Infrastructure vital to U.S. energy renaissance

U.S. policymakers must develop an environment that backs infrastructure development throughout the U.S., which will support the nation’s new role as a worldwide leader of natural gas and oil production.

In a letter, Chairman Murkowski and Ranking Member Cantwell as well as their supporters have encouraged the Energy Committee to vote for legislative proposals included in the Energy Policy Modernization Act of 2015.

“Technological breakthroughs in the oil and natural gas industry have unleashed an energy renaissance, establishing the United States as the world's largest natural gas and oil producer,” Frank J. Macchiarola, executive vice president of government affairs, America’s Natural Gas Alliance, wrote.

The U.S. and its technological advancements have been integral to the shale revolution. To support this new role, policymakers must take necessary action to support the development and infrastructure of the U.S.

“Our increased production is resulting in tremendous economic benefits and job creation,” Macchiarola wrote. “However, to fully realize the enormous potential of our oil and natural gas abundance, it is imperative that we also support the acceleration of infrastructure development in all regions of the United States. In fact, an analysis from the IHS consulting group found that essential infrastructure improvements in the oil and natural gas sector could, over the next decade, encourage as much as $1.15 trillion in new private capital investment, support 1.15 million new jobs, and add $120 billion on average per year to our nation's GDP. A modernized infrastructure system alongside a rational and predictable regulatory regime will lead to a more secure connection between rising oil and natural gas production and growing regional demand. Achieving this balance will help us take full advantage of our vast domestic energy resource and strengthen our energy security.”

This act will help to clarify any jurisdictional issues about the siting and permitting of pipelines located on federal lands. It will also improve the federal permitting processes for pipelines dedicated to natural gas and oil.

“A robust energy infrastructure is vital to ensuring that we are fully realizing the benefits of our abundant domestic energy resources in all regions of the country,” Macchiarola wrote.