Permitting Bill that will affect the industry is moving through the U.S. Congress!
The Standardizing Permitting and Expediting Economic Development (SPEED) Act, H.R. 4776, recently advanced through the U.S. House of Representatives Committee on Natural Resources with bipartisan support, positioning it for consideration on the House Floor. Committee Chairman Bruce Westerman (R-Arkansas) and U.S. Rep. Jared Golden (D-Maine) introduced the legislation this summer.
Improvements made in the SPEED Act would provide greater certainty for energy producers, address delays, and accelerate the approval process for oil and natural gas projects. The current federal permitting process hinders drillers’ efforts to find innovative solutions to protect the environment, unlock investment, and create jobs. Reforming permitting remains one of IADC’s highest legislative priorities for the 119th Congress and has been a focus of our advocacy for several years.
The SPEED Act will modernize the National Environmental Policy Act (NEPA) which is a procedural statute that established parameters for assessing the environmental impacts of all major federal actions and created the Council on Environmental Quality. The procedural requirements in NEPA apply to all major federal actions, which can include, but are not limited to, the construction of critical infrastructure such as roads, bridges, highways, ports, irrigation systems, forest management, transmission lines, energy and drilling projects, and broadband and water infrastructure.
NEPA has evolved into a cumbersome and lengthy process that has increased costs and permitting timelines. Additionally, NEPA has become a tool used by special interest groups to block critical infrastructure across the country as it is currently the most litigated environmental statute.
The SPEED Act will modernize NEPA to help streamline the permitting process and return the law to its intended purpose. The bill will shorten permitting timelines and reduce the frequency of frivolous litigation. This legislation will simplify the analysis required in NEPA documents, thereby easing the burden on agencies. The bill will also clarify when NEPA is triggered by clarifying the definition of “Major Federal Action.” Lastly, the bill will establish judicial review limitations for NEPA claims, including a 150-day deadline for filing claims, a new standard of review, and the elimination of procedural moves that stop projects from moving forward.
IADC and a group of seven oil and natural gas trade associations highlighted their strong support for the bipartisan SPEED Act in a letter to Chairman Westerman. The group’s letter details how the scope of NEPA requirements and applications have grown since its enactment 50 years ago and the courts, presidential directives, and agencies’ implementation of NEPA regulations have made NEPA unworkable and far more complicated than its original intent. The SPEED Act addresses many of the most pressing issues surrounding NEPA delays and will provide solutions to help expedite much needed infrastructure projects across the country.
