U.S. House Approves Bill That Would Curtail Use Of Petroleum Reserves

On a largely partisan 221 to 205 vote, the U.S. House of Representatives approved legislation last week that would restrict when the executive branch could tap the nation’s Strategic Petroleum Reserve, or SPR. (As readers might recall, President Joe Biden accessed the SPR last year in an attempt to reduce consumer gas prices.)

Specifically, the bill requires the federal government to develop a plan to increase the percentage of federal lands leased for new oil and gas production if the White House decides to withdraw oil from the SPR. The legislation does contain an exception for “severe energy supply interruptions,” however, so it the SPR still could be used in extreme emergencies.

The long lead time for less is a barrier to energy development. As The Hill explained in an article last week, leasing is an early step in the lengthy process of setting up new oil exploration on public lands and waters. It takes an average of more than four years for leased lands to turn into additional oil. Adding more lands could add more energy sources to the pipeline.

Unfortunately, the bill most likely will not be signed into law any time soon. Not only is the majority of the Senate unlikely to vote for it, but last week U.S. Energy Secretary Jennifer Granholm also confirmed that President Biden would be likely to veto the SPR legislation if it were to pass Congress.