WASHINGTON, March 8, 2012 – API President and CEO Jack Gerard outlined policy proposals the Obama Administration can enact now to immediately put downward pressure on gasoline prices in
a press conference call with reporters:
“We ask the president to send a powerful signal to the international crude oil markets that the U.S. is ready to lead in developing the domestic energy resources of oil and natural gas, the energy that is used to meet more than half of our energy demand and will continue to do so for decades despite advances in alternative fuels. The U.S. cannot control unrest in the Middle East, international supply disruptions, or rising worldwide demand, but it can increase world supply of crude oil by developing more of our own ample oil resources.
“When President Bush lifted the moratorium on the East and West Outer Continental Shelf back in July of 2008, the 45-day price average for crude oil dropped $16 dollars per barrel, a 12 percent decline. While multiple factors affect crude price, this action and the resulting crude price decline demonstrated the clear link between anticipated supply and downward pressure on prices.
“This president has the power to open new areas for responsible development. He has the power to allow the Keystone XL pipeline to bring new supplies of crude oil from Canada to Gulf Coast refineries. Through the Department of Interior, he has the power to speed up the permitting process back to normal levels.
“We urge him to truly do all of the above to help immediately create downward pressure on crude prices that will benefit American consumers.”
Click
here for a chart showing the 12 percent crude price decline following President Bush’s July 2008 announcement.
API represents 500 oil and natural gas companies, leaders of a technology-driven industry that supplies most of America's energy, supports 9.2 million U.S. jobs and 7.7 percent of the U.S. economy, delivers more than $86 million a day in revenue to our government, and, since 2000, has invested more than $2 trillion in U.S. capital projects to advance all forms of energy, including alternatives.