Declaration of Energy Independence Act

HR 526, the Declaration of Energy Independence Act, reduces costs for oil and gas leaseholders on federal lands. It lowers royalty rates from 16.67% to 12.5%, cuts minimum bids from $10 to $2 per acre, and adjusts annual rental rates (from $3-$15 to $1.50-$2 per acre). The bill also creates new noncompetitive leasing options for existing leases meeting production thresholds (e.g., 15 barrels/day oil or 60,000 ft³/day gas), allowing continued operation without bidding. These changes directly affect companies holding federal oil/gas leases, particularly those with older leases or low-production sites.