For Immediate Release: Thursday, November 21, 2019
Contact: Justin Williams, (202) 465-8464, email@example.com
The Deepwater Royalty Relief Act Helped Spur the Modern Offshore Energy Industry
Washington, D.C. – NOIA President Erik Milito released the following statement after Congressional Democrats introduced the Stop Giving Big Oil Free Money Act:
“The Deepwater Royalty Relief Act (DWRRA) was a bipartisan program signed into law by President Clinton that jumpstarted the U.S. offshore oil and natural gas industry. Between 2000 and 2018, a stronger U.S. offshore industry generated more than $122 billion for the Federal government through high bids, royalties and rents and helped unlock a higher quality of life through affordable and reliable energy. The DWRRA as well as the recent efforts by the Bureau of Safety and Environmental Enforcement (BSEE) and the Bureau of Ocean Energy Management (BOEM) to study shallow water royalty rates are important steps in ensuring that the U.S. has a competitive offshore royalty program.
“The global offshore oil and natural gas environment is becoming a tighter and more competitive market. While we expect record-setting production in the Gulf of Mexico for years to come, it is important for policymakers to recognize that the U.S. is no longer the only offshore player. A recent report by IHS Markit suggests that countries like Brazil, Guyana and Mexico are attracting billions in investment as part of the competitive global market.
“Instead of sending jobs, economic growth and energy security abroad, Washington, D.C. policymakers should find new solutions that help America remain the offshore energy leader.”
NOIA is the only national trade association representing all segments of the offshore industry with an interest in the exploration and production of both traditional and renewable energy resources on the nation’s outer continental shelf. NOIA’s mission is to secure reliable access and a fair regulatory and economic environment for the companies that develop the nation’s valuable offshore energy resources in an environmentally responsible manner.