Oil industry describes emergency meeting with Biden administration as ‘constructive’


Oil industry officials on Thursday described a meeting with a senior Biden administration official as “constructive,” while the White House said the rally was “productive,” as both sides face off. pressure due to high gasoline prices.

President Joe Biden last week had ordered the big American oil CL00,
-2.05%
refineries to participate in the “emergency meeting” with Energy Secretary Jennifer Granholm, as he also criticized their benefits and urged them to produce more RB00 gasoline,
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and diesel.

“Secretary Granholm’s meeting with US refineries today was a constructive discussion on ways to address rising energy costs and create more certainty for global energy markets,” they said. American Petroleum Institute and American fuel and petrochemical manufacturers in a joint statement Thursday.

“While these challenges and their causes are complex, from Russia’s war in Ukraine to the remaining COVID market imbalances, today’s productive results should send a positive signal to the market that the US is committed with long-term investment in a strong U.S. refining industry and aligning policies to reflect that commitment.Our industry will continue to seek opportunities to work with policymakers to unlock U.S. energy, drive economic recovery, and strengthen our national security “.

Ahead of Thursday’s meeting, Granholm does not rule out a potential ban on fuel exports as a way to fight high U.S. inflation, saying Biden is “unwilling to take tools off the table.”

During the meeting, Granholm distanced himself from the idea and expressed interest in lifting summer anti-smog regulations on gasoline, according to a Reuters report citing anonymous sources.

On Wednesday, analysts had said Biden’s call for a gas tax party could indicate that his administration will pursue other interventions, such as a summer fuel formulation exemption.

White House Press Secretary Karine Jean-Pierre told reporters that Thursday’s meeting was “a productive dialogue focused on creating an opportunity for industry to work with the government to help deliver aid.” necessary for American consumers. “

“The secretary made it clear that the administration believes it is essential for companies to increase gas supply and reiterated that the president is willing to act quickly and decisively, using the tools at his disposal as appropriate. necessary, with sensible recommendations as well, ”Jean- said. said Pierre.

The meeting is a “first step with continued dialogue,” the White House spokeswoman added.

When reporters asked him why Biden stopped Thursday at a White House meeting with FAN wind power industry executives,
+ 0.87%
but did not go to the meeting with executives of seven major refineries at the headquarters of the Department of Energy, Jean-Pierre noted that an event “was actually a meeting here in the White House,” and said it is the “Granholm meeting portfolio”. with these oil executives. “

Biden had sounded a bit combative on Tuesday when talking about Chevron CVX,
-3.68%
CEO Michael Wirth’s view that the current administration has sometimes vilified the oil industry, with the president saying the executive seemed “slightly sensitive” and suggested that industry officials had hurt their feelings quickly.

On Thursday, Wirth issued an optimistic statement about the meeting with Granholm.

“Today’s meeting was a constructive conversation about addressing both short-term issues and the long-term stability of energy markets,” the Chevron executive said.

“We remain optimistic about our ability to work together to achieve these shared goals. We appreciate Secretary Granholm’s invitation to participate in the conversation, which was an important step in achieving greater energy security, economic prosperity and environmental protection.” .

Also Thursday, the API and 27 other energy groups urged Biden and his cabinet officials in a letter to visit major U.S. energy facilities before the president makes his planned trip to oil-rich Saudi Arabia. and other parts of the Middle East.

Analysts have predicted defeats for Biden’s Democratic Party in the November midterm elections, largely due to high prices for gasoline and other commodities.

Now read: As Biden fights inflation, economists warn that their weapons for this battle seem “extremely limited”



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