The American Petroleum Institute’s senior vice president for policy, economics and regulatory affairs, Frank Macchiarola, has labeled President Biden’s renewed request for the Federal Trade Commission (FTC) to investigate rising gas prices as a “distraction”.
“This is a distraction from the fundamental market shift that is taking place and the ill-advised government decisions that are exacerbating this challenging situation,” Macchiarola said in an API statement.
“Demand has returned as the economy comes back and is outpacing supply. Further impacting the imbalance is the continued decision from the administration to restrict access to America’s energy supply and cancel important infrastructure projects,” he added in the statement.
“Rather than launching investigations on markets that are regulated and closely monitored on a daily basis or pleading with OPEC to increase supply, we should be encouraging the safe and responsible development of American-made oil and natural gas,” the API representative went on to say.
On Wednesday, the White House announced via Twitter that Biden had asked the FTC to examine why prices at the pump aren’t going down, despite declining oil and gas prices.
“Usually prices at the pump correspond to movements in the price of unfinished gasoline, which is the main ingredient in the gas people buy at the gas station,” a letter to the Chair of the FTC signed by Biden, which was published on the White House Twitter page, stated.
“In the last month, the price of unfinished gasoline is down more than five percent while gas prices at the pump are up three percent in that same period. This unexplained large gap between the price of unfinished gasoline and the average price at the pump is well above the pre-pandemic average,” the latter added.
“I do not accept hardworking Americans paying more for gas because of anti-competitive or otherwise potentially illegal conduct. I therefore ask that the commission further examine what is happening with oil and gas markets, and that you bring all of the commission’s tools to bear if you uncover any wrongdoing,” the letter continued.
President Biden has asked the FTC to examine why prices at the pump aren’t going down, despite declining oil and gas prices.
— The White House (@WhiteHouse) November 17, 2021
According to AAA, current U.S. average gas prices stand at $3.41. The year ago average stood at $2.11, the AAA highlights.
This is shared news from rigzone.com
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