The release from the US oil reserve will have only a short-term impact on surging prices unless coupled with policy action promoting the production of national energy resources, Senior Vice President of Policy, Economics and Regulatory Affairs of the American Petroleum Institute (API) Frank Macchiarola said on Tuesday
WASHINGTON (Pakistan Point News / Sputnik - 23rd November, 2021) The release from the US oil reserve will have only a short-term impact on surging prices unless coupled with policy action promoting the production of national energy resources, Senior Vice President of Policy, Economics and Regulatory Affairs of the American Petroleum Institute (API) Frank Macchiarola said on Tuesday.
"We believe that any impact resulting from an SPR release is likely to be short-lived unless it is paired with policy measures that encourage the production of American energy resources," Macchiarola was quoted as saying by API.
Earlier in the day, President Joe Biden announced the release of 50 million barrels of oil from the Strategic Petroleum Reserve (SPR) in concert with other energy consuming nations, including China, India, Japan, South Korea and the UK.
The Department of Energy explained that the decision comes in response to oil prices hitting their seven-year high, to ensure adequate supply as the world exits the COVID-19 pandemic.
Pump prices in the United States have risen sharply over the past year, and have hit highs above $4.60 a gallon in California last week.
