US Energy Secretary Chris Wright emphasized the need for streamlined infrastructure development as a key strategy to reduce oil prices. Speaking at the CERAWeek by S&P Global energy conference in Houston, he stated, “Drill baby drill requires build baby build.” Wright criticized the previous administration for creating obstacles in obtaining permits for drilling and constructing essential pipelines, resulting in reduced oil supply and rising prices. He articulated the Trump administration’s intention to encourage capital investment, simplify infrastructure construction, and ultimately increase oil and gas production to lower costs for consumers.
In his remarks, Wright expressed concern over the Biden administration’s restrictions on fossil fuel production in Alaska, remarking, “We’ve sanctioned Alaska more than we’ve sanctioned Iran.” He acknowledged a positive shift with OPEC returning barrels to the market but refrained from commenting on whether this increase would sufficiently impact US prices. As OPEC+ prepares to ease production cuts, Wright noted that the market perception is shifting toward a view that America is open for business, allowing producers to expand and support allies abroad. However, the long-term implications of President Trump’s proposed tariffs on aluminum and steel are still uncertain.
Wright conveyed optimism about the administration’s approach, which he believes is driven by broader national interests rather than specific industry agendas. Amid these discussions, Chevron CEO Mike Wirth called for a more stable and durable energy policy, cautioning against extreme swings between administrations. Wirth stressed the importance of legislative action to ensure continuity in energy strategy, noting Chevron’s plans to increase production. He believes the opportunities for growth in the US energy sector are considerable, reinforcing the need for a reliable framework to support such expansion.