Colorado Legislators Reject Bill to Ban Oil and Gas Drilling, Protecting State's Economy and Jobs
Written by: Brick Benedict Jr.
Colorado lawmakers have rejected Senate Bill 24-159, which aimed to ban all new oil and gas drilling in the state by 2030.
The bill, introduced by Senator Sonya Jaquez Lewis, was met with strong opposition from representatives of the oil and gas industry, who highlighted the devastating impact it would have on the state's economy and workforce.
The sponsors of the bill argued that banning new oil and gas drilling was “necessary to combat climate change and address health concerns.” However, their claims were met with skepticism from industry experts and lawmakers who recognized the importance of the oil and gas industry to Colorado's economy.
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Dan Haley, president and CEO of the Colorado Oil & Gas Association, hailed the rejection of the bill as a "win for our state, for the environment, and for common sense." He emphasized that the bill, promoted by extreme environmental activists, would have put thousands of Coloradans out of work and threatened funding for local infrastructure and education.
The Colorado Chamber of Commerce echoed these sentiments, calling SB 159 one of the most hostile bills targeting the energy industry they have ever seen. Loren Furman, the chamber’s president and CEO emphasized the importance of preserving jobs and applauded the lawmakers who voted against the bill for supporting the statewide business community.
The oil and gas industry is a vital contributor to Colorado's economy, with a study from the American Petroleum Institute revealing that it contributed over $48 billion to the state's gross domestic product in 2021. The industry provides direct and indirect benefits, constituting 11.2% of the state's total GDP.
Moreover, a report from the Common Sense Institute highlighted the dire consequences of the bill becoming law. It estimated that over 181,800 jobs would be lost, with 70% of them concentrated in metro Denver. Additionally, more than $2 billion in state and local tax revenue would be at risk, and school funding would decrease by over $400 million over a decade.
The rejection of SB 159 was not surprising given the lack of support from Governor Jared Polis and the unfavorable assignment of the bill to the Senate Agriculture and Natural Resources Committee. The committee's Democrats, including the chair Senator Dylan Roberts and Senator Janice Marchman, voted against the bill, citing its flawed concepts and detrimental impact on the state's finances.
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It is clear that the defeat of SB 159 is a victory for Colorado's economy, jobs, and the commonsense approach to energy policy.
Lawmakers ultimately recognized the importance of the oil and gas industry and the devastating consequences of banning new drilling. By rejecting this misguided bill, they have protected the livelihoods of thousands of Coloradans and ensured the continued growth and prosperity of the state.
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