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Written by John Egan for Industrial Info Resources (Sugar Land, Texas)--During his 30-minute inaugural speech Monday, amid promises to retake the Panama Canal and plant the U.S. flag on Mars, President Donald Trump declared a national energy emergency, laying the groundwork for executive orders to suspend or streamline federal rules to expedite construction of power plants, oil and gas pipelines, and oil and gas drilling on federal lands. He also vowed to "end the Green New Deal," his term for the Inflation Reduction Act, "and revoke electric vehicle mandates."
His vow to "drill, baby, drill" drew standing ovations at the Capitol Rotunda, an overflow viewing room and a packed Capital One Arena located a few blocks away. In invoking a national energy emergency, Trump declared, "America will be a manufacturing nation once again, and we have something no other manufacturing nation will ever have--the largest amount of oil and gas of any country on Earth, and we are going to use it."
"We will bring (energy) prices down, fill our Strategic (Petroleum) Reserve right to the top and export American energy all over the world," Trump continued. "We will be a rich nation again, and it is that liquid gold under our feet that will help to do it."
These inaugural address pledges on energy were set against a sweeping backdrop of other promises to:
Trump's Inaugural Day address was seen widely as a prelude to a blizzard of executive orders, as many as 100, that would be issued Monday evening and in the coming days. One of those promised actions is lifting former-President Joe Biden's "pause" on permits for liquefied natural gas (LNG) terminals. Others include withdrawing the U.S. from the Paris Agreement, halting regulations on power plant emissions and pausing offshore wind-generation permits.
A lengthy list of "America First Priorities" was posted by the White House press office. As stated, they include:
The national energy emergency echoed words from Senate testimony from his nominees to lead the Energy and Interior Departments. For more on that, see January 20, 2025, article - Senate Panel Lavishes Praise on Interior Secretary Nominee and January 16, 2025, article - Senate Panel Considers DOE Secretary-Nominee in Friendly Hearing. It also was an early sign that the new president would somehow block or withdraw some or all of the 11 federal permits for offshore wind generation issued by the outgoing Biden administration, in favor of building baseload power generation stations that use fossil fuels or nuclear power.
Those offshore wind permits provided for the construction of up to 19,000 megawatts (MW) of new renewable electric generation. For more on that, see January 17, 2025, article - Will SouthCoast Windfarm Survive Trump 2.0 and Local Opposition? The Inauguration Day speech also was a partial fulfillment of promises Trump made to the oil and has industry as candidate and president-elect. For more on that, see January 20, 2025, article - Trump's Energy Agenda Starts from All-Time Highs.
While the oil and gas industry gave its full-throated support to some aspects of the new president's "energy dominance" agenda, notably the lifting of the LNG permitting pause and the expediting of drilling and siting permits, they weren't necessarily seeking an all-out surge in drilling, as prices have slumped in the face of an oversupplied market. Adding more supply likely would push prices downward, at a time when U.S. oil and gas production are at record levels. Crude oil and natural gas prices slipped following Trump's remarks.
However, ending federal tax credits for EVs should, in the coming years, stimulate additional demand for hydrocarbon-based transportation fuels, projections of which have been steadily revised downward in the face of rising demand for EVs. Loss of the tax incentives could cripple the EV industry. Prior to Trump's inauguration, BloombergNEF cut its estimates for new EV sales. In particular, BloombergNEF slashed its projections for the EV share of new passenger vehicle sales in 2030 from almost 50%, before Trump won the election, down to 33%.
BloombergNEF also cut its projection of offshore wind generation for 2024 through 2035 by 29%.
Heralding his Inaugural Day address promises as a "return to common sense," Trump said, "The American Dream will soon be back and thriving like never before. It was time to once again act with courage that increases our wealth, expands our territory, builds our cities, raises our expectations and carries our flag to new and beautiful horizons. We will pursue our Manifest Destiny into the stars, launching American astronauts to plant the Stars and Stripes on the planet Mars."
"Ambition is the lifeblood of a great nation, "he continued. "If we work together, there is nothing we cannot do and no dream we cannot achieve. In America, the impossible is what we do best."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).
His vow to "drill, baby, drill" drew standing ovations at the Capitol Rotunda, an overflow viewing room and a packed Capital One Arena located a few blocks away. In invoking a national energy emergency, Trump declared, "America will be a manufacturing nation once again, and we have something no other manufacturing nation will ever have--the largest amount of oil and gas of any country on Earth, and we are going to use it."
"We will bring (energy) prices down, fill our Strategic (Petroleum) Reserve right to the top and export American energy all over the world," Trump continued. "We will be a rich nation again, and it is that liquid gold under our feet that will help to do it."
These inaugural address pledges on energy were set against a sweeping backdrop of other promises to:
- Use a "whole of government" approach to reduce inflation.
- Invoke the Alien Enemies Act of 1798 to use federal and state law enforcement to eliminate the presence of foreign gangs and criminals in the country.
- Designate drug cartels as foreign terrorist organizations, potentially freeing U.S. military forces to be deployed against them.
- Overhaul government policies on trade and gender.
- Create a new Department of Government Efficiency.
- Plant the U.S. flag on Mars.
- Establish the External Revenue Service to collect tariffs, duties and revenues on imported goods.
- Immediately stop all censorship and bring back free speech.
- Change the name of the Gulf of Mexico to the Gulf of America.
- Retake the Panama Canal.
Trump's Inaugural Day address was seen widely as a prelude to a blizzard of executive orders, as many as 100, that would be issued Monday evening and in the coming days. One of those promised actions is lifting former-President Joe Biden's "pause" on permits for liquefied natural gas (LNG) terminals. Others include withdrawing the U.S. from the Paris Agreement, halting regulations on power plant emissions and pausing offshore wind-generation permits.
A lengthy list of "America First Priorities" was posted by the White House press office. As stated, they include:
- The President will unleash American energy by ending Biden's policies of climate extremism, streamlining permitting, and reviewing for rescission all regulations that impose undue burdens on energy production and use, including mining and processing of non-fuel minerals.
- President Trump's energy actions empower consumer choice in vehicles, showerheads, toilets, washing machines, lightbulbs and dishwashers.
- President Trump will declare an energy emergency and use all necessary resources to build critical infrastructure.
- President Trump's energy policies will end leasing to massive wind farms that degrade our natural landscapes and fail to serve American energy consumers.
- President Trump will withdraw from the Paris Climate Accord.
- All agencies will take emergency measures to reduce the cost of living.
- President Trump will announce the America First Trade Policy.
- America will no longer be beholden to foreign organizations for our national tax policy, which punishes American businesses.
The national energy emergency echoed words from Senate testimony from his nominees to lead the Energy and Interior Departments. For more on that, see January 20, 2025, article - Senate Panel Lavishes Praise on Interior Secretary Nominee and January 16, 2025, article - Senate Panel Considers DOE Secretary-Nominee in Friendly Hearing. It also was an early sign that the new president would somehow block or withdraw some or all of the 11 federal permits for offshore wind generation issued by the outgoing Biden administration, in favor of building baseload power generation stations that use fossil fuels or nuclear power.
Those offshore wind permits provided for the construction of up to 19,000 megawatts (MW) of new renewable electric generation. For more on that, see January 17, 2025, article - Will SouthCoast Windfarm Survive Trump 2.0 and Local Opposition? The Inauguration Day speech also was a partial fulfillment of promises Trump made to the oil and has industry as candidate and president-elect. For more on that, see January 20, 2025, article - Trump's Energy Agenda Starts from All-Time Highs.
While the oil and gas industry gave its full-throated support to some aspects of the new president's "energy dominance" agenda, notably the lifting of the LNG permitting pause and the expediting of drilling and siting permits, they weren't necessarily seeking an all-out surge in drilling, as prices have slumped in the face of an oversupplied market. Adding more supply likely would push prices downward, at a time when U.S. oil and gas production are at record levels. Crude oil and natural gas prices slipped following Trump's remarks.
However, ending federal tax credits for EVs should, in the coming years, stimulate additional demand for hydrocarbon-based transportation fuels, projections of which have been steadily revised downward in the face of rising demand for EVs. Loss of the tax incentives could cripple the EV industry. Prior to Trump's inauguration, BloombergNEF cut its estimates for new EV sales. In particular, BloombergNEF slashed its projections for the EV share of new passenger vehicle sales in 2030 from almost 50%, before Trump won the election, down to 33%.
BloombergNEF also cut its projection of offshore wind generation for 2024 through 2035 by 29%.
Heralding his Inaugural Day address promises as a "return to common sense," Trump said, "The American Dream will soon be back and thriving like never before. It was time to once again act with courage that increases our wealth, expands our territory, builds our cities, raises our expectations and carries our flag to new and beautiful horizons. We will pursue our Manifest Destiny into the stars, launching American astronauts to plant the Stars and Stripes on the planet Mars."
"Ambition is the lifeblood of a great nation, "he continued. "If we work together, there is nothing we cannot do and no dream we cannot achieve. In America, the impossible is what we do best."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).
