TotalEnergies CEO Patrick Pouyanne emphasized the critical importance of preserving America’s energy supremacy in light of the upcoming 2024 U.S. presidential election. In a recent interview with CNBC on Monday, he asserted that the next president should prioritize the maintenance of this dominance rather than risk its decline amid a shifting political landscape.
According to the Energy Information Administration, the United States currently stands as the world’s largest oil producer, contributing a substantial 22% of global oil production, with Saudi Arabia in second place at 11%. Most of this crude oil is consumed domestically, as the U.S. also leads as the world’s largest oil consumer, reinforcing its significant position in the global energy market.
Pouyanne remarked, “U.S. energy has been unleashed. In fact, when you look at what has transpired in the last two to three years, oil production has never been higher. The revolution of U.S. shale is truly taking place.” He noted that shale production accounts for approximately 64% of total U.S. crude output, and he projected that the country would soon secure the position of the number one producer of liquefied natural gas (LNG), further solidifying its status as a global energy powerhouse.
He added, “I believe this is part of the political narrative. My perspective is that regardless of who wins the election, energy remains one of the significant competitive advantages for the U.S. The winning party will undoubtedly prioritize American interests and seek to capitalize on this vital sector.”
As the election approaches, former President Donald Trump and the Republican Party have long supported the expansion of U.S. shale production, advocating for the deregulation of the industry and increased drilling activities. This stance has drawn criticism from climate activists and many left-leaning groups who are concerned about the environmental implications of such policies. In a surprising shift, Democratic contender and current Vice President Kamala Harris has recently expressed support for fracking, the contentious oil and gas extraction method, stating that she would not ban it as president, despite her previous vocal opposition to it.
Fracking, which utilizes large amounts of water and poses potential environmental risks, has been instrumental in driving the shale boom, enabling U.S. oil production to soar from a low of 5.1 million barrels per day in 2008 to an impressive nearly 13 million barrels per day in 2023. This remarkable turnaround highlights the profound impact of shale technology on the nation’s energy landscape.
Commenting on Harris’s evolving stance, Pouyanne noted, “Kamala Harris has declared her support for shale oil and gas production. I see this as part of the political game. For me, the U.S. currently holds a clear competitive advantage in energy compared to much of the rest of the world, and I would be surprised to see whoever is elected allow that advantage to slip away or diminish.”
America’s energy dominance also significantly influences its export capabilities and geopolitical strength. Following Russia’s invasion of Ukraine, the U.S. has ramped up oil and gas supplies to Europe, which has been working diligently to reduce its reliance on Russian energy. In 2023, the U.S. accounted for nearly half of Europe’s LNG imports, with most of that gas originating from shale drilling operations. This shift in energy dynamics has not only benefitted the U.S. economically but also strengthened its strategic alliances with European nations.
Pouyanne acknowledged that the Biden administration has been more cautious about approving new drilling sites. However, he pointed out, “At the same time, they approved a project in Alaska. So, it’s more balanced than it might seem.” He reiterated his belief that regardless of who takes office, the mantra of “USA first” will prevail in energy policies, as the nation seeks to harness its natural resources for both economic and strategic advantages.
In conclusion, as the 2024 election approaches, maintaining America’s energy dominance remains a pivotal issue that will undoubtedly shape the political landscape. Pouyanne’s insights underscore the necessity for the next president to prioritize energy production and innovation, ensuring that the U.S. retains its leading position in the global energy market. As discussions around energy policy continue, it is clear that the next administration will play a crucial role in determining the future of America’s energy strategy and its implications for both domestic and international interests.
