WASHINGTON – U.S. Senators Bill Cassidy, M.D. (R-LA) and Edward J. Markey (D-MA) applauded the passage of their bipartisan amendment to the Energy Policy Modernization Act, which will save taxpayer dollars and preserve oil reserves at the Strategic Petroleum Reserve (SPR).
"Our nation’s oil stockpile is supposed to be there to protect American consumers and our security in the event of an emergency, not to be used as a piggybank to fund other priorities. But if we are going to sell oil from our stockpile, we should protect taxpayers by ensuring that we do not buy high and sell low. We should buy and sell strategically to get the best deal for taxpayers and drive down prices for consumers, and that is what the Cassidy-Markey amendment would accomplish. I thank Senator Cassidy for continuing to partner on this important issue and his leadership to protect this valuable energy asset,” said Sen. Markey.
“This amendment allows the Secretary of Energy the ability to sell Strategic Petroleum Reserve quantities of crude oil when the price goes up. America is blessed with an abundance of oil. Taxpayers invested in this emergency oil stockpile. If some must be sold, it should be sold at the highest price possible to get the best deal for taxpayers,” said Sen. Cassidy.
The Secretary of Energy is required to sell the crude oil on a specific schedule without regard to price, likely resulting in loss of revenue to the federal government. The Cassidy-Markey amendment allows the Secretary of Energy the flexibility to adjust sales based on market prices, which will preserve supply and maximize taxpayer benefit.
The SPR holds the largest stockpile of government-owned emergency crude oil in the world. Its headquarters are located in Harahan, Louisiana. The Energy Policy Modernization Act will be the first update to United States’ energy policy since 2007.
Read the amendment here.