I believe it is vital we continue to bolster our nation's energy independence, especially given our nation's current economic situation. Transitioning to renewable fuels, such as wind energy, ethanol, and biodiesel, helps reduce our dependence on foreign oil while providing a much-needed boost to our economy by creating jobs and decreasing energy costs.
In addition to these homegrown fuels, domestic production of oil and natural gas is a critical component to America's energy security. Advancements in oil extraction have allowed for expansive oil production from the Bakken formation in neighboring North Dakota, as well as created a need for new infrastructure, such as the Keystone XL pipeline.
Fuel costs have a direct impact on families, farmers, and small business owners across South Dakota. It is critical that Congress act to preserve low fuel prices and work to lower the cost of energy for all Americans, encouraging domestic oil and natural gas development while investing in the next generation of biofuels. However, the Obama Environmental Protection Agency (EPA) has promulgated rules that will drive up energy costs and place unnecessary regulatory burdens on energy producers. This includes the EPA's national backdoor energy tax under the guise of combating greenhouse gasses, which would require South Dakota to decrease its carbon emissions by over 38 percent by 2030. Such rules may subject financial hardships on South Dakotans living on fixed budgets, such as senior citizens and families with incomes below $50,000, who should not be subjected to this additional government overreach.
South Dakota's agriculture and manufacturing sectors are energy-intensive and particularly susceptible to higher energy costs. The EPA projects that natural gas prices will increase by over 11 percent on account of this new regulation, translating into higher costs for fertilizer and manufacturing in South Dakota. It is because of EPA regulations like this that I continue to oppose EPA regulations that threaten to destroy jobs, slow economic growth, increase electricity rates, of threaten grid reliability.
As your U.S. Senator, I am committed to supporting policies that will increase our domestic energy security, create jobs, and provide affordable energy for South Dakota families and small businesses.