President Joe Biden will soon invoke the Defense Production Act (DPA) to help American families and to help minimize U.S. dependence on foreign supply chains.
According to the White House fact sheet on the matter, President Biden mentioned that the invocation of the DPA is part of the U.S. government's two-part plan that addresses the hardships of American families due to increasing oil prices. It would help achieve a "lasting American energy independence" that will reduce oil demand and boosts America's clean energy economy.
The fact sheet did not disclose when the President would issue the directive to invoke the DPA.
Biden's Two-Part Plan Details
The White House's fact sheet mentioned that the DPA would be authorized to support the production and processing of minerals and materials that will power the country's clean energy future, starting with the materials and minerals needed to produce batteries for electric vehicles (EVs) and large capacity batteries for the power sector.
As such, the U.S. government may place a special focus on and encourage domestic mining and processing of minerals like lithium, cobalt, graphite, and manganese. According to CNBC's report, the DPA's authorization could help companies receive government funding for feasibility studies that will help extract these minerals.
The DPA also allows President Biden to have private companies prioritize orders from the federal government over others' as well as stockpiling the materials needed for national defense and prohibiting them from hoarding the needed supplies, per Tech Crunch.
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Additionally, President Biden will call on Congress to pass his plan to speed up the country's transition from using internal combustion engine vehicles to EVs. which will not only save the environment but also the economy through millions of good-paying union jobs.
President Biden's decision to invoke the DPA is supported by not only senators like Elizabeth Warren, Cory Booker, and Ed Markey, but also by advocacy groups and 200 environmental and humanitarian groups, per The Verge.
The End Does Not Justify the Means
Although the Department of Defense will use the authority from the DPA's authorization into effect through "strong environmental, labor, community, and tribal consultation standards." However, some climate activists worry that rushing production of the minerals needed through extraction processes could lead to a modern gold rush that would lead to more environmental degradation, per Inside Climate News.
Lauren Pagel, Earthworks' Policy Director, mentioned that the transition to clean energy "cannot be built on dirty mining," adding that the mining expansions without addressing the shortcoming of current mining laws would be disastrous.
Defense Production Act History
The DPA was originally established by President Harry Truman during the early years of the Cold War and was modeled on the War Powers Acts of 1941 and 1942, per the Council of Foreign Relations.
The act gives the president to direct private companies to prioritize orders from the federal government and to "allocate materials, services and facilities" for national defense purposes. It also prohibits the hoarding of supplies covered by the Act and allows private companies to secure government funding and install equipment in government or private factories.
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