Trump to Tap Strategic Petroleum Reserve Amid Rising Oil Prices
President Donald Trump announced Wednesday that he will authorize a release from the Strategic Petroleum Reserve (SPR) to help mitigate the impact of rising energy costs during the ongoing conflict involving Iran and Israel. “We’ll do that and then we’ll fill it up,” Trump stated in an interview with Cincinnati broadcaster WKRC. “I filled it up once, and I’ll fill it up again, but right now, we’ll reduce it a little bit, and that brings the prices down.”
Gasoline Prices Surge
The decision comes as gasoline prices in the U.S. Have climbed to an average of $3.58 per gallon, according to motorist group AAA 1. This represents a nearly 22% increase from approximately $2.94 per gallon last month.
International Energy Agency Coordination
Trump’s comments followed an agreement by the International Energy Agency (IEA) to release 400 million barrels of oil to address global supply disruptions 2. This is the largest release in the IEA’s more than 50-year history. The U.S. Is a member of the IEA, alongside over 30 other economies.
Strategic Petroleum Reserve Capacity
The U.S. Currently holds 415 million barrels of oil in its strategic reserve, representing approximately 58% of its authorized capacity of 714 million barrels 2. The reserve is comprised of underground salt caverns located in Texas and Louisiana.
Background on the Strategic Petroleum Reserve
The Strategic Petroleum Reserve was established after the 1970s Arab oil embargo to provide the United States with a supply of oil that could be utilized in emergency situations 2. Even as the U.S. Now exports more petroleum than it imports, the reserve remains a valuable tool for responding to supply disruptions.
Interior Secretary Doug Burgum indicated that the final decision on U.S. Participation in the IEA action rested with President Trump 2.
1 AP News
2 Fortune