Oil and Gas Association Head Warns Texas Could Be 'Californicated' Under Democratic Wins, Saying Heavy Regulation of a $27 Billion Industry Would Have 'Dire Consequences,' Fox Business Reports
Tim Stewart of the U.S. Oil and Gas Association told Fox Business that California or Colorado style rules would hurt Texas and the national economy. He cites a 25 to 40 percent production drop in Colorado since 2019. He also says he hopes Gov.-elect Hinojosa will keep Abbott's approach.
The head of an oil industry trade group says Texas Democrats' election wins put the state's biggest industry at risk, Fox Business reports.
The warning. U.S. Oil and Gas Association President Tim Stewart spoke Thursday on Fox Business's "Big Money in the Morning." He said, "the absolute worst thing that could happen to the United States economy would be to have California-style energy policy implemented in Texas." He added that heavily overregulating "a $27 billion industry like ours in Texas" would have "dire consequences for the U.S. economy."
The comparison. Stewart pointed to Colorado. After the Democratic sweep there in 2019, he said, the state saw "a 25 to 40% reduction in production." He also said oil and gas companies that left Colorado and California moved their operations to Texas because the resource is there. "We don't have any other place to go," he said. His fear, in his words, is that Texas becomes "Californicated."
The trigger. Fox Business ties his comments to Tuesday's midterm results in Texas, including victories by Gina Hinojosa, who won the governor's race, and James Talarico. Stewart said "alarm bells were going off" once results came in. He noted Hinojosa has focused on data center and electricity costs more than on oil and gas.
The hope. Stewart said he thinks Hinojosa "fully understands" the industry's $27 billion contribution and 1.4 million jobs. He said he hopes she will back the "all-above approach" that outgoing Gov. Greg Abbott took.
Why it matters here. Our reporting this week covered Hinojosa's win and her data center moratorium. This is the industry's first public marker on what it wants from her. A trade group head speaks for his members, not for all Texas producers.
What we could not check. We did not check the 25 to 40 percent Colorado figure, the $27 billion or 1.4 million job numbers, or whether Colorado's drop came from state policy or from market prices and other causes. Fox Business reports no specific Hinojosa policy that would regulate oil and gas. The piece carries one voice, Stewart's.