Energy executives in the United States believe that when President-elect Donald Trump takes office this month, permits for drilling on federal lands will be allotted faster than in the current administration.
The sentiment was gauged by a Federal Reserve Bank of Dallas Survey released on January 2, Reuters reported. The survey found that the industry outlook improved in the fourth quarter of 2024, activity levels rose, and uncertainty dropped. In total, 134 energy firms from across Texas, Louisiana, and New Mexico were surveyed.
As reported by The Dallas Express, energy production remains a key aspect of the incoming administration. Trump has vowed to help lower gas prices in the country by boosting natural gas and oil output, partly by shrinking the time it takes to obtain permits.
One-third of executives polled by the Federal Reserve Bank of Dallas expect permitting to be substantially faster once Trump returns to the presidency.
“We are anticipating that regulatory compliance issues will decrease, primarily due to an incoming administration that is pro-business and pro-fossil-fuel production,” said one exploration and production firm in the survey, per Yahoo Finance.
In November, Trump named Christ Wright as secretary of the Department of Energy. Wright is the founder, CEO, and chairman of the Liberty Energy board, a company that specializes in fracking.
Trump said Wright would also join his new Council of National Energy. The council will be a collection “of all Departments and Agencies involved in the permitting, production, generation, distribution, regulation, transportation, of ALL forms of American Energy,” Trump said at the time.
“This Council will oversee the path to U.S. ENERGY DOMINANCE by cutting red tape, enhancing private sector investments across all sectors of the Economy, and by focusing on INNOVATION over longstanding, but totally unnecessary, regulation,” Trump added.
According to the survey, the average respondent expects West Texas Intermediate oil to cost $71 per barrel by the end of 2025, Reuters reported.