The Democrats' oil folly

President Joe Biden has just announced his plan to release even more oil, 15 million barrels, from the nation's Strategic Petroleum Reserve. That is the last portion of the 180 million barrels he authorized for release in March, which was the biggest withdrawal ever from the reserve that is supposed to ensure a supply of oil in case of a national emergency.

In this case, the national emergency is most likely the midterm elections, in which the president's party is likely to lose seats in Congress, in large part because of runaway inflation that is powered, in significant part, by an increase in gas prices. Biden's release reduces the Strategic Petroleum Reserve, or SPR, to its lowest level in nearly 40 years.

Given that, Biden has also authorized the government to begin purchasing oil to replenish the reserve. But he wants to wait until the price of oil goes down. It is about $90 a barrel now, and Biden has ordered the replenishment of new oil when the price falls below $72 a barrel, which may or may not happen in the near or mid-future.