Washington, D.C. -— With gas prices averaging $3.70 in North Carolina, U.S. Rep. Bob Etheridge (D-Lillington) voted yesterday for legislation that would temporarily suspend deposits to the Strategic Petroleum Reserve until the end of 2008.
The U.S. Senate passed a similar provision today.
“Today’s legislation will provide immediate relief for North Carolinians struggling with record-high gas prices,” said Etheridge. “Suspending deposits to the Strategic Petroleum Reserve is a first step towards lowering gas prices for working families who need fuel to drive to the grocery store, the doctor, work and school. I will continue to work for a long-term energy policy that will stabilize prices and reduce our dependence on foreign oil.”
The Strategic Petroleum Reserve Fill Suspension and Consumer Protection Act would suspend deposits into the Strategic Petroleum Reserve through the end of the year, so long as crude oil remains above $75 per barrel. Filling the Strategic Petroleum Reserve uses 70,000 barrels of oil each day and economists estimate that a temporary suspension could reduce gas prices from 5 to 24 cents a gallon. After deposits were suspended in 2000 the price of oil dropped $10 a barrel.
The Strategic Petroleum Reserve is currently at its highest level ever, roughly 97-percent full. In 2006 President Bush temporarily suspended deposits with the reserve 14 million barrels lower than it is today. He has not heeded calls by Republicans and Democrats in Congress to suspend deliveries this year.
Today’s legislation is only one part of Etheridge’s efforts to stabilize gas prices. Etheridge has worked to include increased funds for biofuel production and research in the new Farm Bill. Etheridge has also voted for legislation passed by the House to hold OPEC-controlled entities and oil companies accountable for oil price fixing and to repeal tax subsidies for oil companies reaping record profits.