Despite offering reduced emissions, improved efficiency, and lower operational costs, the oil and gas sector's electrification drive is hampered by high capital expenditure for grid connections, lengthy permitting processes, and surging equipment costs. A 2024 Dallas Fed survey found 45% of Permian Basin oil and gas companies had no electrification plans, while in Norway, only 39 out of approximately 97 producing fields are electrified or approved for electrification. Equinor, a pioneer in the field, has even paused some offshore electrification plans due to capex pressures.