Fallacies Attendant Upon Biden Resumption of Fossil Leasing

The Biden administration announced late last week that it would resume leasing of federal lands for fossil fuel exploration and production, but at a scale (144,000 acres) about 80 percent smaller than the 733,000 acres that had been nominated by energy companies for evaluation by the Department of the Interior. (Over 90 percent of the acreage to be offered for lease is in Wyoming.) Moreover, the royalty rate to be paid on future fossil production from these leases is to be increased from 12.5 percent to 18.75 percent, “to ensure [a] fair return for the American taxpayer and on par with rates charged by states and private landowners.” This action in part is a response to a court injunction last June from the western district of Louisiana forcing the Biden administration to resume such leasing. A few observations are appropriate. Read Full Article »