[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. Con. Res. 88 Introduced in Senate (IS)]







106th CONGRESS
  2d Session
S. CON. RES. 88

Expressing the sense of Congress concerning drawdowns of the Strategic 
                           Petroleum Reserve.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 2, 2000

  Ms. Collins (for herself, Mr. Schumer Mr. Jeffords, Ms. Snowe, Mr. 
Lieberman, Mr. Moynihan, Mr. Levin, Mr. Leahy, and Mr. Dodd) submitted 
    the following concurrent resolution; which was referred to the 
               Committee on Energy and Natural Resources

_______________________________________________________________________

                         CONCURRENT RESOLUTION


 
Expressing the sense of Congress concerning drawdowns of the Strategic 
                           Petroleum Reserve.

Whereas the price of crude oil has more than doubled in the past year to over 
        $30 per barrel, and prices of petroleum products such as heating oil, 
        diesel fuel, and gasoline have reached record levels;
Whereas a sharp sustained increase in the price of crude oil negatively affects 
        the overall economic well-being of the United States;
Whereas high oil prices harm people and businesses;
Whereas the Energy Information Administration has determined that Northeastern 
        United States fuel reserves are the lowest in 20 years and that 
        Americans are ``skating on thin ice'' in meeting energy requirements;
Whereas the current price and supply crisis was largely created through the 
        actions of the Organization of Petroleum Exporting Countries (``OPEC'') 
        by market-distorting and collusive production reductions, and OPEC's 
        activities would be in violation of United States antitrust laws if 
        conducted within the United States;
Whereas OPEC has demonstrated unity not seen since the energy crises of the 
        1970's;
Whereas the United States has a Strategic Petroleum Reserve of over 570,000,000 
        barrels of crude oil to protect against threats to oil supplies;
Whereas many experts, trade associations, and members of Congress have called 
        for a drawdown of the Strategic Petroleum Reserve to combat OPEC's 
        market distorting behavior;
Whereas a drawdown or the threat of a drawdown of the Strategic Petroleum 
        Reserve could provide a critical tool to break the resolve of OPEC to 
        practice market distorting behavior, and a sale of oil from the 
        Strategic Petroleum Reserve would increase domestic supplies and drive 
        down prices in the short term;
Whereas swaps from the Strategic Petroleum Reserve offer a way to increase the 
        overall size of the Strategic Petroleum Reserve at no cost to the 
        taxpayer; and
Whereas low global inventories allow OPEC to retain inordinate control over 
        supply and pricing, and consequently undue influence over the global 
        economy: Now, therefore, be it
    Resolved by the Senate (the House of Representatives concurring),

SECTION 1. SENSE OF CONGRESS.

    It is the sense of Congress that--
            (1) using authority under existing law, directly through 
        time exchanges (or ``swaps'') or through other means, the 
        President and the Secretary of Energy should draw down the 
        Strategic Petroleum Reserve in an economically feasible manner 
        and to a responsible degree, to combat unfair foreign trade 
        practices of the Organization of Petroleum Exporting Countries 
        and alleviate the severely deleterious consequences to people 
        and businesses in the United States that those practices have 
        caused; and
            (2) the President and the Secretary of Energy should 
        prepare for future threats to the economy and energy supply of 
        the United States by developing methods to--
                    (A) draw down the Strategic Petroleum Reserve 
                quickly when needed; and
                    (B) increase the quantity of crude oil in the 
                Strategic Petroleum Reserve over time in an 
                economically reasonable manner.
                                 <all>