White House “dusting off old plans” for potential oil-reserve release

posted at 3:21 pm on August 17, 2012 by Erika Johnsen

Rising gas prices never bode well for incumbents in national elections, and if there’s one thing Team Obama really doesn’t need right now, it’s the hard-felt ramifications of high energy costs that are felt by everybody in every area of the country that penetrate into so many material spheres. They were granted a reprieve after gas prices peaked in April, but gas prices are on the rise again, and if this persists into the fall, Team Obama has definite cause for alarm.

Beyond “investing” more of our money for us into green energy boondoggles, the Obama administration hasn’t done much for our energy future — a point that Ed made earlier today. While we could be tapping into our own energy reserves more and getting an economic and revenue boost from the gangbusters global energy market, the Obama administration has consistently limited our access while simultaneously claiming that allowing for more domestic production won’t do anything to lower gas prices in the near future (which, by the way, is not true). So, what’s the next best thing? Just play some politics, duh!

The White House is “dusting off old plans” for a potential release of oil reserves to dampen prices and prevent high energy costs from undermining sanctions against Iran, a source with knowledge of the situation said on Thursday.

U.S. officials will monitor market conditions over the next few weeks, watching whether gasoline prices fall after the September 3 Labor Day holiday, as they historically do, the source said. …

The source said the White House had not discussed political ramifications because a decision on a release had not been made. …

Gathering support from partner nations is likely to be the next step as Washington studies its options. …

Germany and some other European nations have generally resisted using government-held oil inventories in the absence of a sharp and deep disruption in supplies.

Call me crazy, but I tend to think the use of our strategic oil reserves should probably be limited to real, bona fide, disruptive supply emergencies — rather than ‘these prices sure are getting mighty high at a rather inconvenient moment’ pre-election panics. Le sigh — we could’ve avoided a lot of this silliness if we had acted long time ago, you know.


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3 days of Keystone XL Barack….

I thought supply and demand did not impact price you clown.

harlekwin15 on August 17, 2012 at 3:24 PM

Expect to hear even more about Roof Dog from 1983 and Romney’s taxes.

gsherin on August 17, 2012 at 3:26 PM

Obama, in desperation, with diapers gray pouponed, will release oil from the reserves…yes, the ones meant for a national emergency.

He is an utter degenerate CiC.

Schadenfreude on August 17, 2012 at 3:27 PM

Oh, so we can release our way to energy independence, but we can’t drill our way to it.

And Biden said we’re going to spend our way out of bankruptcy, remember?

Have we detected a pattern?

Akzed on August 17, 2012 at 3:28 PM

Call me crazy

No; It’s “Call me Maybe”

lorien1973 on August 17, 2012 at 3:29 PM

An “all of the above” energy plan comes down to one thing, don’t drill or frack or do pipelines or keep coal. Just release a bunch of oil reserved for emergency right before the election. Criminal.
What do you expect when the Secretary of Anti-Energy himself wants $10 a gallon gas, and the preezy himself calls for energy prices to skyrocket.
“A massive campaign must be launched to de-develop the United States… [we] must design a stable, low-consumption economy in which there is a much more equitable distribution of wealth.” -John Holdren (1973), O’s ‘Science’ Czar

anotherJoe on August 17, 2012 at 3:29 PM

Obama, in desperation, with diapers gray pouponed, will release oil from the reserves…yes, the ones meant for a national emergency. He is an utter degenerate CiC. Schadenfreude on August 17, 2012 at 3:27 PM

Of course, you realize that he looks at his floundering campaign as a national emergency of the first order.

Akzed on August 17, 2012 at 3:29 PM

Call me crazy, but I tend to think the use of our strategic oil reserves should probably be limited to real, bona fide, disruptive supply emergencies — rather than ‘these prices sure are getting mighty high at a rather inconvenient moment’ pre-election panics.

But the possibility of our Dear Liar not getting reelected (with 90% of the vote, no less) is a real, bona fide emergency.

/sarc

rbj on August 17, 2012 at 3:30 PM

Making the country weaker and more vulnerable again for Obama’s personal political gain.

forest on August 17, 2012 at 3:30 PM

Call me crazy, but I tend to think the use of our strategic oil reserves should probably be limited to real, bona fide, disruptive supply emergencies

Like if Israel attacks Iran and the Strait of Hormuz gets shut for a while. Not likely to happen, 0bama has Israel’s back.

cozmo on August 17, 2012 at 3:30 PM

Releasing oil reseverves would drop the price per 30 cents or less for a gallon of gas… Even if it drops by 50 cents it is still not enough to any political gain…

mnjg on August 17, 2012 at 3:31 PM

The source said the White House had not discussed political ramifications because a decision on a release had not been made

Bull-Shiite

Bitter Clinger on August 17, 2012 at 3:33 PM

Utterly clueless.

Have we detected a pattern?

Akzed on August 17, 2012 at 3:28 PM

Clearly. Punish the oil companies, try to force people off of fossil fuels. WTF?

The left hate the people that produce the energy, but want to keep prices low for political expediency. The love the milk, but they hate the cow.

iurockhead on August 17, 2012 at 3:33 PM

Reckless and dangerous. Especially now.

wolly4321 on August 17, 2012 at 3:33 PM

Didn’t they do this last year or the year before and the price of gas moved slightly for about a week or two and then went back to where it was?

Bitter Clinger on August 17, 2012 at 3:35 PM

Expect this clown to do or say anything he thinks will get him re-elected. Even if it means hurting us all in the process.

paulrtaylor on August 17, 2012 at 3:36 PM

OT

but Brayam says success!!!

Housing has been making a modest comeback this year. But even with the gains, the rate of construction and the level of permits remain only about half the 1.5 million annual rate considered healthy.
–USA TODAY

CW on August 17, 2012 at 3:36 PM

This, my friends, is more smart power… Yes, this worked so well last time to lower gas prices. More doubling down on stupid. Worst president evah!

johnnybgood on August 17, 2012 at 3:36 PM

Remeber when gas prices were soaring and the MSM were all over Bush. Now gas prices are really soaring and you hear nothing from the MSM.

rjoco1 on August 17, 2012 at 3:36 PM

The left hate the people that produce the energy, but want to keep prices low for political expediency. They love the milk, but they hate the cow.

iurockhead on August 17, 2012 at 3:33 PM

Well put!!

Bitter Clinger on August 17, 2012 at 3:37 PM

Call me crazy, but I tend to think the use of our strategic oil reserves should probably be limited to real, bona fide, disruptive supply emergencies — rather than ‘these prices sure are getting mighty high at a rather inconvenient moment’ pre-election panics.

Ericka you silly girl… Do you not understand, there is nothing more important than Obama getting reelected…

SWalker on August 17, 2012 at 3:38 PM

He won’t do it. There is too much to risk if Israel goes ahead with their plans to clear out Iran’s Member’s Only jacket inventory. He’s just going to have to keep the topic on safe things like racism, class warfare, doggie trots, and offlroad wheelchair racing.

catalan on August 17, 2012 at 3:38 PM

Why not? But we can’t stop using corn to make the fuel instead of food now can we? bho/team will do whatever they need to do to get re-elected, come he!! or high water it seems?
L

letget on August 17, 2012 at 3:39 PM

Why not? But we can’t stop using corn to make the fuel instead of food now can we? bho/team will do whatever they need to do to get re-elected, come he!! or high water it seems?
L

letget on August 17, 2012 at 3:39 PM

And they seem to be trying to insure that it comes to the come heII part…

SWalker on August 17, 2012 at 3:41 PM

No doubt soon to be released news:

Obama has agreed to supply Israel all the “green fuel” they need to wage a war. Obama promised to charge them half of what our Navy is currently paying for this fuel. No performance guaranties were included in the proposal.

sdbatboy on August 17, 2012 at 3:42 PM

Save My Campaign At Any Cost 2012

So what’s the countdown to “bailing out” every student loan?

Bishop on August 17, 2012 at 3:43 PM

This is hurricane season. Only an idiot would take from emergency supplies in a non-emergency event (unless losing votes constitutes and emergency). They probably restocked the supply when the price was high, so they will take another loss when they withdraw from the reserve and have to restock again at a high price.

DAT60A3 on August 17, 2012 at 3:44 PM

If RICH Ann Romney didn’t own all of those EXPENSIVE horses and if RICH Mitt Romney would release all of his FELONY-containing tax returns, obama wouldn’t have to take this absolutely necessary action, which he really doesn’t want to take and which has absolutely nothing to do with the election.

Pork-Chop on August 17, 2012 at 3:46 PM

This is hurricane season. Only an idiot would take from emergency supplies in a non-emergency event (unless losing votes constitutes and emergency). They probably restocked the supply when the price was high, so they will take another loss when they withdraw from the reserve and have to restock again at a high price.

DAT60A3 on August 17, 2012 at 3:44 PM

Cloward-Pivens.

SWalker on August 17, 2012 at 3:46 PM

Bishop on August 17, 2012 at 3:43 PM

Good question. The EO is already written. They are just working on the timing.

And the new mortgage bailout. That’s written already as well.

cozmo on August 17, 2012 at 3:47 PM

Housing has been making a modest comeback this year. But even with the gains, the rate of construction and the level of permits remain only about half the 1.5 million annual rate considered healthy.
–USA TODAY

CW on August 17, 2012 at 3:36 PM

Link is not liked by the mill but this

Housing Starts Drop, Permits Jump; Jobless Claims Rise

Schadenfreude on August 17, 2012 at 3:47 PM

Releasing oil reseverves would drop the price per 30 cents or less for a gallon of gas… Even if it drops by 50 cents it is still not enough to any political gain…

mnjg on August 17, 2012 at 3:31 PM

A drop of 50 cents means it didn’t go up in price so that is a political gain.

Vince on August 17, 2012 at 3:50 PM

Well this is Friday and boy the news dumps are coming out big time aren’t they? Gotta distract, distract to make bho look like he is doing something besides golf and campaigning!
L

letget on August 17, 2012 at 3:50 PM

So we can buy more Saudi oil to refill the reserves? This makes sense to this dolt? Rather than allowing the closed wells in the Gulf to reopen?

pat on August 17, 2012 at 3:53 PM

I have been wondering for awhile now, what happens in the 2.5 months after Romney is elected? How much damage can Obama and Reid do before they get thrown out? It really is a serious concern of mine, right after making sure they get kicked out in the first place!

UnderstandingisPower on August 17, 2012 at 3:53 PM

Isn’t there a video of Obama saying that Presidents (Bush) should not release this reserve?

faraway on August 17, 2012 at 3:57 PM

So we can buy more Saudi oil to refill the reserves? This makes sense to this dolt? Rather than allowing the closed wells in the Gulf to reopen?

pat on August 17, 2012 at 3:53 PM

Gotta keep the enviro-whacko money flowing into the campaign.

Bitter Clinger on August 17, 2012 at 3:58 PM

as they did with Medicaire out of the campaign gate, Rx2 needs to add this tidbit to their rallies immed. mentioning looming middle-East crisis, Gulf/Atlantic storm season, the intended purpose of this oil, the little impact it had 18 mos. ago when they released it, etc…

Get on the darn whiteboard again Mitt show America this only has to do with political expediency..

hillsoftx on August 17, 2012 at 3:59 PM

The SOR are a drop in the bucket compared to normal demand, and would have negligible effect on prices. But the prime intent here is political: your friendly big government is watching out for you – so vote for obama.

This will have about the same effect of limiting carbon emissions on the climate, maybe less.

And then the SOR would have to be replenished. Then what? More smoke and mirrors from the Dems.

paul1149 on August 17, 2012 at 4:00 PM

Gotta keep the enviro-whacko money flowing into the campaign.

Bitter Clinger on August 17, 2012 at 3:58 PM

Most of enviro-whacko money reportedly comes from the same Saudis. I wonder why.

Archivarix on August 17, 2012 at 4:02 PM

Obama said in a news conference in St. Louis on July 7, 2008…

“The strategic oil reserve, I think, has to be reserved for a genuine emergency. You have a situation, let’s say, where there was a major oil facility in Saudi Arabia that was destroyed as a consequence of terrorist acts, and you suddenly had huge amounts of oil taken out of the world market. We wouldn’t just be seeing $4-a-gallon oil. We could see a situation where entire sectors of the country had no oil to function at all. And that’s what the strategic oil reserve has to be for.”

faraway on August 17, 2012 at 4:04 PM

A drop of 50 cents means it didn’t go up in price so that is a political gain.

Vince on August 17, 2012 at 3:50 PM

A very minor gain at best and for sure not enough to change anything. Moreover Obama will be hammered hard by Romney for releasing the strategic oil reserves for political gains and this would allow Romney to talk about a major subject on this elections “Energy” and how drilling for oil and gas in the US is going to create millions of jobs… A majority of voters do not believe a word anymore of what Obama says and they distrust everything he does because they have seen his utterly failed record for almost 4 years now… Nothing he will do or say will change the opinion of the majority of voters about him… At the end when voters go to the polls on November 6 2012 a majority of them are going to ask themselves the simplest and most important question: “Do we want four more years of this crap?”. Their answer would be “No, hell No”…

mnjg on August 17, 2012 at 4:16 PM

Same old playbook

Conservative4ev on August 17, 2012 at 4:27 PM

The source said the White House had not discussed political ramifications because a decision on a release had not been made

Oh please, don’t insult my intelligence. Political ramifications is front and foremost ALL they discuss!
What they’re discussing is the pros and cons of how blatantly politically OBVIOUS this will look.

marybel on August 17, 2012 at 4:51 PM

The source said the White House had not discussed political ramifications because a decision on a release had not been made

Sooooo, they make a decision…and THEN they discuss ramifications???
What a steaming pile of bovine excrement!

(sorry for two quick posts, this just frosts my derriere)

marybel on August 17, 2012 at 4:55 PM

Like the obsessed nut in the film Mosquito Coast.

When a fool leads a great nation.

I have been studying German engineering after fighting with people here and calling them Nazis.

Boy! Am I learning.

Did you know that a Volkswagon Passat or Jetta burning grimy oil in a diesel gets better mileage than a Ford Fusion Hybrid? And has metal everywhere for high safety marks? And you don’t dump batteries?

But back to the brainchild of the faculty lounge and the Volt which costs about twice as much.

IlikedAUH2O on August 17, 2012 at 5:17 PM

So we replenished the SOR after the last release, right? Anyone know how much that cost, and whether we lost money in the end?

toby11 on August 17, 2012 at 5:31 PM

Clinton did the same thing in ’96, except he did it earlier in the year (spring if I recall correctly). The difference is that the unemployment rate in that year was around five percent. Say goodnight, Barry.

Travis Bickle on August 17, 2012 at 5:52 PM

There was a gas price reprieve in April? I guess, like with the economy, the “new normal” is gas prices over $3.00? I refuse to accept that! Romney/Ryan 2012

obsessedinga on August 17, 2012 at 6:01 PM

I HOPE GAS GOES TO $7 BUCKS A GALLON, MOST OF AMERICA WOULD PAY ANY AMOUNT TO ENSURE THE ANGRY-RACIST-DIVIDER IN THE WHITE HOUSE IS THROWN OUT!!

ARIZONAVETERAN on August 17, 2012 at 6:04 PM

Not much of a strategy. If it lowered prices at all it would be about 5 cents/gal for 3 days.

But stupid liberals would kiss his feet for it anyway, even if they can’t afford a car because of him.

Wolfmoon on August 17, 2012 at 6:33 PM

Double whammy in Democratic Kalifornia – a refinery fire has cut deep into the supply of “our special blend”. Prices are approaching $5/gallon. No quick relief in sight. Depending on the extent of the fire damage – and it’s still not safe to get into the damaged area – it’s already estimated the problem will continue for about 6 months.

But given the STUPIDITY of the average Kalifornian – they deserve every financial whipping they get for keeping those idiot greenies in Sacramento.

GarandFan on August 17, 2012 at 6:55 PM

Double whammy in Democratic Kalifornia – a refinery fire has cut deep into the supply of “our special blend”. Prices are approaching $5/gallon. No quick relief in sight. Depending on the extent of the fire damage – and it’s still not safe to get into the damaged area – it’s already estimated the problem will continue for about 6 months.

But given the STUPIDITY of the average Kalifornian – they deserve every financial whipping they get for keeping those idiot greenies in Sacramento.

GarandFan on August 17, 2012 at 6:55 PM

More fun on the way?

Dan Sperling, an appointee to the California Air Resources Board (CARB) and a professor of engineering and environmental science at UC Davis, is the lead advocate on the board for a “low carbon fuel standard.” The powerful state agency charged with implementing AB 32 and other climate control measures, claims the low carbon fuel standard will “only” raise gasoline prices $.30 gallon in 2013. The California Political Review reported implementation of these the policies will raise prices by $1.00 per gallon.

The article linked above delves into a lot more than gasoline prices, and is well worth the read.

sublibertate on August 17, 2012 at 9:33 PM