Biden admin. to release 1M barrels of gas to lower prices at pumps this summer

Darryl Coote
·1 min read
16
UPI
The Biden administration announced Tuesday it will release 1 million barrels of gasoline ahead of the summer months. File Photo by John Angelillo/UPI

May 22 (UPI) -- The United States will release 1 million barrels of gasoline from a Northeast reserve into the commercial market, the Biden administration said, in an effort to keep prices low at U.S. pumps this summer.

The barrels, representing some 42 million gallons of gasoline, are being released from the Northeast Gasoline Supply Reserve, the Department of Energy announced Tuesday.

"The Biden-Harris administration is laser focused on lowering prices at the pump for American families, especially as drivers hit the road for summer driving season," Energy Secretary Jennifer Granholm said in a statement.

"By strategically releasing this reserve in between Memorial Day and July 4th, we are ensuring sufficient supply flows to the tristate and northeast at a time hardworking Americans need it the most."

According to the department, the sale will see the fuel transferred or delivered by June 30 at the latest.

AAA said the national average for a gallon of gasoline as of Thursday was $3.60, a drop of four cents from a month earlier and seven cents up on-year.

The Northeast Gasoline Supply Reserve holds 1 million barrels of gasoline, 900,000 of which are located in the New York Harbor area with the remaining 100,000 in South Portland, Maine.

The reserve was established in the wake of Superstorm Sandy making landfall in the northeastern United States in 2012, which caused significant damage to two refineries. According to the department, some New York gas stations were without fuel for up to 30 days because of the storm.