OKC Standard

Senator James Lankford from Oklahoma engaged in a dialogue with Treasury Secretary nominee Scott Bessent during a Senate Finance Committee hearing. The discussion focused on American energy independence and the establishment of a stable rate for bonus depreciation.

Lankford, an advocate for diverse domestic energy policies, highlighted research from the American Petroleum Institute. This research suggests that 100 percent bonus depreciation could facilitate up to 1,400 miles of new pipelines, aligning with the Trump Administration's energy production goals.

During the hearing, Lankford emphasized Oklahoma's broad energy production capabilities, stating: "On the energy side, you’ve talked a lot about energy production. But I’m an Oklahoman, and unashamedly, we’re ‘all-the-above-and-all-the-below’ on energy. We probably have more wind and hydro and solar production in my state than any other state on this dais, with very few exceptions. But we also use oil and gas."

He continued by addressing business concerns related to bonus depreciation: "One of the issues that is a business issue for small or large businesses that I’ve been fighting for is a stable bonus depreciation amount. This is not about the type of energy or the type of business even."

Bessent responded by discussing job creation through increased after-tax returns on capital for U.S. companies: "...So I think that increasing the after-tax return on capital for US companies, especially small business, is one of the greatest forms of job creation that we could see." He noted current U.S. energy production levels: "We are barely above where we were in 2020... The past four years we have seen US production constrained."

The exchange highlights ongoing discussions about boosting U.S. energy output to offset sanctioned Russian oil impacts while supporting domestic economic growth through stable fiscal policies.