The International Energy Agency defended its decision to put emergency reserves up for sale on the markets, arguing the halt to Libyan oil production was more detrimental than the disruption in the Gulf caused by Hurricane Katrina in 2005.
The sharp sell-off of oil stocks and a drop in futures sales yestreday appeared to stabilize today as the markets adjusted to the surprise announcement to release 60 billion barrels of oil, half of which will come from the U.S. Strategic Petroleum Reserve.
Richard Jones, the deputy chief of the IEA, told Reuters Insider TV that the loss of 1.5 million barrels a day of oil because of the revolution in Libya comes now at a bad time as refineries go on line for summer production.
"Now we're going into the summer driving season, those refineries which have returned to operation are about to ramp up their production," Jones said.
Skeptics and political detractors, however, accuse the Obama administration of dumping the oil to offset the sticker shock caused by $4 a gallon gasoline at the pumps as motorists face the summer vacation road season.
"The (Strategic Petrolium Reserve) was created to mitigate sudden supply disruptions," said House Speaker John Boehner (R-Ohio). "This action threatens our ability to respond to a genuine national security crisis and means we must ultimately find the resources to replenish the reserve – at significant cost to taxpayers."
While U.S. gas prices are forecast to dip at least 20 cents on average, Jones suggested there was no pressure from the Obama administration to release the oil. "All 28 countries were approached with the plan and not one country opposed it," he told Reuters TV.
On another front, the Federal Trade Commission this week announced it will investigate whether U.S. refineries are responsible for the price hikes at the pump the past few months.
Showing posts with label gas prices. Show all posts
Showing posts with label gas prices. Show all posts
Friday, June 24, 2011
Thursday, April 28, 2011
Cash-Flush Oil Industry Laughs At The American Motorist
We knew it would happen in this age of greed and corporate welfare.
Amid the worst gas and diesel prices since the economic crash of 2008 under the Bush administration, the oil industry today is reporting whopping first quarter profits worth 10s of billions of dollars:
-Industry giant Exxon Mobil Corp. enjoyed a whopping 69 percent increase in profits.
-Royal Dutch Shell reported its profits rose 30 percent.
-Occidental Petroleum saw a 46 percent gain in profits.
-ConocoPhillips earnings increased 43 percent.
-And last but not least, the corporation that destroyed the Gulf fishing and tourism industry, BP, reported a 17 percent increase in profits.
As Wall Street and the corporate culture of greed wallow in their gluttony, the price of gas rose for the 35th straight day for the American motorist, coming in at $3.89 for a gallon of regular and $4.14 for a gallon of diesel.
Despite the profits and the soaking American motorists are getting at the gas pump, the Tea Party-driven GOP House majority (courageously on vacation this week) refuses to budge on wiping out $4 billion in taxpayer-funded giveaways to the oil industry
Welcome to another round of stick it to the working man and woman.
Amid the worst gas and diesel prices since the economic crash of 2008 under the Bush administration, the oil industry today is reporting whopping first quarter profits worth 10s of billions of dollars:
-Industry giant Exxon Mobil Corp. enjoyed a whopping 69 percent increase in profits.
-Royal Dutch Shell reported its profits rose 30 percent.
-Occidental Petroleum saw a 46 percent gain in profits.
-ConocoPhillips earnings increased 43 percent.
-And last but not least, the corporation that destroyed the Gulf fishing and tourism industry, BP, reported a 17 percent increase in profits.
As Wall Street and the corporate culture of greed wallow in their gluttony, the price of gas rose for the 35th straight day for the American motorist, coming in at $3.89 for a gallon of regular and $4.14 for a gallon of diesel.
Despite the profits and the soaking American motorists are getting at the gas pump, the Tea Party-driven GOP House majority (courageously on vacation this week) refuses to budge on wiping out $4 billion in taxpayer-funded giveaways to the oil industry
Welcome to another round of stick it to the working man and woman.
Friday, April 22, 2011
A Good Friday to Think About Bicycle Commuting
It is Earth Day and Good Friday and the average cost of a gallon of regular gasoline is $3.85, according to the American Automobile Association.
While we wait to see whether a newly announced Justice Department probe reveals any gas price gouging by the oil industry, this is a good time to reflect on a more healthy, holistic and spiritual answer to the choke hold of gasoline economics: Bicycle commuting.
Thousands of miles of bike lanes are being painted in the nation's cities, old railroads are being converted to biker-hiker paths, businesses are adding bike racks to their establishments every day and slowly but steadily motorists are learning to share the road.
Between 2000 and 2009 bicycle commuting increased in the United States by 43 percent, according to the League of American Bicyclists. The reasons vary: health, savings, training, environmentalism, midlife crisis (Some guys like fast cars, some like fast bikes).
But the cycling revolution is being curtailed by politicians who have yet to embrace pedal power. The reasons vary: ignorance, short-sightedness, oil addiction and sloth. So say a prayer today for bike-deprived middle class SUV owners who may have to take out a second mortgage to pay their commuter costs this year.
While we wait to see whether a newly announced Justice Department probe reveals any gas price gouging by the oil industry, this is a good time to reflect on a more healthy, holistic and spiritual answer to the choke hold of gasoline economics: Bicycle commuting.
Thousands of miles of bike lanes are being painted in the nation's cities, old railroads are being converted to biker-hiker paths, businesses are adding bike racks to their establishments every day and slowly but steadily motorists are learning to share the road.
Between 2000 and 2009 bicycle commuting increased in the United States by 43 percent, according to the League of American Bicyclists. The reasons vary: health, savings, training, environmentalism, midlife crisis (Some guys like fast cars, some like fast bikes).
But the cycling revolution is being curtailed by politicians who have yet to embrace pedal power. The reasons vary: ignorance, short-sightedness, oil addiction and sloth. So say a prayer today for bike-deprived middle class SUV owners who may have to take out a second mortgage to pay their commuter costs this year.
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