The Biden administration is firm on its stance of returning to the international Paris Agreement to restore the US as the torchbearer of combating climate change and global warming.
Verdict has conducted a poll to assess how the US oil and gas companies would be impacted if the US re-joins the Paris Climate Agreement.
More than half (51%) of the respondents opine that the US oil and gas companies would be impacted negatively if the US re-joins the Paris Climate Agreement.
On the contrary, 23% of the respondents believe the impact of the US re-joining the Paris Climate Agreement would be positive on the US oil and gas companies.
While 13% of the respondents believe the returning of the US to the Paris Climate Agreement would not have any impact, 14% are not aware of the impact.
The analysis is based on 205 responses received from the readers of Offshore Technology, a Verdict network site, between 04 December 2020 and 08 March 2021.
Effect of the US returning to the Paris agreement on the US oil and gas industry
The re-joining of the US to the Paris Climate Agreement will result in a major reversal of the policies adopted by the US under the Trump administration. The US exited the agreement to maximise fossil fuel production despite being the second largest greenhouse gas emitting country in the world.
US President Joe Biden’s pledge to put back the US on its track to achieve zero carbon emissions by 2050 would curb the country’s fuel production. He has already taken various steps in this direction including suspension of oil and gas leasing activities in the Arctic National Wildlife Refuge in Alaska, cancellation of the permit for TCEnergy’s Keystone XL oil pipeline project, and reduction of methane emissions.
The path to achieving the goals of the Paris Climate Agreement, however, is expected to be difficult considering the opposition from fossil fuel companies, political leaders and international partners.