Steve Scalise & Troy Carter: Louisiana Should Get Its Fair Share of Revenues From Offshore Energy -- Wind Included

Statement

House Republican Whip Steve Scalise (R-La.) and Congressman Troy Carter (D-La.) today co-authored an op-ed for The Advocate promoting their bipartisan legislation that updates the Gulf of Mexico Energy Security Act (GOMESA) to increase coastal states' share of oil and natural gas revenue, ensuring additional funding goes towards coastal restoration and improves South Louisiana's resiliency against hurricanes. The Budgeting for Renewable Electrical Energy Zone Earnings (BREEZE) Actalso sets the stage for even more funding for coastal protection projects by allowing Louisiana and other coastal states to collect revenue from future offshore wind development. Excerpts from the op-ed are featured below.

Louisiana receives funding each year from offshore energy production that directly contributes to vital coastal restoration and hurricane protection projects, which provide greater security for our coastal communities. For years, however, we've lagged behind interior states that receive far greater funding from energy leases on public lands.

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Under current law, Gulf states only receive 37.5% of offshore oil and gas revenues collected by the federal government, and revenues allocated to coastal states are capped. Meanwhile, interior states get 50% of revenues from their energy leases, without being subject to an annual cap like ours in Louisiana. It's only fair that Louisiana families and communities receive the same percentage of energy revenues generated off our coast.

The BREEZE Act corrects this disparity by increasing Gulf states' share of oil and gas revenues to 50% -- matching the interior states' share -- and removes the annual cap. This increase will ensure more funding goes toward our coastline so we can continue to make the major investments in coastal restoration and hurricane protection that our state needs and Louisiana families deserve.

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Our bill also establishes a revenue-sharing structure for offshore wind leases in federal waters.

As the United States continues to explore renewable energy sources like offshore wind, South Louisiana can become a hub for this growing industry. Studies indicate that Gulf wind power is one of the largest untapped energy sources in the nation, and our state's existing infrastructure and maritime and service industries put us in a strong position to harness wind energy to grow our economy, generate millions of new dollars to rebuild our coastline and fund more hurricane protection projects.

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We are proud of the strong and positive impact Louisiana has had on our national economy, our global competitiveness, and American job creation. This bill allows us to equalize the playing field with onshore states, invest early in offshore wind production, and provide hundreds of millions more dollars to restore our coast.

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