U.S. Senate Passes Bill to Help Lower Gas Prices
WASHINGTON, DC -- In an effort to curb record-high oil prices, the U.S. Senate today passed legislation directing President Bush to temporarily halt filling the Strategic Petroleum Reserve (SPR). U.S. Senator Jack Reed (D-RI), who sent a letter to President Bush in March urging him to stop driving up the cost of oil by taking it off the market and storing it in the SPR, voted for the measure, which passed 97-1.
"With crude oil above $120 a barrel and the SPR already 97% full, continuing to fill up the SPR doesn't make good economic sense for consumers or taxpayers. Instead of topping off the tank at the Strategic Petroleum Reserve, we should make sure there is gas for Rhode Islanders' tanks," said Reed. "This pause will help make more oil available to the public, putting downward pressure on oil prices and providing some much needed relief to consumers and businesses across the country."
The Strategic Petroleum Reserve (SPR) is the world's largest supply of emergency crude oil and is currently 97 percent full, with over 701 million barrels, equal to nearly two months of oil imports. According to the Department of Energy, the United States already exceeds its International Energy Program commitments to maintain at least 90 days of oil stocks in reserve. Energy officials have stated that by halting purchases for the SPR, the price of gasoline can be reduced by as much as 5 cents per gallon.
"President Bush has been slow to grasp the impact high gas prices are having on our economy and on the family budget," noted Reed. "We need to take immediate action to help consumers and businesses struggling with the rising cost of fuel. Passing this bill is a good first step. But more needs to be done to prevent price manipulation and distortions that have contributed to artificially high energy prices. The President needs to take a more active role in addressing the root causes of inflated gas prices. And most importantly, we as a nation need to invest in clean energy technology that will create jobs here at home and reduce our reliance on foreign oil."
Reed has long supported efforts to manage the SPR in a manner that puts our national security first while recognizing the SPR's impact on our economic security as well.