Congress needs to act now to spend $1.2 Billion

Now this is goining to have the sound of "man bites dog" on this blog, but Congress ought to set to in the lame duck session this week and insist that the Energy Department immediately spend $1.2 billion.

It's the best bargain for public money I've seen in a long while.

The Strategic Petroleum Reserve is short 26 million barrels from its 727 million barrel capacity.

http://en.wikipedia.org/wiki/Strategic_Petroleum_Reserve

It had been filling at the rate of 70,000 barrels/day when noted energy experts like Senator Chuck Schumer insisted this be stopped so as to keep the feds from adding to oil demand, thus boosting oil prices. This was when the price of crude was going to infinity and beyond.

At the time, eminently reasonable But of course, they then passed legislation forbidding the Bush administration from buying any more oil.

In order to take advantage of the oil bubble's collapse (prices are down around $40/bbl) the legislation needs to be repealed. NOW.

The window to take advantage of this historical crash in oil prices may be short. OPEC meets on December 17 and almost cretaintly will shut in lots of production to try and drive the price back up.

Acting now in the lame duck session to repeal the SPR purchase ban is good for taxpayers, good for consumers and  improves our energy independence. And as soon as the ban is lifted the Energy Department ought ot buy up as much oil as it can immediately.

If they don't act; I do not want the likes of Reid, Pelosi and Schumer bleating next year about energy independence--topping off SPR is a quick cost -effective way to improve the situation now, not some green pipe dream decades away from market.

While we are at it; maybe DOE ought to lock in oil futures for December 2009 delivery.  We might like to emulate Southwest Airlines and set a fixed price for future fuel needs for the Pentagon and the Low Income Energy Assistance Program.  I'd love to see us get heating oil to the northeastern non-profits cheaper than the tinhorn dictator Hugo Chavez and his lefty Kennedy friends.     

It's an idea that makes perfect sense. So, don;t expect anyone in Congress to do this.