Victory of Energy Independence – Watt

In a decisive move, the U.S. Congress abolished the Biden administration's natural gas tax, marking a major shift in national energy policy. The action highlights the commitment to strengthen U.S. energy independence and reduce the financial burden on consumers.

Under the natural gas tax proposed by the 2022 Inflation Reduction Act, the aim is to curb methane emissions, an effective greenhouse gas, by imposing economic fines on oil and gas producers who exceed certain emission thresholds. The fee structure is that it starts at $900 per metric ton of methane in 2024 and upgrades to $1,500 by 2026. The Environmental Protection Agency (EPA) finally determined relevant regulations by the end of 2024, laying the foundation for implementation.

Using the Congressional Review Act (CRA) to allow Congress to cancel federal regulations within a certain time frame, lawmakers act quickly to remove methane fees. The House passed the resolution on February 26, 2025 with a 220-206 vote, followed by a 52-47 Senate vote on February 27. The resolution is now awaiting the signature of President Donald Trump and is expected to be soon.

The abolition has won praise from industry stakeholders and politicians who believe the tax will kill energy production and increase costs for consumers. Anne Bradbury, CEO of the U.S. Exploration and Production Commission, said

“While U.S. oil and gas producers continue to reduce emissions with lasers, it is crucial that as we continue to work with Congress to repeal basic regulations that may promote taxes that cost energy, it is crucial.”

https://justthenews.com/politics-policy/energy/senate-sends-legislation-block-bidens-bidens-natural-gas-gas-gas-tax-trump-trump-trump

North Dakota Senator John Hoeven, a major supporter of the abolition, emphasized the importance of energy affordability and security:

“American homes and businesses depend on access to affordable and reliable energy every day. The best way to lower prices for American consumers is to increase supply.”

https://www.hoeven.senate.gov/news/news-releases/hoeven-pfluger-indrododuce-indroduce-cra-resolution-to-to-block-natural-gas-gas-gas-dax-dax-energy-costs-energy-costs-engy-costs-and-boost-senergy-energy-energy-gy-gy-yergy Production

Instead, critics argue that eliminating methane costs allows uncontrolled emissions of highly effective greenhouse gases to combat climate change efforts. Rhode Island Senator Sheldon Whitehouse said the resolution would “raise energy prices and undermine the environmental quality of consumers.”

The abolition of the gas tax reflects a broader legislative trend in the Trump administration and helps expand domestic oil and gas production. Proponents believe that reducing regulatory and financial barriers will lead to energy independence, job creation and increased economic growth. This legislative action is in line with other initiatives aimed at promoting the fossil fuel industry, such as expanding drilling rights and reducing environmental oversight.

As the resolution awaits the president’s approval, its statute will hopefully reshape the landscape of U.S. energy policy, prioritizing economic considerations and energy autonomy rather than regulatory measures targeting environmental issues.

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