The Biden administration will release 1 million barrels of oil a day for the next six months.
Background: For months gas prices and oil prices have been steadily climbing due to President Biden’s inflation.
Russia’s recent invasion of Ukraine prompted the Biden administration to place sanctions on Russian oil, causing prices to spike even further.
What Happened: On Thursday, the White House announced the plan to release 1 million barrels of oil a day in an effort to curb high prices at the pump.
Biden will also call for Congress to force oil companies to pay fees for unused leases.
“Companies that are producing from their leased acres and existing wells will not face higher fees,” the White House said. “But companies that continue to sit on non-producing acres will have to choose whether to start producing or pay a fee for each idled well and unused acre.” (per Fox Business)
Context: Biden’s high inflation rates and exorbitant gas prices have already begun to turn American voters against him and Democrats. As the country gets closer to November’s midterm elections more Americans have said that inflation will be a key factor when they go to the polls.
What the White House Says: “This record release will provide a historic amount of supply to serve as bridge until the end of the year when domestic production ramps up,” the White House said.
Details: The national average for gas on Wednesday was $4.23, a penny cheaper than the day before but 62 cents higher than the month before, according to AAA. This time last year, the average price for gas was $2.86. (per Fox Business)