Dr. Daniel Fine: The Strategic Petroleum Reserve and quotas

For the full article use this link--> http://www.daily-times.com/story/opinion/columnists/2016/06/25/fine...

"Washington is preparing to update the national strategic petroleum reserve, or SPR.   The one billion barrel objective will be slightly reduced through sales.  More important is the change in the delivery system which could move the oil closer to the East Coast refinery complex.

This change would support the reduction of foreign oil imports that was presented and discussed at the San Juan College's School of Energy last month. The SPR could provide oil for the adjustment if quotas on foreign oil imported across the oceans is proclaimed by the next American president next year. As imported foreign oil is reduced, the SPR oil would be sold to refiners to ease the transition to domestic (New Mexico included) produced oil.

There is an awareness at the U.S. Department of Energy that foreign oil imports are rising again as American oil output declines under an increased production volume that is pushing down prices and reversing the shale oil technological revolution.  Over one million fewer barrels are expected at the end of this year while imported foreign oil grows.  (See Tom Taylor’s Four Corner Economic Development local impact assessment that ran in The Daily Times on June 15).

The U.S. Department of Energy planning is consistent with the connection between national security and the American oil and gas industry. The SPR made oil a national security consideration in preparation for a disruption by foreign producers, mainly in the Middle East, that supply developed economies"

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