Changing crude oil markets :allowing exports could reduce consumer fuel prices, and the size of the strategic reserves should be reexamined : report ... on Energy and Natural Resources, U.S. Senate.

Almost 4 decades ago, in response to the Arab oil embargo and recession it triggered, Congress passed legislation restricting crude oil exports and establishing the SPR to release oil to the market during supply disruptions and protect the U.S. economy from damage. After decades of generally falling U.S. crude oil production, technological advances have contributed to increasing U.S. production. Meanwhile, net crude oil imports-imports minus exports-have declined from a peak of about 60 percent of consumption in 2005 to 30 percent in the first 5 months of 2014. According to Energy Information Administration forecasts, net imports are expected to remain well below 2005 levels into the future. GAO was asked to provide information on the implications of removing crude oil export restrictions. This report examines what is known about (1) price implications of removing crude oil export restrictions; (2) other key potential implications; and (3) implications of recent changes in market conditions on the SPR. GAO reviewed four studies on crude oil exports, including two sponsored by industry, and summarized the literature and views of a nonprobability sample of stakeholders including academic, industry, and other experts.

Author: U.s. Government Accountability Office

Publisher: CreateSpace Independent Publishing Platform

Publication Date: Jul 27, 2017

Number of Pages: 52 pages

Language: English

Binding: Paperback

ISBN-10: 1973954141

ISBN-13: 9781973954149