Trump Issues Important Order To Department Of Energy In Face Of Coronavirus Pandemic. Here’s Why It Matters.

(Tea Party PAC) – On Friday, President Donald Trump announced during a press conference on the coronavirus that the United States would be replenishing its Strategic Petroleum Reserve (SPR) to secure our nation’s energy reserves.

This is an incredibly important move. If the coronavirus has taught us anything, it’s that Trump’s America First agenda was the right approach all along.

“Based on the price of oil, I’ve also instructed the Secretary of Energy to purchase at a very good price large quantities of crude oil for storage in the U.S. strategic reserve,” Trump said during the White House Rose Garden presser.

“We’re going to fill it right up to the top, saving the American taxpayer billions and billions of dollars, helping our oil industry [and furthering] that wonderful goal — which we’ve achieved, which nobody thought was possible — of energy independence,” Trump said.

This announcement comes after serious turmoil in the international market following broken negotiations between Saudi Arabia and Russia when the Saudis announced they’d be increasing production.

According to CNBC, the industry reacted positively to the president’s announcement.

“It is a fantastic idea,” said John Kilduff, the founding partner of Again Capital, in CNBC’s report. “The SPR is one of the few levers that the U.S. can pull in times of oil market tumult.”

“It has served the country well when supplies get tight or otherwise become unavailable during times of natural disasters or geopolitical turmoil,” Kilduff said. “Releases of supplies have served to short-circuit price rallies in the past, and this filling may well serve to ebb the current sell-off.”

“Russia, the world’s second-largest producer, does not appear willing to return to its agreement with the Organization of the Petroleum Exporting Countries (OPEC), which has kept oil in a range around $30 a barrel for much of the last week,” CNBC reported.

Saudi Arabia is essentially the de facto leader of OPEC.

From CNBC:

The move to purchase more oil for the U.S. reserve also came as part of the administration’s response of supporting the American economy that’s trying to determine to what extend the novel coronavirus will impact growth. Trump declared a national state of emergency in his Friday speech from the Rose Garden.

The Department of Energy described the importance of the SPR:

Established in the aftermath of the 1973-74 oil embargo, the SPR was established to counter a disruption in commercial oil supplies which could threaten the U.S. economy. It is also the critical component for the United States to meet its International Energy Agency obligation to maintain emergency oil stocks.

Trump’s presser most importantly included a national state of emergency to designate money to help states cope with the fallout of the coronavirus outbreak.

13 COMMENTS

  1. Trukmp the blow hard only thing Trump evr does is something he can brag about to seem to make him self important and when the majority of the population know different.
    In some it does not take much to make them think this is a big deal when it was always in the wiorks from jump street. This is just another thing to prop up the oil industry which at present has major lay offs because of lack of demand from indusatry as well as th public, who are using less for many reasons, anyone else would let the system level it self, so it woukld be stable for long periods.

    • As a seventy five year old senior I have learned that you cannot argue with a fool, a drunk, or an idiot! Which one are you or are you all three?

    • Robert seems to be a product of our broken educational system that fails to teach “critical thinking” anymore. Poor Robert doesn’t have a clue what he is talking about because he has no way of thinking through the complicated factors at play, so he grabs for the latest Dim talking points. Robert doesn’t know what he doesn’t know, and will likely stay that way for the rest of his life.

  2. President Trump will go down in history as the best president of modern day America and probably in the top five of all of America’s presidents!!! TRUMP 2020!!!

  3. Trump has done nothing new at all. This has been around since WWII, along with mandatory stockpiles of aluminum and several other strategic minerals. Is called National Defense.

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