This bill establishes new processes and a compensation program to accelerate federal permitting for energy and mineral projects while improving geothermal leasing and limiting federal oversight on certain oil and gas activities on non-federal land.
Josh Harder
Representative
CA-9
The **Fighting for Reliable Energy and Ending Doubt for Open Markets Act (FREEDOM Act)** aims to accelerate federal permitting for energy and mineral projects by establishing strict timelines, creating a compensation program for project delays, and streamlining review processes. It also includes specific provisions to improve geothermal leasing and reduce federal permitting requirements for certain oil and gas activities on non-federal land. The overall goal is to reduce regulatory uncertainty that deters investment in critical U.S. energy infrastructure.
New Energy Bill Sets Hard Deadlines for Federal Permits and Creates Taxpayer-Funded Payouts for Project Delays
The FREEDOM Act is a major overhaul of how the U.S. government handles energy and mining projects, from oil and gas to geothermal and carbon capture. At its core, the bill is designed to stop federal agencies from 'dragging their feet' by setting strict timers on permit approvals: 90 days for routine stuff and one to two years for complex projects. If an agency misses the window, the bill treats it as an 'unlawful' delay, opening the door for lawsuits. It’s essentially a 'move it or lose it' policy for federal bureaucrats, aimed at getting infrastructure built faster to theoretically lower your utility bills and boost energy security.
The 'Sorry for the Wait' Refund
One of the most unique parts of this bill is the De-Risking Compensation Program. Think of it like a travel insurance policy for energy companies, but backed by the government. If a company invests at least $5 million and the project gets derailed because an agency misses a deadline or revokes a permit, the company can sue for its lost capital. While companies pay a 1.5% premium to join, the payouts come from a new Treasury fund. For taxpayers, this is a 'watch this space' moment: if federal agencies can’t keep up with the new, faster pace, the public could be on the hook for compensating multi-million dollar projects that didn't pan out. (Section 3, De-Risking Compensation Program).
Outsourcing the Paperwork
If a government agency is too slow, this bill allows a project sponsor to go to court and ask to hire their own contractor to finish the agency’s work. Imagine if you were waiting too long at the DMV and the law let you hire a private assistant to jump behind the counter and process your own license—that’s the vibe here. The lead agency would then have to pay that contractor’s fees out of a 'Performance Fund' and make a final decision within 30 days of getting the work. While this could clear backlogs for things like geothermal wells or mineral mines, it raises questions about whether private contractors will be as thorough as government scientists when it comes to checking environmental impacts. (Section 3, Court-Approved Contractors).
Less Red Tape on Your Land
The bill also pulls back federal oversight on 'split-estate' lands—places where the government owns some of the minerals underground, but a private citizen or the state owns the surface. If the feds own less than half of the minerals and don't own the dirt on top, they lose the power to require federal drilling permits or impose specific 'mitigation' rules. For a rancher in the West or a state-level regulator, this means less shuffling papers between state and federal offices. However, it also means federal standards for land reclamation or bonding (money set aside to clean up a site) wouldn't apply, leaving those details entirely up to state law. (Section 4, Authority on Non-Federal Land).