The Trump administration’s used the Defense Production Act to boost fossil fuel production across the U.S. The move’s aimed at expanding coal, oil, and natural gas output. Officials say it’s needed to protect national security and keep energy prices low.
The Trump administration’s invoking the Defense Production Act to ramp up coal, oil, and natural gas production nationwide.
On March 13, the Department of Energy ordered Sable Offshore Corporation to restart oil pumping in California. The order overrode state regulators who had kept a pipeline shut down since a 2015 oil spill. The Department of Justice’s Office of Legal Counsel backed the move, saying the government had the legal right to require the company to operate.
The administration also reportedly signed an executive order directing the Department of Defense to use DPA authority to support coal-fired power plants supplying electricity to military bases. Officials said the goal’s to prevent blackouts and make sure the military always has power. The order helped stop the closure of an estimated significant amount of coal power capacity and led to new investments in power generation.
Executive orders lifted restrictions on coal mining on federal lands, with the administration aiming to remove regulatory barriers that had slowed down energy production. They also reportedly cut regulations that had limited certain coal-fired power plants.
The Defense Production Act actions cover coal supply chains, domestic oil output, and natural gas pipelines. Officials say the measures respond to rising energy prices partly driven by conflicts overseas, including tensions involving Iran. Critics have argued the DPA is one of the government’s most powerful and flexible industrial policy tools and that its current use amounts to little more than a handout to political donors.
The administration has also reportedly renewed the National Coal Council, a group that had been shut down under President Biden. The council reportedly held its first meeting last month.
Supporters say the moves’ll bring back jobs in the coal industry and make energy more affordable. They also argue that coal and other fossil fuels provide reliable power that wind and solar can’t always guarantee. U.S. crude futures have fallen roughly 11.8% amid persistent geopolitical tensions and a pullback from earlier risk premiums.
Critics haven’t been silent, but the administration’s pushing forward. Officials say the Defense Production Act gives them the authority to act fast. Meanwhile, environmental groups are filing lawsuits challenging these fossil fuel expansions, arguing the policies ignore overwhelming scientific evidence on climate harm. They’re framing it all as a matter of keeping America safe and powered.
References
- https://rooseveltinstitute.org/publications/trump-wields-defense-production-act-to-promote-fossil-fuels/
- https://www.whitehouse.gov/fact-sheets/2026/02/fact-sheet-president-donald-j-trump-strengthens-united-states-national-defense-with-americas-beautiful-clean-coal-power-generation-fleet/
- https://www.tipranks.com/news/commodities/trump-uses-defense-production-act-to-advance-energy-memorandums-amid-war-driven-price-pressures
