Donnelly defends his plan to lower prices at the pump

by Leanne Tokars (ltokars@wsbt.com)

Tools

Skyrocketing gas prices have politicians debating the best way to ease the burden on consumers

Skyrocketing gas prices have politicians debating the best way to ease the burden on consumers. (WSBT photo)

By WSBT News1

Could suspending delivery to the nation's emergency oil reserve help lower prices at the pump? That's what members of Congress hope.

They voted overwhelmingly this week to stop the daily shipments to the reserve.

But some people say it won’t make much of a difference on prices.

The White House spokesperson says the president opposes any congressional mandate to stop deliveries.

Indiana 2nd District Congressman Joe Donnelly talked with WSBT from Washington D.C. Wednesday.

He says, according to independent industry analysts, stopping the shipments to the Strategic Petroleum Reserve could cut gas up to 25 cents a gallon.

Donnelly says it's an immediate short-term solution.

“If we can stop filling up the Strategic Petroleum Reserve and put those gallons back on the market, in effect, the government will stop competing with Hoosier families for that gallon of gas. So it can't do anything but help,” explained Donnelly.

But not everyone thinks it will make a difference.

“The driver here is huge growth in worldwide demand, and the little games Congress is playing by limiting additions to the Strategic Petroleum Reserve is nothing but pandering to public opinion,” said Notre Dame economist Thomas Gresik. “It has no effect. The only thing that's going to get us out of this situation is an increase in supply."

Gresik believes the plan to stop shipments to the reserve would only cut gas prices by half a cent per gallon.

He says the only way to solve the problem is more drilling in the U.S. It could take 8 to 10 years, but he points out this is a problem we knew about 4 to 5 years ago.

Donnelly says in the long-term, he believes more resources are needed.

WSBT Weather

icon
70
°
More Weather
More On Demand

Stock Quotes

This content requires the latest Adobe Flash Player and a browser with JavaScript enabled. Click here for a free download of the latest Adobe Flash Player.

Tonight On WSBTFull Schedule

7.00
60 Minutes
8.00
Big Brother 10
9.00
Cold Case
10.00
Flashpoint
11.00
WSBT News
11.35
Irish Sports Report

Question of The Day

What are your thoughts on the state of the RV industry?

E-mail your comments to us. We'll pick some to read during WSBT News at 5:30.