[Congressional Record Volume 146, Number 7 (Wednesday, February 2, 2000)]
[Extensions of Remarks]
[Page E55]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

[[Page E55]]



         STAY THE COURSE--DON'T TAP OUR STRATEGIC OIL RESERVES

                                 ______
                                 

                            HON. MAX SANDLIN

                                of texas

                    in the house of representatives

                      Wednesday, February 2, 2000

  Mr. SANDLIN. Mr. Speaker, I welcome an apparent change in direction 
by Energy Secretary Bill Richardson away from draining millions of 
barrels of oil from the strategic Petroleum Reserve (SPR) in the coming 
weeks.
  Draining the Strategic Petroleum Reserve and dumping foreign oil on 
our market is a dangerous precedent, both from an economic standpoint 
and as a national security issue. I am glad that Secretary Richardson 
backed down.
  The Administration's strategy on dealing with rising oil prices has 
been unclear. Last month, Secretary Richardson indicated that the 
Energy Department might move to open the SPR and encourage foreign 
countries to dump oil on the U.S. market in an effort to reduce prices. 
The New York Times reported Sunday that Secretary Richardson is 
reluctant to open the reserves, but Time reports this week that 
``Richardson is quietly but vigorously pushing a proposal that would 
pour millions of barrels of oil from America's Strategic Petroleum 
Reserve onto the market in the coming weeks.''
  Mr. Speaker, I have been a vocal critic of plans to use oil from the 
SPR in response to the rising price of oil. Doing so would be extremely 
dangerous to our economy and our national security. The reserve was 
created to fill any gaps in oil supply during war or other emergencies. 
Using it to manage price is improper and contrary to long-standing 
practices.
  It now appears that the White House has decided to stay the course. I 
have told the Administration that releasing oil from the reserves would 
not only threaten oil producers, but sets a dangerous precedent. Our 
Strategic Petroleum Reserve must be closely guarded in order to 
maintain our national security.
  Large-scale government intervention in the oil market would hurt 
domestic oil producers. I know that high heating oil prices are a 
serious problem for working families in the Northeast, but Texas oil 
producers are not to blame. If we open our reserves every time the 
price of oil moves, we invite even more harassment from OPEC and the 
threat of an actual supply disruption.
  Mr. Speaker, this entire episode highlights the fact that we need a 
national energy policy. Right now, all we do is respond to the 
emergency of the moment. We have no plan, no policy.
  Secretary Richardson has wandered all over the map on this issue. I'm 
glad that good policy and reason prevailed.
  President Clinton needs to take the long view of America's energy 
issues. I am hopeful that the White House will focus its energy on 
developing a long-term energy policy that will protect American 
consumers and producers and while ensuring our national security.

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