The Energy Permitting Reform Act (EPRA) of 2024, introduced by Senators Joe Manchin (I-WV) and John Barrasso (R-WY), represents a crucial step toward shaping the future of U.S. energy policy. This bipartisan bill aims to simplify the permitting processes that have historically slowed down the development of energy infrastructure. As the demand for energy grows and the need to lower emissions becomes more urgent, EPRA provides a practical solution to unlock domestic energy sources. While there is always room for future improvements, this legislation establishes a strong foundation for modernizing the nation’s energy infrastructure. Congress now has a critical opportunity to pass a bill that will drive further progress in streamlining energy project approvals.

The core goal of the EPRA is to overhaul the complex and time-consuming process for permitting energy projects, which often hampers both innovation and growth. The bill includes provisions to speed up approvals for wind, solar, and geothermal projects on public lands, while also improving the permitting process for transmission lines, which are vital for transporting clean energy across long distances. While the EPRA also addresses traditional fuels, which remain a critical part of today’s energy landscape, it also prioritizes important advancements for clean energy. As highlighted in Niskanen’s reports on siting, permitting, and leasing, and transmission permitting, these reforms are crucial to ensuring a cleaner, more resilient energy future.

The Energy Permitting Reform Act: Overview

The EPRA seeks to overhaul the outdated permitting process by incorporating a range of reforms that will benefit both clean energy projects and traditional energy sources. Specifically, it addresses the following areas:

Transmission Infrastructure: The bill prioritizes the development of long-distance transmission lines, a critical step toward increasing reliability and allowing energy from all sources to flow where it’s most needed. This is key for the United States to tap into its vast clean energy potential and help enable interregional connections.

Streamlining Clean Energy Permitting: EPRA simplifies the permitting process for wind, solar, geothermal, and hydroelectric projects, reducing the bureaucratic hurdles that have stifled their deployment.

LNG, Drilling, and Mining: The bill includes provisions for responsible oil and gas leasing, particularly on federal lands, though it retains necessary environmental safeguards. It also contains provisions on Hardrock mining mill sites on federal lands to support mining activities.

Judicial Reforms: By shortening the time allowed for judicial reviews under the National Environmental Policy Act (NEPA), the bill aims to curb the abuse of litigation that can delay or derail energy projects indefinitely.

These measures provide a clear path forward for a more streamlined energy future, enabling the rapid expansion of domestic energy and reducing the nation’s dependence on foreign energy sources. The Senate Energy and Natural Resources Committee has a section-by-section analysis for more information on specific provisions of the bill.

A strong step toward progress

One of the bill’s most notable achievements is its (increasingly rare) focus on bipartisan cooperation. The current status quo frustrates both advocates, who push for faster deployment of clean energy, and the traditional energy sector, which is burdened by an inefficient and overly complex permitting system. In offering solutions that benefit both clean energy progress and traditional development, the EPRA is a step toward resolving this deadlock.

Take, for example, the bill’s reforms to the NEPA process. By establishing clear litigation timelines and expectations for the review of energy projects, while preserving essential environmental protections, the bill paves the way for broader discussions on practical NEPA reforms. These would modernize a process that was never meant to delay energy innovation indefinitely. While the EPRA is not the final solution, it initiates an important conversation about how to balance regulatory oversight with the urgent need for energy development in a way that benefits both the economy and the environment.

Tangible impacts

The EPRA can deliver substantial economic benefits by easing barriers to private investment in energy projects and modernizing grid infrastructure. By streamlining the permitting process, the bill provides much-needed certainty, which is vital for the effective deployment of capital. Investors and developers can confidently commit to long-term energy projects without the looming threat of indefinite regulatory delays. This approach allows private capital to flow more freely, fostering the creation of high-quality jobs and boosting the competitiveness of the domestic energy sector.

Aside from its economic benefits, the EPRA strengthens the reliability of the U.S. energy grid. By speeding up the development of critical transmission infrastructure, the bill enables more efficient energy distribution across regions, improving grid reliability and reducing the risk of power shortages. This ensures a stable and secure energy supply for Americans.

While the bill acknowledges the continued role of traditional energy sources, its greatest impact on emissions reduction comes from accelerating clean energy deployment. The expansion of modern transmission infrastructure, combined with other provisions in the EPRA, positions the U.S. to make significant progress toward its decarbonization goals.

Addressing criticism from both sides of the political spectrum

Environmental advocates on the left argue that the bill’s provisions for oil and gas leasing represent a step backward, viewing any expansion of fossil fuel production as detrimental to the climate. This response not only overlooks the necessity of bipartisan support for any substantial permitting reform, but also ignores the bill’s potential for significant emissions reductions. By accelerating the deployment of clean energy technologies and expanding transmission capacity, modeling strongly supports claims of the EPRA’s net decrease in emissions.

On the other hand, criticism from the right primarily focuses on the concern that the bill overrides states’ rights in areas like transmission and cost allocation, which have traditionally been under state jurisdiction. However, the fact remains that the current system has failed to keep pace with the need to modernize the grid. While the EPRA introduces a federal interregional transmission planning process, it stops short of mandating the construction of new transmission lines. This approach allows for federal coordination while still respecting state authority, aiming to address grid modernization without imposing strict federal mandates.

After the bill’s passage: what comes next?

While the EPRA is a major step forward, it will need to be followed by further efforts to ensure successful implementation. This includes allocating more resources to federal agencies responsible for processing permits and conducting NEPA reviews, and addressing any challenges that may arise during the early stages of implementation.

Further reforms may also be necessary to unlock the full potential of a modernized energy sector. Additional resources and regulatory changes could further streamline the permitting process, especially for large-scale clean energy projects and the infrastructure required to support them. Enhancing federal-state and state-to-state cooperation will also be crucial areas for improvement moving forward.

Conclusion

By striking a balance between the urgent need to accelerate clean energy deployment and the reality that oil and gas still play a significant role in our energy system, the EPRA offers a pragmatic bipartisan solution to the United States’ energy permitting challenges. It provides the necessary tools to unlock the potential of clean energy, while maintaining environmental safeguards and promoting economic growth. The EPRA represents a critical step toward a more sustainable, secure, and resilient energy future, and Congress should recognize its urgent necessity by acting quickly to pass it.