White House Unveils New Oil & Gas Policy to Balance Energy Security and Climate Goals

September 15, 2025 — Washington, D.C.

The Biden administration has introduced a new oil and gas policy framework aimed at balancing U.S. energy security with long-term climate commitments. The policy, announced on Monday, seeks to expand domestic production in the short term while accelerating investment in renewable energy and emissions reduction technologies.

According to the Department of Energy, the plan includes:

Extending drilling permits in selected offshore regions of the Gulf of Mexico.

Providing tax incentives for companies investing in carbon capture and storage (CCS).

Increasing funding for research in renewable energy integration with existing oil and gas infrastructure.

Balancing Act
Energy Secretary Jennifer Granholm emphasized that the U.S. must ensure reliable energy supply for consumers while reducing greenhouse gas emissions. “Our goal is a responsible energy transition that protects jobs, strengthens our economy, and keeps America at the forefront of global energy markets,” she said.

Industry Reaction
The American Petroleum Institute (API) welcomed the decision to extend drilling permits but raised concerns about stricter methane regulations included in the new framework. Meanwhile, environmental groups argued that expanding fossil fuel production undermines U.S. climate leadership.

Global Context
The policy shift comes as OPEC+ continues coordinated production cuts and Europe increases demand for U.S. LNG to replace Russian supplies. Analysts note that U.S. energy diplomacy will play a critical role in shaping global oil and gas flows over the next decade.