Oil and gas professionals are increasingly worried about federal constraints on the industry, according to the Texas Alliance of Energy Producer’s 3rd Annual “Pulse of the Oil Patch” survey. Nearly 85 percent of the more than 130 survey respondents disapprove of the Biden Administration’s approach to energy policy.
For the second consecutive year, respondents chose “federal overregulation” as the top threat (56% versus 30% in 2022). Respondents also elevated “regulatory issues” and “regulatory uncertainty” to two of the three biggest challenges for 2023.
“The Biden Administration has signaled more support recently, but the oil and gas industry continues to fight onerous federal regulations and policy,” said Jason Modglin, President of the Texas Alliance of Energy Producers. “Led by Texas, the U.S. can produce enough oil and natural gas for our domestic needs while providing more energy security to our allies. But as these results show, only if the federal government stays its heavy hand and rhetoric against fossil fuels.”
In addition to the two regulatory concerns, the biggest challenge for 2023 is “supply chain issues.” The number one priority again is to “grow the business.” Of note, in 2021 “maintain the business” was the top challenge and top priority, showing in part Covid’s impact on the industry. In 2023, it is the second highest priority and 10th challenge.
The survey results also show more positivity about individual company outlook and the Texas state regulatory environment. However, oil and gas professionals are less optimistic that the industry will improve one year from now: Nearly half indicate the industry will remain about the same (versus only 27% in 2022), while one third believe it will be better or much better (versus 52% in 2022).
Despite the focus on global energy security, public perception of American oil and natural gas has gotten worse or much worse over the past year, according to 40 percent of respondents. One quarter say it has gotten better or much better, while 34 percent indicated “about the same.” In fact, “public opinion against oil and gas” is a top three threat (along with “environmental activism”).
For more survey results and insights from respondents, download link below.
About the Survey
More than 130 oil and gas professionals responded to a web-based survey between Jan. 18 and Feb. 13, 2023. Responses were solicited via social media and direct e-mails from Alliance and third-party databases.
- 75% of the respondents are based in Texas, with the rest representing 14 states.
- 40% of the respondents work for independent producers.
- About half are an owner or executive.
- The majority (57%) have between one and ten employees, while 26% have between 11 and 250 employees.
About Texas Alliance of Energy Producers
The Texas Alliance of Energy Producers is the largest and most effective statewide oil and gas association for independents in the nation. Serving nearly 3,000 members, the Alliance provides a voice for sound U.S. energy policy. These individuals and organizations – from small players to publicly traded companies – are the driving force behind the U.S. energy renaissance. Founded in 1930, the Alliance has offices in Wichita Falls and Austin, Texas. For more information, visit https://texasalliance.org/.