Legislative Session
Mr. President, President Biden liked to be able to say over and over again that we are producing record amounts of oil and gas. Some of my Democratic colleagues have even come to this floor in the last couple of days and have said: We…
Mr. President, President Biden liked to be able to say over and over again that we are producing record amounts of oil and gas. Some of my Democratic colleagues have even come to this floor in the last couple of days and have said: We don't have an energy emergency.
Those two things together are kind of a message going out to the American people: There is nothing to see here. Move along. Everything is fine on energy.
But if you talk to electricity-generation companies, regional distribution networks, and ask them ``How are things going with electricity generation? How are we doing with capacity?'' they will give you a very different story.
The feeling is, when you walk into your own house and flick on the lights and the lights turn on, you are like: Yeah, the lights are fine; there is no emergency. But if you talk to the electric company behind it and say ``Two years from now, what does it look like for capacity for you?'' they will probably shake their head and say ``We have a problem coming.''
Now, we can either deal with that problem 2 years from now when we are having brownouts and don't have enough electricity or we can deal with it now. I would rather deal with it now so we don't have the challenges ahead.
How do you do that? Continue to be energy dominant in, actually, the energy that we are producing here in the United States and to be able to make sure that we are producing truly ``all of the above'' energy but we are actually producing energy at a price Americans can afford and at the amount Americans need.
If we are going to be the world leader in AI, if we are going to be the world leader in data centers, if we are going to be world leaders in innovation, you can't be that if you don't have the power behind it. You can't be that if the price continues to go up, up, up for continuing subsidies.
Under the Biden administration, the price of gasoline went up 30 percent--30 percent in 4 years. Under the Biden administration, in 4 years, the price of electricity nationwide went up 28 percent. Every American feels it. When we pay our light bill, when we put gas in our car, we feel it.
So now the question is: What do we do about it? How do we actually engage to be able to make this better?
Well, there are multiple things that we can do. We have already started some of those already. Quite frankly, President Trump, in his earliest days in office, stepped in and started the process of turning around some of the policies to increase more American energy so we can begin to bring prices down and availability up, because sometimes it is not just about price; it is making sure, 2 years from now, we are not running out and we are not having brownouts all across the entire Nation in our electric grid.
So there are a couple things President Trump did right away. He actually changed all the cancellation of leases in Alaska to actually drill in the area literally set aside, decades ago, for drilling. That is an area that should be a no-brainer, but the Biden administration stepped in and said: No, we are not going to allow anyone to drill in the area set aside for oil exploration in Alaska. They canceled that.
President Trump canceled the mandate for electric vehicles, not because he hates electric vehicles. There happens to be a guy who hangs around him a lot that runs a company that sells electric vehicles. The problem is not electric vehicles. The problem is the mandate to try to force Americans to be able to shift to that when we don't see that in the grid.
Quite frankly, the electric grid is not prepared, even, for Americans to be able to do all-electric vehicles, and frankly, most Americans aren't either. If you talk to Oklahomans in rural areas and say, ``Are you willing to have an electric vehicle when it is 35 miles to the next town from where you are and to be able to take the risk?'' they are not.
And even for a lot of our farmers and ranchers that will say, ``Well, there is an electric pickup out there,'' if you ask the question, ``How far does that electric pickup go if you are towing a trailer?'' the answer you will get from the manufacturers is 80 miles. Do you know what? Our farmers and ranchers need to go a little farther than 80 miles with their vehicles.
So there are a lot of issues that are out there. To be able to take the mandate away and say, ``Let people choose what vehicle they want to be able to choose,'' we think is a better option, and, quite frankly, with our grid not prepared for the strain on that long term, it is a wiser option for everybody in the process.
Decisive action has taken place on the issue of drilling in Federal waters. President Biden, literally in the final hours of his administration, put a ban on actually drilling on 625 million acres offshore. So 625 million acres that have oil and gas in them, President Biden just banned it.
Well, President Trump flipped that and said: No, we are going to allow that to be able to happen--quite frankly, as every other President has on that.
So these are basic things the President can do and has done, but what do we, as Congress, need to be able to do?
We have engaged in several areas already. We have chipped away at what we call the methane fee that has been put on. Every single homeowner that has a hot water tank that uses natural gas--or even if their electricity that is
coming into their house is produced by natural gas or they cook with natural gas--had a new fee added on to them at the end of the Biden administration. We have now voted to be able to take that away and say: We are not going to raise the prices of everybody because they happen to use natural gas to cook their food or to be able to heat their homes or heat their hot water or that they get electricity from as well.
We have also now voted on, quite frankly, a regulation that was done by the Biden administration at the very end of their time that was intentionally designed to be able to raise the price of offshore oil drilling, where they intentionally placed a new fee on any company that is drilling offshore. That could be $1 million per well. The reason for that is to try to block more development offshore on that.
What does that actually do? That doesn't decrease the need that we have in the country. It increases the number of imports that are coming into our country. So we are buying more from Saudi Arabia, more from Venezuela, rather than actually producing from our own jobs and our own locations.
I don't have a problem with ``all of the above'' energy. In fact, I have had this conversation with multiple people in this body. I am willing to put the Oklahoma portfolio for energy against any State that is here, as far as our use of renewables versus fossil fuels. Forty- five percent of the electricity produced in my State today is done with wind. We do wind, solar. We do hydro. We do oil, gas, coal. But we are working to be able to make sure that we can actually produce electricity that is needed for manufacturing and for our homes. That shouldn't be a difficult issue for us. That should be what it is actually all about.
Quite frankly, the frustration that we have had is this has been a challenge for energy companies just to produce energy in the last 4 years. This is something that should be normal. America needs energy. Every single American needs energy. Every person sitting in this room or watching this right now is using energy. We need access to that. So let's find the best ways to be able to do it.
A couple of things that we are working on right now: One is that I have a bill dealing with what we are talking about, with the tax treatments that we are all debating right now, as well, on this floor, called Promoting Domestic Energy Production Act. That act is very straightforward. It treats oil and gas companies the exact same way for taxation as every other manufacturer is treated.
Now, a lot of Americans may say: Well, they are not treated the same now? No. When Democrats passed the Inflation Reduction Act--which was bizarrely named because, actually, inflation spiked after that, with all they put into it. When the Inflation Reduction Act was passed, it created a new tax on oil and gas companies, specifically designed to be able to reduce new wells coming into America and increase the price of oil and gas. That was the design of it because their goal was, if they could make it so expensive to get gasoline, then more people would actually run to an electric vehicle, and they would buy an electric vehicle.
Well, guess what is happening. The more expensive gasoline is definitely happening, but more and more people aren't running to an electric vehicle. They want to be able to choose. And that is a pretty fair option for them for that. So the bill that I have actually moves us back to treating oil and gas companies the exact same way as every other manufacturer is treated in our tax policy.
There is another bill that is not just an oil and gas bill. It is called the ALIGN Act. This handles what we call bonus depreciation. When a company actually buys a big piece of capital equipment, they are going to pay their tax that year on it, but they have to decide, for that big piece of equipment, how many years it takes to be able to depreciate the value of that. The ALIGN Act just says: In the year that you bought it, you can also depreciate it, and you can take it off your taxes.
Now, this doesn't change the amount of income coming into the Federal Treasury one bit. You are either going to have it over several years or you are going to have it over one year. It doesn't change the amount at all, but it does make a huge difference to that business, in the year they do a big capital investment, that they also get to write that off on that same year.
Well, I think it is just good policy to be able to say: Let's incentivize every manufacturer to be able to do additional manufacturing. Our economy needs it right now because, when they do more manufacturing, that is more jobs in the country. And for energy, that means more pipelines, more capabilities to be able to move energy at a cheaper rate. Those are commonsense things that don't hurt our deficit as a nation but actually benefit our economy and benefit jobs.
Energy policy should be just commonsense conversation. It shouldn't be political. It should be: What do Americans need? And we should look beyond just today that the lights are on. We should at least look 2 years in the future to say what is about to happen in the country with our electric grid, anticipate the problems that are coming, and make changes in policy here to make sure we don't have an emergency there.
So let's declare the American energy emergency. Let's fix it before we have the challenges that are coming in just a few short months.
I yield the floor.