The US Senate Committee on Energy and Natural Resources voted in support of a bill that promotes oil and gas drilling in a section of the Arctic National Wildlife Refuge (ANWR).

The panel has claimed that the decision has the support of the local community.

Two leases are proposed to be given over the next ten years for the development of oil and gas in the 1002 Area, with a royalty of 16.67% to be distributed evenly between Alaska and the federal government.

Based on the proposal in the bill, surface development will be limited to 2,000 federal acres within the 1.5 million-acre 1002 Area.

US Senate Energy and Natural Resources Committee chairman Senator Lisa Murkowski said: “We will help keep energy affordable, saving families and businesses money every time they pay for fuel – essentially, an energy tax cut.

“We will ensure a steady supply of energy for West Coast refineries, in states like Washington and California, and reverse the foreign imports that have taken hold as Alaska’s production has declined.”

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“We will help keep energy affordable, saving families and businesses money every time they pay for fuel – essentially, an energy tax cut.”

The proposed exploration in the refuge has drawn criticism from environmental groups and conservationists, who fear the development could pose threat to wildlife species in the region.

However, the panel claims that advancements in technology could help address environmental concerns.

The bill expects federal revenues for the sum of $1.092bn over the next decade.

In response to the decision taken by the panel, non-profit conservation organisation Defenders of Wildlife urged for scrapping the idea of exploiting the Refuge Coastal Plain.

The organisation questioned the estimated economic benefits from the development, stating that revenues may be limited to millions of dollars.

In a letter to the Senate committee, former officials at the Department of the Interior stated: “Although we support responsible energy development and energy security for our nation, oil exploration and development risks significant damage to this national, cultural and ecological treasure, and it is currently a needless risk.”