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- 2005-11-19
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April 25, 2006, 10:29AM
Bush acts to ease high gasoline prices
Environmental rules for refiners temporarily lifted; petroleum reserve additions to be halted
By NEDRA PICKLER
Associated Press
WASHINGTON — President Bush today ordered a temporary suspension of environmental rules for
gasoline, making it easier for refiners to meet demand and possibly dampen prices at the pump.
He also halted for the summer the purchase of crude oil for the government's emergency reserve.
The moves came as political pressure intensified on Bush to do something about gasoline prices that
are expected to stay high throughout the summer.
Bush said the nation's strategic petroleum reserve had enough fuel to guard against any major supply
disruption over the next few months.
"So, by deferring deposits until the fall, we'll leave a little more oil on the market. Every little bit helps," he said.
Wholesale gasoline futures prices for June delivery dropped 8 cents a gallon to $2.10 on the
New York Mercantile Exchange immediately upon Bush's remarks.
Easing the environment rules will allow refiners greater flexibility in providing oil supplies since they
will not have to use certain additives such as ethanol to meet clean air standards. The suspension
of oil purchases for the federal emergency oil reserve is likely to have only modest impact since
relatively little extra oil will be involved.
The high cost at the pump has turned into a major political issue, with Democrats and Republicans
blaming each other for a problem that is largely out of Congress' control. Republicans are worried
that
voters paying more than $3 per gallon would punish the party in power. Democrats want to make
that happen.
Bush said that high gasoline prices are like a hidden tax on consumers and businesses, although he
said the nation's economy was strong. He urged Congress to take back some of the billions of
dollars in Tax incentives it gave energy companies, saying that with record profits, they don't
need the breaks. He urged lawmakers to expand tax breaks for the purchase of fuel-efficient
hybrid automobiles.
The president said Democrats in the past have urged higher taxes on fuel and price caps to control
fuel expenses, but he said neither approach works. Instead, he called for increased conservation,
an expansion of domestic production and increased use of alternative fuels like ethanol.
Bush said high energy prices are disturbing.
"Our addiction to oil is a matter of national security concerns," the president said in a speech to the
Renewable Fuels Association, which advocates alternate energy sources. "After all, today we get
about 60 percent of our oil from foreign countries. That's up from 20 years ago, where about 25
percent of our oil came from foreign countries."
Bush said gasoline prices are expected to remain high throughout the summer and "that's going to
be a continued strain on the American people."
Bush said the Federal Trade Commission, the Justice Department and the Energy Department were
investigating whether the price of gasoline has been unfairly manipulated. The administration also
contacted all 50 state attorneys general to offer technical assistance to urge them to investigate
possible illegal price manipulation within their jurisdictions |
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发表于 2006-4-25 19:54