Petroleum Economist Piece: US oil and gas has high hopes for new Speaker

ESG reporting standards and spending and subsidy provisions in the IRA among the priorities for the sector

New Speaker Mike Johnson (R-LA)

David Blackmon

8 November 2023

Washington has seen a turbulent few months, with September’s fight over federal funding for the 2024 financial year and the ousting of California Republican Kevin McCarthy from the post of House speaker. The latter led to a month-long fight among Republicans to elect a replacement, a battle fraught with controversy and bad blood as candidates such as Louisiana’s representative and House Majority Whip Steve Scalise and Ohio’s Jim Jordan were considered and rejected.

In the end, the party settled on Louisiana congressman Mike Johnson, a fourth-term member from Shreveport who has served as deputy whip, to become the next speaker. Johnson has established a strong pro-business record in Congress and, with a district that spans much of the Haynesville shale area, has a strong record of support for the oil and gas industry.

This is not surprising given how vital oil and gas is to Johnson’s home state, with the Haynesville gas resource having added billions to northwest Louisiana’s economy over the past 15 years.

Johnson’s conservative politics and his record have created optimism in the energy business that his elevation to speaker could lead to a more productive Congressional environment on certain key issues.