Trump to declare a National Energy Emergency – will enable him to use new powers

No further details at this time.

Bloomberg report:

• Trump is poised to invoke emergency powers as part of his plan to unleash domestic energy production, according to people familiar with the matter
• aiming to cut energy costs by 50%
• greenlighting drilling, pipelines, and power plants
• eliminating regulations
• expedite energy projects
• Its believed Trump will use existing authorities related to energy production and supply, focusing on energy security and reducing costs, especially for fossil fuels.

More US energy production is likely to be a headwind for the price of oil.

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In general, when a U.S. president declares a national emergency, they gain access to broad executive powers that allow them to bypass certain legal and regulatory restrictions. These powers, derived from over 100 special statutory provisions, enable the president to reallocate military funds, impose economic sanctions, freeze assets, control transportation, limit trade, and deploy troops domestically. They can also seize communication facilities, restrict civil liberties, and take emergency measures in areas like public health, cybersecurity, and national defense. However, Congress can challenge or terminate the emergency, and courts may review actions to ensure they align with constitutional limits.

Not all of those powers will be relevant for an ‘energy’ emergency, but like I said, in general.

This pic may be of a sunrise for the US energy sector.

This article was written by Eamonn Sheridan at www.forexlive.com.