September 7, 2023
I have to take exception with a recent contributor, who accused the Biden administration of having a radical and unchecked agenda to abandon fossil fuels. He accuses the government of making alternative energy producers flush with cash while trying to destroy the oil and gas industry.
U.S. crude oil production is expected to rise by 850,000 barrels per day to a record 12.76 million barrels in 2023. Crude oil production is expected to rise by 330,000 barrels per day to 13.09 million barrels in 2024. The last record output was 12.3 million barrels in 2019, before the COVID-19 pandemic crushed demand and prices. That doesn’t sound like a business that is being destroyed to me.
For generations, the O&G industry has enjoyed the oil depletion allowance. The oil depletion allowance permits an oil producer to deduct from his taxable income a percentage of his gross earnings (15%) from an oil well. The federal government has a long history of providing critical industries with economic benefits.
I find it mind-boggling that the writer would credit state-controlled China, the world’s largest polluter, with more honesty regarding climate issues. He may have a point. China honestly doesn’t care about the climate.
