Biden's Climate Policies Will Be Put to the Test With ConocoPhillips's Alaska Oil Project

As President Joe Biden nears a decision on a proposed oil project in northwest Alaska, he is facing intense pressure from environmentalists who have dubbed it a "carbon bomb." The project could unlock 600 million barrels of crude, but it would also have a major impact on the environment.

Biden's decision on ConocoPhillips' $8 billion Willow venture in the National Petroleum Reserve-Alaska is being seen as a litmus test of his commitment to combat climate change.

"This decision is a key indicator of whether we're actually going to take serious action on climate change or whether we're just paying lip service," said Abigail Dillen, president of Earthjustice. "If approved, this would be the largest oil and gas project in the country, which is now the world's largest producer of oil and gas."

The project poses political risk for the president, who has asked oil companies to increase production even as he tries to speed the US transition to emission-free energy. It also presents a new test of Biden’s ability to balance the desires of two groups that are often in conflict: environmentalists and organized labor.

The Interior Department is expected to release a final environmental impact statement on Willow in the coming days. This follows a federal court tossing out the previous analysis and project approval from the Trump administration. The new statement may support a plan allowing the company to drill three wells at the site, which could lead to estimated peak production of 180,000 barrels per day. However, it will be Interior Secretary Deb Haaland's final decision, expected no sooner than 30 days later, that will determine whether the project goes forward.

The head of ConocoPhillips's Alaska operations has warned that further restrictions that scale down drilling to just two locations would not be economically viable.

The Willow analysis is expected to be released as the Biden administration takes other moves to protect Alaska from some development. On Wednesday, the US Forest Service announced a ban on logging and new road construction across the Tongass National Forest. And next week, the Environmental Protection Agency is expected to issue a final determination barring the disposal of mining waste in Bristol Bay, thwarting the long-planned Pebble gold and copper mine.

Willow's supporters argue that the project would bring crude to a market that is eager for alternatives to Russian oil, while enhancing US energy security, sustaining jobs, and generating revenue for the government. These supporters include members of Alaska's congressional delegation, labor unions, and some residents of the North Slope.

Nagruk Harcharek, president of Voice of the Arctic Inupiat, said that oil development on the North Slope would provide a critical economic lifeline across the region. The North Slope Borough relies heavily on revenue from oil development to support local schools, emergency responders and search-and-rescue operations.

Harcharek said that the economic benefits of the casino industry allow for self-determination in many ways. "We're in control of our schools, police and fire, and the services we provide to our people," she said.

The project would be located in the northeast portion of the 23-million-acre NPR-A. Some activities would occur near Teshekpuk Lake, which is critical habitat for waterfowl, caribou, and other wildlife.

Environmentalists and some Alaska Natives have urged the government to block the proposed oil development project in the Arctic National Wildlife Refuge. Climate activists argue that the project would provide a hub for future oil development and, even on its own, would unleash more crude and carbon dioxide emissions than an ever-warming planet can afford. Others have warned that it could imperil caribou populations and harm the subsistence lifestyle of nearby villages.