The Biden administration announced on Tuesday that it will release 1 million barrels of gasoline from a Northeast reserve established after Superstorm Sandy in an effort to lower prices at the pump for American consumers. The gasoline will be sold from storage sites in New Jersey and Maine in increments of 100,000 barrels at a time, creating a competitive bidding process to ensure that gasoline can flow into local retailers ahead of the busy summer driving season and be sold at competitive prices. Gas prices currently average about $3.60 per gallon nationwide, up 6 cents from a year ago, according to AAA. The release of gasoline reserves is one of the few actions a president can take individually to control inflation, a concern for the party in power during an election year.
Energy Secretary Jennifer Granholm emphasized the administration’s focus on lowering prices at the pump for American families during the summer driving season, stating that the strategic release of the reserve between Memorial Day and July 4th will ensure sufficient supply for the tri-state area and the Northeast. President Joe Biden’s press secretary, Karine Jean-Pierre, noted that the release of gas from the Northeast reserve is part of a broader effort by the administration to lower gas and energy costs, including previous releases from the Strategic Petroleum Reserve and significant investments in clean energy. Biden previously depleted the Strategic Petroleum Reserve in 2022 following Russia’s invasion of Ukraine, bringing the stockpile to its lowest level since the 1980s, in an effort to stabilize rising gasoline prices after the conflict in Europe. However, this move faced criticism from Republicans who accused the president of using the reserve for political purposes rather than national emergencies.
The Biden administration has now begun refilling the oil reserve, which had over 364 million barrels of crude oil as of last month, making it the world’s largest emergency crude oil supply. The recent sale from the Northeast reserve will require that fuel is transferred or delivered no later than June 30, according to the Energy Department. Jean-Pierre highlighted the administration’s efforts to promote a more secure, affordable, and clean energy future while also ensuring that American energy production meets immediate needs. The administration’s actions stand in contrast to congressional Republicans who are accused of prioritizing tax breaks for Big Oil over the interests of hardworking families.
Overall, the release of gasoline from the Northeast reserve is part of the Biden administration’s broader strategy to address rising gas prices and support American consumers during the summer driving season. The move comes as gas prices average $3.60 per gallon nationwide, prompting concerns about inflation and economic pressures on American families. By strategically releasing gasoline reserves and taking other measures to stabilize energy costs, the administration aims to ensure that American consumers have access to affordable fuel while also advancing efforts towards a more secure and clean energy future. While facing criticism from political opponents, the administration continues to prioritize the needs of American families and the overall stability of the energy market.
