Robert L. Ehrlich, Jr. and others letter to Bill Clinton, October 4, 2000

ONE HUNDREO SIXTH CONGRESS The Honorable William J. Clinton President of The United States 1600 Pennsylvania Avenue, N.W. Washington, DC 20500 Dear Mr. President: ®.i£>. Щше of &epregentatfoeg Committee on Commerce •Room 2125, -Rayburn Jjouee ©fftce JSuilbing Masbmgton, 2ЭС 20515-6115 October 4, 2000 We are writing to express serious concerns with the recent decision to release oil from the Strategic Petroleum Reserve (SPR). We believe the announced release of oil from the Reserve under current circumstances is unprecedented and uses the Reserve in a manner never contemplated or authorized by Congress. Congress authorized the creation of the Strategic Petroleum Reserve ("Reserve") in 1975 through the Energy Policy and Conservation Act ("EPCA"). The purpose of the Reserve, stated in Section 151(b) of EPCA, is to reduce "the impact of disruptions in supplies of petroleum products or to carry out the obligations of the United States under the international energy program." The Strategic Petroleum Reserve is a critical component of America's energy security and is this country's first line of defense in the event of a disruption in imported oil. The timing on the announced "exchange," the apparent reversal of Administration policy and its proximity to the Presidential election raises serious questions regarding the potential misuse of the Reserve. Authority to draw from the Reserve is contained in Section 161(d)(1) of EPCA and is authorized only upon a finding by the President that there is a "severe energy supply interruption" or that a drawdown is required by the obligations of the United States under the international energy program. In addition, Section 161(h)(1) allows a limited drawdown of the Reserve if there is a circumstance that is likely to become an energy supply shortage of significant scope or duration. While prices of petroleum and refined products have fluctuated greatly this year, we neither are aware of any severe energy supply interruptions, as defined in EPCA, nor have been briefed on any by the Department of Energy ("Department"). We believe the current national oil supply situation does not trigger a drawdown of the Reserve as defined in EPCA.