US President Donald Trump has signed a series of energy executive orders into law just moments after taking the oath of office to commence his second term.
The presidential orders were signed on January, 20, 2025 at the Oval Office of the White House, reversing policies from the previous administration and reshaping the U.S. energy policy.
These actions are expected to unleash American energy, prioritize fossil fuel development, and reverse several climate initiatives from the outgoing administration of Joe Biden, emphasizing his “Drill, Baby, Drill” ambitions.
Here is a list of presidential energy actions and what they mean:
1. National energy emergency declaration
President Trump declared a national emergency to expedite the expansion of oil and gas production. This declaration is intended to remove regulatory barriers and promote domestic energy production and infrastructure projects, such as pipelines and drilling operations.
The order also serves as a directive to all relevant agencies to review and roll back policies seen as restrictive to coal, oil, and natural gas industries, setting an ambitious goal of achieving 100% energy independence for the world’s largest oil producer.
2. Revocation of climate agreements and initiative
An executive order formally withdrawing the U.S. from any re-engagement with the Paris Climate Agreement was also signed, citing disproportionate emission restrictions on the United States compared to countries like China.
This entails an end to federal mandates for electric vehicles (EVs) and renewable energy quotas, a position he stressed during his inaugural speech. All regulations tied to emissions reduction targets established under the previous administration have also now been dismantled.
In other words, the country’s Methane Emission Regulations have been repealed, rolling back methane emission rules for oil and gas operators and cutting excessive costs on energy production.
This directive reduces the role of the Environmental Protection Agency (EPA) in delaying or denying energy permits.
3. Drilling expansion on federal lands and waters
A federal order that lifted restrictions on oil and gas drilling in federal lands, including the Arctic National Wildlife Refuge (ANWR) was also signed. This will help the U.S expand offshore drilling opportunities in Alaska, Gulf of Mexico, and along the Atlantic coast.
The administration aims to lift restrictions on offshore drilling, particularly in areas like the Arctic National Wildlife Refuge. This move is designed to increase domestic energy production by opening previously protected regions to exploration and extraction.
4. Temporary withdrawal of renewable energy investments
President Trump has temporarily halted federal investments in renewable energy projects, including wind. The restriction on the construction of new offshore wind farms impacts states like New York, New Jersey, and Massachusetts that have relied on such projects to meet climate goals.
Though critics argue the restriction could hinder efforts to transition to cleaner energy sources, this shift reflects a broader strategy to focus on traditional energy sources and reduce support for clean energy development.
5. Revitalizing coal power and incentives for nuclear energy
Federal restrictions on fossil fuels including coal-fired power plants have also been removed, encouraging new subsidies and investments in coal infrastructure in a bid to support domestic energy reliability.
Also, the federal government will pursue regulatory reforms and direct funding to boost the development of small modular nuclear reactors (SMRs). This will inspire meaningful public-private partnerships to modernize aging nuclear infrastructure at a time when the world is witnessing a nuclear revival.
Chris Wright, President Trump’s nominee for Secretary of Energy, emphasized the importance of expanding nuclear power during his confirmation hearing on January 15, 2025.
Overall, these energy executive actions signify a substantial policy shift toward fossil fuels, aligning with President Trump’s “Drill, Baby, Drill” and “America First” energy strategy.
Supporters believe these measures will bolster energy independence and stimulate economic growth.
Additionally, the imminent increase in U.S. oil production that will follow could lead to a supply glut, potentially driving down global oil prices. However, this would challenge oil-dependent economies (e.g., OPEC+) that rely on higher prices for economic stability, potentially leading to market share battles among both.
