“We’re Taking Action” — Biden Authorizes The Release Of 50M Barrels Of US Oil
On Tuesday, Joe Biden announced the release of emergency oil reserves in an attempt to combat increasingly high gas prices.
The US Department Of Energy has approved 50 million barrels for release as soon as mid to late December.
This is the single largest release in United States history.
With the holiday season quickly approaching they’re hoping it will help gas prices from surging anymore than they already have, although it will still take time to see the affects and it’s no secret that President Biden has been facing a lot of backlash regarding rising costs of fuel.
In my opinion… this seems to be more of a political move than anything else. I mean in 2019 alone the US was using 20.5 million barrels per day… the number was slightly lower in 2020 at 18.1 million but that seems more related to COVID than a lower overall usage.
So what is the actual benefits of releasing 50 million barrels? Almost none it seems.
“We’re taking action. The big part of the reason Americans are facing high gas prices is because oil producing countries and large companies have not ramped up the supply of oil quickly enough to meet the demand. And the smaller supply means higher prices globally, globally, for oil,” Biden said.
The President made these remarks just before leaving for Thanksgiving break in Nantucket.
As of Friday there were approximately 604.5 million barrels available in emergency reserves.
Follow me on Twitter & here on Medium for daily articles related to business, finance, and politics.
Have a good day, and Happy Holidays!
