As Oil Surpasses All Time Highs per Barrel, Many OPEC Members Producing Well Under Their Capacity, Despite Americans Paying Over $3.50/gallon of Gasoline ; In Light of OPEC Members Refusing to Increase Oil Production, Congress Will Look to Block Multi-Million Dollar Arms Deals with Bush Administration
Washington, D.C. – U.S. Senator Charles E. Schumer, Byron Dorgan (D-ND), Bernie Sanders (I-VT), Bob Casey (D-PA), and Mary Landrieu (D-LA) released a letter today calling on the Bush Administration to use its leverage with the members of the Organization of Petroleum Exporting Countries (OPEC) to increase oil supplies or risk Congress holding up multi-million dollar arms deals with Saudi Arabia, the United Arab Emirates and other OPEC members. As Americans are paying more than ever to fill up their cars at the gas station ($3.50/gallon on average for regular gasoline), it is clear that oil production by OPEC members is below the capacity at which they could be producing. As a result, higher oil prices are affecting U.S. consumers from the gas pump to the grocery store. The Bush Administration has refused to be tough with so-called OPEC allies and in fact continues to provide huge arms deals, despite the economic pains taxpayers are feeling.
Schumer said, "The Saudis have to understand this is a two-way street. We provide them weapons, our troops provide them protection, and then they rake us over the coals when it comes to oil. The Saudis and Big Oil are in cahoots and this Administration has coddled them both for far too long."
Dorgan said, “U.S. and Saudi Arabia have had a strategic alliance for decades which anticipates that they pump sufficient oil to meet the needs of our economy and our economic growth. And we provide strategic military support in the form of military equipment needed for their security. In the past couple of years, however, the Saudis as part of the OPEC cartel have reduced their production allowing the price of oil to go to near $120 per barrel which has caused real damage to our economy. Yet the Saudis expect the United States to sell them strategic military equipment to bolster their security. I think if the Saudis expect us to fulfill their requirement for strategic military goods to provide for their security they have a requirement to be pumping sufficient oil to provide for our economic security.”
Casey said, "The Bush Administration has not shown leadership and has not used all tools at their disposal to put pressure on OPEC nations to increase production to provide relief from record oil prices," said Senator Casey. "In addition to record prices at the pump, Americans are shouldering a greater burden because Iraq's oil-producing neighbors are not living up to their pledges of support for Iraq reconstruction and debt relief."
Sanders said, “We have a national crisis in terms of outrageously high energy prices. If the Saudi’s and other OPEC countries continue to refuse to increase supply, the President should ban arms sales to them. If they still refuse to increase production, the President should work to break-up OPEC.”
Landrieu said, “As gas prices go up, the impact reverberates through our entire economy. It not only hits American drivers at the pump, it increases manufacturing and transportation costs which affect the price on almost every product we buy. All the while, foreign powers with their hands on the spigot choose to artificially limit production to keep costs high – and the Administration rewards them for it. It’s time to stand strong and bring balance to this equation. We also need to boost energy production here at home so our economy is not as easily held hostage to foreign interests. Louisiana and its neighbors are America’s only Energy Coast and are proud to do our part to fuel the nation.”
Klobuchar said, “Just as our gas prices are skyrocketing, the administration has fallen asleep at the wheel. We need a foreign policy that looks at every option that could help us bring these prices down.”
Schumer said, "The Saudis have to understand this is a two-way street. We provide them weapons, our troops provide them protection, and then they rake us over the coals when it comes to oil. The Saudis and Big Oil are in cahoots and this Administration has coddled them both for far too long."
Dorgan said, “U.S. and Saudi Arabia have had a strategic alliance for decades which anticipates that they pump sufficient oil to meet the needs of our economy and our economic growth. And we provide strategic military support in the form of military equipment needed for their security. In the past couple of years, however, the Saudis as part of the OPEC cartel have reduced their production allowing the price of oil to go to near $120 per barrel which has caused real damage to our economy. Yet the Saudis expect the United States to sell them strategic military equipment to bolster their security. I think if the Saudis expect us to fulfill their requirement for strategic military goods to provide for their security they have a requirement to be pumping sufficient oil to provide for our economic security.”
Casey said, "The Bush Administration has not shown leadership and has not used all tools at their disposal to put pressure on OPEC nations to increase production to provide relief from record oil prices," said Senator Casey. "In addition to record prices at the pump, Americans are shouldering a greater burden because Iraq's oil-producing neighbors are not living up to their pledges of support for Iraq reconstruction and debt relief."
Sanders said, “We have a national crisis in terms of outrageously high energy prices. If the Saudi’s and other OPEC countries continue to refuse to increase supply, the President should ban arms sales to them. If they still refuse to increase production, the President should work to break-up OPEC.”
Landrieu said, “As gas prices go up, the impact reverberates through our entire economy. It not only hits American drivers at the pump, it increases manufacturing and transportation costs which affect the price on almost every product we buy. All the while, foreign powers with their hands on the spigot choose to artificially limit production to keep costs high – and the Administration rewards them for it. It’s time to stand strong and bring balance to this equation. We also need to boost energy production here at home so our economy is not as easily held hostage to foreign interests. Louisiana and its neighbors are America’s only Energy Coast and are proud to do our part to fuel the nation.”
Klobuchar said, “Just as our gas prices are skyrocketing, the administration has fallen asleep at the wheel. We need a foreign policy that looks at every option that could help us bring these prices down.”
