Schakowsky Votes to Suspend Filling the Strategic Petroleum Reserve

SCHAKOWSKY VOTES TO SUSPEND FILLING THE STRATEGIC PETROLEUM RESERVE

Washington, D.C.–U.S. Representative Jan Schakowsky (D-IL) joined a bipartisan majority in the House today to pass H.R. 6022, the Strategic Petroleum Reserve (SPR) Fill Suspension and Consumer Protection Act of 2008. Despite strong opposition from President Bush, the bill passed the House by a vote of 385 to 25. H.R. 6022 would suspend filling the Strategic Petroleum Reserve through the end of the year, as long as the price of crude oil remains above $75 per barrel.

"This measure would provide immediate and real relief to hard-working American families who are paying record prices at the pump,... said U.S. Representative Jan Schakowsky (D-IL). "At a time when millions of Americans are struggling to make ends meet, our government shouldn't be making life more difficult for families by taking gas off the market and driving prices up, especially when the Reserve is nearly at capacity. This measure could make a significant impact in the budgets of millions of American families by reducing gas prices from 5 to 24 cents a gallon....

H.R. 6022 temporarily suspends the U.S. Department of Energy's ability to directly purchase oil for the SPR or to enter into new contracts to obtain oil through the end of the year. The Department of Energy currently purchases 70,000 barrels of oil a day. The bill would allow the Department of Energy to resume filling the SPR, before the end of the year, if crude oil prices go back down to $75 per barrel. The price of a barrel of oil reached $127 today. H.R. 6022 is supported by the American Truckers Association, Air Transport Association, Public Citizen, Sierra Club and the Center for American Progress.

The Strategic Petroleum Reserve is roughly 97 percent full — the highest level ever — with enough oil to meet our national security needs. We have more in the SPR, than we did in 2006 when the President deferred deliveries stating, "Our Strategic Reserve is sufficiently large enough to guard against any major supply disruption over the next few months.... The current inventory exceeds our International Energy Program commitment to maintain at least 90 days of oil stocks in reserve. The SPR has been tapped or suspended before by President Bush, President Clinton, and the first President Bush. In 2000, after such action, the price of oil dropped down by one-third — from $30 to $20 per barrel.

"While this bill will help reduce gas prices, we must do more to break our dependence on foreign oil by investing in renewable fuels, increasing the fuel efficiency of vehicles and developing a long-term, comprehensive energy policy,... said U.S. Representative Jan Schakowsky (D-IL). "Rising energy prices and our changing climate demand a new energy vision that reduces our reliance on fossil fuels while limiting harmful emissions and environmental damage to precious natural resources....

The Democratic-led Congress has already enacted the Energy Independence and Security Act in 2007, with provisions to combat oil market manipulation, make cars and trucks more fuel efficient, and promote the use of more affordable American biofuels. The House has also passed legislation to crack down on price gouging, hold OPEC controlled entities accountable for oil price fixing, and repeal subsidies for profit-rich Big Oil so we can invest in a renewable energy future. However, President Bush and most of his Republican allies in Congress have opposed these efforts. Today, American consumers face more pain at the pump -- paying a record $3.72 a gallon.