Biden Drilling Ban Ruling: Why Your Gas Prices (and the Planet) Are Still in Limbo

Biden Drilling Ban Ruling: Why Your Gas Prices (and the Planet) Are Still in Limbo

Honestly, trying to follow the "Biden drilling ban" saga is kinda like watching a tennis match where the ball is moving at 200 miles per hour and the court keeps changing shape. One day a ban is on, the next it’s blocked by a judge in Louisiana, then there's an appeal, and now, as we sit in 2026, the whole thing has been basically flipped on its head by a new administration.

But for a lot of people, the confusion started with a simple campaign promise: "No more drilling on federal lands." Period.

It sounded definitive. It wasn’t.

What Actually Happened with the Biden Drilling Ban Ruling?

When President Biden first stepped into the Oval Office, he signed Executive Order 14008. It was a big deal. It paused new oil and gas leases on federal lands and waters. The goal was to give the Department of the Interior time to look at the environmental impacts. Basically, they wanted to see if the old way of doing things matched up with modern climate goals.

The industry freaked out.

Thirteen states, led by Louisiana, sued almost immediately. They argued that the Mineral Leasing Act requires the government to hold these sales. You can’t just stop because you feel like it, they said. In June 2021, a federal judge named Terry Doughty agreed with them. He issued a preliminary injunction that blocked the pause nationwide.

That was the first major "Biden drilling ban ruling." It forced the administration to resume lease sales, even though they really didn't want to. It’s why you saw the government auctioning off millions of acres in the Gulf of Mexico just months after they said they were done with it.

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It didn't stop there. The administration appealed. The 5th U.S. Circuit Court of Appeals eventually sent the case back down because the original ruling was "too vague."

Then came the Inflation Reduction Act (IRA). This is where it gets really weird. To get the IRA passed—which was a massive win for green energy—Biden had to make a deal with Senator Joe Manchin. That deal basically tethered wind and solar projects to oil and gas leasing.

  • If you want to build a massive offshore wind farm? You have to offer oil leases first.
  • Want to put solar panels on federal land? Better hold an oil auction.

So, while the "ban" was technically dead, the administration kept things moving as slowly as humanly possible. They offered the bare minimum number of leases required by law. In late 2023, they finalized a five-year plan for offshore drilling that included only three sales—the lowest in U.S. history.

The Shift in 2025 and 2026

Fast forward to where we are now. With the second Trump administration taking over in 2025, the "drilling ban" didn't just end—it was obliterated.

In early 2026, the Department of the Interior announced the "Unleashing American Offshore Energy" order. They are currently moving to replace Biden’s 2024–2029 plan with a much more aggressive 2026–2031 schedule. We’re talking about 34 potential offshore lease sales. They’re looking at the Atlantic, the Pacific, and 21 different areas off the coast of Alaska.

It’s a total 180.

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But here's the kicker: the courts are still involved. Just because a new president says "drill, baby, drill" doesn't mean the lawsuits vanish. Environmental groups like the NRDC and Earthjustice are already filing new claims. They’re arguing that the government is skipping necessary environmental reviews (NEPA) to fast-track these sales.

Why the Courts Keep Stepping In

The judiciary has become the ultimate referee in energy policy. Take the "LNG pause," for example. In early 2024, Biden paused permits for new Liquefied Natural Gas (LNG) exports. Again, Louisiana sued. Again, a judge (Judge James Cain this time) stayed the ban in July 2024, calling it "arbitrary and capricious."

By April 2025, that specific lawsuit was dismissed as "moot" because the Trump administration had already reversed the policy.

The pattern is clear:

  1. President issues order.
  2. States/Industry sue in friendly courts.
  3. Judges block the order.
  4. Policy enters a state of "limbo" for years.

What Most People Get Wrong About These Rulings

There is a huge misconception that a "drilling ban" means the oil stops flowing immediately. That is just not how it works.

When the government stops a lease sale, they are stopping the sale of future rights to drill. Companies already hold thousands of permits on land they’ve already leased. In fact, under the Biden administration, domestic oil production actually hit record highs.

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Why? Because the permits issued years ago were finally being used.

Conversely, when a ruling "unblocks" drilling, you won't see more oil at the gas station next week. It takes years—sometimes a decade—to go from a successful bid at an auction to actually pumping a barrel of oil.

The Real Impact on You

If you're wondering why your wallet feels lighter, these rulings matter for "market sentiment." When the courts and the White House are at war, companies are hesitant to invest. They don't want to spend $500 million on a project that might get shut down by a judge in two years.

That uncertainty is what keeps energy prices volatile.

What’s Next? Actionable Steps for the Energy Landscape

The "Biden drilling ban" is effectively a relic of the past now, but the legal framework it created is the new frontline. If you’re trying to navigate this space, here is what actually matters moving forward:

  • Watch the 2026-2031 Leasing Program: The draft is out, but the final version won't be implemented until October 2026. This will dictate where the "regulatory sword" falls for the next half-decade.
  • Follow the NEPA Reform: The Trump administration is trying to bypass certain environmental steps to speed up drilling. This is the most likely spot for a new court "ban" to emerge if a judge decides they've cut too many corners.
  • Keep an eye on the Congressional Review Act (CRA): Congress is currently using the CRA to try and permanently nullify Biden-era restrictions, like the 20-year mining ban near the Boundary Waters. If these pass, they don't just reverse the ban; they prevent future presidents from ever making a similar rule.

The legal battle isn't over. It has just moved to a different part of the map. Whether it's the Gulf of Mexico or the mountains of Alaska, the "drilling ban" saga has proven one thing: in American energy, the gavel is often more powerful than the pen.


Key Takeaway: The Biden-era drilling restrictions were largely dismantled by a combination of 2021-2024 court rulings and 2025 executive reversals. However, the legal precedents set during this period—especially regarding the President's authority under the Outer Continental Shelf Lands Act—will define energy litigation for the rest of the decade. Expect a surge in drilling permits through 2026, shadowed by a fresh wave of environmental lawsuits targeting the speed of these new approvals.