Editorial: Bring on the Oil

After backtracking for a few days early last week, it appeared that President Clinton was finally about to tap into the nation’s Strategic Petroleum Reserve to fight back against outrageous fuel prices.

If the president follows through, we want to be among the first to slap him on the back. We’ll even waive our right to say, “I told you so,” or “What took you so long?”

	Related Stories
	Clinton Authorizes Tapping Oil Reserve (Sept. 22) OOIDA: ATA Hurting Effort to Pass Fuel Law (Sept. 21) Latest national diesel prices
	What is the SPR?
	Federal SPR Facilities Oil Reserve Deposit and Withdrawal Facts SPR Timeline
		More coverage on Truckline

On the afternoon of Sept. 21, hours after Vice President Gore urged Clinton to open the taps, Energy Secretary Bill Richardson told reporters that the president’s decision on opening the oil reserve was “imminent.”

All signs were pointing to presidential action as oil prices headed toward $40 a barrel, very close to the all-time record level of $41 set during the war in the Persian Gulf.

The president was preparing to act as the national average retail price of diesel fuel hit $1.653, another record, up 2.4 cents a gallon from the previous week.

Once again, as soon as it appeared that a release of oil from the reserve was likely, wholesale petroleum prices took a quick tumble, falling about 3% to around $34 a barrel on Sept. 21, hours after Gore urged Clinton to act.

Earlier this month, when it first appeared that Clinton was giving serious consideration to tapping the reserve, petroleum immediately fell almost $3 a barrel to around $33.

One of the key elements behind the new runup in oil prices was a report last week showing that U.S. crude oil inventories had declined 2.04 millions barrels from the previous week. Such inventory drops usually presage marked price increases.

American Trucking Associations President Walter B. McCormick Jr. carried his campaign for use of the oil reserve to Energy Secretary Richardson last week, seeking relief for the trucking industry, which is reeling from stratospheric fuel prices.

Opening the reserve won’t solve the global energy crisis, but it will help us all get through the coming winter with a minimum of economic damage by insuring an adequate supply of home heating oil and diesel fuel, and at more reasonable prices.

After the market has been stabilized, we need to get back to the drawing board to establish an effective national energy policy to guard against similar recurrences of being held hostage by the energy-producing nations.