Trump to re-drill in the Arctic?

US President-elect Donald Trump announced this week that he will lift restrictions on the energy sector and resume drilling in the Arctic. The Wall Street Journal estimates that the plan could benefit the US economy.

The editors note that this week Trump released a video in which he informed about the plans for the first 100 days of his rule. However, last week, President Barack Obama's administration completed work on a five-year offshore drilling plan, under which it was decided to cancel drilling in the Arctic until 2022. WSJ recalls that Obama made his decision under pressure from environmentalists. The current administration explains that energy production in the Arctic is not profitable due to low oil prices, which are predicted to continue in the coming years.

As the WSJ notes, the resumption of production in the Arctic will create thousands of jobs, adding that this process of obtaining raw materials should not be difficult because most of the fields are located at depths of less than 100 m. However, existing US law makes such drilling difficult ... The US National Petroleum Council has established that a person wishing to start exploration drilling in the Arctic requires permission from 12 state and federal agencies. “Russian companies do not have to deal with these kinds of problems,” adds WSJ

To change this situation, the Trump administration will have to announce a new offshore drilling plan. It could cover 2019-2024 by overturning the Obama rule. However, the introduction of the new rules will take at least 18 months.