Remaining Gas and Oil Leases in Alaskan Arctic Refuge Canceled by President Biden

JUNEAU, ALASKA - In a move that drew criticism from Republicans, the Biden administration revoked the last seven oil and gas leases in Alaska’s Arctic National Wildlife Refuge. This action reversed sales that had taken place during the final days of the Trump administration and introduced heightened safeguards for large portions of the National Petroleum Reserve-Alaska.

Earlier this year, the Department of Interior approved the Willow oil project in the petroleum reserve. This decision had previously disheartened environmental advocates. The Willow initiative, led by ConocoPhillips Alaska, is a significant venture anticipated to yield up to 180,000 barrels of oil daily from Alaska’s resource-rich North Slope. Proposals have been made to protect over 20,000 square miles (51,800 square kilometers) of land within the reserve located in the western Arctic.

While some detractors felt that the Willow project’s endorsement contradicted Biden’s commitments to tackle climate change, they welcomed the latest declaration. However, they believe there’s room for further action. Legal proceedings concerning the Willow project’s approval are currently underway.

“Alaska is home to many of America’s most breathtaking natural wonders and culturally significant areas. As the climate crisis warms the Arctic more than twice as fast as the rest of the world, we have a responsibility to protect this treasured region for all ages,” Biden said in a statement.

Biden stated that his measures “meet the urgency of the climate crisis” and aim to “protect our lands and waters for generations to come.”

However, Alaska’s Republican governor criticized Biden’s actions and indicated the possibility of legal action. Moreover, a Democratic legislator expressed concerns that the decision might adversely affect Indigenous communities in a remote area where oil development plays a crucial economic role.

Despite facing backlash over her involvement in the Willow project’s approval, Interior Secretary Deb Haaland affirmed on Wednesday that “no one will have rights to drill for oil in one of the most sensitive landscapes on earth.” Yet, a law from 2017 requires another lease sale to be held by the end of 2024. Officials from the administration have communicated their intention to adhere to this legislation.

Furthermore, the Biden administration disclosed prospective regulations with the intent of enhancing protections against new leasing and developments in specific sections of the National Petroleum Reserve-Alaska. These areas have been earmarked due to their significance for wildlife, subsistence, scenic beauty, or other unique qualities. This proposal is still in the phase of public consultation. Notably, the Willow project, located within the reserve, is not anticipated to be impacted by these suggested regulations.

The 1.5-million-acre (600,000-hectare) coastal plain of the Arctic National Wildlife Refuge, situated by the Beaufort Sea on the northeastern frontier of Alaska, holds spiritual significance for the Indigenous Gwich’in. They revere it as the birthing grounds where the caribou they depend upon migrate and reproduce. This landscape, characterized by its hills, rivers, small lakes, and tundra, witnesses the passage of migratory birds and caribou. Moreover, it offers a habitat to diverse wildlife like polar bears and wolves.

While political figures in Alaska, encompassing some from the Democratic party, have consistently advocated for oil and gas exploration in the refuge, their motivation partially stems from the economic benefits such endeavors could bring to Indigenous communities in a region where alternative employment opportunities are scarce. Many of these proponents also urged Biden to greenlight the Willow project, citing similar economic reasons.

“I am deeply frustrated by the reversal of these leases in ANWR,” said U.S. Rep. Mary Peltola, a Democrat, using a common shorthand for the refuge. “This administration showed that it is capable of listening to Alaskans with the approval of the Willow Project, and it is some of those same Inupiat North Slope communities who are most impacted by this decision. I will continue to advocate for them and for Alaska’s ability to explore and develop our natural resources.”

In 2017, the congressional delegation from Alaska was successful in adding language requiring the U.S. government to conduct two lease sales in the area by late 2024.

On Wednesday, opponents of drilling urged Congress to remove the leasing clause from the 2017 law and permanently ban drilling in the coastal plain.

“It is nearly impossible to overstate the importance of today’s announcements for Arctic conservation,” said Jamie Williams, president of the Wilderness Society. “Once again, the Arctic Refuge is free of oil leases. Our climate is a bit safer and there is renewed hope for permanently protecting one of the last great wild landscapes in America.”

U.S. Senator Dan Sullivan from Alaska, a Republican, criticized Biden’s decisions, describing them as another chapter in what he termed a “war on Alaska.”

Earlier, two leases, which were part of a groundbreaking sale for the refuge in January 2021, were relinquished by the small businesses holding them due to legal disputes and doubts concerning the drilling initiative.

Upon assuming office, Biden put forth an executive order mandating a temporary halt to activities tied to the leasing scheme and instructed the Interior secretary to assess the plan. Later in 2021, after finding “multiple legal deficiencies” in the Trump administration’s leasing approach, Haaland called for an updated environmental examination. She suspended operations associated with the leasing initiative awaiting this new assessment.

A preliminary environmental evaluation was disclosed last week.

The Alaska Industrial Development and Export Authority, which had secured seven leases during the 2021 auction, challenged the moratorium in court. However, a federal judge recently deemed that the Interior’s pause to undertake a fresh assessment was justified.

The state-owned corporation acquired these leases to safeguard drilling rights in the event that oil enterprises refrained from stepping in. Notably, major oil conglomerates abstained from participating in the auction, which followed announcements by leading banks about their disinclination to support Arctic oil and gas endeavors.

Bernadette Demientieff, who leads the Gwich’in Steering Committee, expressed gratitude to the administration for revoking the leases, but she also sounded a note of caution.

“We know that our sacred land is only temporarily safe from oil and gas development,” she said. “We urge the administration and our leaders in Congress to repeal the oil and gas program and permanently protect the Arctic Refuge.”