Sequestration will slow development of oil, gas & coal in the U.S.
Sequestration will slow development of oil, gas, and coal in the United States, killing jobs and jeopardizing the nation’s energy security.
The sequester cuts will force the Department of the Interior to scale back permit and environmental reviews for new projects and delay the leasing of federal lands for future developments.
The cuts would affect states with vibrant energy sectors, such as Alaska, Wyoming, Utah, Colorado, New Mexico, and the Gulf states.
According to Secretary of the Interior Ken Salazar, the Bureau of Ocean Energy Management (BOEM) would cut back on the processing of offshore oil and gas permits in the Gulf of Mexico and Alaska.
States like Wyoming, Utah, Colorado, and New Mexico would see a reduction of 300 oil and gas leases approved by the federal government.
Salazar also noted that the leasing of federal lands for coal mining would be delayed, deferring up to $60 million per sale from the Treasury.
- Senate Appropriations Committee: Letter from Secretary of the Interior Ken Salazar on the impacts of sequestration – Feb. 2013 (PDF)
- WhatTheFolly.com: 5 key facts about sequestration
- WhatTheFolly.com: Analysis: Impact of sequestration on non-defense discretionary spending