Senate Advances Bipartisan Energy Permitting Bill After Midterms

2 min read
Senate Advances Bipartisan Energy Permitting Bill After Midterms
PrimeXBT Editorial Team
Reviewed by PrimeXBT

The Senate voted 73-25 to take up a bipartisan energy permitting bill after the midterm elections. The vote likely quenched concerns that Democrats might turn on the bill, but the party's energy transition agenda and its stance on data centers could still complicate the GOP's energy independence ambitions.

The Senate advanced the Bipartisan American Affordability and Jobs Act on Monday in a 73-25 vote to formally take it up. The result likely quenched concerns that Democrats, who won the U.S. midterms, might turn on legislation that previously drew support from both parties.

The bill got broad support from the previous Senate in early October, but voting was scheduled for after the election. It is meant to speed up permitting for new oil, gas and coal projects as well as wind and solar installations.

Environmental groups push back

Environmental organizations were not pleased. They have been vocal opponents of any new oil, gas or coal projects in the United States and were instrumental in shaping the Democrats' energy transition agenda.

The Center for Biological Diversity's director for government affairs said, as quoted by Reuters, that Democrats backing the bill are handing Trump virtually unlimited power to entrench fossil fuels.

Data centers and the Democratic agenda

Some Democrats see the bill as a starting point. According to Reuters, Senator Sheldon Whitehouse said at a news conference after the vote: "This bill is the floor, not the ceiling, of our climate and environmental aspirations."

Data centers add another complication. Several legislators who joined Congress after the midterms ran on platforms to rein in data centers and make them pay for their own electricity. Under the bill, Reuters noted, data center operators would pay a bigger portion of the grid upgrades needed to secure enough electricity.

Some observers worry that Democrats could undermine Trump's priority on baseload energy from hydrocarbons by pushing their own agenda focused on alternative energy. Others in the environmentalist world see the vote as Democrats playing to Trump's tune.

Source: Oilprice.com

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