[Federal Register Volume 68, Number 29 (Wednesday, February 12, 2003)]
[Notices]
[Pages 7111-7112]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-3480]


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DEPARTMENT OF ENERGY

Energy Information Administration


Policy Statement: Energy Information Administration Policy for 
Release of the Weekly Petroleum Status Report

AGENCY: Energy Information Administration (EIA), Department of Energy 
(DOE).

ACTION: Policy Statement. Energy Information Administration Policy for 
Release of the Weekly Petroleum Status Report.

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SUMMARY: The comments received represent a cross section of key 
interested parties that use the Weekly Petroleum Status Report (WPSR). 
There was strong support and opinions both for leaving the release time 
as it currently is and for moving the time to coincide with New York 
Mercantile Exchange (NYMEX) trading hours. Reasonable arguments were 
made on both sides of the issue. After careful review of the comments, 
the Energy Information Administration (EIA) has concluded that it is in 
the overall best interest of WPSR users to change the release time to 
10:30 a.m. Eastern Standard Time (EST) on Wednesday.
    EIA found the arguments for moving the release time compelling 
enough to shift its current policy. The leading arguments supporting 
this decision are summarized as follows: (1) It supports fairness, 
transparency, and market oversight functions by releasing the WPSR at a 
time when both European and United States markets are open, (2) it is 
expected to contribute to reduced market volatility by releasing the 
data when more traders are operating.

DATES: This policy becomes effective on Wednesday, February 26, 2003.

ADDRESSES: Requests should be directed to Ronald W. O'Neill. Mr. 
O'Neill may be contacted by telephone (202-586-2991), FAX (202-586-
5846), or e-mail ([email protected]). These methods are 
recommended to expedite contact. His mailing address is Ronald W. 
O'Neill, M.S. EI-42, Forrestal Building, U.S. Department of Energy, 
Washington, DC 20585-0640.

FOR FURTHER INFORMATION CONTACT: Requests for additional information or 
questions about the policy should be

[[Page 7112]]

directed to Ronald W. O'Neill at the address above. The WPSR is 
available on EIA's Internet site at http://www.eia.doe.gov/oil_gas/petroleum/data_publications/weekly_petroleum_status_report/wpsr.html.

SUPPLEMENTARY INFORMATION:
I. Background
II. Summary of Comments
III. Current Actions

I. Background

    The Federal Energy Administration Act of 1974 (Pub. L. 93-275, 15 
U.S.C. 761 et seq.) and the DOE Organization Act (Pub. L. 95-91, 42 
U.S.C. 7101 et seq.) requires that EIA carry out a centralized, 
comprehensive, and unified energy information program. This program 
collects, evaluates, assembles, analyzes, and disseminates information 
on energy resource reserves, production, demand, technology, and 
related economic and statistical information. This information is used 
to assess the adequacy of energy resources to meet near and long term 
domestic demands.
    EIA provides the public and other Federal agencies with 
opportunities to comment on collections of energy information conducted 
by EIA. As appropriate, EIA also requests comments on important issues 
relevant to EIA's dissemination of energy information. Comments 
received help EIA when preparing information collections and 
information products necessary to EIA's mission.
    EIA's Weekly Petroleum Status Report (WPSR) provides timely 
information on supply and selected prices of crude oil and principal 
petroleum products. It serves the industry, the press, planners, 
policymakers, consumers, analysts, and State and local governments with 
a ready, reliable source of current information.
    The WPSR data are based primarily on weekly company submissions of 
information as of 7 am Eastern Standard Time (EST) Friday. Weekly data 
are filed with EIA by 5 pm EST on the following Monday. In the past, 
the WPSR data were publicly released electronically at 9 am EST each 
Wednesday, and the printed version was available on Friday. For weeks 
that included holidays, release of the WPSR was typically delayed by 
one day.
    On December 3, 2002, EIA issued a Federal Register notice (67 FR 
71959) requesting public comments on a proposed policy for changes in 
the release time of the WPSR. In that notice, EIA discussed the reasons 
for the proposed change and proposed moving the release time to 10:10 
am EST on Wednesday to coincide with normal New York Mercantile 
Exchange (NYMEX) and International Petroleum Exchange (IPE) trading 
hours. EIA also solicited suggestions for alternative release times.

II. Summary of Comments

    In response to the Federal Register notice requesting comments on 
the proposed WPSR release time policy, EIA received 26 comments. The 
comments were from members of Congress, investment companies, state 
governments, and traders.
    Comments fell into one of two categories: Either they were in favor 
of moving the release time or they favored keeping it at 9 am EST. 
Below is a brief summary of the major reasons given for supporting each 
category.
    Comments in favor of the current release time included:
    [sbull] Having the petroleum data available before the NYMEX opens 
allows the trading community to make qualified evaluations of the oil 
market before trading begins.
    [sbull] For some in the non-commodities trading community receiving 
the data earlier gives them more timely information for their use.
    Comments in favor of changing the release time included:
    [sbull] Releasing the data when both the European and United States 
markets are open enhances fairness, efficiency, and competition by 
allowing a greater number of market participants equal trading access. 
It essentially levels the playing field.
    [sbull] Releasing the EIA petroleum data while both markets are 
open will contribute to reduced market volatility and greater 
transparency. Releasing the data while more trading opportunities exist 
and more traders are operating reduces the likelihood that a small 
number of traders could create volatile price swings. Markets with 
greater liquidity are less likely to be manipulated.
    [sbull] With current market turbulence, never has the need for 
market competition and transparency been greater. Important functions 
of market oversight by the Commodity Futures Trading Commission (CFTC) 
would be diminished if much of the business was shifted to overseas 
markets or the less regulated Over-the-Counter (OTC) markets.
    [sbull] Maintaining the current release time could have the 
unintended effect of shifting important price discovery and risk 
management functions to an overseas market. The domestic market is made 
less relevant, and its benefits to consumers and the economy reduced, 
because businesses will be forced to utilize markets open at the time, 
thus depriving them of an important competitive choice.

III. Current Actions

    EIA WPSR Release Time Policy. EIA has established a policy for the 
release time of the WPSR. Under this policy, the WPSR will be publicly 
released electronically at 10:30 am EST each Wednesday. For weeks that 
include holidays, release of the WPSR will typically be delayed by one 
day.
    EIA reserves the right to revisit or amend this policy. However, 
EIA shall not modify the WPSR release time policy without prior 
notification in the WPSR or the Federal Register.

    Statutory Authority: Section 52 of the Federal Energy 
Administration Act (Pub. L. 93-275, 15 U.S.C. 790a).

    Issued in Washington, DC, February 6, 2003.
Guy F. Caruso,
Administrator, Energy Information Administration.
[FR Doc. 03-3480 Filed 2-11-03; 8:45 am]
BILLING CODE 6450-01-P