President Joe Biden is poised to issue an executive order permanently banning new offshore oil and gas development in selected areas of US coastal waters, reported Bloomberg.
The action aims to establish protections for sensitive marine environments and comes as part of Biden’s final initiatives before leaving office.
The executive order, expected to be announced in early January 2025, will prohibit the sale of new drilling rights in parts of the outer continental shelf.
The move will pose challenges to President-elect Donald Trump’s plans to increase domestic energy production.
Biden’s declaration leverages a 72-year-old law granting the White House broad authority to permanently shield US waters from oil and gas leasing. The law does not empower presidents to reverse such protections.
The decision follows calls from congressional Democrats and environmentalists who have urged Biden to “maximise permanent protections” against offshore drilling to protect coastal communities and marine ecosystems, and combat climate change.
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By GlobalDataThe initiative reflects Biden’s recent efforts to protect areas from industrial activities, similar to his actions in safeguarding Nevada’s Ruby Mountains from new energy leases.
Oil industry advocates warn against restrictions, arguing that fossil fuels will remain necessary for decades and that the US produces them more cleanly than other countries.
The Gulf of Mexico remains vital for production, supplying 14% of US oil and gas, enough to rank among the top 12 global producers.
Trump is anticipated to seek a reversal of these protections, but his success is uncertain.
A federal district court previously dismissed his attempt to overturn former President Barack Obama’s order safeguarding 125 million acres (50.6 million hectares) of the Arctic and Atlantic Oceans.
Trump also invoked the same statute to halt oil and gas leasing near Florida and North Carolina during his 2020 campaign.
