Bureaucracy Threatens U.S. Energy Leadership

At a recent conference in Washington, National Governors Association Vice Chair Kevin Stitt made a compelling statement: “It shouldn’t take longer to approve an energy project than it takes to build it.” This remark resonated deeply with attendees, emphasizing ongoing issues involving government bureaucracy that endanger America’s position in both energy generation and cybersecurity.

Urgency for Permitting Reform

The issue of permitting reform was a hot topic among the governors, who underscored its importance as new administrations and state government sessions begin across the country. There was a striking level of bipartisan agreement that the United States must evolve responsibly to protect itself from foreign adversaries who threaten cybersecurity and energy security.

“Permitting reform is one of those issues where both Republicans and Democrats recognize the problem; we largely agree on solutions,” Stitt noted, framing it not just as an administrative necessity but as a critical national security concern.

Competitiveness and National Security

Interior Secretary Doug Burgum addressed the competitive nature of global energy landscapes during the conference. He stated that the U.S. is increasingly going toe-to-toe with formidable adversaries like Russia, China, Iran, and North Korea. “It’s key that we win the AI arms race with China,” he emphasized, highlighting the evolving threats posed by technologically advanced adversaries.

According to Burgum, potential cyberattacks could disrupt vital infrastructure, such as the electric grid, without the need for physical military action. “They wouldn’t have to put a single soldier on the ground, but it could completely disrupt us and our economy,” he explained.

Nuclear Energy as a Solution

The discussion also turned to the promise of nuclear energy, with Burgum and other governors exploring technological advancements that can facilitate portable energy production. This approach allows energy generation facilities to be strategically located closer to areas where energy demand is highest, enhancing efficiency and responsiveness.

State-Level Initiatives: Pennsylvania’s Approach

One notable initiative discussed was Pennsylvania Governor Josh Shapiro‘s recent push to streamline the permitting process. He mandated that his administration rule on infrastructure permit applications within two weeks or risk refunding the application fees.

Shapiro highlighted Pennsylvania’s ongoing commitment to energy leadership, pointing out that despite the decline of industries like Bethlehem Steel, the state remains the second-largest energy net exporter in the nation. “We’re proud of our legacy as a national energy leader,” he asserted, emphasizing the need for timely market access regarding energy projects.

Complexity in Energy Production Regulations

Pennsylvania has long been a pivotal player in energy production, generating over 7 trillion cubic feet of natural gas in 2023 alone. However, its energy policies have seen significant shifts, from former Democratic Governor Ed Rendell’s ban on fracking in state parks to Republican Governor Tom Corbett’s reversal of that ban, followed by Democrat Tom Wolf’s reinstatement. Each shift has created a complex regulatory landscape that energy developers must navigate.

In light of these challenges, Shapiro indicated a more balanced approach to developing the Commonwealth’s resources, promoting bipartisan legislation such as the SPEED Act. This initiative seeks to expedite the permitting process through third-party reviews, a step lauded by many in the energy sector.

Collaboration and Accessibility

Reflections on the collaborative spirit among governors were rife at the conference. South Carolina Governor Henry McMaster recounted how cabinet secretaries had volunteered their personal contact information following a recent White House meeting, showcasing an unprecedented accessibility to federal leaders. “I’ve got it, but I’m going to hold onto it,” he joked, referencing President Trump’s invitation for open communication.