arctic and Gulf waters, was met with a legal challenge from industry stakeholders and states that depend on oil and gas exploration. Trump’s move to undo Biden’s order will likely face legal hurdles, similar to his previous attempt to reverse an Obama-era ban on drilling in Arctic waters, which was blocked by a federal court.
Despite potential legal and political challenges, Trump’s use of emergency powers and executive actions underscores his commitment to reshaping U.S. energy policy and prioritizing the fossil fuel industry in the face of growing climate concerns. The unfolding legal battles and regulatory challenges are expected to define the early days of Trump’s second term, as he pushes for greater energy independence and a rollback of environmental protections.
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