Gold9472
03-23-2005, 06:21 PM
White House: Oil Costs Due in Part to Lack of Legislation
WASHINGTON, Mar 17, 2005 (ODJ Select via COMTEX)
By Alex Keto Of Dow Jones Newswires
http://www.rigzone.com/news/article.asp?a_id=21211
In accordance with Title 17 U.S.C. Section 107, this material is distributed without profit to those who have expressed a prior interest in receiving the included information for research and educational purposes.
The Bush administration Thursday blamed the record price levels for crude oil in part on Congress's inability to pass a package of energy legislation.
"The facts are we have run into this problem (of high energy costs) year after year because of a failure to act on a comprehensive energy plan," White House spokesman Scott McClellan said.
McClellan said the package of energy legislation that Bush proposed four years ago would offer the country a "comprehensive solution" to the nation's energy woes rather than "patch work crisis management."
The price of nearby oil futures in New York hit a new all-time high of $57.60 a barrel Thursday. Gasoline and heating oil futures also hit record highs.
The surge, attributed by analysts to buying from speculators such as hedge funds and pension funds, follows a decision by the Organization of Petroleum Exporting Countries Wednesday to pump more oil ahead of the spring to let consuming countries build inventories while they can.
The shift from the usual approach of cutting output ahead of the second quarter shows the depth of the group's concern about supplies later this year amid expectations for continued strong oil demand.
In recent weeks, top administration officials have said they believe that the high cost of crude oil and energy will force Congress to pass Bush's proposed energy legislation.
McClellan revisited the theme when he said members of Congress should "listen to the concerns of their constituents" over rising energy costs and added lawmakers have an obligation to act "they see problems of this significance."
"The president believes that now is the time to act to pass a comprehensive energy plan," McClellan said.
However, on Wednesday, Bush himself took a different view of what has driven crude oil to record high levels again Thursday. He said rising demand in the U.S. as well as in China and India is outstripping supply.
McClellan said the administration could also take steps to make sure "price gouging is going on" and make it clear to oil producers that high energy costs can curtail economic growth.
Also on Wednesday, the Senate took a step toward opening up the Arctic National Wildlife Refuge to oil drilling.
However, even if Congress does ultimately open up the refuge, it will still take years to get new oil supplies flowing from ANWR.
(C) Copyright 2005 Odj
WASHINGTON, Mar 17, 2005 (ODJ Select via COMTEX)
By Alex Keto Of Dow Jones Newswires
http://www.rigzone.com/news/article.asp?a_id=21211
In accordance with Title 17 U.S.C. Section 107, this material is distributed without profit to those who have expressed a prior interest in receiving the included information for research and educational purposes.
The Bush administration Thursday blamed the record price levels for crude oil in part on Congress's inability to pass a package of energy legislation.
"The facts are we have run into this problem (of high energy costs) year after year because of a failure to act on a comprehensive energy plan," White House spokesman Scott McClellan said.
McClellan said the package of energy legislation that Bush proposed four years ago would offer the country a "comprehensive solution" to the nation's energy woes rather than "patch work crisis management."
The price of nearby oil futures in New York hit a new all-time high of $57.60 a barrel Thursday. Gasoline and heating oil futures also hit record highs.
The surge, attributed by analysts to buying from speculators such as hedge funds and pension funds, follows a decision by the Organization of Petroleum Exporting Countries Wednesday to pump more oil ahead of the spring to let consuming countries build inventories while they can.
The shift from the usual approach of cutting output ahead of the second quarter shows the depth of the group's concern about supplies later this year amid expectations for continued strong oil demand.
In recent weeks, top administration officials have said they believe that the high cost of crude oil and energy will force Congress to pass Bush's proposed energy legislation.
McClellan revisited the theme when he said members of Congress should "listen to the concerns of their constituents" over rising energy costs and added lawmakers have an obligation to act "they see problems of this significance."
"The president believes that now is the time to act to pass a comprehensive energy plan," McClellan said.
However, on Wednesday, Bush himself took a different view of what has driven crude oil to record high levels again Thursday. He said rising demand in the U.S. as well as in China and India is outstripping supply.
McClellan said the administration could also take steps to make sure "price gouging is going on" and make it clear to oil producers that high energy costs can curtail economic growth.
Also on Wednesday, the Senate took a step toward opening up the Arctic National Wildlife Refuge to oil drilling.
However, even if Congress does ultimately open up the refuge, it will still take years to get new oil supplies flowing from ANWR.
(C) Copyright 2005 Odj