Biden Sells Gas Stocks to Keep Prices Low Ahead of Election

Policy

By Steven Nelson

WASHINGTON — The Biden administration announced Tuesday that it would sell 1 million barrels of gasoline held for emergencies — with the Energy Department explicitly citing its interest in keeping gasoline prices low during the summer season before the November elections.

The fuel will be released from the Northeast Gasoline Supply Reserve, a component of the Strategic Petroleum Reserve created in 2014 after Superstorm Sandy disrupted gasoline supplies in the New York area.

“The Biden-Harris Administration is firmly focused on lowering prices at the pump for American families, especially as drivers hit the road for the summer driving season,” the Energy Secretary said. Jennifer Granholm, in a press release.

“By strategically releasing this reserve between Memorial Day and July 4, we are ensuring sufficient supply flows to the Tri-State and Northeast when American workers need it most.”

Critics, including congressional Republicans, slammed Biden’s move as an attempt to buy votes — after making similar allegations about Biden’s attempt to cancel hundreds of billions of dollars in federal student debt at the The elections are approaching.

Senator Mike Lee (R-Utah) accused Biden of “once again using America’s emergency fuel reserves to cover his disastrous inflationary policies in an election year.”

“Releasing a million barrels of gasoline from the Northeast reserve is a desperate measure by Joe Biden to bring down the prices he has raised,” tweeted Sen. Marsha Blackburn (R-R. Tennessee). “This reserve is intended for emergencies, not as a cover-up for Biden’s failed economic policies.

Skeptics noted that the complete drying up of the Northeast reserve, authorized in a March government spending bill, would likely not have a significant impact on prices – which currently average at 3 .60 per regular gallon, up from about $2.38 when Biden took office and $3.54 around the same time. year, according to AAA data.

The United States used about 8.94 million barrels of gasoline per day in 2023, according to the U.S. Energy Information Administration, meaning Tuesday’s release would cover less than three hours of average U.S. consumption. -United.

“A cynical political gesture. Like a drop in the ocean,” wrote one X user.

Staten Island Rep. Nicole Malliotakis (R-NY) tweeted: “He should just reverse his damaging anti-energy policies. »

“Depleting our emergency reserves while discouraging domestic production. What a winning strategy! tweeted Gabriella Hoffman, director of energy and conservation at the Independent Women’s Forum.

“Under (former President Donald) Trump, it was ‘exercise, baby, exercise.’ Under Biden, it’s ‘drain, baby, drain,’” tweeted Charles Correll III, speechwriter for Sen. John Barrasso (R-Wyo.).

As Republicans criticized Biden, the White House issued a statement Tuesday afternoon saying his energy policies focused on promoting environmentally friendly technologies had helped consumers.

“This builds on other actions President Biden has taken to reduce gas and energy costs, including historic releases of the Strategic Petroleum Reserve and the largest-ever investment in clean energy” , declared press officer Karine Jean-Pierre.

“While Congressional Republicans fight to preserve tax breaks for Big Oil at the expense of hard-working families, President Biden is advancing a safer, more affordable, and cleaner energy future to lower utility bills governments, while record U.S. energy production helps meet our immediate needs.

Energy costs have risen sharply under Biden, contributing to a broader price increase that Republicans attribute to incumbent policies and big spending. Democrats generally blame high inflation on factors such as COVID-19-related supply chain bottlenecks, the war between Russia and Ukraine and alleged corporate greed.

U.S. energy costs have increased 38% since Biden took office, according to data from the Bureau of Labor Statistics. These costs include an increase of around 30% in electricity prices.

Overall, U.S. consumer costs have risen 20% since Biden took office, weighing on his reelection prospects as he faces a Nov. 5 rematch against Trump.

In addition to his ongoing plans to deplete gasoline reserves, Biden has dumped about 43% of the crude oil held by the Strategic Petroleum Reserve to try to keep prices lower.

The U.S. government reserve held more than 638 million barrels of crude oil when Biden took office. It currently has less than 361 million barrels of crude oil, according to federal data.