Will Biden Choose Paris Over Bismarck and Pierre?
— January 31, 2021
By Paul Tice
Mr. Biden’s recent moves on energy policy will make future oil and gas expansion difficult, but that’s not going to be enough. The American energy industry is already consolidating after an unprecedented multiyear period of growth—punctured by last year’s pandemic-related demand shock—so the blow to the sector is likely to be glancing. If the president intends to keep his vows on carbon emissions and the like, his administration will have to reduce the size of the fossil fuel industry aggressively, not merely curtail its growth.
If he’s willing to do that—which seems likely given the cast of true climate believers slated to head up various regulatory agencies—the first target will probably be the Dakota Access Pipeline.
Read the full The Wall Street Journal article.
Paul Tice is an Adjunct Professor of Finance at NYU Stern.