U.S. Senator Ted Cruz (R-TX) has introduced legislation aimed at repealing a tax on natural gas imposed by the Inflation Reduction Act (IRA), which was passed with Democratic support. Cruz stated, 'Democratic policies have forced Americans to endure historic inflation and economic pain, and have jeopardized American energy independence and national security.' The proposed bill seeks to eliminate what Cruz describes as 'a crippling tax' on the U.S. natural gas industry.
If enacted, the bill would repeal Section 136 of the Clean Air Act, which pertains to a methane emissions and waste reduction incentive program for the petroleum and natural gas sectors. Additionally, Cruz filed a separate bill aimed at rescinding executive orders issued by President Biden that prohibit offshore drilling exploration on over 625 million acres of federal waters.
Cruz criticized Biden's actions, stating, 'President Biden's ban on new offshore oil and gas drilling is an attack on American energy independence, jobs, and national security.' The senator's bills have garnered support from several Republican co-sponsors.
Under the previous administration, the U.S. achieved significant energy production, primarily driven by Texas, which continues to set records in crude oil and natural gas production. Texas accounted for 44% of the national crude oil production and nearly 30% of natural gas marketed production last year.