The White House Strategy Makes Energy More Abundant, Affordable, and Secure
WASHINGTON – Third Way released the following statement from Dr. Ellen Hughes-Cromwick, Senior Resident Fellow for Third Way’s Climate and Energy Program:
“Today’s announcement from President Biden demonstrates the Administration’s ongoing efforts to ease pressure on everyday Americans from counterproductive efforts to cut global production. Since last spring, the Administration has coordinated the release of oil from over 10 nation’s strategic reserves with the U.S. commitment to release 1 million barrels per day through this month. With the U.S. release of 180 million barrels since May, the Administration has pursued a policy of increasing supply during a period of economic recovery and near-record low unemployment rates.
“In addition to the Strategic Petroleum Reserves releases, the President recently signed into law $1 billion in emergency funding for the Low-Income Home Energy Assistance Program. This is on top of $900 million in CARES Act funding, $4.5 billion in the ARP, and the more than $370 billion in clean energy tax incentives in the Inflation Reduction Act. Clean energy is becoming more affordable, reliable, and secure.
“Over the last year, the environment has grown increasingly better for the private sector to increase oil production through ample permits and leases. The oil and gas rig counts have increased from 244 in March 2020 to 769 last week, a near three-fold gain. U.S. oil production has grown from under 9 million barrels per day in the depth of the pandemic, to over 12 million barrels per day now, putting U.S. supply at near-record levels.
“OPEC+ announced a 2 million barrel per cut in oil production on October 5th, but prices have fallen from $96 per barrel on October 7th to $86 today. Because of the concerted action the Biden Administration has taken all year long, such actions by OPEC+ to squeeze the American consumer has been thwarted. This Administration’s strategy on energy is clear and consistent: aggressively address energy costs for all Americans, pursue new sources of clean energy, fund clean energy innovation, and maintain all sources of energy production during this critical period of transition.”