Biden admin sells gasoline from Northeast federal reserve

By Brian Dabbs | 07/02/2024 06:34 AM EDT

The sale fulfills a congressional mandate and aims to cut prices at the pump before the July Fourth holiday.

A motorist fills up the tank of a vehicle at a gasoline pump at a Costco warehouse Friday, May 31, 2024, in Aurora, Colo.

A motorist fills up the tank of a vehicle at a gasoline pump at a Costco warehouse May 31 in Aurora, Colorado. David Zalubowski/AP

The Department of Energy has sold one million barrels of gasoline from a federal stockpile to help cut prices amid the summer driving season and July Fourth holiday.

The sale, announced Tuesday, comes from the Northeast Gasoline Supply Reserve, which stockpiles gasoline much like the Strategic Petroleum Reserve stores crude. Oil major BP will get 500,000 barrels, with the rest divided up among four private energy companies.

“The Biden-Harris Administration continues to take strategic action to lower prices for American consumers in every aspect of their lives— especially as summer driving season ramps up,” Energy Secretary Jennifer Granholm said in a statement. “By releasing this reserve ahead of July 4th, we are ensuring sufficient supply flows to the northeast at a time hardworking Americans need it the most.”

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In May, the Biden administration announced its plans for the sale, which Congress mandated in the spending deal it passed in March. That law also requires the DOE to shut down the reserve after the sale.

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