Matt Daily, the Energy editor for POLITICO, dives into the energy landscape of 2025. He discusses the challenges and priorities facing the incoming Trump administration, especially regarding LNG exports and climate agreements. With gasoline prices fluctuating due to OPEC's market influence, everyday consumers might feel the impacts. Daily also examines the shifting dynamics of global climate action, especially as U.S. leadership changes and China's role becomes more prominent. It's a critical look at what the future holds for energy policies.
The energy landscape in 2025 will be defined by a shift towards fossil fuels under Trump, reversing Biden's regulations.
International climate action faces potential setbacks as the U.S. retreats from leadership, allowing nations like China to advance.
Deep dives
Impact of Biden's Presidency on Energy Markets
The energy landscape following President Biden's tenure is assessed, highlighting both renewable and fossil fuel sectors. Crude oil prices remain stable below $70, and gasoline prices are at their lowest since spring 2021, benefiting consumers. The ongoing volatility that had previously influenced market fluctuations has diminished, which some view as advantageous for Donald Trump as he prepares to assume office. The future growth of renewables is uncertain, as significant investments have been made; however, the actual outcomes of those investments in 2025 will be closely observed.
Anticipated Energy Policies Under Trump
The first year of Donald Trump's presidency is predicted to introduce significant shifts in energy policy. Trump's administration is expected to prioritize actions such as lifting the LNG export permit pause and revoking regulations established under Biden, focusing on 'energy dominance' initiatives. The confirmation of experienced individuals like North Dakota's Governor Doug Burgum as the Interior Department head signals an intent to prioritize fossil fuel extraction. However, skepticism remains about the feasibility of rapidly implementing extensive changes without sufficient legal groundwork and the potential resistance from within Congress.
Global Climate Action Amid U.S. Withdrawal
The upcoming year is set to see a shift in international climate dynamics as the U.S. is likely to step back from its leadership role. This vacuum may allow other nations, particularly China, to take a more dominant position in climate negotiations, fostering concerns over the effectiveness of global efforts to tackle climate change. With the Office of the President showing reluctance toward climate initiatives, questions arise about the United States' participation in existing global frameworks established since 1992. The potential for reduced financial contributions raises further concerns regarding the continuity and impact of international climate action.
Today, POLITICO Energy Editor Matt Daily previews the biggest energy stories in 2025, including the Biden administration’s final days, the year-one priorities for the incoming Trump administration, global climate action, and more.