New Offshore Energy Rule Leaves Environmental Obstacles Intact

In late April, President Obama announced the completion of a long-overdue rulemaking that would provide a framework for renewable energy development and allow the U.S. "to move from the 'oil and gas only' approach of the [Bush] Administration to the comprehensive energy plan that we need."¹ The rule is a necessary and important first step toward developing the vast wind resources on the Outer Continental Shelf (OCS). But the rule is not nearly the magic wand that project developers may at first assume it to be. The rule is very complex, outlining everything from leasing and decommissioning to financial assurance and revenue-sharing with states. Moreover, developers will still need to contend with challenging environmental requirements that can derail or delay a successful project.