https://www.wsj.com/articles/a-strategic-political-petroleum-release-oil-joe-biden-gas-prices-11648762807?mod=opinion_lead_pos3
President Biden knows inflation and gasoline prices are killing Democrats in the polls, and he’s scrambling to show he’s doing something about it. Except he still won’t do what would really make a difference: Take his foot off the neck of the U.S. oil and gas industry.
His latest gambit on Thursday was to say he’ll release 180 million barrels from the national Strategic Petroleum Reserve in the next six months. This would be the biggest release in history and reduce the reserve to its lowest level since 1984. But the oil will need to be replaced, which will push up future demand.
This is one reason markets responded with a yawn. Crude prices fell a mere 4.9%. Markets don’t respond only to short-term demand and supply fluctuations. They also take into account long-term expectations and policy signals. And the Administration continues to signal that its goal is to bankrupt oil and gas producers. But before shooting them, Mr. Biden wants their political help.
The White House underscored Thursday that it wants to “immediately increase supply” while accelerating the “clean energy” transition. The President also said he wants to make companies pay fees on wells from leases that they haven’t used in years and on acres of public land that “they are hoarding without producing.” But the law already requires companies to produce oil or gas on leases or return their leases to the government.