Reporters’ Roundtable: Trump’s Quick Start on Energy
Jan 28, 2025
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Jennifer Dlouhy, an energy policy reporter for Bloomberg, and Maxine Joselow, a climate change journalist at The Washington Post, discuss President Trump's rapid shifts in energy policy. They explore the implications of his executive orders to undo prior climate regulations and the suspension of offshore wind project permits. The conversation delves into the potential impacts on carbon emissions, the EPA's future, and the critical role of the Treasury in shaping energy policy amidst ongoing litigation and evolving political dynamics.
President Trump's executive orders are set to significantly alter energy policies, impacting regulations and the balance of industry interests.
The Treasury Department's role in revising tax credits for clean energy technologies may reshape future investments and project viability.
Deep dives
Tensions in Energy Policy Administration
The current administration's energy dominance agenda is expected to create conflicts with the needs of the energy industry. Early indications show that while President Trump is promoting extensive changes, such as rescinding Obama and Biden-era regulations, energy stakeholders may have differing opinions on these actions. This dichotomy could lead to significant discussions about balancing presidential priorities with the practical realities faced by companies operating in the sector. Consequently, the responses from both industry leaders and regulatory bodies will be crucial in shaping future energy policies.
Immediate Impacts of Executive Orders
President Trump's executive orders have introduced several immediate changes, particularly concerning offshore wind development, which has been paused indefinitely. This halt affects an emerging industry that had begun to establish itself in U.S. waters, leading to uncertainties in future projects. Experts view the declaration of a national energy emergency as more symbolic rather than a reflection of the actual energy landscape, as the U.S. is currently experiencing record oil and gas production. The focus on fossil fuels at the expense of renewables presents both a challenge and an opportunity for various energy industries navigating this new regulatory landscape.
Long-term Challenges for Environmental Regulations
Unwinding the environmental regulations implemented during the Biden administration is anticipated to be a lengthy process, as many rules are backed by extensive scientific documentation. Although Trump's administration may strive to eliminate these regulations quickly, doing so could involve complex legal challenges and require considerable time to reformulate legal frameworks. As agencies strategize to replace these regulations, it is likely that the harmonization of interests and the legislative agenda will create friction. Therefore, the approach and decisions made early in this administration will set critical precedents for energy and environmental policy moving forward.
Future of Tax Credits and Financial Implications
The role of the Treasury Department in shaping energy policy, particularly through tax credits established by the Inflation Reduction Act, is under scrutiny. The administration is poised to potentially revise the rules associated with these credits, impacting their accessibility for clean energy technologies, including electric vehicles and hydrogen production. Uncertainties remain regarding how existing tax benefits will be handled and whether bipartisan support for such credits will continue. The evolving financial landscape will play a significant role in determining the viability and development of clean energy projects in the years to come.
Last week, President Trump wasted no time in making good on a long list of energy-related campaign promises. Declaring a national energy emergency, he issued executive orders that could undo several Biden- and Obama-era climate policies. Carbon emissions standards are now in limbo, as are electric vehicle incentives and building energy efficiency standards. Trump wants to lift barriers to fossil fuel and mineral exploration and production. And once again, he has ordered the U.S. to withdraw from the Paris Agreement.
What are the likely near- and mid-term impacts of these seismic shifts in policy? How are last week’s executive orders likely to play out in the courts? What changes are afoot for the Environmental Protection Agency, the Department of Energy, and the Department of the Interior? What role will the Treasury Department play in energy policy, given its responsibilities with tariffs, tax credits, and sanctions?
This week, Bill Loveless talks with reporters Jennifer Dlouhy and Maxine Joselow about the year ahead and the stories they’re chasing.
Jennifer is an energy and environmental policy reporter for Bloomberg News. Before joining Bloomberg in 2015, she was the Washington correspondent for the Houston Chronicle where she covered energy and environmental policy with a special focus on oil and gas.
Maxine covers climate change and the environment for The Washington Post, focusing on US climate policy and politics. Before joining the Post in 2021, she was at E&E News, where her investigative reporting was honored with a Dateline Award from the D.C. Chapter of the Society of Professional Journalists.
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