Navigating the New Energy Landscape: Key Takeaways from Trump's Recent Executive Actions

In a decisive shift from the prior administration’s energy policies, President Trump has enacted a series of executive orders aimed at bolstering domestic fossil fuel production and overhauling the permitting process for energy projects. These actions underscore the administration’s commitment to achieving energy independence, expediting infrastructure development, and reinforcing the U.S. oil and gas sector’s competitive position.

Emergency Powers in Action

On January 20, 2025, President Trump declared a national energy emergency, directing federal agencies to utilize all available emergency authorities to facilitate the identification, leasing, siting, production, transportation, refining, and generation of domestic energy resources. This directive represents a dramatic push to remove regulatory barriers and expedite critical infrastructure projects, particularly pipelines, export terminals, and refining capacity expansions.

Other key directives to federal agencies include:

the expedition of energy and infrastructure projects that fall under their purview; and
the increased support for projects related to the production, refining, and transportation of energy.

Unleashing Alaska’s Resource Potential

A key pillar of the administration’s new energy strategy is unlocking Alaska’s vast natural resources. The executive order titled "Unleashing Alaska’s Extraordinary Resource Potential" sets forth policies to maximize the development of the state’s energy resources. It mandates federal agencies to:

rescind regulations from the previous administration that hindered resource development;
prioritize the advancement of liquefied natural gas (LNG) capabilities; and
expedite new leasing and permitting activities.

Streamlining the Energy Permitting Process

Beyond Alaska, the administration is expected to direct agencies to review and reform existing permitting processes to reduce delays and regulatory hurdles that have historically slowed down energy and infrastructure projects. Notable elements include:

the establishment of a working group to coordinate agency-level reforms that expedite permitting approvals; and
encouraged use of general permitting and permitting-by-rule mechanisms by federal agencies to eliminate unnecessary delays.

These initiatives are intended to enhance the efficiency of energy production and distribution, thereby strengthening national energy security.

Revocation of Carbon Reduction Initiatives

A significant policy shift is the new administration’s revocation of multiple climate-related executive orders from previous administrations. The "Unleashing American Energy" executive order directs:

the Environmental Protection Agency (EPA) to rescind the current social cost of carbon methodology, arguing it lacks statutory basis and has been politicized; and
the immediate pause on the disbursement of funds appropriated through the Inflation Reduction Act and the Infrastructure Investment and Jobs Act.

President Trump also signed the "Putting America First in International Environmental Agreements" executive order, directing the immediate withdrawal of the U.S. from the Paris Agreement and other international climate commitments. These actions signal a departure from international climate-focused policies in favor of domestic policies focused on bolstering traditional energy development.

Resumption of LNG Export Approvals

In response to concerns about energy supply constraints, the administration has directed the Secretary of Energy to resume permitting reviews and approvals for liquefied natural gas (LNG) export projects that had been paused under the prior administration. This move aims to enhance U.S. LNG exports and support international markets in obtaining access to alternative sources of natural gas. If successful, these policies may drive growth in the development of LNG projects and open new markets for U.S. natural gas producers.

New Cabinet Appointments

Chris Wright, CEO of Liberty Energy, has been confirmed as the new Energy Secretary. Secretary Wright advocates for affordable energy and has expressed support for climate change action.
Lee Zeldin, former New York Representative, now leads the EPA. Administrator Zeldin is tasked with rolling back environmental regulations, including emissions rules.
Doug Burgum, former Governor of North Dakota, has been appointed to be the new Secretary of the Department of the Interior and the Chairman of the newly created National Energy Council, which is focused on promoting U.S. energy dominance and innovation over regulation.

Conclusion

These executive actions are poised to have far-reaching implications for the U.S. energy sector. By reducing regulatory hurdles and expediting critical infrastructure projects, the administration aims to boost investments into traditional forms of energy and enhance energy security. While increased regulatory efficiency provides numerous advantages for industry players, regulatory efficiency alone is unlikely to overcome market fundamentals as free market forces are likely to continue to regulate energy development based on supply and demand. To navigate shifting market dynamics, stakeholders should continue to monitor changes to federal and state-level policies and adapt investment strategies to align with the evolving regulatory environment and the economic viability of their long-term capital projects. A well-informed and flexible approach should help energy players capitalize on emerging opportunities.