WASHINGTON, D.C. – JANUARY 20: President Donald Trump signs a series of executive orders at the White House on January 20, 2025, in Washington, D.C. (Photo by Jabin Botsford/The Washington Post via Getty Images)
Jabin Botsford | The Washington Post | Getty Images
President Donald Trump launched a sweeping attack on energy during his first hours in office, issuing a raft of executive orders to boost fossil fuel production and roll back U.S. commitments to combat climate change.
It is unclear what impact Trump's initial actions will have on the energy industry. CEOs for Exxon and Chevron They said oil and gas production levels depend on market conditions and are unlikely to change appreciably in response to Trump's desire to “drill, baby, drill.” The United States has been the world's largest oil and gas producer for many years now. Some of Trump's orders are likely to be challenged in court.
However, the President made a clear political statement that the United States is abandoning the Biden administration's focus on combating climate change through the transition to clean energy sources.
Instead, Trump is prioritizing fossil fuel projects in order to “cement the United States as a global energy leader long into the future.” Here are Trump's main actions on energy so far.
1. Declares an energy emergency
Trump announced a National energy emergencyAlleging that the United States faces “intermittent, insufficient, and unstable energy supplies and an increasingly unreliable grid” that threatens national security.
Demand for electricity is expected to rise in the coming years from artificial intelligence-enabled data centers and the expansion of domestic manufacturing. PJM Interconnection, the largest grid operator in the United States, has warned that it may face electricity shortages, as coal plants are retired faster than new capacity is connected to the grid.
Trump directed federal agencies to identify and exercise any legal emergency powers available to them to facilitate the production, transportation, refining, and generation of domestic energy sources. He also ordered agencies to use all available emergency powers to expedite new energy infrastructure projects.
2. Roll back climate commitments
Trump ordered the United States to begin withdrawing from… Paris climate agreement. The landmark international treaty seeks to limit the rise in global temperatures to 1.5 degrees Celsius above pre-industrial levels.
Under the terms of the treaty, a country can exit the agreement one year after submitting notification that it intends to withdraw. But Trump's executive order states that the United States will consider its withdrawal effective as soon as the UN Secretary-General receives written notification.
Trump also scrapped the Biden administration's ambitious goals for half of new car sales to be electric, for the electric grid to be carbon-free, and for the economy to produce net-zero emissions.
3. Expansion of drilling operations and export of natural gas
Trump issued an order to cancel Biden Ban on oil and gas exploration In most coastal waters of the United States. It is unclear whether Trump actually has the authority to do so, and the injunction would likely face a lawsuit. A federal court invalidated a similar order issued by Trump during his first term, which sought to overturn President Barack Obama's decision to protect waters in the Arctic and Atlantic Ocean.
Trump also issued an order on Monday aimed at maximizing oil production Alaska natural resources. The order gives priority to the development of liquefied natural gas projects and directs the federal government to expedite the permitting and leasing of energy projects in the state.
The president reversed the temporary moratorium imposed by the Biden administration on new liquefied natural gas export facilities. Trump directed the Secretary of Energy to begin reviewing new LNG projects as soon as possible.
4. Roll back clean energy incentives
Trump ordered all federal agencies to immediately stop disbursing funds under the law Inflation reduction lawAnd the climate law under Biden, which provided financial support for clean energy.
The president specifically ordered a halt to funding for electric vehicle charging stations. He also directed his administration to consider ending subsidies and other policies that favor electric vehicles.
Trump Targeted wind energy In a standalone executive order, the President temporarily suspended new or renewable leases for offshore and onshore wind projects. It also halted leasing for wind energy projects on the outer continental shelf.
