While rising gas prices are causing Michigan consumers to pay more at the pump, a federal judge recently banned offshore drilling in the Gulf of Mexico.
A report from AAA says that prices continue on an upward trend, which shows no signs of slowing down. Inflation and global tensions continue to be a factor in the price of oil, leading to rising gas prices.
According to the current AAA Gas Price report, areas of the Midwest region of the U.S. are experiencing moderate retail gas prices when compared to other areas of the country. In the state of Michigan, the current average price for regular gas is $3.34 per gallon, the average for mid-grade is $3.66 per gallon, the average for premium is $3.99 and the average for diesel is $3.87 per gallon.
A January report from The Wall Street Journal lays out a major decision for offshore drilling made by an Obama-appointed federal judge. Judge Rudolph Contreras blocked the lease sale in the Gulf of Mexico on the grounds that climate concerns outweigh government revenue generated from the drilling. The lease was for 80 million acres and was made available from the U.S. Department of Interior.
Erik Milito, president of the National Ocean Industries Association, an association that represents offshore wind development and drilling, criticized the judge’s decision.
“At a time of geopolitical uncertainty and rapidly rising energy prices, U.S. oil and gas production is more important than ever to curb inflation and to fortify our national security,” Milito told The Wall Street Journal.
According to CNN, in November 2021, President Joe Biden reopened oil and gas leasing throughout the Gulf of Mexico: 80 million acres, which the Biden administration had previously banned from drilling in January of 2021.
Contreras said that regulators of the U.S. Department of Interior “used flawed environmental analysis” in their federal oil-and-gas leasing program efforts during the Trump administration.
Melissa Schwartz, a spokesperson for the U.S. Department of Interior, said that the department is reviewing the previous decision to reopen drilling.
“We have documented serious deficiencies in the federal oil and gas program,” Schwartz said, according to WSJ. “Especially in the face of the climate crisis, we need to take the time to make significant and long-overdue programmatic reforms.”
