Biden Admin Targets Largest U.S. Oil-Producing Area Amid Record High Gas Prices

Joe Biden

As gas prices remain near record high levels, President Biden’s administration has decided to target the largest oil-producing area in the United States: the Permian basin, which is located in western Texas and southeastern New Mexico.

According to a regulatory notice, the Environmental Protection Agency (EPA) is seeking to label parts of the Permian Basin as violating federal air quality standards for the ozone.

“EPA is now considering a discretionary redesignation for (portions of) these counties in New Mexico and Texas for the 2015 ozone NAAQS under Clean Air Act section 107(d)(3) based on current monitoring data and other air quality factors,” the Biden administration wrote.

The EPA’s plan will result in new permitting requirements and additional scrutiny of oil drilling operations.

“The possible regulatory action adds yet another element of uncertainty to the oil industry, which is already facing an unknown future while being chastised for not investing more to produce more—whether that’s refining or drilling,” oilprice.com explained.

“Creating uncertainty on permitting and inserting unnecessary regulatory barriers will only negatively impact the production necessary to meet the needs of consumers,” warned Todd Staples, president of the Texas Oil and Gas Association.

The news comes shortly after the American Petroleum Institute’s CEO Mike Sommers sent President Biden a letter warning that his administration’s restrictions on oil have helped cause record high gas prices.

“While members of your administration have recently discussed the need for additional supplies to solve the energy crisis, your administration has restricted oil and natural gas development, canceled energy infrastructure projects, imposed regulatory uncertainty and proposed new tax increases on American oil and gas producers competing globally. Respectfully, the American people need a different direction to solve this crisis,” Sommers wrote, adding a 10-point plan for President Biden to follow to help reduce record high gas prices.