Rep. Fred Keller, House committee: Biden’s use of petroleum reserve unhelpful thus far
U.S. Rep. Fred Keller, R-Kreamer, a member of the House Oversight and Reform Committee, joined other Republicans who are asking U.S. Department of Energy (DOE) Secretary Jennifer Granholm to provide details on the administration’s plan to replenish the strategic petroleum reserve, saying, at least ahead of the Memorial Day holiday, it has not worked to lower gasoline prices.
“The Biden Administration has made diminishing domestic energy production a policy priority –causing the price of gasoline to skyrocket,” said the letter, from Republican ranking committee member James Comer of Kentucky, and other committee members.
The reserve is intended for emergency supply chain disruptions.
In their letter to Granholm, the Republican lawmakers emphasized how Americans continue to suffer from skyrocketing gasoline prices despite the unprecedented release of oil from U.S. reserves and requested an immediate briefing to ensure the administration is working to refill the reserve and encourage domestic energy production, according to a news release from Keller’s office.
Numerous times throughout the past year, the Biden Administration has released oil from the reserve with the hopes of lowering domestic gas prices. However, despite these actions, gas prices continue to rise and now stand on average at $4.60, the highest-ever average price since AAA began collecting data in 2000.
In addition to that, for the first time ever, gas now costs over $4 dollars per gallon in every single state, according to the letter.
On May 5, DOE announced a buyback process to replenish a fraction of the 180 million emergency barrels that were previously released by the administration.
As of May 13, 2022, the stockpile in the reserve was 538 million barrels, which is the lowest amount since 1987.
The reserve was created in 1973 so the U.S. would have a stockpile of crude oil supply in the case of an emergency.
The reserve has the capacity to hold 727 million barrels of oil, but after the administration’s announcement that it plans to release 180 million additional barrels over the next six months, the supply will be at critical levels.