- Home
- Business
- Biden Administration Suggests Increasing Royalty Rates on Federal Oil, Gas Leases - Report
Biden Administration Suggests Increasing Royalty Rates On Federal Oil, Gas Leases - Report
Sumaira FH Published November 26, 2021 | 11:20 PM
WASHINGTON (UrduPoint News / Sputnik - 26th November, 2021) The US Department of the Interior on Friday issued a report suggesting that royalty rates for the Federal government's onshore oil and gas leases should be increased.
"The BLM (Bureau of Land Management) should improve the return to taxpayers and create an oil and gas program that is more consistent with BLM's multiple-use and sustained yield mandates," the report said. "Consideration should be given to raising royalty rates and, to the extent allowed by statute, to increasing the current minimum levels for bids, rents, royalties and bonds."
US President Joe Biden issued an executive order in January that directed the Department of Interior to conduct a review of federal oil and gas leasing and permitting practices.
The Interior Department report also suggests increasing safety and and environmental regulations on oil and gas companies by requiring them to meet a new criteria before they are allowed to operate in US offshore drilling sites.
Moreover, the Interior Department said it wants to end the practice of issuing bids for vast swaths of territory on the US continental shelf and instead move to a leasing model where smaller areas are offered. The department claims the federal government loses billions in revenue when vast offshore drilling sites are leased.
In addition, the Interior Department also suggests the BLM should avoid leasing land with low potential and prioritize issuing leases in areas with moderate or high potential for oil and gas resources as well as facilitate more meaningful engagement with Tribal communities when it seeks public input in the leasing and permitting process, the report said.
The report noted that as of September, the oil and gas industry has more than 9,600 approved permits that are available to drill. In fiscal year 2021, BLM approved more than 5,000 drilling permits and more than 4,400 are still being processed.
Recent Stories
Punjab CM inaugurates Pakistan’s first Virtual Women Police Station
Dutch model Donny Roelvink embraces Islam
Experts raise concerns over introduction of 10-stick packs
Iranian president arrives in Karachi
Law Minister expresses Govt's resolve to address issue of missing persons
Rizwan’s batting order may be changed: Sources
Nawaz Sharif to visit Guangzhou exhibition in China
FM Dar not traveling to China: Foreign Office
PM takes notice of deliberate delay in tax cases
Iranian President visits Allama Iqbal’s mausoleum
Iranian President arrives in Lahore today
Currency Rate In Pakistan - Dollar, Euro, Pound, Riyal Rates On 23 April 2024
More Stories From Business
-
Afghan trade delegation, FPCCI discuss bilateral trade
7 hours ago -
With knowledge economy, Mauritius is a stable economy: Envoy
8 hours ago -
Aurangzeb reiterates govt's resole to reduce poverty, promote sustainable development
8 hours ago -
Finance minister meets Chairman Anjuman-e-Tajran; discuss issues of business community
9 hours ago -
Govt ensuring digital access as fundamental right: Ahsan Iqbal
9 hours ago -
WHO delegation calls on Chairman FBR
9 hours ago
-
Bill drafted to regulate veterinary sciences and animal welfare: Tanveer
10 hours ago -
General Motors lifts 2024 profit forecast after strong Q1
10 hours ago -
Pakistan aims to reach $3 trillion economy by 2047: Ahsan Iqbal
11 hours ago -
Digital technologies play significant role in economic growth: Shaza
11 hours ago -
Experts raise concerns over introduction of 10-stick packs
11 hours ago -
SACM directs making technical institutes as skill imparting centres
12 hours ago