The themes and internal tensions in President Biden’s energy policy were visible in last night’s State of the Union speech that previews his potential 2024 re-election campaign, Ben writes.

Why it matters: The annual ritual is a high-profile chance for presidents to set the terms of policy and political battles.

Quick take: Below are some things that caught our eye

💰 His climate message is heavy on economics. Biden emphasized what he called major jobs and consumer benefits of the big climate law.

  • He cited tax credits for buying electric cars and efficient appliances, along with lower power bills.
  • “We’re building 500,000 electric vehicle charging stations installed across the country by tens of thousands of IBEW workers.”

🌀 But he didn’t shy away from harms. “I’ve visited the devastating aftermaths of record floods and droughts, storms and wildfires,” Biden said.

  • “The climate crisis doesn’t care if your state is red or blue. It is an existential threat.”

🛢️ Big Oil is Biden’s favorite foil. He tried to take advantage of the speech coming as oil giants report record annual profits and new share buybacks.

  • “They invested too little of that profit to increase domestic production” and aren’t doing enough to lower prices, he said.
  • He proposed quadrupling the tax on corporate stock buybacks “to encourage long term investments instead.”

🤔 But oil is complicated for Biden. He went off script to note that “we’re still going to need oil and gas for a while.”

  • He also veered from the text to try and rebut oil industry claims that his policies discourage supply investment — and in the process he acknowledged long-term fossil fuel demand.
  • “I said, ‘we’re going to need oil for at least another decade… and beyond that,” Biden said.
  • It highlights a tension in White House policy — calling for more output even as Biden’s under pressure to act more aggressively on climate.

🛑 What he didn’t say is revealing. Biden didn’t mention legislation to speed up permitting for energy projects.

  • It’s sought by traditional and low-carbon industries, but faces divisions on the left over fears of boosting fossil projects.
  • Nor did he explicitly talk up domestic manufacturing projects for battery and solar equipment spurred by climate law subsidies, Bloomberg notes.
  • That would have “risked intensifying trade tensions with European allies worried the subsidies will siphon economic activity from the EU.”