Co-authored by Marc Ehrhardt, executive director of Grow Louisiana Coalition; Tommy Faucheux, president of Louisiana Mid-Continent Oil and Gas Association, and Mike Moncla, president of Louisiana Oil and Gas Association
For more than a century, Louisiana has been an energy-rich state and a world leader in energy exploration, production and innovation. We have achieved this success thanks to our state’s abundant natural resources, highly skilled workforce unmatched anywhere else in the world, and extensive network of pipelines that supply half of America’s refining capacity.
As we look to Louisiana’s future, the energy industry’s emerging expansion represents a golden opportunity for us to grow our economy in ways not seen since Louisiana’s first oil boom.
The numbers speak volumes: Louisiana’s energy sector sustains over 346,000 jobs, contributes $25 billion in wages, and generates $54 billion in economic output. Our state provides direct access to America’s only deepwater offshore oil port, produces clean offshore energy supplies for our nation and allies, and is home to some of the world’s largest liquified natural gas (LNG) export terminals. Today, Louisiana’s robust energy infrastructure and experienced workforce remain an essential national resource, strengthening our state’s economy and supplying both America’s energy needs and global market demands.
Right now, America’s energy sector is expanding as the demand for all types of energy production keeps growing. Louisiana is working to fulfill this demand and capitalize on the energy industry’s expansion. Energy producers around the world, like ExxonMobil, Shell, Chevron and dozens of others, are investing billions of dollars into Louisiana’s working energy infrastructure. This includes:
- $50B in new project investment for energy production, manufacturing or related facilities according to Louisiana Economic Development;
- More than $20B in clean hydrogen energy production projects with more than 10,000 future job opportunities;
- A $27.5M investment from Shell has created the LSU Institute for Energy Innovation to study and direct the future of American energy;
- $46.9B for six energy-related projects planned at the Calcasieu Ship Channel;
- $3.6M from ExxonMobil invested in Louisiana to lead innovation around future energy projects in addition to educational programs teaching Louisiana students about new technologies such as advanced recycling, carbon capture and clean hydrogen.
Louisiana can do more if we embrace our position as the leading energy innovation state in America. For example, Louisiana could gain up to $13 billion in private investments plus thousands of new jobs for carbon management and hydrogen energy production, as well as 4,400 new jobs and $445 million in new investment through just one offshore wind farm in the Gulf of Mexico.
The need for oil and natural gas resources is not going away. By supporting our oil and natural gas investments and new opportunities in energy advancements, Louisiana can lead America’s energy expansion and be at the forefront of the great American energy renaissance. Let’s build on our ability to supply the world’s energy needs by producing even more energy through innovations like hydrogen and offshore wind.
This isn’t about replacing our traditional energy efforts. It’s about enhancing them, while embracing innovation and preparing for the growing global energy demand.
We know what the energy industry gives to Louisiana – a robust economy contributing more funding for local schools, police protection and coastal restoration, plus an exciting future brimming with in-state, advanced careers. Industry leaders, energy advocates, scientists and local communities are backing the future of Louisiana energy by working together across our state, advocating for pro-energy policies and streamlining regulations to ensure that Louisiana remains at the forefront of energy production.
It is vital that we stand firm in our support of Louisiana’s energy expansion for the people of the industry. Our action or inaction today will determine whether Louisiana’s position as a premier energy-producing state will be preserved or threatened. Let us stand united and resolve to do what it takes to not only maintain, but fortify Louisiana’s exceptional energy culture and way of life, now and well into the future.
