THE US Strategic Petroleum Reserve (SPR) Thread (merged)

[green_achers]

This is the one issue he's been pretty consistently right about IMO. For the wrong reasons, I'm sure...

[Revi]

We're really in trouble now. When will oil hit $75 a barrel again? What is the matter with these people? Who voted them in to office? I hope that some congresspeople have more sense than the senators. I know Roscoe Bartlett will vote no, anyway.

[emersonbiggins]

This move by Congress, like most lately, is framed as if the runup in oil prices is a temporary phenomenon. I am guessing $75/bbl is considered the "just price" for oil by Congress (and the American public?), and the price above and beyond that is just due to those greedy speculators

[UncoveringTruths]

If we have an oil crisis these folks will look like kooks.

Wait are we in an oil crisis?

[baha]

Doesn't the president have sole control over the SPR? Is there anyway congress can force him to stop filling?

This is the one issue where Bush is right to keep filling. I'm sure he has inside info that says peak oil is here and that is why he insists on continuing.

Of course the consumer will never see any of this oil. It will be used by the military when TSHTF. You know we will have to eventually invade Venezuella and the rest of the middle east. If they are busy waging war maybe they'll leave me alone!!!

[Plantagenet]

Doesn't the president have sole control over the SPR? Is there anyway congress can force him to stop filling?

Check out the US Constitution. Congress writes the laws.

The Senate just voted to make it crime to put oil in the SPR if crude costs more then $75/barrel. Pelosi and the House support the bill.

[Plantagenet]

While congress is just pandering to our [s]citizens[/s] consumers, as Shanny elegantly put it, their new law to suspend SPR filling until oil drops below $75/barrel probably doesn't hurt anything.

The SPR is 96% full now.

[Dreamtwister]

This is good enough to be classified as black comedy. Seriously, I'm laughing so hard right now.

[Plantagenet]

"The action, supported by the Democratic and Republican presidential candidates, comes as high fuel costs have contributed to the nation's economic woes and become a hot issue on the campaign trail. It could be the only legislation that Congress passes this year in response to public angst at the fuel pump because of the parties' differences over energy issues. ---CNN

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Its pretty funny and a bit sad too....

So this bill is the Congress's response to peak oil and the high oil prices.

This is their energy plan devised to deal with high energy prices...this is what we get from the US Congress as oil goes higher and higher.

No electric train systems, no nukes, no offshore drilling, no Manhattan project for energy, no crash programs......this is the new policy.

This is it.

[mefistofeles]

This sounds like the third film in the dumb and dumber series. Dumb and Even Dumber US Energy policy.

[kpeavey]

Being an election year, I see this as trolling for votes, nothing more. Put a band aid on the gushing wound, get back to important issues.

[frankthetank]

Last week refineries were only running at 85%... What is this going to help with gasoline? Maybe congress should pass a law mandating refineries operate at a loss!

[Mechler]

Last week refineries were only running at 85%... What is this going to help with gasoline? Maybe congress should pass a law mandating refineries operate at a loss!

At least one already is...

The sustained climb of crude prices spelled bad news for refiners; Western Refining (nyse: WNR ) reported a $40.4 million loss...

Link

[Twilight]

That would be the US doing a China.

You know what happens then - a case of the old "emergency maintenance", when problems managers were happy to overlook before, are brought out into the light of day. Aw, shucks, will ya look at that?

[Ferretlover]

1. Stop refilling the SPRs (which are supposed to cover emergencies and security) -until oil is back at $75.
2. Disperse it to the public, to alleviate terrible gas prices, until there is no more for emergencies or security.

Things never change.

[Starvid]

[Plantagenet]

US House of Representatives also votes yes on bill to stop filling the SPR with oil

New law passed suspending oil storage in SPR until oil drops to $75/barrel

Thats two votes in one day and the law is passed.

The Congress can sure move fast when its doing something urgent like pandering by outlawing putting oil in the SPR.

[joeltrout]

I saw on marketwatch.com that Bush does not plan to veto it.

sorry no link

joeltrout

[Plantagenet]

I saw on marketwatch.com that Bush does not plan to veto it.

Theres no point in vetoing it....the bill passed with veto-proof majorities in both houses.

It will be interesting to see if the economists are right (they say it will have almost no impact on gas prices) or if Nancy Pelosi is right (she says the new law will reduce the price of gas at the pump by 24 cents a gallon).

[SchroedingersCat]

I can't see how this can have any impact on prices. There has only been a couple of hundred thousand barrels a week added. Almost all of that is royalty in kind. None of the inputs to the SPR are from imports. Haven't been since early 2003. The oil companies pay their royalties for offshore drilling in oil instead of cash. The oil goes to the SPR. Pathetic pandering, really.