OPEC May Give Trump Energy Goals a Boost
An agreement to cut production could lead to higher global oil prices
By Russell Gold
Nov. 28, 2016 8:00 a.m. ET
Donald Trump says he plans to make America energy independent. He may receive an unintended boost this week in the form of an oil production cut by Organization of the Petroleum Exporting Countries, which could raise crude prices.
Mr. Trump has pledged to slash regulations he sees as impediments to U.S. fossil-fuel industries. But, the U.S. has moved closer to energy independence in recent years. Oil imports are down and exports of natural gas and diesel are up. Overall, the net amount of energy brought into the country fell to 11.2% of domestic need in 2015 from 30.1% in 2006, according to Gregor Macdonald, an independent energy analyst.
Energy experts say the biggest barrier to additional increased domestic oil production today is the low price of crude, not red tape.