Stop Private Oil Companies From Dictating Energy Policy

In the wake of Russia’s invasion of Ukraine, concerns over energy security have surged. The price of crude oil soared past $120 per barrel, while the average price of a gallon of gasoline in the United States exceeded $4. Despite the looming threat of climate change and the need to decarbonize the economy, Sen. Joe Manchin and other congressional lawmakers argue that the best way for Washington to address the current crisis is to increase domestic oil and gas production.

On the surface, that appears to make sense. Fossil fuel production is intimately linked to energy security—that is, a nation’s ability to meet its energy needs with steady supplies at manageable prices. The more oil a nation produces, the less vulnerable it is to outside supply shocks.

But unlike other major oil-producing nations such as Saudi Arabia or large consumers such as China, the United States depends on private companies—rather than state-owned entities—to execute the exploration, production, refining, transportation, and marketing of its energy products. And unlike those state-owned entities, which pursue commercial opportunities in service of national priorities, private oil companies are motivated only by profit.

Although the partnership of