Editors’ Note: Basic economics teaches that price is the intersection between supply and demand. The Biden Administration is restricting supply through expensive and wasteful regulations and the forced conversion to new energy sources based on the flawed theory of global warming. On the demand side, it has spent more money and run up more deficits in real inflation-adjusted dollars than what was necessary to fight WWI, WWII, and 30 years of prior profligate spending. In short, huge new artificial demand has been created while regulatory policies are constricting supply. That is a guaranteed formulation for persistent higher prices and a lower standard of living for all Americans. Regulatory costs are particularly painful for small companies and small businesses because they don’t have teams of lawyers, accountants, lobbyists, and compliance people to deal with ever-changing regulations. But, this is the world of Bidenomics.
The Biden administration’s energy policies are increasingly costly for Americans, a newly released report says.
U.S. House Oversight Committee Chair Rep. James Comer, R-Ky., released the report, which argues Biden’s energy policies have increased costs for Americans and hurt the economy.
“The Biden Administration weaponized the power of the executive branch to wage a war against American-made energy production and cement in place radical, far-left energy policies that jeopardize domestic energy development, overload America’s power grid, and raise costs on all American consumers and businesses,” Comer said in a statement.
In particular, President Joe Biden’s recent pause on liquefied natural gas exports, elevated gas prices, and the aggressive push toward transitioning toward electric energy are among the main criticisms lobbed at Biden.
Comer’s office cites analysis from the right-leaning American Action Forum released in April. AAF reports that in 2024 alone, Biden’s Environmental Protection Agency, as of the end of April, had proposed 38 new rules and finalized 63 rules. According to AAF, those rules total 33,138 pages and will cost the U.S. economy over a trillion dollars.
The report also highlights the cost of pushing America’s energy needs increasingly to the electric grid.
From the report:
Even as use efficiency improves, the U.S. Energy Information Administration projects U.S. utility-generated electricity demand to continue growing at an average annual rate of one percent through 2050. But radical new policies and regulations promulgated by the Biden Administration seek to transform power generation and electricity markets. The Biden Administration is moving to replace highly reliable and affordable existing sources of energy with new sources that are typically less reliable and more expensive. For consumers, the results of these initiatives will predictably be higher costs on utility bills, higher costs for goods and services that consume electricity, invisible energy subsidy costs paid through income and other taxes, as well as economic costs as high electricity prices push some business opportunities overseas.
The White House has cited climate change concerns as it rolled out several policies, including a pause on new export sites for liquefied natural gas.
That LNG pause has been particularly controversial, with a coalition of state and Congressional leaders rallying opposition against it. A lawsuit challenging the constitutionality has been filed by a coalition of states.
Biden’s Department of Energy has defended the decision and stressed that it will not stop any currently existing sales. The White House has also argued that the U.S. is already a leading exporter without new sales.
“Before issuing any new LNG export decisions, DOE is embarking on a transparent process to ensure we are using the most up-to-date economic and environmental analyses to determine whether additional approvals of LNG exports to non-FTA countries are in the ‘public interest,” the DOE said in a February post defending the decision.
Meanwhile, federal climate-related spending has come under fire.
During a news conference last week, U.S. Sen. Shelley Moore Capito, R-W.Va., sparked headlines by exposing that federal funds went to a climate group that was actively supporting the Oct. 7 Hamas attack on Israel, an attack that included rape, killing children, and hostage-taking.
“We went to the website of Climate Justice Alliance. This is what we found on the website that our taxpayer dollars are going to organizations such as this,” she said, referencing a pro-Hamas photo reportedly found on the group’s website.
Comer’s reports come as Biden’s Secretary of Energy, Jennifer Granholm, took questions from lawmakers last week about Biden’s energy policies.
Republicans took her to task for the increased costs Americans are facing. Energy costs have risen over 35% since Biden took office, according to federal data.
During the hearing, Granholm defended her agency’s work, including Biden’s decision to drain the nation’s Strategic Petroleum Reserve earlier in his term to help address soaring gas prices.
“The Administration remains committed to maintaining a robust and well-functioning SPR. In 2022, in response to Russia’s invasion of Ukraine and the resulting disruptions in the oil market, the President directed the sale of 180 million barrels,” Granholm said in her written testimony. submitted to the committee. “The emergency sales provided supply certainty and acted as a bridge until domestic production increased, which in turn helped to mitigate the cost increases for American families.”
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This article was published by The Center Square and is reproduced with permission.
