Economic and National Security Impacts under a Hydraulic Fracturing Ban
A ban on hydraulic fracturing would have dire consequences for the United States, resulting in reduced employment and Gross Domestic Product, and undercutting America's national security.
From the study:
Abundant American oil and natural gas reserves are a strategic asset in driving sustained, long-term economic growth, achieving environmental goals, and enhancing the national security interests of the United States. Over the past two decades, due to technological advancements in the combination of horizontal drilling and hydraulic fracturing technology, the United States is now firmly the world’s largest producer of both natural gas and crude oil.
A hydraulic fracturing ban would reverseUnited States oil and natural gas production growthand return the country to a net-importer of oil and natural gas by 2025.
The report estimates a fracking ban would result in a loss of 7.7 million jobs, a $1.1 trillion loss in GDP, and $950 billion less in labor income. Average gasoline prices would more than double between 2022 and 2023 to $4.20 per gallon, according to DOE’s analysis, while diesel fuel prices would increase 95 percent to $4.56 per gallon. Overall, Americans would pay an additional $1.19 trillion in petroleum costs through 2025, and their the retail price of electricity would increase by $480 billion.