The
average price of gas in Rhode Island as of this week is $3.40 per gallon,
according to AAA. Gas prices in Rhode
Island have risen by 25 cents over the past month, and are forecasted to
continue rising.
In
an effort to help alleviate gas prices, U.S. Senator Edward J. Markey (D-Mass)
joined Senator Jack Reed (D-R.I.) and 10 colleagues in sending a letter to
President Biden urging the administration to “consider all tools available at
your disposal to lower U.S. gasoline prices.
This includes a release from the Strategic Petroleum Reserve and a ban
on crude oil exports. We hope you will
consider these tools and others to make gasoline more affordable for all
Americans.”
“Instead
of allowing the market to work, investing in clean energy technology, and
strengthening domestic energy infrastructure, the Trump Administration fixated
on propping up the stock price of big oil companies, rolling back vehicle fuel
efficiency standards, and cozying up to Saudi Arabia and Russia. Now Americans are paying more at the pump and
our nation is more vulnerable to the oil whims of Saudi Arabia, Russia, and
other adversarial dictatorships abroad,” stated Reed. “Oil companies are enjoying the surge in fuel
prices. Consumers are not. And it has to end. Some of the upward pressure on oil prices
today is directly tied to the fact that oil producers can make more money by
producing less oil. For the good of our
economy and national security, we must ween ourselves off a system that is so
ripe for foreign manipulation and driven by greed.”
“No
one President is entirely responsible for gas prices. But the smartest thing we can do to insulate
America from future global oil price shocks is to reduce our dependence on oil
in general, and especially foreign oil.
That means investing in America’s transition to a clean energy future,
upgrading our energy technology infrastructure, and making our communities and
economy more energy efficient,” concluded Reed.
A
copy of the letter can be found HERE.
In
addition to Senators Markey and Reed, the letter was signed by U.S. Senators
Bob Casey (D-PA), Patrick Leahy (D-VT), Elizabeth Warren (D-MA), Maggie Hassan
(D-NH), Tina Smith (D-MN), Chris Van Hollen (D-MD), Jeanne Shaheen (D-NH),
Richard Blumenthal (D-CT), and Sherrod Brown (D-OH).
Crude
oil prices represent the biggest factor in terms of the prices that consumers
pay at the gas pump. But the cost of
refining, distribution expenses, taxes, and rent for the gas station also
influence the price at the pump.
Gas
price experts have pointed to a “perfect storm” of factors that have
contributed to the recent gas price spike, including: U.S. oil producers
slowing production down during the height of the pandemic and laying workers
off; COVID-related bottlenecks in the supply chain; OPEC countries like Saudi
Arabia are severely limiting petroleum production; extensive hurricane damage
to Louisiana refineries; and a downed pipeline from Atlanta to the East Coast.
Senator
Reed also noted that the Trump Administration’s reckless energy policy --
including his disastrous election year deal with Saudi Arabia and Russia that
saw a slash in OPEC production to try to increase crude oil prices -- has
contributed to the pain consumers are now feeling at the pump.