The Biden administration announced its intention to sell and liquidate 1 million barrels of gasoline to help ease prices at the pump during the busy summer travel season. The fuel, which will come from the Northeast Gasoline Supply Reserve, will be delivered by June 30 to target the July Fourth holiday travelers. U.S. Secretary of Energy Jennifer M. Granholm stated that the administration is focused on lowering prices for American families as they hit the road this summer, with a particular emphasis on the tri-state area and Northeast states where supply flows are needed the most.
The gas will amount to about 42 million gallons and will be sourced from the Port Reading site in New Jersey and the South Portland site in Maine. The government has called for bids by May 28, with the gas to be sold in quantities of 100,000 barrels to ensure a competitive bidding process for fuel retailers and terminal holders. Revenues from the sale will be deposited to the Treasury. GasBuddy has forecasted that gas prices will stay in the mid-$3 per gallon range throughout the summer, with a national average of $3.58 per gallon between Memorial Day and Labor Day. However, Patrick De Haan of GasBuddy was skeptical of the impact the release from the NGSR reserve will have on prices, stating that it is likely to have a low-level impact in the region where the reserve is located.
The Biden-Harris Administration’s decision to release gas reserves ahead of the July Fourth holiday is aimed at helping lower prices at the pump for American families during the summer driving season. By strategically releasing the reserve between Memorial Day and July Fourth, sufficient supply flows to the tri-state and Northeast regions are ensured. The move is expected to benefit consumers by allowing the gas to flow into local retailers at competitive prices, ultimately helping to reduce costs for American families and consumers.
The government’s plan to sell and liquidate 1 million barrels of gasoline from the Northeast Gasoline Supply Reserve is part of the effort to ease prices at the pump and support American families as they hit the road for summer travel. The fuel will be allocated from two sites in New Jersey and Maine, with a competitive bidding process in place to ensure a fair distribution. Gas prices are expected to remain in the mid-$3 per gallon range throughout the summer, with a national average of $3.58 per gallon between Memorial Day and Labor Day. While there is skepticism about the impact of releasing fuel from the NGSR reserve, the move is seen as a step towards addressing the rising prices in the fuel market.
The U.S. Department of Energy, under the leadership of Secretary Jennifer M. Granholm, announced the decision to release gas reserves for sale ahead of the July Fourth holiday to ease prices at the pump for American families. The release of 1 million barrels of gasoline from the Northeast Gasoline Supply Reserve is expected to have a moderate impact on prices in the mid-Atlantic and Northeast regions. The government’s strategy to sell and allocate the fuel in quantities of 100,000 barrels aims to facilitate a competitive bidding process and ensure that the product reaches local retailers ahead of the July Fourth holiday at competitive prices. The revenues from the sale will be deposited to the Treasury, further supporting the administration’s efforts to assist American consumers during the summer driving season.
