Accession Number : ADA529737
Title : The Strategic Petroleum Reserve: History, Perspectives, and Issues
Descriptive Note : Congressional rept.
Corporate Author : LIBRARY OF CONGRESS WASHINGTON DC CONGRESSIONAL RESEARCH SERVICE
Personal Author(s) : Bamberger, Robert
Report Date : 28 Dec 2009
Pagination or Media Count : 17
Abstract : Congress authorized the Strategic Petroleum Reserve (SPR) in the Energy Policy and Conservation Act (EPCA, P.L. 94-163) to help prevent a repetition of the economic dislocation caused by the 1973-1974 Arab oil embargo. The program is managed by the Department of Energy (DOE). The capacity of the SPR is 727 million barrels, and by the end of 2009, was virtually filled to its capacity at 726 million barrels of crude oil. In addition, a Northeast Heating Oil Reserve (NHOR) holds 2 million barrels of heating oil in above-ground storage. The SPR consists of five underground storage facilities, hollowed out from naturally occurring salt domes in Texas and Louisiana. EPCA authorized drawdown of the Reserve upon a finding by the President that there is a severe energy supply interruption. Congress enacted additional authority in 1990 (Energy Policy and Conservation Act Amendments of 1990, P.L. 101-383), to permit use of the SPR for short periods to resolve supply interruptions stemming from situations internal to the United States. The meaning of a severe energy supply interruption has been controversial. EPCA intended use of the SPR only to ameliorate discernible physical shortages of crude oil. However, the American Clean Energy Leadership Act of 2009 (S. 1462), reported in the Senate, would require that the SPR include 30 million barrels of refined product; would transfer authority for a drawdown from the President to the Secretary of Energy; and would amend the drawdown authority to permit drawdown and sale in the event of a severe energy market supply interruption that has caused, or is expected to cause, a severe increase in prices. This language is a significant departure from existing authorities which predicate drawdown disruptions in supply, and discourages use of the SPR to address high prices, per se.
Descriptors : *LEGISLATION , *FEDERAL BUDGETS , *RESERVES(ENERGY) , *UNITED STATES GOVERNMENT , *UNDERGROUND FACILITIES , *STORAGE , *CRUDE OIL , PERSIAN GULF WAR , LOUISIANA , HURRICANES , DEMAND(ECONOMICS) , BARRELS , HEATING OILS , IRAN , SHORTAGES , EXPANSION , HISTORY , COSTS , CAPACITY(QUANTITY) , POLICIES , TEXAS
Subject Categories : Administration and Management
Government and Political Science
Sociology and Law
Geology, Geochemistry and Mineralogy
Distribution Statement : APPROVED FOR PUBLIC RELEASE