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The strategic petroleum reserves are supposed to be used in times of a national crisis, not to lower gas prices. Now Republicans are starting an investigation into why President Joe Biden decided to the 180 million barrels released from the strategic petroleum reserves since the Spring, The Daily Mail reported.
In a letter sent to Energy Secretary Jennifer Granholm on Wednesday, Rep. James Comer (R-KY) and Rep. Nancy Mace (R-SC) are demanding the Biden administration answer for the 180 million barrels released from the strategic reserve since the springtime, according to the letter obtained by DailyMail.com. Biden has used the strategy to ease high gas prices, which reached a $5 per gallon average nationwide peak in June, despite warnings from lawmakers across the aisle that the reserves are only meant to be used in the event of an emergency.
“We are concerned that the president may soon impose an oil and gas export ban that will result in even higher gas prices, supply chain issues, global market upheaval, and reduced energy security for the US and our allies,” they said.
They asked for the energy secretary to show them any relevant conversations about the strategic petroleum reserves from within the department or from the White House. The representatives are in safe Republican districts and, if the Republicans win the House, which is likely, the investigation would likely continue in 2023.
“In order to ensure the American people that the Biden Administration is properly managing the sale of critical assets from the SPR and not supporting Russia by providing oil to China, we request a briefing and documents related to this matter,” it said.
It comes after Saudi Arabia said that the Biden administration asked it to delay its cutting back of oil production until closer to the midterm elections in the United States.
In the statement, the kingdom insinuated that the president asked for it to not cut oil production for a month, which would be close enough to the midterms that its effect on gas prices would not be felt until after the election.
“An official at the Foreign Ministry in the Kingdom of Saudi Arabia stated that the government of the Kingdom of Saudi Arabia has viewed the statements issued about the Kingdom following the OPEC+ decision announced on October 5, 2022, which have described the decision as the Kingdom taking sides in international conflicts and that it was politically motived against the United States of America,” it said on its website.
“The Government of the Kingdom of Saudi Arabia would first like to express its total rejection of these statements that are not based on facts, and which are based on portraying the OPEC+ decision out of its purely economic context. This decision was taken unanimously by all member states of the OPEC+ group.
“The Kingdom affirms that the outcomes of the OPEC+ meetings are adopted through consensus among member states and that they are not based on the unilateral decision by a single country. These outcomes are based purely on economic considerations that take into account maintaining a balance of supply and demand in the oil markets, as well as aim to limit volatility that does not serve the interests of consumers and producers, as has been always the case within OPEC +,” it said.
“The OPEC+ group makes its decisions independently in accordance with established independent practices followed by the international organizations.
“The Government of the Kingdom of Saudi Arabia would also like to clarify that based on its belief in the importance of dialogue and exchange of views with its allies and partners outside the OPEC + group regarding the situation in the oil markets, the Government of the Kingdom clarified through its continuous consultation with the US Administration that all economic analyses indicate that postponing the OPEC+ decision for a month, according to what has been suggested, would have had negative economic consequences,” the nation said.
“The Government of the Kingdom of Saudi Arabia affirms that any attempts to distort the facts about the Kingdom’s position regarding the crisis in Ukraine are unfortunate, and will not change the Kingdom’s principled position, including its vote to support UN resolutions regarding the Russian-Ukrainian crisis, based on the Kingdom’s position on the importance for all countries to adhere to the United Nations Charter, principles of international law, and the Kingdom’s rejection of any infringement on the sovereignty of countries over their territories.
“The Kingdom stresses that while it strives to preserve the strength of its relations with all friendly countries, it affirms its rejection of any dictates, actions, or efforts to distort its noble objectives to protect the global economy from oil market volatility,” it said.
“Resolving economic challenges requires the establishment of a non-politicized constructive dialogue, and to wisely and rationally consider what serves the interests of all countries.
“The Kingdom affirms that it views its relationship with the United States of America as a strategic one that serves the common interests of both countries. The Kingdom also stresses the importance of building on the solid pillars upon which the Saudi-US relationship had stood over the past eight decades. These pillars include mutual respect, enhancing common interests, actively contributing to preserving regional and international peace and security, countering terrorism and extremism, and achieving prosperity for the peoples of the region,” it said.
