Ben Shepperd,
PBPA President
Members,
This new year of 2023 will no doubt bring us great changes. We are hopeful of real progress as our elected officials gather in Washington, Santa Fe, and Austin to develop public policy that will leverage America’s great natural resources. Meanwhile, we cannot lose sight of the fact that our opposition is both obstructive and destructive, where free markets are concerned. To take just one example, the Biden Administration over the last year has supported foreign oil states at the expense of American workers and domestic producers.
At the end of the day, we are proud to support oil and gas operators across the Permian Basin. Let me say that again: we are proud to be in America’s oil and gas business and more than ever we are thankful that you are.
It is your work daily to produce the vital molecules that give our nation its quality of life, as well as its ability to develop our economies in every other sector, and help support America’s allies abroad. These are serious times and the decisions being made by policy makers have serious implications.
As lawmakers double down on efforts to increase environmental measures, we can expect to see unprecedented efforts to utilize the Endangered Species Act, the Clean Air Act, and new financial or securities regulations to impede domestic production.
And while these areas are pursued, global demand will be met, not by American ingenuity and our focus on environmental stewardship, but rather by oil and gas from unfriendly nations the world over that have little to no environmental standards.
We will see the rollout of federal rulemakings like the “methane rules” as well as learn more about the implications of the designation of the Lesser-Prairie Chicken as an endangered species as well as the potential determination of the Permian Basin being in non-attainment for ozone.
In Texas and New Mexico, legislative sessions loom large and PBPA will track thousands of pieces of legislation, each of them providing opportunities or obstacles to safely and responsibly develop natural resources throughout the Permian Basin. Our legislative committees will meet weekly to discuss the pending items and for at least 60 days in Santa Fe and 140 days in Austin, our focus will be to work collaboratively with our members to represent the greatest operating oil and gas region in the world.
At present we expect bills in New Mexico that will create new causes of action for environmental lawsuits and other efforts that take square aim at the oil and gas producers that account for a huge portion of the New Mexico economy and state budget.
In the Lone Star State we are already seeing legislation that is focusing on air emissions and flared gas, and we are anticipating continued conversations on produced water, seismicity, and of course electric reliability and the natural gas supply chain.
There is no question that legislative sessions always bring our members significant cause for concern. However, this could be the greatest antagonism we have seen against our industry, and we need your continued support to keep up the good fight. We are proud of the work done in the Permian Basin to provide energy and economic security to not just those that live, work, and raise their families in the Permian Basin, but all across Mother Earth.
Thank you for all that you do and while the task may be great, our cause is greater.