ZERINGUE: A New Chapter for Offshore Energy Requires Clear Eyes and Smart Regulation

Editor’s Note: a guest post by Christy Zeringue, President and CEO of COLAB (formerly South Louisiana Economic Council)

Louisiana’s Bayou region depends on offshore energy production. It’s the foundation of our economy and a way of life for thousands of families. From the docks of Port Fourchon to the shipyards of Terrebonne and the fabrication shops of St. Mary, our communities are built around the responsible development of oil and gas in the Gulf of America. It’s how we fund our schools, protect our coastlines, and support local businesses.

The enactment of the One Big Beautiful Bill Act marks a new opportunity to do even more. This important legislation, signed by President Donald Trump, reestablishes a strong framework for offshore leasing. It removes bureaucratic red tape that has blocked progress and gives Louisiana the tools it needs to fuel the nation.

The law amends the Gulf of Mexico Energy Security Act (GOMESA) by increasing the revenue sharing cap from $500 million to $650 million. That means more resources for coastal restoration, hurricane protection, and local infrastructure. In fiscal year 2025 alone, the parishes of Assumption, Lafourche, St. Mary, and Terrebonne received $6.3 million in GOMESA funding. That money is now at work strengthening levees and restoring marshes that serve as natural storm barriers.

Economic analysis commissioned by the Louisiana Mid-Continent Oil and Gas Association found that Louisiana’s energy sector supports over 300,000 jobs and generates more than $75 billion in annual economic value. In the Bayou region alone, energy activity generates nearly $10 billion in economic output each year. That includes more than 62,000 jobs, $4.7 billion in wages, and $119 million in local property tax revenue. These dollars support teachers in classrooms, nurses in clinics, and first responders on our streets.

Those benefits are now at risk. In May, the National Marine Fisheries Service released a revised Biological Opinion (BiOp) for offshore leasing that could bring progress in the Gulf to a grinding halt. The review was issued under a rushed timeline and relied on outdated models that do not reflect the most recent data about offshore operations or marine species. Instead of building on decades of environmental monitoring and technological improvements, the new BiOp introduces sweeping new restrictions that could block permitting and delay investment.

The BiOp fails to consider the real-world impact on coastal communities. Offshore operations in the Gulf are already among the most highly regulated and environmentally responsible in the world. The carbon footprint of Gulf-produced energy is significantly lower than global averages. Our ports and platforms use modern equipment that minimizes emissions and closely monitors wildlife interactions. Ignoring this progress undermines both environmental and economic goals.

Supporting offshore leasing in the Gulf is not only an energy policy. It’s a national security strategy. American production reduces dependence on unstable regions and allows us to supply allies with reliable energy. Liquefied natural gas exports from the Gulf have helped European nations reduce their reliance on Russian supplies. At the same time, offshore royalties fund critical resilience projects here at home.

The One Big Beautiful Bill outlines 30 lease sales over a 15-year period. That level of stability will attract long-term investment, create jobs, and keep small businesses across Louisiana busy. However, the promise of President Trump’s signature bill cannot be realized if new regulatory barriers hinder the very projects it was intended to advance.

At COLAB, we represent the parishes that live and breathe this work every day. Our region has always supported a balanced approach to energy development. We support policies that protect marine life and preserve our environment. But we also believe in fairness and science. The BiOp, as written, does not reflect either one.

The solution is straightforward. Federal agencies like the National Marine Fisheries Service must revise the Biological Opinion using the best available science and the input of those who are most familiar with the Gulf. That includes the people of the Bayou region who have been stewards of this resource for generations.

Louisiana stands ready to power the next chapter of American energy. Our workforce is experienced. Our infrastructure is resilient. And our commitment to both production and protection is unmatched. What we need now is a regulatory process that respects those facts and helps us build a better future.

The Bayou region has never shied away from hard work. With smart leadership and sound policy, we can continue to deliver energy dominance, coastal protection, and economic growth for the entire country.

 

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