Permitting Purgatory: Higher Prices, Thousands of Lost Jobs, and Billions in Missed Economic Opportunity

Jan 15, 2026 by AFP

ARLINGTON, VA—Americans for Prosperity today released a new report detailing how, in just six states, the federal government’s broken infrastructure permitting system has caused the delay, or outright loss, of tens of thousands of new jobs and nearly $75 billion in economic benefits. The report explains the timeline, status, and projected economic value of 30 specific projects—including where they are in the permitting process—across Arizona, Montana, Nevada, Ohio, Pennsylvania, and West Virginia. The paper also highlights key solutions to help America build faster and increase access to affordable, abundant energy.

“The United States does not have an energy resource problem. We have a process problem. Electricity and energy demands are on the rise every day and it is our red tape-filled broken permitting system that is keeping American energy on the sidelines,” said report author James Morrone Jr., policy analyst at Americans for Prosperity. “Some members of Congress are playing politics and preventing the advancement of impactful reforms, which is essentially cutting the nose to spite the face. Americans want, and deserve, good-paying jobs and cheaper, reliable energy, and it is critical that Congress help make that a reality by reforming the permitting system.”

Beyond any single project, the report findings underline how every American suffers when we make it too difficult to build in America. Prices go up, jobs disappear, and families make hard trade-offs that do not benefit anyone. The need for more, reliable domestic energy to power the newest innovations, and modern infrastructure to keep up with demands from new homes, devices, and vehicles, means America’s next generation economy hinges on building domestically.

The report, “A Guide to Unlock Energy Abundance: The Impact of Permitting Delays on Access to Energy and Economic Development” can be read here.

Key findings:

The permitting process caused the delay, or outright loss, of at least 50,000 new jobs and nearly $75 billion in economic benefits across the six states in the report.

Among the 30 reviewed projects, canceled projects alone accounted for $4 billion in lost economic benefits and 38,000 jobs, both permanent and temporary.

Award for the longest-delayed project goes to Arizona – the SunZia Southwest transmission project at 17 years. Other projects were delayed as much as 15 years.

Twelve of the 30 projects are stuck in the permitting process, while only five are complete and operational. Seven are under construction and six have been canceled.

Projects are a mix of energy transmission, energy generation, rare earth mining, and export-related energy developments. Transmission projects are the most delayed.

Key legislative solutions:

The SPEED Act:

Establishes consistent timelines under the National Environmental Policy Act to ensure responsiveness and stops unnecessary NEPA reviews;

Simplifies NEPA documents and lessens burdens on agencies;

Clarifies the NEPA trigger by defining the requirements for a major federal action and places reasonable judicial limitations on NEPA reviews.

The PERMIT Act:

Requires the Environmental Protection Agency administrator to consider cost and availability of water treatment technologies to meet quality standards;

Authorizes the EPA administrator to issue general permits nationally;

Clarifies exemptions to the definition of “navigable waters;”

Requires the reduction of the backlog of Clean Water Act permit applications.

State-by-state takeaways:

Arizona

At stake: Five major projects. Nearly 6,000 jobs and $65 billion in economic benefits.

Montana

At stake: Five major projects. Nearly 1,100 jobs and roughly $6 billion in economic benefits.

Nevada

At stake: Seven major projects. Potentially 11,000 jobs and $2 billion in economic benefits.

Ohio

At stake: Three major projects amounting to roughly $1.5 billion economic benefits and 700 jobs.

Pennsylvania

At stake: Six major projects amounting to 18,000 jobs and $2.6 billion in benefits delayed or lost.

West Virginia

At stake: Five major projects amounting to more than $2.5 billion in economic benefits and 18,000 jobs.

This permitting report is an update to the 2023 “The Impact of Federal Permitting Delays on a State’s Energy Supply Chain” report.

Through broad-based grassroots outreach, Americans for Prosperity (AFP) is driving long-term solutions to the country’s biggest problems. AFP activists engage friends and neighbors on key issues and encourage them to take an active role in building a culture of mutual benefit, where people succeed by helping one another. AFP recruits and unites activists in all 50 states behind a common goal of advancing policies that will help people improve their lives. For more information, visit www.AmericansForProsperity.org

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