Matt Rourke / AP

Fuel prices are posted at a filling station in Willow Grove, Pa., Tuesday, Nov. 23, 2021. The White House on Tuesday said it had ordered 50 million barrels of oil released from strategic reserve to bring down energy costs.

By Matthey Daly / AP

WASHINGTON
Petroleumworld 11 24 2021

Democrats and climate activists generally supported President Joe Biden’s decision to release a record 50 million barrels of oil from America’s strategic reserve, even as the move appeared to contradict his long-term vision of combating climate change.

The U.S. action, announced Tuesday in coordination with countries such as India, the United Kingdom and China, is aimed at global energy markets and helping lower gasoline prices that have risen more than a dollar per gallon since January. But it could also undermine Biden’s climate goals, including a 50% cut in greenhouse gas emissions by 2030.

Some leading climate hawks, however, said they were not concerned by the move because they see it as a short-term fix to meet a specific problem. Sen. Ed Markey, D-Mass., who has focused on combating climate change, said Biden was “taking effective action to protect Americans from oil price gouging” even as the administration continues to boost renewable energy that it hopes will eventually mean less dependence on fossil fuels.

“This is what reserves are for — defending our economy against disruption,″ Markey tweeted. “Profiteering can’t go unanswered, especially as Big Oil makes billions and fuels the climate crisis through exports.″

The Strategic Petroleum Reserve is an emergency stockpile to preserve access to oil in case of natural disasters, national security issues and other events. Maintained by the Energy Department, the reserves are stored in caverns created in salt domes along the Texas and Louisiana Gulf Coasts. There are roughly 605 million barrels of petroleum in the reserve.

Markey and other Democrats had urged Biden to release oil from the reserve to ease prices on consumers. There have also been calls on the president to reinstate a ban on crude oil exports that was lifted in 2015. Biden has made no move to reimpose the export ban, which was repealed by congressional Republicans in a bid to assert U.S. energy dominance and promote domestic production.

Biden has authority under the legislation to declare an emergency and limit or stop oil exports for up to a year but is not expected to do so.

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By Associated Press – AP

apnews.com 11 24 2021

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